Memorandum

City of Lawrence

Utilities Department

TO:	David Corliss Debbie Van Saun
FROM:	Philip Ciesielski
CC:	Dave Wagner Mike Lawless
Date:	June 19, 2007
RE:	June 26, 2007 City Commission Agenda

Please include the following item on the City Commission Agenda for consideration at the June 26, 2007 meeting:

Authorization for the City Manager to negotiate a design-build contract with the design-build team of CAS Construction/Professional Engineering Consultants for the Preliminary Design and submission of a Guaranteed Maximum Price for the construction of the conveyance system to the new 7.0 MGD BNR Wakarusa Water Reclamation Facility (WWRF) including associated upstream collection system infrastructure and improvements in accordance with the recommendations in the 2003 Wastewater Master Plan.

Authorization for the City Manager to negotiate a design-build contract with the design-build team of Black & Veatch/Grimm Construction for the Preliminary Design and submission of a Guaranteed Maximum Price for the construction of the new 7.0 MGD BNR Wakarusa Water Reclamation Facility (WWRF) and improvements to the Four Seasons Pump Station and Excess Flow Storage Facility in accordance with the recommendations in the 2003 Wastewater Master Plan.

These are capital improvement projects from the 2003 Waste Water Master Plan that are scheduled for completion in 2010.

Project History. The 2003 Waste Water Master Plan identified the need for the completion of a 7.0 million gallon per day (mgd) wastewater facility discharging to the Wakarusa River by the end of year 2010. Adding this facility and the associated infrastructure to the sanitary sewer system will allow service to a population of 150,000.

In 2005, the City Commission authorized the Utilities Department to solicit proposals for engineering services associated with preliminary work for the Wakarusa Water Reclamation Facility (WWRF). The City entered into a contract with Black & Veatch for siting the treatment plant and subsequently for the conveyance corridor study, a Basis of Design Report, a Design Memorandum, and a Value Engineering Study. The City Commission subsequently approved the selection of the site and purchase of the properties.

In February of 2007 the City Commission was briefed on the project status and alternate project delivery methods, including a recommendation to pursue design/build. Staff was directed to utilize design/build to design and construct the Wakarusa WRF, and to proceed with the selection of the design/build team utilizing a qualification based selection process. Specific direction was provided by the Commission to select a team with considerable emphasis on competitive pricing and qualified local participation.

On April 17, 2007 the City Commission was briefed on the project status along with the status of other Department of Utilities major capital improvement projects. The discussion included projected costs and rate impacts. Staff requested authorization to advertise a Request for Qualifications for engineering and construction services for the design and construction of the new 7.0 MGD Wakarusa Water Reclamation Facility and associated upstream collection system infrastructure and improvements. After consideration of the request the City Commission directed staff to advertise the RFQ as two projects:

1) the construction of the conveyance system to the new 7.0 MGD BNR Wakarusa Water Reclamation Facility (WWRF) including associated upstream collection system infrastructure and improvements, and

2) the construction of the new 7.0 MGD BNR Wakarusa Water Reclamation Facility (WWRF) and improvements to the Four Seasons Pump Station and Excess Flow Storage Facility.

Additional major efforts underway or completed include:

Facility site acquisition is completed.
Preliminary design work by Black and Veatch and staff is nearing final draft stage that will deliver a Basis of Design Report, Design Memo, Corridor Study.
Site planning, annexation and zoning of the Wakarusa WRF site is in progress.
In December 2006, staff applied to KDHE for a NPDES discharge permit. The permit was posted for public notification and comment on May 17, 2007. The period for public comment ended Friday June 15, 2007. During the public notice period only one comment was received. The comment was from our consultant Black & Veatch regarding a clarification of the permit language. It is expected the permit will be issued mid-July with the requested discharge limits of 8.0 mg/l Total Nitrogen and 1.5 mg/l Total Phosphorous.

Public outreach, input, and dissemination of information about the project will continue, using public meetings and involvement with the project by the three members of the Public Advisory Committee (PAC) sub-group.

Project Status. On May 21, 2007 staff received the following responses to the RFQs:

1) Conveyance System –

Burns & McDonnell/BG Consultants

Garney Construction/Bartlett & West

CAS Construction/Professional Engineering Consultants

2) Wakarusa WRF and Four Seasons Pump Station -

Black & Veatch/Grimm Construction

On June 18^th, a review committee consisting of City Commissioners, staff within the Department of Utilities, the City Manager’s office, the Public Works Department, and the Planning Department reviewed the submitted qualifications and interviewed the four teams.

The review team recommends the teams of CAS Construction/Professional Engineering Consultants for the Conveyance System, and Black & Veatch/Grimm Construction for the Wakarusa WRF and Four Seasons Pump Station as the most qualified teams based on the following criteria:

· Technical competence and expertise

· Knowledge of current construction technologies

· Demonstrated capability to perform the project

· Past performance on City Design/Build projects

· Qualifications and experience of team members

· Demonstrated ability of team members to meet schedules

· Demonstrated ability to incorporate local resources

· Demonstrated ability to provide and document a competitive cost environment

The City will require strong demonstrated local participation with these Design/Build teams, including additional engineering and construction contractor participation beyond the submitted proposals.

Project Funding. The engineering and construction work will be funded with bond proceeds. The current estimated cost for design, construction and conveyance corridor land acquisition is $87,700,000.00. On July 17^th, the City Commission will be reviewing water and sewer rates for 2008 that will continue a multi-year rate plan designed to provide the financial support for the completion of this and other capital improvement projects for the water and sewer systems.

Action Request. Utility Department staff requests the following approvals from the City Commission:

1) Authorization for the City Manager to negotiate a design-build contract with the design-build team of CAS Construction/Professional Engineering Consultants for the Preliminary Design and submission of a Guaranteed Maximum Price for the construction of the conveyance system to the new 7.0 MGD BNR Wakarusa Water Reclamation Facility (WWRF) including associated upstream collection system infrastructure and improvements in accordance with the recommendations in the 2003 Wastewater Master Plan.

2) Authorization for the City Manager to negotiate a design-build contract with the design-build team of Black & Veatch/Grimm Construction for the Preliminary Design and submission of a Guaranteed Maximum Price for the construction of the new 7.0 MGD BNR Wakarusa Water Reclamation Facility (WWRF) and improvements to the Four Seasons Pump Station and Excess Flow Storage Facility in accordance with the recommendations in the 2003 Wastewater Master Plan.