MEMORANDUM 09-126

TO: Walt Wrede, City Manager

FROM: Carey Meyer, Public Works Director

DATE: September 21, 2009

RE: Recommend Award of Bid Preparation/Construction Assistance Contract

Bristol Environmental and Engineering Services Corporation

Economic Stimulus - Alaska Clean Water Fund (ACWF)

Homer Sanitary Sewer Rehabilitation Project

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At the September 14th City Council meeting, the Council authorized the City Manager to apply for, execute, and accept loan monies (90% forgiven when complete) to complete rehabilitation work on the sanitary sewer system in the amount of $1.8 M. These funds are part of the economic stimulus program, funded through the ACWF. Under the program, the City is eligible for up to $2.0 M in forgivable loan monies. With the $100,000 sweeper loan and this loan totaling $1,800,000; the City will have secured almost all the ACWF economic stimulus funds it is eligible for.

Public Works will need assistance to meet the funding deadlines established under the program. A signed construction contract is needed prior to January 16, 2010. The City has entered into a term contract with Bristol Environmental and Engineering Services Corporation (BEESC) to complete water and sewer design/construction assistance projects under a task order by task order basis. They are the most qualified and can be under contract quickly and the use of this firm in completing the design of this project will assure that the City can meet the funding milestone deadlines.

The project consists of videoing and slip-lining deteriorated sections of the City’s sanitary sewer collection system to minimize the potential for future health hazards by correcting infiltration problems (reducing sewer treatment plant NPDES permit violations) and eliminating the potential for sewer collection system failure. The alternative to slip-lining deteriorated sections of sewer main is to replace the mains at a significantly higher cost (with significant impact to surface improvements and the environment). Slip-lining pipe has proven to be cost effective and will minimize environmental im-pacts. No excavations will be required; the work will have no impact on any surface or ground water.

Recommendation: The City Council award the bid document preparation/construction assistance contract for this project to Bristol Environmental and Engineering Services Corporation (BEESC) of Anchorage, AK in the amount of $50,000 and authorize the City Manager to execute all appropriate documents.

(Fiscal Note: 156-395-4992 - ACWF Loan - $1,800,000)