To: Members of the Castle Rock Water Commission
From: Mark Marlowe, P.E., Director of Castle Rock Water
Matt Benak, P.E., Water Resources Manager
Walt Schwarz, P.E., CIP Project Manager
Title
Resolution Approving a Third Amendment to the Plum Creek Water Purification Facility (PCWPF) Expansion Project Construction Agreement with Garney Companies, Inc. for Work Package Three [1929 Liggett Road Castle Rock, CO]
Town Council Agenda Date: March 4, 2025
Body
________________________________________________________________________________
Executive Summary
Castle Rock Water (CRW) staff requests Town Council approval of a resolution (Attachment A) approving a Third Amendment to the Plum Creek Water Purification Facility (PCWPF) Expansion Construction Agreement (Exhibit 1) with Garney Companies, Inc. (Garney).
The amount of the contract amendment is $41,821,534 and represents Work Package #3 (WP#3). This portion of the construction will include site concrete work, constructing the masonry building additions, process piping, HVAC, electrical with system integration work, and all other site and facility improvements. This proposed WP#3 is the final work package necessary to complete the overall PCWPF Expansion project.
As previously presented to Town Council, the PCWPF Expansion construction contract will be a Guaranteed Maximum Price Construction Management (GMPCM) arrangement. PCWPF is one of the most advanced water treatment plants in the nation and has won numerous awards including the Engineering Excellence Award 2022 (American Council of Engineering Companies). Construction work is to be awarded in three separate work packages. Garney was selected as the Construction Manager and General Contractor (CM/GC) through a competitive process and has a proven track record in the water and wastewater industry. GMPCM was successfully utilized by the Town for design and construction of the PCWPF Project completed in 2014 and PCWPF Advanced Treatment (AT) Project completed in 2021 (CM/GC was Garney for AT project). Upon authorization to award WP#3, Garney will begin ordering long lead electrical equipment. Garney has mobilized onsite at the PCWPF and is in the process of preparing foundation work for the new pre-treatment building addition. Overall construction completion of the project is planned for Spring 2028 (including startup of new facility).
The Final GMP for WP#3 based on project bidding documents (drawings and specifications), including General Conditions and other fees, developed by the Town and the design consultant in cooperation with Garney, was $41,821,534. Staff recommends executing an Amendment to the contract with Garney for WP#3 to construct the associated components of the Project.
Current known and estimated project costs are shown below:
|
Burns & McDonnell Engineering (BMcD) |
Design (including $119,444 contingency) |
$ 2,508,324 |
|
TCR Permit Fees |
Est. based on PCWPF Advanced Treatment project |
$ 120,000 |
|
|
|
|
|
Garney Companies BMcD |
Pre-construction services Constr. Phase Engineering Services (approximately 6% of Construction cost) |
$ 311,022 $ 4,016,202 |
|
Garney Companies |
Construction costs WP#1 (FGMP) WP#2 (FGMP) WP#3 (FGMP) |
$ 18,571,591* $ 6,739,585* $ 41,821,534* |
|
|
TOTAL |
$ 74,088,258 |
*Actual
History of Past Town Council, Boards & Commissions, or Other Discussions
Town Council approved Resolution 2023-055 on April 18, 2023 approving a Services Agreement with BMcD for the design of the PCWPF Expansion.
Town Council approved Resolution 2023-152 on December 19, 2023 approving a Construction Contract with Garney for Preconstruction Services on the PCWPF Expansion.
Town Council approved Resolution 2024-046 on May 7, 2024 approving a First Amendment to the Construction Contract with Garney for Work Package #1 on the PCWPF Expansion.
Town Council approved Resolution 2024-072 on July 2, 2024 approving a Second Amendment to the Construction Contract with Garney for Work Package #2 on the PCWPF Expansion.
Discussion
A need for a sustainable long-term water supply was identified in the Town’s Water Resources Strategic Master Plan and one of the major goals of that plan is establishment of a renewable, sustainable water supply that accounts for 100% of the annual demand for water in Castle Rock by 2065. Renewable water sources include East Plum Creek alluvial wells, surface water using existing Town Water Rights, and imported surface water from outside of the Plum Creek Basin (e.g., WISE water). PCWPF also purifies a majority of Castle Rock’s reusable water supplies.
PCWPF is currently a 6 Million Gallon per Day (MGD) facility receiving raw water from four main sources: Castle Rock Reservoir 1 (CRR1 - connected with diversion on Plum Creek (PCD) near Sedalia and the source of most of CRW’s reusable water), CR1 (a diversion on East Plum Creek near PCWPF), various alluvial wells along East Plum Creek (renewable) and deep (Denver Basin/nonrenewable) groundwater wells. CRW is currently working with BMcD under separate contract on the Chatfield Pump Back Project. This pump back project will supply water to CRR1 and Castle Rock Reservoir 2 (CRR2) from Chatfield Reservoir, expanding CRW’s renewable water sources and providing a high quality, low total dissolved solids (TDS) water source for TDS blending and additional renewable water yield.
CRW is also working on redesigns for the two surface water diversions that feed PCWPF, CR1 and PCD. Both of these diversions are unable to operate at the fully permitted intake due to design issues leading to sanding and debris shutting down the diversions during various creek conditions. These redesigns are currently scheduled for construction in 2025 through 2026.
The original PCWPF project was completed in 2014 and included 6 MGD capacity pretreatment facilities with aeration, rapid mix, flocculation, sedimentation, and greensand filtration. The greensand filtration was followed by membrane filtration and chemical addition to form chloramines for a disinfection residual in the distribution system. Other facilities constructed with the original PCWPF include a 174,000-gallon clearwell, high service pump station, chemical storage and feed systems. Where practical, areas like the chemical storage facilities were designed and constructed planning ahead for expansion to 12 MGD (no changes are needed to chemical storage with this project). Additionally, items like engineered knock-out masonry wall sections are in place to facilitate access to the new pretreatment building.
In 2021 the PCWPF AT project was completed and added 6 MGD capacity of advanced treatment systems such as pre-ozone, biologically active carbon (BAC) filtration (previously greensand filters converted to BAC), advanced oxidation with ozone and hydrogen peroxide, granular activated carbon (GAC) adsorption, and ultraviolet (UV) disinfection. The multiple barrier approach was designed to treat source waters for removal of pathogens, organics, regulated drinking water contaminants, and nonregulated contaminants of emerging concern (CECs). The primary goals of the PCWPF AT Project were to meet or exceed requirements of the US EPA Safe Drinking Water Act, as well as additional requirements from the Colorado Department of Public Health and Environment (CDPHE) and meet or exceed requirements for direct potable reuse to allow reuse of all of CRW’s reusable supplies. The facility already meets the treatment requirements for the latest drinking water standards issued by US EPA in 2024, the standards for perfluoro alkyl substances (PFAS), three years ahead of the deadline for water providers across the country. This project also included a 1,250-kilowatt (kW) diesel powered generator to power the AT Building up to 12 MGD capacity.
In order to continue using and expanding renewable water sources, CRW must implement our long-term plan to expand PCWPF’s current treatment capacity of 6 MGD up to 12 MGD. Expanding PCWPF will coincide with the completion of CRR2 and redesign and improvement of CR1 and PCD and provide for keeping up with growing demands as the Town adds additional residents and businesses. Once expanded, PCWPF will be the largest water treatment facility in CRW’s system.
In general terms, with this project CRW will expand all treatment processes, modify the solids handling processes, and install a new emergency electrical generator for the original PCWPF Building (houses high service pumping). For example, treatment system improvements will include a new building adjacent to the existing pretreatment building to house 6 MGD capacity of a new rapid mix basin, flocculation and sedimentation treatment steps, and new BAC filter bays. The project will add three membrane filtration racks with 78 modules each to match existing racks. Ozone system improvements will include additional liquid oxygen storage with vaporizers, new ozone generators with a chiller, ozone injection and destruct skids, and a new ozone loop reactor made of stainless-steel piping. Ten GAC filters will also be added in an expansion of the PCWPF AT building. Attachment B provides a general layout of the proposed expansion of PCWPF.
CRW staff is utilizing the GMPCM project delivery method for construction of the PCWPF Expansion Project. The GMPCM method involves hiring a CM/GC to perform contract administration and to guarantee a maximum price for the complete project. The owner and CM/GC agree on the price before the construction phase begins and all work is awarded through a competitive subcontractor bidding process.
The Owner, CM/GC and Engineer work collaboratively to design a project that fits a given budget and adjustments to the project design and/or budget are made during the design phase to ensure a successful project that meets the Owner’s expectations regarding cost, quality and schedule. The CM/GC’s expertise in construction, contracting, and estimating can influence decisions made by the design consultant to keep project costs to a minimum in a manner consistent with the owner’s objectives for quality and functionality. With this end in mind, CRW selected Garney Companies, Inc. in December 2023 through a competitive process that included advertising for requests for qualifications and requests for proposals.
Garney’s preconstruction services have included, but were not limited to; project management, budgeting, estimating, scheduling, constructability reviews, value analysis of all systems and components, determination of sequencing the work, information and reporting systems, subcontractor bid strategies and procurement throughout the construction document design phase. Garney attended all regularly scheduled project meetings during the design phase.
WP#1 (First Amendment to Construction Contract) was awarded to Garney in May 2024 and allows Garney to purchase equipment systems with long lead times and to maximize earthwork and piping activities beginning later this year. The design team pulled the ozone system from WP#1 to allow Garney additional time to receive bids from Pinnacle Ozone Solutions, LLC (Pinnacle), another qualified ozone system provider. Garney also received additional bids for vertical turbine pumps which were moved from WP#1 to WP#2. WP#2 (Second Amendment) was awarded in July 2024 to Garney and included the ozone system and high service and membrane feed pumps that provided the best value and quality for the project.
This currently proposed WP#3 (Third and final Amendment) will include reinforced concrete work to construct the below grade concrete basins for the pre-treatment building addition. Also included is facility process piping & equipment, masonry and roofing work for the pre-treatment building plus a new building addition to house additional GAC treatment units. All HVAC and electrical work necessary for new building additions and for wiring new treatment systems is also part of WP#3. The electrical subcontract includes the supervisory control and data acquisition (SCADA) work item with all the software and hardware necessary to integrate new treatment systems with the original PCWPF Operator control stations.
The total construction cost including FGMP’s for WP#1, WP#2, and WP#3 is $67,443,732. The design team worked together to keep overall project costs the same compared with the original IGMP for total project.
WP#3 was advertised publicly by Garney and included the remaining work needed to complete the project. Approving WP#3 allows Garney to purchase long lead items like electrical and building components at the current best pricing. Garney will contact suppliers upon notification of award and begin working on submittal packages to be reviewed by the CRW design team.
The schedule for constructing the facility proposed by Garney fits within the Town’s expectations and requirements. Final construction completion of the project is scheduled for spring 2028. This completion schedule will be on time for when water from the facility will be needed to meet the summer demands of 2028.
Budget Impact
Funding for this project was included in the 2025 budget in the project fund shown below. Current account balance in this account is approximately $52,273,254.
|
Project |
Account Number |
This Contract |
|
Advanced Oxidation Facility |
211-4375-443-77-75 |
$41,821,534 |
Proposed Motion
“I move to recommend to Town Council approval of the Resolution as presented”
Attachments
Attachment A: Resolution (Not Attached)
Exhibit 1: Third Amendment to the Construction Agreement (Not Attached)
Attachment B: Location Map