6. Resolution 4399 - Digester Cleaning ProjectAgenda - April 20, 1998
AGENDA ITEM 6 - DIGESTER CLEANING PROJECT
RESOLUTION 4399 -PUBLIC HEARING NOTICE/BUDGET AMENDMENT
- MORRISON-MAIERLE CONTRACT APPROVAL -PENDING BUDGET
APPROVAL
BACKGROUND/CONSIDERATION: I have attached a memo from the Public Works
Director outlining the problems that have been found and analyzed at the Wastewater Plant.
This was discussed at our departmental presentation to the Council. This problem requires
two actions on our part. The first problem to address is the budget problem. This was not
anticipated for this year's budget. However, we need to proceed "post-haste." The funds are
available but we need budget authority to expend the funds. The second problem is an
addendum to the engineering services contract. The addendum is $42,820.00 on a "not -to -
exceed" contract.
RECOMMENDATION: I concur with Mr. Hansz's evaluation, recommendation and the
need to proceed with this project.
ACTION REQUIRED:
1) Approval of Resolution 4399 is required to set a Public Hearing for the budget
amendment.
2) Approval, by motion, of the addendum to the engineering contract will allow the
design of this project to begin.
NOTICE OF PUBLIC HEARING
RESOLUTION NO._4399__.
A RESOLUTION CALLING FOR A PUBLIC HEARING TO AMEND THE ANNUAL
APPROPRIATIONS OF THE CITY OF KALISPELL, MONTANA, AS SET FORTH IN
THE 1997-98 BUDGET ADOPTED BY THE CITY COUNCIL FOR THE SEWER FUND,
WASTE WATER TREATMENT PLANT EQUIPMENT REPLACEMENT (CAPITAL
IMPROVEMENT) ACCOUNT.
WHEREAS, the City Council budgeted and appropriated the sum of
$210,000 in the Sewer Fund for Water Treatment Plant
Equipment Replacement (Capital Improvement),in accordance
with M.C.A. 7-6-4271, and
WHEREAS, inspection of the fermenter indicated significant and
unexpected internal corrosion to a crucial element of the
WWTP necessitating substantial improvements to the
fermenter, and
WHEREAS, the WWTP Equipment Replacement Reserve contains adequate
additional funds which are expected to cover the costs
of the improvement, and
WHEREAS, said $180,000 was not appropriated pursuant to Section
7-6-4271, and constitutes an overall increase in
appropriation authority, and
WHEREAS, the appropriate fund would be Sewer Fund, WWTP Equipment
Replacement (Capital Improvement), 5310 455 430645 940,
with the appropriate expenditure line item.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL AS FOLLOWS:
SECTION__I. That on May 4, 1998, at 7:00 o'clock P.M., in
the Council Chambers, City Hall, Kalispell,
the City Council will hold a public hearing on
appropriating funds from WWTP Equipment
Replacement Reserve in the amount of $180,000
for the purpose of making improvements to the
WWTP fermenter.
SZC=N--II. That notice of the passage of this resolution
shall be published pursuant to Section 7-1-
4127, MCA.
j:\wp\res\budgethearing
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF
THE CITY OF KALISPELL, THIS DAY OF APRIL, 1998.
Wm. E. Boharski - MAYOR
Theresa White
Clerk of Council
STATE OF MONTANA )
ss
County of Flathead )
COMES NOW Theresa White, Clerk of the Council for the City of
Kalispell, Montana and states as follows:
1. That she is the Clerk of the Council for the City of
Kalispell, Montana.
2. That she caused to be published in the Daily Inter Lake,
the above Resolution and Notice of Public Hearing,
pursuant to Section 7-1-4128, MCA on April 23, and April
30, 1998.
Dated this 20th day of April, 1998.
Theresa White
Clerk of Council
j:\wp\res\budgethearing
MEMORANDUM
March 24, 1998
N
L
To: Clarence Krepps, City Manager
From: Jim Hansz, Director of Public orks
Subject: Digester cleaning and repair project, addendum to engineering contract
The cleaning and inspection revealed the digesters to be in generally good order. The interior
needed repair of support rods, the surfaces need re -coating with a polyurethane coating, and there
was corrosion repair work necessary on the boiler gas piping. In addition, there is substantial
additional work of similar nature needed inside the fermenter. This was not anticipated this year,
but it had been programmed to be done next year. This additional work is critical and should be
done this summer at the same time we do the digester work. We did get lucky in that no work
was necessary for the outfall line. The water problem was actually caused by a leak in a yard
hydrant upstream of the outfall.
The original contract dealt with the inspection of the digesters, their cleaning and inspection, and
repair of the outfall line. The contract specified that additional services for the repair of the
digesters would be separately negotiated once the extent of the necessary repairs was identified.
Attached is the addendum for the follow-on engineering work to get the digesters and fermenter
re -coated, and the cleaning of the last digester accomplished.
I have reviewed this addendum and feel it addresses all the remaining work to be done. Please
not that this is a not to exceed contract and this remains unchanged with this addendum. For you
information, the contract ceiling on the original contract was $44,540.00. The total amount spent
on the first phase engineering was $38,941.72. The total amount of this addendum is $42,820.00.
If all this is spent then the total cost of all engineering for this project will be $81,761.72.
I will prepare an agenda item for the April 6 council meeting to discuss the additional budget
needed for repair of the fermenter.
Post Office Box 1997 • Kalispell, Montana 59903-1997
®Telephone (406) 758-7700 • FAX (406) 758-7758
MEMORANDUM
April 1, 1998
To: Clarence Krepps, City Manager
From: Jim Hansz, Director of Public W rks
Subject: Supplemental budget authority for digester cleaning project.
Background:
This project originally was approved for the cleaning and repair of the primary and secondary
wastewater sludge digesters. Cleaning and inspection revealed the digesters to be in generally
good order. The interior support rods needed repair which was not expected. The interior
surfaces need to be re -coated with a polyurethane coating as expected. There was some corrosion
repair work necessary on the boiler gas piping from the digesters and within the gas delivery
system. This was not expected and was immediately done to ensure safe operation. We did get
lucky in that no work was necessary for the outfall line. The water problem was actually caused
by a leak in a yard hydrant upstream of the outfall. The savings from not doing this repair funded
the unexpected repairs noted above.
Current issue:
The inspection effort spilled over to the adjacent fermenter and identified significant internal
corrosion. This unit was programmed to receive maintenance work next year because of the
known corrosive nature of its environment. During the digester work the plant operators noted
external evidence of corrosion around the fermenter which was not visible earlier therefore the
unit was taken down for inspection. This inspection showed the fermenter to be in much worse
condition than we expected and that substantial additional repair work is needed as soon as
possible. The unit has been returned to service due to its critical role in the plant operation.
Treatment system process control depends on the fermenter. Plant operation without the
fermenter requires use of expensive chemicals to maintain the process, this is a situation that we
cannot and should not carry on for the long term. We had intended to bid the digester coating
work now, but we were delayed by the need for the supplemental inspection report for the
fermenter. The additional work on the fermenter is essential and should be done this summer
instead of next year. Delaying the repair will result in significant additional damage to the
fermenter interior that could make repairs prohibitively expensive or, in the worst case,
impossible because of basic structural damage. We propose to do this work at the same time we
Post Office Box 1997 • Kalispell, Montana 59903-1997
Telephone (406) 758-7700 • FAX (406) 758-7758
do the remaining digester repair work. This issue was raised to the Council during the February
23`d work session.
Cost:
The original project dealt with the engineering, inspection, cleaning and repair of the digesters,
and inspection, and repair of the outfall line. This is currently budgeted at $210,000.00. The
fermenter inspection and the unanticipated repairs of the digesters were done within the current
budget without impact because of budget savings from not needing costly repairs to the outfall.
However, the additional work necessary to repair the fermenter would far exceed the current
project budget. The additional work is presently estimated to add $180,000.00 to the total current
project budget of $210,000.00. The actual cost will depend on the full extent of repairs required
after complete sandblasting and cleaning of the fermenter interior. The inspection report
recommended a program of repairs that are specific to the degree of corrosion and deterioration
of each surface and material inside the fermenter. The amount of additional budget authority
requested is believed to be adequate for the "worst case" requirement. The revised project budget
will be $390,000.00.
All necessary funds are presently available in the WWTP replacement reserve fund. The
maintenance plan for this facility anticipated fermenter repairs in 1999. Therefore, since funds
are available, I see no significant impacts by moving these repairs up a year to 1998.
Recommendation:
There is no impact to the General Fund because this is an enterprise fund, and there is no need to
adjust sewer rates to generate funds for this work. In view of the importance of this operation to
the City, I recommend the City Council authorize additional expenditures of $180,000.00 in this
enterprise fund, budget line item number 940, for the current fiscal year to allow for the needed
repairs to the fermenter.
Amendment No.l
Agreement to Furnish Engineering Services to the City of Kalispell for the Digester
Maintenance and Repair Project
The Agreement to Furnish Engineering Services to the City of Kalispell for the Digester
Maintenance and Repair Project is amended as follows:
ARTICLE 1. SCOPE OF SERVICES
Add the following paragraph:
Additional services to be provided, and the compensation for such services, shall be as
mutually agreed to in this Amendment, executed by both parties and as described in
Amendment No.1 Exhibit A.
ARTICLE 2. BASIS OF COMPENSATION
Add the following to paragraph B:
As consideration for providing the services described as Tasks 1 through 3 in
Amendment No. l Exhibit A, the Owner shall pay the Engineer a total fee not to exceed
$42,820 without prior written approval.
ARTICLE 3. PAYMENT FOR SERVICES
No changes.
ARTICLE 4. OBLIGATIONS OF THE ENGINEER
No changes.
ARTICLE 5. OBLIGATIONS OF THE OWNER
Add the following to paragraph A:
The Owner shall authorize the Engineer to proceed with Tasks 1 through 3 in
Amendment No.l Exhibit A by executing this Amendment.
ARTICLE 6. GENERAL LEGAL PROVISIONS
No changes.
ARTICLE 7. GENERAL PROVISIONS
-a-
Add the following paragraph:
F. AMENDMENT NO. 1 SCHEDULE
Specifications and drawings for Amendment No. 1, Task 1, shall be submitted to
the Owner within sixty (60) calendar days of the Engineer' s receipt of the signed
Amendment.
Bid letting is anticipated in June of 1998 and the start of construction is anticipated
in June of 1998.
Construction observation is anticipated to be concluded in September of 1988, but
may vary depending on weather effects on painting and concrete repairs.
Add the following paragraph:
B. This Amendment (consisting of pages a through b), and attached Amendment No.
1, Exhibit A, constitute the entire Amendment No. 1 to the Agreement between the
Owner and the Engineer and supercedes all prior written or oral understandings.
DATED this 2 day of , 1998.
CITY OF KALISPELL
By:
City Manager
MORRISON-MAIERLE, INC.
Office Manager
M
Amendment No.1, Exhibit A
to
Agreement to Furnish Engineering Services to the City of Kalispell for the Digester
Maintenance and Repair Project
Task 1 - Design Services
The Task 1 design services consist of preparing contract documents for bid. The contract
documents will include technical specifications for repair of damaged concrete in the fermenter,
painting of the fermenter, painting of the primary digester, painting of the two secondary
digesters, and cleaning of one secondary digester.
Task 1 design services will also include drawings of the fermenter and digesters in sufficient
detail to show the area (square footage) to be painted. The report titled "Condition Assessment
and Preliminary Rehabilitation Recommendations for the Kalispell Advanced WWTP
Fermenter" by MMI will be included by reference.
Task 1 design services also include quality control review and project management by the
engineer.
Task 2 - Bid Services
Task 2 services include answering bidders questions during the bid period, evaluation of bids,
conducting a pre -bid conference, and tabulation of the bid results.
Task 3 - Services During Construction
Task 3 services include review of required submittals on concrete repair and paint products,
conducting a pre -construction conference, observation of the work, and documentation.
Page 1 of 3
Amendment No. 1, Exhibit A
to
Agreement to Furnish Engineering Services to the City of Kalispell for the Digester
Maintenance and Repair Project
Amendment Table 1
Estimated Labor and Expense Costs
Task
Classification
Hours
Rate
Cost
Total
Cost
Task 1 - Design
Services
Specs, Proj Mgmt, QA
Senior Engineer
172
80
13,760
Specs.
Corrosion Engineer
40
90
3,600
Drawings.
Technician
32
60
1,920
Specs, Corres.
Clerical
24
30
720
Labor
Subtotal
20,000
Expenses
Printing
1
z4 a 4�98
Phone,
Mail, etc.
1
6.00
Subtotal
20,500
Task 2 - Bid Services
Eval Bids, Bid
Questions
Senior Engineer
40
80
3,200
Eval Bids, Bid
Questions
Corrosion Engineer
24
90
2,160
Bid Tab
Clerical
4
30
120
Subtotal
5,480
Page 2 of 3
Task
Classification
Hours
Rate
Cost
Total
Cost
Task 3 - Services
During Construction
Submittals
Senior Engineer
32
80
2,560
Observation
Engineer II
180
55
9,900
Submittals
Corrosion Engineer
24
90
2,160
Corres, Memos, etc.
Clerical
8
30
240
Expenses
Airfare
2
760
1,520
Vehicle
-4.
65
260
Per Diem
4
50
200
Subtotal
16,840
GRAND
TOTAL
42,820
Page 3 of 3