Memorandum

City of Lawrence

Utilities Department

TO:	David L. Corliss – City Manager Cynthia Wagner - Assistant City Manager Diane Stoddard - Assistant City Manager
FROM:	Melinda Harger – Utilities Engineer
CC:	Dave Wagner – Director of Utilities Mike Lawless – Deputy Director of Utilities Philip Ciesielski – Assistant Director of Utilities Beth Krishtalka – Assistant to Director Mark Hegeman – Utilities Operations Superintendent Dave King – Utilities Maintenance Superintendent
Date:	April 14, 2014
RE:	Agenda Item – Execute a Supplement to the Existing Engineering Services Agreement for Project UT1304 Wakarusa Wastewater Treatment Plant and Conveyance Corridor Facilities

Background/Project Description

The 2012 Wastewater Utilities Master Plan and Capital Improvements Program recommend the construction of the Wakarusa Wastewater Treatment Plant (WWTP) and Conveyance Corridor facilities to be online in 2018. These improvements are required to mitigate wet weather surcharging of sanitary sewers along the 31^st Street Corridor, provide for relief of wet weather overloading at the existing WWTP, and provide additional organic treatment capacity to provide for future growth of the community.

Previous Master Planning (2003), preliminary engineering, regulatory approvals, and land acquisitions by the City (2006-2007) provided property for the new WWTP. However, the preliminary efforts to locate a new pumping station to serve the proposed Wakarusa WWTP at that time were canceled due to an overall cessation of the project due to global economic issues. During the time period between 2007 and 2012, extensive efforts were completed by the City to reassess all aspects of the proposed system, and a new location for the pump station at the northwest corner of 31^st and Louisiana Streets was identified as an optimal location for its intended purpose. This location will allow Pump Station No. 10 (PS No. 10) to provide for wastewater flow transfer to the new Wakarusa WWTP and to provide flow relief to the existing Haskell Pump Stations 5A and 5B.

The Wakarusa WWTP will use Biological Nutrient Removal (BNR) to remove nitrogen and phosphorous in addition to other traditional treatment requirements. This higher level of treatment is required by the new discharge permit for the Wakarusa WWTP and will allow the City to improve its environmental stewardship at this facility compared to the existing WWTP. The new Wakarusa WWTP will supplement and support the existing Kansas River WWTP, which currently provides treatment to the entire City. PS No. 10 will be designed to allow the two WWTPs to work together as a single system to provide operational flexibility and redundancy. These new facilities will allow the City to meet the current and future growth needs throughout the City service areas, and will improve the overall operational capabilities of the City to manage its wastewater system in a more cost-efficient manner.

Project Status

March 12, 2013 – City Commission authorized staff to advertise a Request for Proposals for Engineering Services for the Wakarusa Wastewater Treatment Plant and Conveyance Corridor Facilities.

July 23, 2013 – City Commission authorized execution of the engineering services agreement with Black & Veatch Corporation for Phase 100/150 in the amount of $299,000. Phase 100/150 for initial project design services included data acquisition, concept review, alternate force main evaluation, SLT coordination, regulatory review, and platting for the pump station and treatment plant sites. Services provided by Black & Veatch in partnership with PEC and Bartlett & West.

October 22, 2013 – City Commission authorized execution of Supplement No. 1 with Black & Veatch in the amount of $1,566,900. This supplemental agreement included [Phase 200] preliminary design for the Wakarusa WWTP and Pump Station No. 10 as well as [Phase 300/350] final design of the force mains, roads adjacent to the WWTP, and WWTP site fill. Services provided by Black & Veatch in partnership with PEC, Bartlett & West, and Treanor.

December 16, 2013 – Planning Commission voted to approve the preliminary plat for the Wakarusa Wastewater Treatment Plant Addition.

December 18, 2013 – Planning Commission voted to approve the rezoning and preliminary plat for Pump Station No. 10.

January 7, 2014 – City Commission authorized execution of an agreement with Baker University for easements related to the Wakarusa Wastewater Treatment Plant and Conveyance Corridor Facilities.

March 4, 2014 – City Commission acknowledged the final plat for Pump Station No. 10.

March 11, 2014 – City Commission accepted dedication and vacation of easements and rights-of-way associated with the final plat for the Wakarusa Wastewater Treatment Plant Addition.

March 11, 2014 – City Commission set a bid date of April 1, 2014 for Project UT1304 Contract 1 Wakarusa Conveyance, Haskell Avenue Casing Pipe.

March 24, 2014 – City Manager executed Supplement No. 2 with Black & Veatch in the amount of $14,645. This supplemental agreement adds a facility space needs analysis to the scope of work. Services provided by Black & Veatch in partnership with Treanor.

April 8, 2014 – City Commission awarded UT1304 Contract 1 Wakarusa Conveyance, Haskell Avenue Casing Pipe to Emery Sapp & Sons, Inc. in the amount of $88,600.

April 8, 2014 – City Commission authorized execution of Supplement No. 3 with Black & Veatch in the amount of $71,983. This supplemental agreement included additional preliminary design tasks and detailed design of the Baker Wetlands enhancements. Services provided by Black & Veatch in partnership with PEC and Bartlett & West.

Project Details

A Basis of Design Report has been completed by Black & Veatch in partnership with PEC, Bartlett & West, and Treanor Architects. The detailed report and preliminary drawings included design criteria, conceptual site layouts, 3D (BIM) modeling for structures, process and instrumentation diagrams of major systems, equipment lists, code and permitting requirements, implementation schedules, and a preliminary opinion of probable construction costs. The Basis of Design Report satisfies the objective to establish agreement on scope, parameters, performance requirements, and project approach for the final design.

As stated in the Basis of Design Report, the Wakarusa WWTP design includes two treatment trains, which provides the City an opportunity to select a capacity for the plant after receiving bids. The design will include a 2.5 million gallons per day (MGD) single-train treatment facility in the base bid and a larger 5.0 MGD dual-train treatment facility as a bid alternate. The Report also identifies future expansions at the WWTP to accommodate growth within the City for years to come. This vision of expansion will be considered in the current design to provide the City with cost effective options for future expansions as needed. The project will include the construction of the following structures and facilities:

Central Pumping Station to receive flows from the basin drain system, peak flow storage and from the future gravity collection system to the plant
Sanitary Pumping Station to receive flows from building sanitary drains and floor drains
Headworks Building and grit basins which consists of screening and grit removal equipment.
BNR Flow Splitter to uniformly distribute flow to the various zones in the BNR basins
BNR basin(s)
Final Clarifier Flow Splitter to uniformly distribute flow to and isolate the Final Clarifiers
95-foot inside diameter Final Clarifiers
Final Sludge Pumping Station to handle the sludge recycling, wasting, and scum
Chemical Storage & Feed Building
Ultra Violet (UV) Flow Meter Structure to measure the influent flow to UV Disinfection
UV Disinfection Building for disinfection of plant effluent
Pump system for non‐potable water service
Treated effluent outfall to discharge flow to the Wakarusa River
5 million gallon Peak Flow Storage Basin to store wet weather excess flow
Solids Thickening Building for thickening waste activated sludge (TWAS).
Sludge distribution piping for land application.
Outdoor concrete pad for supporting (PD) blower equipment associated with the Aerated Sludge Storage
Plant-wide control system that monitors and controls the liquid and solids processes throughout the plant
Electrical service, which includes power distribution and lighting for the new facilities and lightning protection.
Utilities consisting of electric, gas and phone. Power feed lines to the WWTP site will be redundant.
Vehicle Storage & Maintenance Building
Administration Building at the Wakarusa WWTP designed for LEED certification
120-person capacity staff meeting room within the Administration Building as a bid alternate
Ground-mount 100kW solar photovoltaic system for on-site renewable energy to the Administration Building as a bid alternate. System will be expandable to 200 kw
12.5 MGD wastewater pump station, PS No. 10, designed to be expanded to accommodate 26.0 MGD
Force mains (16” and 24”) to convey wastewater to the new Wakarusa WWTP
Lab improvements to the existing Kansas River WWTP Administration Building
New process equipment for the Kansas River WWTP Final Clarifiers 1 and 2
Site work, yard piping, chemical feed, yard hydrants, fire hydrants, storm drainage, landscaping, and paving with the construction of all facilities

Utility Department Staff has reviewed the Basis of Design report and is pleased with the proposed design concepts and treatment process. Based on this report, Staff has negotiated a fee and scope of services for the [Phase 300/350] detailed final design and bidding of the Wakarusa WWTP, Pump Station No. 10, and Kansas River WWTP Lab Improvements as well as [Phase 400/500] construction phase services for the force mains, roads adjacent to the Wakarusa WWTP, and Wakarusa WWTP site fill.

The fee of $4,697,254.00 for Supplement Agreement No. 4 includes basic architectural/engineering (A/E) design services as well as the following non-basic A/E services:

· Geotechnical sub-consultant coordination

· Extensive permitting

· Bid phase services in Phase 350

· Construction phase contract administration in Phase 400

· Resident Engineer Services with full-time inspection during construction in Phase 500

Below is a breakdown of the proposed engineering services fee for the project in relation to preliminary construction cost estimates.

Estimated Construction Cost:	$62,778,000
Basic A/E Design Services:	$ 4,935,452 (7.86%)
Non-Basic A/E Services:	$ 1,714,330 (2.73%)
Total A/E Services included in Original ESA & Supplements 1-4:	$ 6,649,782 (10.59%)
Total A/E Services estimated through project completion:	$12,000,000 (19.0%)
Adopted Basic A/E Fee Curve % of Estimated Construction:	6.99%

Design fee guidelines were adopted by the City of Lawrence on January 11, 2011 and included in the City’s Purchasing Procedures. The basic A/E design fee amount as a percentage of estimated construction cost as listed above at 7.86% is slightly higher than the design fee guideline percentage of 6.99% for projects of this size. However, a majority of the special circumstances listed in the design fee guidelines apply to this project, including the following:

Complexity of project
Easement/Land Acquisition
Planning Related Activities
State/Federal Requirements
Treatment plant or pump station related projects where coordination to provide continuous operations is required
Renovations required by additions to existing structures
Design services related to specialized construction methods or system process design
Coordination with other projects/contractors within limits of current project area
Services related to multiple project sites being complete under a single contract
Multiple phases/alternative bids

In addition, the UT1304 Wakarusa WWTP and Conveyance Corridor project will consist of at least 8 different construction contracts. Below is a list of the preliminary construction cost estimates for each of those smaller projects and the corresponding basic A/E fee recommended by the design fee guidelines.

UT1304 Contract 1: Haskell Casing Pipe Installation
Estimated Construction Cost:	$88,600
Adopted Fee Curve % of Estimated Construction:	11.5%

UT1304 Contracts 2A: Force Mains, Fiber Optic, and Baker Wetlands Improvements
Estimated Construction Cost:	$8,600,000
Adopted Fee Curve % of Estimated Construction:	6.99%

UT1304 Contracts 2B-2C: Baker Wetlands Improvements
Estimated Construction Cost:	$300,000
Adopted Fee Curve % of Estimated Construction:	9.75%

PW1405 – WWTP Access Roads (N1175 and E1600)
Estimated Construction Cost:	$2,800,000
Adopted Fee Curve % of Estimated Construction:	7.4%

UT1304 Contract 3 – WWTP Site Fill
Estimated Construction Cost:	$4,200,000
Adopted Fee Curve % of Estimated Construction:	7.2%

UT1304 Contract 4 – Kansas River WWTP Lab Improvements
Estimated Construction Cost:	$2,000,000
Adopted Fee Curve % of Estimated Construction:	7.7%

UT1304 Contract 5 – Pump Station No. 10
Estimated Construction Cost:	$6,400,000
Adopted Fee Curve % of Estimated Construction:	6.99%

UT1304 Contract 6 – Wakarusa WWTP
Estimated Construction Cost:	$38,300,000
Adopted Fee Curve % of Estimated Construction:	6.99%

As illustrated above, a variance from the guidelines is reasonable based on the list of special circumstances and the various sizes of construction contracts within this larger project.

Also, the proposed scope and fee for design and construction phase engineering services for the project are commensurate and appropriate based on comparisons to similar-sized WWTP projects in other communities and the complexity of our project related to coordination with the SLT construction, enhancements within Baker Wetlands, extensive permitting requirements, and multiple project sites and construction phases.

Total engineering fees for similar-sized WWTP projects are summarized below.

Cedar Creek WWTP (Olathe, KS)
Final Construction Cost:	$ 35,118,502
Total ESA:	$ 6,147,734 (17.5%)

Columbia, MO WWTP
Final Construction Cost:	$ 55,220,000
Total ESA:	$ 9,354,000 (16.9%)

Grand Island, NE WWTP
Final Construction Cost:	$ 16,678,000
Total ESA:	$ 3,397,255 (20.4%)

Johnson County’s Douglas L. Smith Middle Basin (DLSMB) Treatment Plant
Final Construction Cost:	$ 30,800,000
Total ESA:	$ 5,574,000 (18.1%)

It is essential that the proposed facilities run efficiently for decades and a high quality design will help the City to save on operation and maintenance costs and reduce the potential for change orders during construction. Utilities Department Staff recommends this proposed scope of services that provides value with appropriate design considerations to improve operational capabilities, minimize energy use, and allow flexibility to grow the system as needed in the future.

Project Schedule

Detailed design of the Wakarusa WWTP and Pump Station No. 10 will be completed by early 2015 for construction on these facilities to begin in April 2015. Construction on PS No. 10 is expected to be complete by the end of 2016, and the Wakarusa WWTP construction is scheduled to be complete by the end of 2017.

As shown on the updated project workflow diagram, future amendments to the engineering services agreement will be presented for Commission approval for the following phases:

Phases 400/500	Construction and Resident Services
Phases 600/700	Operations and Warranty Services

Attached is a list of anticipated milestones for the UT1304 project. Tentative dates for City Commission agenda items are shown for the numerous design and construction contracts associated with this project.

Project Funding

The project is included in the Department of Utilities Rate Plan and Capital Improvement Program. An essential next step for this project will be approval of the necessary rate increases that follow the rate plan adopted last year. The rate increase proposals will be part of the upcoming budget season.

Action

Authorize the City Manager to Execute Supplemental Agreement No. 4, in the amount of $4,697,254.00, to the Existing Engineering Services Agreement with Black & Veatch Corporation for Project UT1304 Wakarusa Wastewater Treatment Plant and Conveyance Corridor Facilities.

Thank you for your assistance. Please advise if you have any questions.