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Council Meeting June 23. 1998
JUN 231198
Santa MOnica, California
TO Mayor and City Council
FROM City Staff
SUBJECT Recommendation to Waive CompetitIve Bidding Requirements and
AuthOrize the CIty Managerto Negotiate and Execute a PnceAgreement for
Zenon MUnicipal Systems' Mlcroflltratlon Unit and Trojan Technologies'
Ultraviolet DIsinfection Unit to be Used In the Dry Weather Runoff
Reclamation FaCIlity
I ntrod uctlon
This report recommends that the City Council waive competitIve bldd Ing requirements and
authOrize the City Manager to negotiate and execute a written price agreement for a Zenon
Municipal Systems' mlcroflltratlon umt and a TroJan Technologies' ultravIolet diSinfection
umt to be used In the future construction contract for the Dry Weather Runoff Reclamation
FaCility
Sackground
Since 1987. the City has conducted several feaSibility studies on constructing a faCIlity for
the treatment of dry weather flows from the Plco-Kenter and Santa Monica Pier storm
drams Dry weather runoff caused by Irrigation, spills, and washing down of paved areas
carnes With It suffICient run-off pollution (011 and grease, heavy metals, pathogens) to
warrant the construction of a permanent dry weather runoff reclamation faCIlity (DWRRF)
The design of the proposed faCIlity IS nearing completion and the estimated construction
cost IS S7,000,000
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JUN 2 3 IJ98
The primary function of the proposed faCIlity will be to treat and reuse the treated water
from the Plco-Kenter and Santa MOnica Pier storm drams for Irrigation As a state-of-the-
art faCIlity, It Will proVide environmental, educational. and health benefits The treatment
faCility Will filter and diSinfect the storm drain water so that It may be reused for various
applications including Irrigation Irrigation sites Will mclude Woodlawn Cemetery, Caltrans
for the Santa MOnica Freeway landscaping, the OlympiC Boulevard median, Memorial
Park. the CIVIC Center, and Palisades Park The proposed location for the faCIlity IS
adjacent to the Moss Avenue Sewage Pumping Station located at Appian Way and Moss
Avenue Just south of the Pier Bridge The faCIlity Will Include a vIsitors' center and
educatIonal exhibits to raise awareness of runoff pollution and present options by which
thiS pollution can be reduced The high VISibility ofthe faCIlity underscores the Importance
of ItS aesthetiC characteristics Therefore, an artist IS mcluded on the design team
It IS anticipated that construction bids Will be soliCited In the summer of thiS year and a
recommendatIon for award of a construction contract Will be brought to Councl]In the fall
In the near future. staff will present the design of the faCility to the City Council for approval
The faCIlity construction costs are offset by approximately $1,000,000 In FederallSTEA
grant funds and $1,000,000 of Los Angeles County PropOSition A grant funds The
balance of construction funding IS from low Interest state loans from the State RevolVing
Fund (SRF) On May 27, 1998, the State Water Resources Control Board adopted a
resolution awarding the City a loan In the amount of $5,000,000 The loan has a 20-year
term at a 2 5 annual percentage rate Recently, staff and Board of PubliC Works Members
from the City of Los Angeles committed to becoming a full partner In the const~uctlon and
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operation of the DWRRF subject to final confirmation by the Los Angeles City Council Full
partnership will mclude sharing the costs of operation and maintenance of the plant and
repayment of the SRF loan The final terms of the agreement with Los Angeles are
currently being negotiated
Through a request for qualifications and request for proposal process, a design team
Including CH2M HIli (an engineering firm) and Richard Turner (an artist) was selected to
design the facIlity The design of the facIlity IS essentially complete and constructIOn of the
facIlity may begin as early as the latter part of 1998 With plant start-up anticipated to occur
twelve months follOWing the start of constructIon
DISCUSSion
Since the area of the proposed DWRFF site IS only approximately 11,400 square feet,
space IS a major concern Additionally, the site IS located In an area where aesthetics are
also a major concern These site constraints limit the type of treatment equipment that
may be used Two pieces of equipment that satisfy these concerns are each
manufactured by only one firm One IS a mlcroflltratlon unit manufactured by Zenon
MUniCipal Systems and the other IS an ultraViolet diSinfectIon unit manufactured by Trojan
Technologies The performance of each of these Units has been proven In industrial
applIcatIons AddItionally. these are the only unrts In the Industry that have the approval
of the California Department of Heath Services for use In a reclaimed storm water
treatment plant The equipment also compliments the artistic and architectural themes of
the project
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It IS not possible to competitively bid one-of-a-klnd Items when construction bid documents
specrfy the use of a proprietary Item of original equipment The buyer, therefore, may not
always receive a favorable price To ensure that thiS does not occur, staff IS requesting
authonzatlon to negotiate a favorable price for these Items before the DWRRF bidding
begins and secure the price With a wntten price agreement from the vendor Staff
recommends that the City Council waive competitive bidding requirements, pursuant to
Section 2 24 080 of the MUnicipal Code, and authOrize the City Manager to negotiate the
price of Zenon MUnicipal Systems' mlcroflltratlon Unit and Trojan Technologies' ultraviolet
diSinfection unit
Staff Will then bid the DWRRF project and either assign the pnce agreement to the
successful bidder as a component of the construction contract or require the successful
bidder to assist the City With the delivery, installation and acceptance tests of the
equipment The terms of the price agreement Will ensure that the City IS not obligated to
purchase the equipment If the project IS not approved for construction by the City CounCil
Budget/Flnanclallmpact
There IS no budget or fmanclallmpact associated With the recommended actions In thiS
staff report Actual payment for Zenon Municipal Systems' mlcroflltration Unit and TroJan
Technology's ultraviolet dlsmfectlon Unit WIll be Included In the future construction project
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Recommendation
Staff recommends that the City Council waive competitive blddmg requirements, pursuant
to Section 2 24 080 of the MUnicipal Code, and authorize the City Manager to negotiate
and execute a written price agreement for Zenon MUnicipal Systems' mlcrofiltratlon Unit
and TroJan Technology's ultravIOlet diSinfection umt
Prepared by
Craig Perkms, Director of Environmental & Pubhc Works Management
Anthony Antlch, PE, City Engineer
Timothy Joyce, PE, CIvil Engineer
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