Explanation
1. BACKGROUND: This legislation authorizes the Director of Public Utilities to enter into a construction contract with Burch Hydro, Inc. for the Hap Cremean Water Plant Lagoon 3 Sludge Removal; in the amount of $307,847.69; to transfer $298,789.35 from the Water System Reserve Fund to the Water Works Enlargement Voted Bonds Fund; and to amend the 2008 Capital Improvements Budget.
2. CONSTRUCTION CONTRACT AWARD: The Director of Public Utilities publicly opened two bids on September 10, 2008. Bids were received from: Burch Hydro, Inc. - $307,847.69 and Synagro Central, LLC - $822,108.54.
The lowest and best bid was from Burch Hydro, Inc. in the amount of $307,847.69. Their Contract Compliance Number is 31-0978934 (expires 6/24/10, Majority). Additional information regarding both bidders, description of work, contract time frame and detailed amounts can be found on the attached Legislation Information Form.
3. FISCAL IMPACT: This legislation includes a transfer of funds within the Water Works Enlargement Voted Bonds Fund and a transfer of funds from the Water System Reserve Fund to the Water Works Enlargement Voted Bonds Fund as a temporary measure until such time as the proceeds from a bond sale can be made available. An amendment to the 2008 CIB is also necessary.
Emergency Designation: It is requested that this Ordinance be handled in an emergency manner to allow removal of sludge from Lagoon #3 as soon as possible because all process residuals (sludge) from the HCWP are either pumped to McKinley Quarry via a pipeline or go to one of the three lagoons on the plant site. Two of the three lagoons are currently inoperable and are slated for construction improvements to begin later this year. Lagoon #3 is currently the only functioning sludge lagoon on-site. Lagoon #3 was filled to capacity during the recent sludge pipeline break. The lagoon is needed in the event there are other maintenance issues or problems with the sludge pip...
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