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HomeMy WebLinkAbout15. 16-452SEPTEMBER 13, 2016 16 -452 RESOLUTION (CARRIED 7 -0 LOST LAID OVER WITHDRAWN ) PURPOSE: APPROVE ENGINEERING SERVICES AGREEMENT WITH CH2M HILL ENGINEERS, INC. FOR THE WASTEWATER TREATMENT PLANT & LIFT STATIONS ASSET MANAGEMENT PLAN ($144,350.00) INITIATED BY: DEPARTMENT OF PUBLIC WORKS BE IT RESOLVED by the Common Council of the City of Oshkosh that the proper City officials are hereby authorized to enter into and take those steps necessary to implement an agreement with CH2M HILL Engineers, Inc., for the Wastewater Treatment Plant and Lift Stations Asset Management Plan, in the amount of One- Hundred - Forty -Four- Thousand - Three - Hundred -Fifty Dollars and 00/100 ($144,350.00). BE IT FURTHER RESOLVED that money for this purpose is hereby appropriated from: Acct. No. 551 - 1920 - 6466 -00000 Sewer Utility - Misc. Contractual Services City of � Oshkosh MEMORANDUM TO: Honorable Mayor and Members of the Common Council FROM: Stephan M. Brand, Public Works Utility Bureau Manager DATE: September 8, 2016 RE: Approve Engineering Services Agreement for the Wastewater Treatment Plant and Lift Stations Asset Management Plan / CH2M HILL Engineers, Inc. (CH2M HILL) ($144,350) BACKGROUND Asset management is a process used to minimize the life -cycle costs of owning, operating, and maintaining assets, at an acceptable level of risk, while continuously delivering established levels of service. The City of Oshkosh successfully implemented an asset management plan for the Water Utility vertical assets in 2010 and proposes to do the same for the Wastewater Utility (Treatment Plant and Lift Stations). The Wastewater Utility Asset Management Plan will improve the City's ability to manage its infrastructure by focusing on maximizing asset lifecycles; identifying, evaluating, and managing risk; and using effective tools to capture and retain information critical to making fact -based decisions about replacing or rehabilitating assets. The Wastewater Utility Asset Management Plan will be structured to support the requirements of a Fiscal Sustainability Plan, as required by the Clean Water Act in 2014. A Fiscal Sustainability Plan will be required of all wastewater utilities planning to use financial assistance through the Clean Water Fund Program. ANALYSIS CH2M Hill was asked to provide a proposal for these services due to their experience with the City's Wastewater Utility and their experience in preparing Asset Management Plans for utilities. The services covered in this agreement will include: Facilitate the formation of the City's Asset Management Team to provide guidance for the planning process. The Asset Management Team will gather information and data concerning the City's organization, strategic plans, operation and maintenance protocols, maintenance histories, capital improvement plans, condition assessments, and inspection reports. Develop the criteria for scoring the consequence of asset failure that will be used to quantify and score the likelihood of asset failure. Develop an asset hierarchy for the WWTP and lift stations from existing drawings, databases, and staff knowledge. 1:\ Engineering \ Tracy Taylor\ Memos to Mayor & Common Council \ 2016 \ CH2M Hill -W WTP Asset Page 1 of 2 Mg-t Plan_9- 8- 16.docx • Evaluate the relative risk of infrastructure and asset groups to identify improvements to capital planning and maintenance activities, and to prioritize more detailed gathering and conditioning assessments. • Score assets for consequence and likelihood of failure using the matrixes and scoring system developed and then prioritize by risk level. • Once risk levels are determined, reduction options will be identified to reduce the risk associated with the assets and asset groups posing a higher than acceptable risk level. FISCAL IMPACT This agreement is for $144,350. The 2016 Wastewater Utility Operating Budget includes $150,000 for these activities. RECOMMENDATIONS Chapter 12 of the Municipal Code of the City of Oshkosh provides that professional services of a specialized nature, including engineering services, may be procured without the use of formal, sealed quotes. I have reviewed this agreement and in accordance with Section 12 -16 of the Code, I am hereby recommending the Common Council approve the award of this engineering services agreement. Approved: Mark A. Rohloff City Manager SMB /tlt I:\ Engineering \Tracy Taylor \Memos to Mayor & Common Council \2016 \CH2M Hill -W WTP Asset Page 2 of 2 Mgmt Plan_9- 8- 16.docx