Title
Discuss and consider action authorizing the City Manager to award a construction contract for the Surface Water Treatment Plant Emergency Generator Project to McDonald Municipal and Industrial in the amount of $7,629,469.
Summary
As has been noted on previous City Council items, the Surface Water Treatment Plant and Lake Pump Station currently do not have backup power supply in the event of an extended power failure as was experienced from February 15, 2021 to February 17, 2021. This creates a significant risk for the City’s Public Water System as the plant produces most of the water that is used within the City. Due to this risk and the need to make the City's water system more resilient in the event of an emergency, the City Council approved a professional services agreement with Gupta and Associates, Inc. on September 22, 2020 to design the emergency generator power system.
To expedite the Surface Water Treatment Plant Standby Generator project, it was determined that our best course of action would be to pre-select and pre-purchase the generator and related automatic transfer switches to transfer the Purchase Order to the General Contractor upon award of the Surface Water Treatment Plant Standby Generator Construction Contract. As the generator purchase was awarded at the September 28th regular City Council meeting, we continued to move forward with the construction contract to do the related site work necessary to hook the generator up to the rest of the Surface Water Treatment Plant. This construction contract will include the installation of various electrical duct banks that will terminate into a new electrical building within the facility and tie-in to the generator. This work will also require new transformers to be installed that bring the prime voltage from Oncor down to where we can serve the facility at both the 4160-volt and the 480-volt load centers. This design also considered the future expansion of the Surface Water Treatment Plant and the space requirements that will be necessary in this electrical building to facilitate that expansion of the electrical load centers. As this will require a significant amount of coordination work with Oncor and with the Surface Water Treatment Plant operation to maintain the current capacity to meet demands within the water system while this work is being completed.
After discussion with the City’s design consultant, it was determined that the main driver in bidding this project out through a Competitive Sealed Proposal process would have been to expedite the generator delivery time. As we went the route of pre-purchasing the generator, we saved months off the contract and there was not any time savings in the construction contract by performing a Competitive Sealed Proposal for the Surface Water Treatment Plant Standby Generator Construction Project therefore a standard low-bid process was employed.
This construction project is budgeted within the 5-year Capital Improvements Project list and is listed under the Water Treatment Plant Standby Generator Project. This project addresses and accomplishes the City Strategic Plan goal of making City infrastructure more resilient and planning for future growth by ensuring that the City’s water supply can continue to operate even during the most devastating events.
Prior City Council Action
On September 22, 2020, City Council approved the selection of Gupta and Associates for professional services associated with the standby generator at the Water Treatment Plant and Lake Pump Station project and authorized the City Manager to execute a professional services agreement in the amount of $652,914 for design and engineering services for the emergency generator at the Water Treatment Plant and Lake Pump Station.
On March 23, 2021, staff provided an update regarding the possibility of expediting the project and feasibility options for a temporary power generation system installation to get completed before the permanent installation.
On May 11, 2021, City Council approved the Professional Services Supplemental Agreement with Gupta and Associates for professional services associated with the modification of the scope of work and the modification of the original schedule to expedite the generator project as much as possible.
On August 10, 2021, City Council approved the construction contract for the Lake Pump Station Emergency Generator to McDonald Municipal and Industrial to provide emergency power to the Lake Pump Station.
On September 14, 2021, City Council approved the Facility Extension Agreement to Oncor Electric to provide a redundant electrical feed to the Surface water Treatment Plant.
On September 28, 2021, City Council approved the pre-purchase of the emergency power generator and related switchgear from Cummins Southern Plains, LLC for the Surface Water Treatment Plant Standby Generator Project.
Deadline for City Council Action
November 30, 2021
Funding Expected: Revenue __ Expenditure _X_ N/A __
Budgeted Item: Yes _X*__ No __ N/A __
*This project is included in the Water CIP as Water Treatment Plant Standby Generator.
Amount: _$7,629,469_____
1295 Form Required? Yes _X_ No __
Legal Review Required: N/A ___ Required _X__ Date Completed: ___________
Supporting documents attached:
Invitation for Bids, Letter of Recommendation with Bid Tabulation
Recommended Action
Staff recommends authorizing the City Manager to award a construction contract for the Surface Water Treatment Plant Emergency Generator Project to McDonald Municipal and Industrial in the amount of $7,629,469.