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HomeMy WebLinkAbout05-08-17 City Commission Packet Materials - C4. Amendment 1 with AE2S for Lyman Creek Project Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Brian Heaston, Project Engineer Craig Woolard, Director of Public Works SUBJECT: Authorize the City Manager to execute Amendment No. 1 to the Professional Services Agreement with the firm of AE2S for the Lyman Creek Water System project. MEETING DATE: May 8, 2017 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to execute Amendment No. 1 to the Professional Services Agreement with the firm of AE2S for the Lyman Creek Water System project. BACKGROUND: On August 24, 2015, the City Commission approved a Professional Services Agreement (PSA) with the firm of AE2S to perform professional engineering services for the Lyman Creek water system. The original scope of the PSA called for a two-phase project – an initial study phase, and a follow-on implementation phase - at a total negotiated cost of $311,511. Funding for the respective phases was allocated in the approved Water Fund CIP and water treatment plant annual budget, with Phase 1 funded at $80,869 in FY16, and Phase 2 funded at $260,000 in FY17. More specifically, Phase 1, completed in January 2017, consisted of a geologic evaluation of the Lyman Creek aquifer formation, analysis of historical Lyman Spring production data, development of a drilling plan for an exploratory well into the aquifer formation, and a report containing study conclusions and recommendations for Phase 2 implementation. Phase 2 was originally scoped and budgeted to implement the exploratory well drilling plan, and to perform aquifer testing. When the project was first scoped, it was believed that a well was a viable means to significantly enhance production of the Lyman source – said enhancement being a key component of the adopted Integrated Water Resources Plan. Phase 1 study conclusions and recommendations has led to a change in direction for Phase 2 implementation as originally envisaged and described above. Amendment No. 1 to the PSA, attached, captures these changes by replacing the exploratory well drilling and aquifer testing scope with an instrumentation and controls project that will enhance the diversion efficiency of existing water diversion infrastructure as well as provide remote operational control of the Lyman Creek water system. The proposed controls project is a new implementing tactic and stays true to the overall project objective, and the IWRP, as it enhances the Lyman source as further described below. 19 Current diversion operations are inefficient and require that operators manually set diversion rates at levels that prevent air from entering the Lyman Transmission Main, which requires water to overflow back to the head of Lyman Creek. During winter months, the spring diversion is not accessible by wheeled vehicles, which hampers operational control during the lengthy winter season. The instrumentation and controls project will provide for automatic and remote setting of diversion rates at a moment’s notice by operators located at the control room of the Sourdough Water Treatment Plant. The enhanced diversion efficiency and operational control will eliminate having to overflow water back to the creek while also keeping air from entering the transmission main. The Phase 1 study concludes that an additional 700 acre-feet of water could be accessed by drilling a production well into the Lyman Creek aquifer formation at an estimated cost of nearly $2.4mln under the assumption that the exploration well and aquifer testing yielded favorable results. For comparison, installation of instrumentation and controls that automate water diversions and eliminate overflows could add 400-500 acre-feet of water at an order of magnitude less expense. The controls project is a cost effective, low risk option that enhances the supply volume of the source at levels approaching that of the well. Amendment No. 1 provides for project design, bidding, construction administration, and inspection of the instrumentation and controls project at a negotiated cost of $57,129. This leaves just over $200,000 in funding for construction from the $260,000 available in FY17 for the Phase 2 implementation of the Lyman Creek project. This amount is currently anticipated to be sufficient to cover the construction costs. FISCAL EFFECTS: The approved FY17 WTP budget provides a specific $260,000 line item for professional services for project W67, the Phase 2 implementation of the Lyman Creek project. Sufficient funding is available to complete the work scoped in Amendment No. 1. It is currently anticipated that sufficient funding will remain to complete construction of the project. ALTERNATIVES: As suggested by the Commission ATTACHMENTS: Amendment No. 1 to Professional Services Agreement with AE2S 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39