PURPOSE

The staff report requests that the City Council approve the Environmental Negative Declaration, authorize the advertisement of a Request For Qualification/Request For Proposal (RFQ/RFP) for a directionally drilled pipeline, and authorize the BWP Board to award the contract after selection of the design/build entity has been completed. The project consists of linking the Groton Pressure Zone to Pressure Zone No. 3 via an 800 linear feet, directionally drilled pipeline. Horizontal directional drilling (HDD) is a unique specialty and lends itself to a Design/Build (turnkey) project delivery approach. 

BACKGROUND

The Groton Pressure Zone serves 28 single-family residences on Hamline Place and Groton Drive (north of Hilton Drive). There are four main problems with the Groton Pressure Zone:

• Reliability of the 50 year old bolted steel tanks

• Inadequate fire storage capacity

• Water quality degradation due to the Zone�s small demand and slow turn over (aging) of water in the storage tanks

• An antiquated and small capacity booster pump.

Replacement of the tanks would not solve the water quality and booster capacity problems. Increasing tank size for fire storage capacity would aggravate the water quality problem.

A feasibility study was conducted and indicated that pipeline construction linking the Groton Zone with Zone 3 using the trenchless pipeline installation method (HDD) is the most feasible option. See figures 1 and 2.

The cost estimate for the proposed project is approximately $500,000 and provides the following advantages:

• Minimal impact on the surrounding environment and to the residents within the affected Zone

• Elimination of potential water quality problems as compared with storage tank replacement

• Increase in water storage for fire suppression (Groton Zone would become part of Zone 3) with 1.22 million gallons storage capacity

• Water pressure will be increased by approximately twenty psi as a result of the elevation difference between Zone 3 and the Groton Tanks

• The Groton tanks and booster station can be eliminated along with their operation and maintenance costs.

ANALYSIS

Staff completed an initial study per California Environmental Quality Act (CEQA) requirement. The study found that the proposed project utilizing HDD would not have a significant effect on the environment, and a Negative Declaration was prepared.

The size and type of the recommended alternative lends itself to the design/build project delivery approach.  Directional drilling is a unique specialty and the number of available engineering firms in this field is limited.  Furthermore, since directional drilling equipment is proprietary, the designer will not be able to specify the drilling operation without running the risk of unintentionally excluding some directional drilling vendors from submitting bids for the project.  Specifically, the traditional process of design/bid/build method would not allow inclusion of expertise from the contractor(s) who would be constructing the pipeline since under this method, the constructor is selected only after the design has been completed and the project has been competitively bid.  Additionally, the design/build project delivery approach offers the following distinct advantages:

• A single point of contract responsibility (the designer and constructor are one entity)

• Guaranteed performance with the design

• Design/build entity assumes greater portion of the risk

• Improved and accelerated scheduling

• Reduced administrative burden for BWP.

Staff consulted with the City Attorney�s office and the Purchasing Department, and it was determined that Request For Qualifications/Request For Proposal (RFQ/RFP) process is the best way to provide for turnkey services on this project.

FISCAL IMPACT

The project is in the approved budget for in Fiscal Year 2005/2006 in the amount of $500,000.

RECOMMENDATION

Staff recommends that the City Council approve the Environmental Negative Declaration, authorize the advertisement of a Request of Qualification/Request of Proposal for a directionally drilled pipeline, and authorize the BWP Board to award the contract after selection of the design/build entity has been completed.

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