CITY COUNCIL AGENDA ITEM
Memo Date: June 4, 2024.
Agenda Date: July 9, 2024.
Prepared By: John Perrin, P.E., Senior Engineer
Through: John A. Walsh, P.E., Utilities Director
Requested Action:
title
To Approve a Resolution Amending the FY2024 Budget, BAF#24-084-A to Accept Grant Funding for the Sellers WRF Advanced Wastewater Treatment project.
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BACKGROUND:
The Advanced Wastewater Treatment (AWT) requirements per Florida Statute 403.806 mandate stricter limitations on wastewater effluent by July 1, 2025. The result of the statute effectively requires upgrades to the Internal Recycle Pump (IRP) system and the installation of a Supplemental Carbon System at the Jerry Sellers Water Reclamation Facility (Sellers WRF) to be in place and fully operational several months prior to the AWT deadline, allowing time for testing and tuning of the system during wet and dry seasons. The work generally consists of the replacement of the internal recycle pumps, motors, piping, and related appurtenances, as well as the installation of a supplemental carbon supply storage-and-feed system.
On September 12, 2023, a grant consideration application was submitted for the Indian River Lagoon Water Quality Improvements Grant Proposal to the Florida Department of Environmental Protection (FDEP). On December 18, 2023, the City was notified of FDEP’s intent to move forward with award of the Grant to the City in an amount up to $3,626,600, contingent upon actual construction costs incurred.
The first phase of the construction of the IRP project, primarily consisting of the purchase of long lead items by Wharton-Smith, Inc. (WSI), was previously approved by City Council on September 26, 2023. The second and final phase of the construction of the IRP and supplemental carbon installation projects consists of the installation of the long lead items procured in the first phase and was approved by City Council on January 23, 2024 on Agenda #23-649. BAF #24-043-A-PW-IRP, IPS and TPS Replacement was prepared at that time to fully fund the project with the Renewal & Replacement fund fund balance. Since the City has received a grant award for $3,626,600, BAF #24-084-A will reverse BAF #24-043-A-PW-IRP, IPS and TPS Replacement and recognize the grant proceeds which will fund the project. The component portions of the project which contribute directly to reduction in phosphorus and nitrogen are eligible for reimbursement and are estimated at $3,626,600. At the January 23, 2024 City Council meeting, Agenda #23-649 authorized the City Manager to execute the Grant agreement (Agreement Number LG005), which was fully executed on May 3, 2024.
Staff recommends City Council approval of BAF #24-084-A to amend the FY2024 budget in order to accept grant funding and correct the budget for the project.
PRIORITY AREA CONNECTION:
Investment in Public Infrastructure.
BUDGETARY IMPACT:
Budgeted No
If not budgeted, is amendment/transfer attached? Yes
Revenue
Account Name: FUND BAL-APPROP. RESERVES (Replenish FB)
Account Number: 424-0000-389.99-50
Amount: ($3,383,043)
Account Name: SELLERS WRF ADV. W.W. TREATMENT
Account Number: 424-0000-334.35-01 (GR24IR) (GRANT Rev)
Amount: $3,626,600
Expense
Account Name: Infrastructure
Account Number: 424-4055-536.63-00 (WS22IR) (Reversal)
Amount: ($3,683,043)
Account Name: Infrastructure
Account Number: 424-4055-536.63-00 (WS23SC) (Reversal)
Amount: $300,000
Account Name: Infrastructure
Account Number: 424-4055-536.63-78 (GR24IR) (GRANT)
Amount: $3,626,600
Account Name: Infrastructure
Account Number: 424-4055-536.63-00 (WS23SC)
Amount: ($56,443)
Account Name: Infrastructure
Account Number: 424-4055-536.63-00 (WS22IR) (Non-Grant related part of project)
Amount: $56,443
Source of Funds: Grant Source: Florida Department of Environmental Protection: Sellers WRF Advanced Wastewater Treatment Project Grant
The PO will be revised through a change order to consist of only two-line items: (1) grant funding, (2) non-grant funding.
PREVIOUS ACTION:
On September 13, 2022, City Council approved Task Order 2023-27 with Carollo for Engineering Design Services for the Internal Recycle Pump Replacement Project, and Bidding and Procurement Assistance for the IRP Replacement Project, the Influent Pump Station Rehabilitation Project, and the Transfer Pump Station Rehabilitation Project at the Sellers WRF.
On April 25, 2023, City Council approved the scope of services and Task Order 2023-03 with WSI for Construction Manager at Risk (CMAR) Services for the Internal Recycle Pump, Influent Pump Station, and Transfer Pump Station Replacement and Rehabilitation Project at Sellers WRF.
On September 26, 2023, City Council approved the Guaranteed Maximum Price (GMP) Proposal #1 from WSI for the limited construction phase services for the Internal Recycle Pump, Influent Pump Station, and Transfer Pump Station Replacement and Rehabilitation Project (WS22IR) at Sellers WRF.
On January 23, 2024, City Council approved the GMP Proposal #2 from WSI for the construction phase services for the Internal Recycle Pump, Influent Pump Station, and Transfer Pump Station Replacement and Rehabilitation Project (WS22IR) at Sellers WRF.
On January 23, 2024, City Council authorized the City Manager to execute the agreement and forms, including contract modifications, for the Department of Environmental Protection’s Indian River Lagoon Water Quality Improvement Grant Program for a portion of the Sellers Water Reclamation Facility Advanced Treatment Improvement Project (Internal Recycle Pump Replacement and the Supplemental Carbon) at Sellers WRF.
RECOMMENDED MOTION:
Recommendation
To Approve a Resolution Amending the FY2024 Budget, BAF#24-084-A to Accept Grant Funding for the Sellers WRF Advanced Wastewater Treatment project.