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SR-6-B (69) ." . ~. "-B JUL 1 6 1991 GS:SES:CP:BJ: tanks.word.genserv Santa Monica, California Council Meeting: July 16, 1991 TO: Mayor and City Council FROM: City staff SUBJECT: Recommendation to Authorize city Manager to Negotiate and Execute a Contract for $244,375 with Lindmark Engineerl.ng for Services Associated with City Underground Fuel storage Tanks Introduction This report recommends that City Council authorize the City Manager to negotiate and execute a contract with Llndmark Engineering in the amount of $244,375 to provlde underground storage tank removal, installation and site investigation services at Fire stations 1, 2 and 5 and the Beach Maintenance Facility. Background In October 1990, the Cl.ty commenced a systematlc testing program for the city's underground fuel storage tanks under the purview of the Environmental Programs Division of the General SerVlces Department. The goal of the Underground Tank Management Program is to ensure that fuel tank permit compliance responsibilities are carried out in a cohesive and proactive manner. The results of the several month process to test city tanks were outlined In an Information Item distributed to Council on June 18, 1991. The Clty'S Underground Tank Management Program is designed to minimize the City'S potential liability from leaking underground tanks through an overall reduction in the number of tanks in - 1 - ~1~ ~ , ~ ~ ~ - . . . service in conjunction with the replacement of remaining tanks . with state-of-the-art, alternative fuels-compatible tanks. Achieving a net reduction in the number of fuel storage tanks used by the city has required extensive coordination and cooperation among the affected City departments. These efforts, however, will result in significant long term benefits from a reduction in environmental hazards and potential financial liability associated with underground fuel tanks. This report outlines the proposed next phase of implementation of the tank management program. Discusslon The first phase of the City's tank management program consisted of precision testing of all 29 tanks at nine City facilities to determine the integrity of the existing systems. Except for two tanks which will be tested by July 12, 1991, this phase of the program has been completed. The results of this testing have provided informatlon to assist City staff in prioritizlng the permanent removal or replacement of tank systems WhlCh do not meet integrity standards. Tanks were prioritized based upon age, design, type of monitorlng device and overall system integrity. The second phase of the tank management program consists of the actual removal and replacement of the prioritized tank systems. Following extensive review of the test results, City staff recommends the implementation of the following action plan: . t ~ . , - 2 - - ~ ~ , ~. ~ ~ . ~) service in conjunction with the replacement of remaining tanks . with state-of-the-art, alternative fuels-compatible tanks. . Achieving a net reduction in the number of fuel storage tanks used by the city has required extensive coordination and cooperation among the affected City departments. These efforts, however, Mill result in significant long term benefits from a reduction in environmental hazards and potential financial liability associated with underground fuel tanks. This report outlines the proposed nex~ phase of implementation of the tank management program. Discussion The first phase of the City's tank management program consisted of precision testing of ' all 29 tanks at nine city facilities to determine the integrity,of the existing systems. Except for two tanks which will be tested.by July 12, 1991, this phase of' the program has, been co~leted. The results of this testing have, provided information to assist City staff in prioritizing the permanent removal or replacement Of_tank systems which do not meet integrity standards. Tanks were prioritized based upon age, design, type of monitoring device and overall system integrity. The second ph~se of the tank management program consists of the actual removal and replacement of the prioritized tank systems. - Following extensive review of the test results, city staff recommends the implementation of the following action plan:, ,~ , ~- ~ \ - - - 2 - . . . . Summary The total estimated cost of the recommended tank removal, installation and investigation services is $244,375. It should be noted that this proposal does not include the cost of cleaning up soil or groundwater contamination which may be required at these sites. Potential remediation costs can not be estimated until site investigation actl.vities are completed. The above cost estimate is based upon proposals received from Lindmark Engineering. Lindmark Engineering has provided consistently high quality and responslve environmental consulting services to the City at costs competitive with or below the industry average. Due to a desire to minimize the disruptl.on of Fire Department fueling operations and in light of the environmental benefits to be gained from reducing the number of tanks in service, staff recommends execution of a contract with Lindmark Engineering. Financial/Budget Impact Funds in the amount of $400,000 are available for this purpose in the General Government, Capital Improvements Program account number 01-710-401-20092-8900-99020. Recommendation Staff recommends that Council authorize the city Manager to negotiate and execute a contract with Lindmark Engineering to provide underground storage tank removal, installation and investigation services in the amount of $244,375. - 4 - . . . Fire station One, 1444 Seventh Remove two existing single-wall tanks and replace with one alternative fuels-compatible, double-wall, split-compartment tank. In addition, conduct an investigation to determine the concentration and extent of potential sub-surface contam1nation. Estimated cost to complete these tasks is estimated to be $99,550. Fire station Two, 222 Hollister permanently remove three single-wall tanks at th1S site. No new tanks will be installed. The estimated cost to complete these tasks is $32,015. Fire station Five, 2450 Ashland Remove two exist1ng single-wall tanks and the replace wl.th one split-compartment, alternative fuels-compatible, double-wall tank. In addition, conduct an investigation to determine the concentration and extent of potentl.al sub-surface contam1nation. The estimated cost to complete these tasks is $97,825. Beach Mal.ntenance Facility, 1540 Appian Way Permanently close two single-wall tanks at this site. No new tanks will be installed. The estimated cost to complete these tasks is $14,985. An investigation is currently being conducted at this site to determine the extent and concentration of sub-surface contamination. - 3 - ~ . Summary . The total estimated cost of the recommended t&nk removal, installation and investigation services is $244,375. It should be noted that this proposal does not include the cost of cleaning up soil or groundwater contamination which may be required at these sites. Potential remediation costs can not be estimated until site investigation activities are completed. The above cost estimate is based upon proposals received from Lindmark Enqineering. ' Lindmark Engineering has provided consistently high quality and responsive environmental, consulting services to the city at costs competitive with or below the industry average. Oue to a desire to minimize the disruption of Fire Department fueling operations and in light of the environmental benefits to be gained from reducing the number of tanks in service, staff recommends execution of a contract with Lindmark Engineering. Financial/Budget Impact Funds in the amount of $400,000 are available for this purpose in the General Government, Capital Improvements program account number 01-710~401-20092-a900-99020. Recommendation , Staff recommends that council authorize the city Manager to negotiate and execute a contract with Lindmark Engineering to provide underground storage tank removal, installation and investigation services in the amount of $244,375. , ' - 4 - r ~ - . L . 'Prepared by: stan Scholl, Director of General Services . Craig Perkins, Environmental Services Manager Brian Johnson, Environmental Coordinator - 5 -