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SR-6-N (52) 9,- .-~. ' ......... ___I -f 1_' ,'" - ,. _ #"!.... ~ '-- L. \.-./\ 6-N NOV 1 :.; :991 Santa Monica, California GS:SES:CP:lindmark Council Meeting: November 12, 1991 To: Mayor and city council From: city staff Subject: Recommendation to Authorize the City Manager to Negotiate and Execute an Increase in the Contract with Lindmark Engineering in an Amount not to Exceed $350,000 for Testing and Site Assessment Services Associated with City-Owned Underground Fuel Tanks and Fueling Facilities INTRODUCTION This report recommends that Council authorize the City Manager to negotiate and execute an increase in the City I S contract with Lindmark Engineering in an amount not to exceed $350,000. The report also recommends that Council appropriate funds from the Airport and Transportation Funds to reimburse the General Fund for previous testing and assessment activities and the proposed additional scope of services at their sites. DISCUSSION Over the past year, City Environmental Programs Division staff have implemented a comprehensive management program for City-owned underground fuel storage tanks. During this time, all of the existing 29 City-owned underground storage tanks have been tested and brought into compliance with all City and state underground tank regulations. Based on the results of this tank testing 1 6-N .,1 lJ" \! I. , l!' jJ;jj process, four sites were identified as requiring follow-up testing and assessment for potential subsurface contamination: Fire Station #2, Fire station #1/ Fire station #5, and the Beach Maintenance Facility. In addition, it was determined that portions of the Bus Yard and Santa Monica Airport should be evaluated for subsurface contamination based on previously collected data. The fOllow-up investigation at these sites is currently underway. However, sufficient information has not yet been collected to determine the potential need for soil and/or groundwater remediation. This report requests expenditure authority for an expanded scope of investigation by Lindmark Engineering at two of the sites (the Airport and the Bus Yard). In addition, the report requests an increase in the contract amount with Lindmark Engineering for work at the other city sites which may be required based on the preliminary investigations. The increase to the City'S contract with Lindmark Engineering is necessary due to the fact that information gleaned from site investigation activity inevitably reveals previously undetected conditions. These conditions, when warranted, must be responded to in a proacti ve manner in order to minimi ze the environmental impacts from discovered contamination. The specific consultant services which are required or may be required at the Bus Yard, Airport and other sites are described below. 2 Santa Monica Airport staff has determined that historic fueling activities at the Airport have resulted in residual contamination which was identified during preliminary investigations at two separate sites (Administration Building and 3000 Airport Avenue). An additional scope of services from Lindmark Engineering is requested to complete these investigations. staff anticipates that the information collected will establish the full extent of the contamination. staff, in consultation with Lindmark, will then determine the most appropriate and economical cleanup technology for the Airport sites. Additional funds for cleanup activities will be requested once a final remediation proposal is accepted by the Regional Water Quality Control Board. Santa Monica Bus Yard Testing to date has been unable to identify the full extent of the subsurface contamination at the Bus Yard. Due to the groundwater contamination conditions which were encountered at the site, staff has already initiated measures designed to minimize the impact from the previous fuel spills (pumping and disposal of fuel contaminants). Council approval of this report will formally authorize these measures. Further investigation activities are also requested to determine the full extent of contamination at the Bus Yard and to ascertain whether contamination may be migrating to the Bus Yard from 3 neighboring properties. staff anticipates that information collected from the expanded investigation will allow the design of appropriate and economical cleanup technology. Additional funds for cleanup activities will be requested once a final remediation proposal is accepted by the Regional Water Quality control Board. Other city-owned Underqround Tank sites Field observations made by staff during initial investigation activities at Fire station #1 and Fire station #5 indicate that further site assessment will be necessary. The new scope of services will likely include soil testing and analysis, and drilling of groundwater monitoring wells in anticipation of site cleanup. Based on the results of testing activities to date, it is not expected that additional work will be required at Fire station #2. Also, staff will be proposing to the Regional Water Quality Control Board that groundwater monitoring continue at the Beach Maintenance Facility for the next year, but that cleanup activities are not necessary. Latest groundwater test results at the Beach Maintenance Facility do not indicate the presence of fuel contamination. Lindmark Engineering has provided high quality and responsive environmental consulting services to the city at costs competitive with or below industry standards. staff believes that the complex conditions of the subsurface contamination at these sites require consistency of investigation and data evaluation activities such as 4 those which have been provided to date by Lindmark Engineering. The conditions which have been identified require expeditious response from staff and a contractor familiar with the particular site conditions. BUDGET/FISCAL IMPACT Adoption of the recommendations in this report will result in the fOllowing financial and budget changes: 1) $155,540 will be transferred from Trust Fund account number 80-000-000-00000-9750-04341 to General Fund Miscellaneous Revenue Account number 01-130-224-00000-04147-10000 to both reimburse the General Fund for previously completed work and finance additional required work. The budget at the General Fund Miscellaneous Revenue revenue account should be increased by this amount. The funds held in the Trust Fund account represent proceeds from a settlement agreement between the city's Bus Department and the construction firm who installed the defective fuel supply line at the Bus Yard which failed, causing soil and groundwater contamination. 2) Appropriation of $99,470 from the Airport Fund reserves to a new CIP account number 33-610-631-20092-8900-99340. These funds will he transferred to General Fund Miscellaneous Revenue account number 01-130-224-00000-04147-10000 to both reimburse the General Fund for previously completed work and 5 , finance additional required work. The budget at this General Fund revenue account should be increased by this amount. 3) Increase existing General Fund CIP account number 01-710-401- 20092-8900-99020 by $255,010 to reflect the continuation of work previously contracted for and allow for the increased scope of work with Lindmark Engineering. These adjustments will result in a total available balance in this account of $382,682. Following implementation of these transfers and appropriation changes, there is no net additional cost to the General Fund for the proposed professional services. RECOMMENDATIONS It is recommended that Council: $ 1) Authorize the City Manager to negotiate and execute an increase in the city's contract with Lindmark Engineering in an amount not to exceed $350,000; and 2) Approve the financial and budget changes in the General, Airport, and Transportation funds which are described in the Budget/Fiscal Impact section of this report. Prepared by: Craig Perkins, Environmental Programs Manager Brian Johnson, Environmental Coordinator 6