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SR-500-006 (4) EPWM:CP:BJ:RB:/ICF Consulting.doc Council Meeting: November 9, 2004 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Authorize the City Manager to Negotiate and Execute Three Contracts for Environmental Assessment and Remediation Activities at Various Locations Within the City Introduction This report recommends that the City Council authorize the City Manager to negotiate and execute the following contracts with ICF Consulting for environmental assessment and remediation activities in the amounts of $804,516 for activities at the City Yards, $1,273,977 for activities at the Big Blue Bus Yard, and $157,228 for activities at the Santa Monica Municipal Airport. The contracts are proposed to remain in effect for two years with an option to renew for a third year. Background As a part of ongoing operations, the City maintains fueling facilities and underground storage tanks at the City Yards and the Big Blue Bus Facility. In the past, the City has also owned fueling facilities at other locations, including the Airport, which are no longer in operation. As a result of these fueling operations, spills and leaks have occurred in the past, which require assessment and cleanup. At each of these sites remediation systems have been installed and are 1 currently in operation. This work is conducted under the oversight of the Los Angeles Regional Water Quality Control Board. Discussion The proposed contracts with ICF Consulting will provide continued environmental assessment and remediation services at the City Yards, the Big Blue Bus Yards, and the Airport. Work at all three sites includes remediation of subsurface contamination that is under the oversight of the Los Angeles Regional Quality Control Board, as well as investigation activities associated with planned infrastructural improvements at the Big Blue Bus Yard. The work at the City Yards is expected to continue at least through Fiscal Year 2006/2007. The Bus Yards is expected to continue through Fiscal Year 2007/2008, and the work at the Airport is expected to be completed during Fiscal Year 2004/2005. Due to the duration of the projects, staff proposes that the contracts remain in effect for two years, with an option to renew for a third year. Proposals were solicited from five environmental consulting firms with demonstrated expertise in the necessary technical disciplines. Five bids were solicited and four bids were received and reviewed by a committee comprised of representatives from the Environmental Programs, Maintenance Management, and Civil Engineering Divisions of the Environmental and Public Works Management Department, the Big Blue Bus, and the Resource Management Department. Based upon the above noted qualifications, the committee unanimously determined that ICF Consulting submitted the most cost-effective proposal. The recommended authorization includes the contract amount plus a 2 15% contingency. A contingency of this amount is recommended due to the variable nature of environmental investigatory and remediation activities, whereby changes in field conditions, contaminant distribution, and regulatory requirements often compel immediate response by the City. Beyond this scope of work there is additional, related work, which staff is currently evaluating, and for which staff may be returning to Council. Budget/Fiscal Impact Funds for the scope of services at the City Yards are available in the amounts of $241,618 in the Underground Tank Management CIP Account C010020.589000 and $562,898 in the Underground Tank Management CIP Account C250020.589000. Funds for the scope of services at the Big Blue Bus Facility are available in the amount of $1,273,977 in the Big Blue Bus Fund Account C410107. Funds for the scope of services at the Airport are available in the amount of $157,228 in the Airport Fund Underground Tank Management CIP Account C330020.589000. Recommendation This report recommends that the City Council authorize the City Manager to negotiate and execute three contracts with ICF Consulting in the amounts of $804,516, $1,273,977, and $157,228. Craig Perkins, Director, Environmental and Public Works Management Prepared by: Brian Johnson, Environmental Programs Manager Richard Berman, Sr. Environmental Analyst Bob Trimborn, Airport Manager at Resource Management Ralph Merced, Transit Maintenance Manager at Big Blue Bus 3