ADMINISTRATIVE COMMITTEE MEETING |
||||
|
|
||||
|
2. |
CONSIDER Authorization of Budgeted Funds for Drilling
of Full-Scale Aquifer Storage and Recovery (ASR) Well as part of MPWMD Phase
1 ASR Project |
|||
|
|
||||
|
Meeting Date: |
November 9, 2006 |
Budgeted: |
Yes |
|
|
|
||||
|
From: |
David A. Berger, |
Program/ |
Water Supply |
|
|
|
General Manager |
Line Item No.: |
1-2-1 A. 1 |
|
|
|
||||
|
Prepared By: |
Joe Oliver |
Cost Estimate: |
$1,008,510 |
|
|
|
||||
|
General Counsel Approval: Approved as to form. |
||||
|
Committee Recommendation: The Administrative Committee considered
this item on November 9, 2006 and recommended ______________. |
||||
|
CEQA Compliance: N/A |
||||
SUMMARY: The Board will consider approval of
budgeted funds to complete construction of the second full-scale Aquifer
Storage and Recovery (ASR) well as part of the Monterey Peninsula Water
Management District’s (District’s) Phase 1 ASR Project. The new ASR well (called Santa Margarita Test
Injection Well [SMTIW] No. 2) will be located on a site adjacent to the
existing SMTIW No. 1 on former Fort Ord property. Three bids were received in response to the
District’s Call For Bids for the SMTIW No. 2
Project. The successful bidder was Zim
Industries, Inc. (Zim) of Fresno, California, with a low bid of $935,510 for
the SMTIW No. 2 drilling and well construction task. In addition, the Call For
Bids included, as an optional task, the rehabilitation of the existing
SMTIW No. 1, for $73,000. Zim’s total
for both tasks is $1,008,510.
RECOMMENDATION:
District staff recommends that the General Manager be authorized to
enter into a contract with Zim Industries, Inc. for a not-to-exceed cost of
$1,008,510, to complete drilling and construction of SMTIW No. 2 and
rehabilitation of SMTIW No. 1. This item
will be approved with adoption of the Consent Calendar.
BACKGROUND:
The District has undertaken an extensive effort over the last several
years in engineering and planning studies for the Phase 1 ASR Project,
culminating in the Board’s adoption of a certified Environmental Impact Report
/ Environmental Assessment for the project on August 21, 2006. Subsequently, the U.S. Army granted a
Right-of-Entry to the District for the Phase 1 ASR site expansion on September
19, 2006, and the City of Seaside issued a Conditional Use Permit for the site
expansion on October 11, 2006.
Accordingly, a Call For Bids was
distributed to prospective drilling contractors on October 13, 2006, and a
Public Notice Inviting Sealed Bids was published in The Herald on
October 19, 20, and 21, 2006. At the bid
opening on November 3, 2006, responses were received from three firms, as
summarized below.
BIDDING FIRM |
CONSTRUCT SMTIW NO. 2 |
REHABILITATE SMTIW NO. 1 (OPTIONAL) |
TOTAL BID COST |
|
|
|
|
|
|
Zim Industries, Inc. |
$935,510 |
$73,000 |
$1,008,510 |
|
Maggiora Bros. Drilling, Inc. |
$1,263,125 |
$72,800 |
$1,335,925 |
|
Layne Christensen Company |
$1,324,000 |
$103,000 |
$1,427,000 |
The low bid for SMTIW No. 2 well drilling
and construction is within the 2006 Engineer’s Estimate of $987,500. In addition to the SMTIW No. 2 task, an
optional task was added to the Call For Bids to
rehabilitate SMTIW No. 1. This task was
originally budgeted for completion in Fiscal Year (FY) 2005-2006, but was not
undertaken at that time when it was determined that it would be more cost
effective to bid this work task in conjunction with the SMTIW No. 2 project. The bid estimate received from Zim for this
task is $13,000 above the cost estimated for this work in 2005, but is within
the 2006 Engineer’s Estimate of $73,750.
Sufficient funds for this work are available in the FY 2006-2007 budget
for this task, so District staff supports completion of the SMTIW No. 1
rehabilitation task as part of the SMTIW No. 2 construction project. It should be noted that Zim was the
successful bidder for the SMTIW No. 1 construction project in 2001with
commendable results. This current work effort has been “fast-tracked” by
District staff in response to the Board’s direction to accelerate the Phase 1
ASR Project to the extend feasible at its water supply
workshop in January 2006. Accordingly,
the Phase 1 project with the new ASR well is currently scheduled to begin
injection operations in early 2007, subject to final permitting and
availability of excess Carmel River flows for diversion.
IMPACT TO STAFF/RESOURCES: A
significant staff effort has been expended in planning, coordinating, analyzing
and overseeing work on the District’s ASR testing program in the Seaside
Basin. It is intended to expand that
level of effort with the implementation of the permanent Phase 1 ASR Project
during FY 2006-2007. Budgeted amounts to
complete the SMTIW No. 2 drilling and construction and SMTIW No. 1
rehabilitation are included in the District’s FY 2006-2007 budget (Goal: Augment Water Supply, Water Supply Projects,
Objective 1-2-1 A. 1. Second ASR Well, page 15 of June 22, 2006 adopted budget).
U:\staff\word\committees\Admin\2006\20061109\02\item2.doc