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File #: RES 2023-004    Version: 1 Name:
Type: Resolution Status: Consent Calendar
File created: 11/18/2022 In control: Town Council
On agenda: 1/17/2023 Final action:
Title: Resolution Waiving the Formal Written Sealed Bid Requirement on the Basis of Sole Source and Approving an Equipment and Services Acquisition Agreement with PSI Water Technologies, Inc., for the Tank 17A and Tank 17B Monoclor Residual Control System Project [Tanks 17A and 17B in Castle Rock, CO]
Attachments: 1. Attachment A: Resolution, 2. Exhibit 1: Agreement, 3. Attachment B: Sole Source Justification (Signature Needed), 4. Attachment C: Location Map
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To:                     Honorable Mayor and Members of Town Council

 

Through: David L. Corliss, Town Manager

 

From:                     Mark Marlowe, P.E., Director of Castle Rock Water

                     Roy Gallea, P.E., Engineering Manager

                     Scott Tait, E.I., Project Manager - Water Resources

 

Title

Resolution Waiving the Formal Written Sealed Bid Requirement on the Basis of Sole Source and Approving an Equipment and Services Acquisition Agreement with PSI Water Technologies, Inc., for the Tank 17A and Tank 17B Monoclor Residual Control System Project [Tanks 17A and 17B in Castle Rock, CO]

Body

________________________________________________________________________________

 

Executive Summary

 

Castle Rock Water (CRW) staff requests Town Council approval of a Resolution (Attachment A) approving a services and acquisition agreement with PSI Water Technologies, Inc.  (Exhibit 1) to provide equipment for a Monoclor® Residual Control System at tanks 17A and 17B, in the amount of $428,765.00 plus a 10% contingency of $42,876.00 for a total authorization amount of $471,641.00, as well as a sole source justification (Attachment B).

 

Tanks 17A and 17B completed in 2005 and 2008, respectively, are located on the mesa just South of Red Hawk Golf Course (Attachment C).  These tanks store approximately four million gallons of water for the red pressure zone. Due to low demand in the red pressure zone, these tanks experience water quality issues yearly.  Current operational management strategies to counter water quality issues at these tanks have consisted of keeping the water levels low or taking one tank completely offline. In order to maintain the tanks near capacity for CRW’s strategic water storage initiative and for firefighting, a chloramination booster station is required at the tanks to monitor water quality and adjust chemical addition as needed.  The Monoclor® Residual Control System is a unique and proprietary system that minimizes operational labor and chemical costs through automation. A separate agreement with Velocity Plant Services for the installation of the Monoclor® equipment, tanks and feed pumps in an environmentally temperature controlled building for $195,861.00 is being requested via a Town Manager Memorandum bringing the total cost of this project to $667,502.00.

 

Notification and Outreach Efforts

 

Castle Rock Water staff presented this item to the Castle Rock Water Commission at their meeting held on December 14, 2022, and the Castle Rock Water Commission voted unanimously 7 to 0 to recommend Town Council approval of the Resolution as presented.

Discussion

 

The Monoclor Residual Control System is a proprietary booster disinfection instrumentation, chemical feed, and control process that effectively monitors and adjusts chloramine residual concentrations in potable water tanks and pipes within the distribution system.  This system was selected based on its patents and installation history.

 

CRW’s water treatment plants use the chloramination process at the end of the water treatment train as a disinfectant and this disinfectant is the primary disinfectant that is residual in the water as it flows through the water distribution system. Chloramines are a combination of chlorine and ammonia.

 

CRW switched to chloramination in 2013 as it has lower levels of chlorine and the disinfectant protects the water for a longer period of time as the water goes through the distribution system. CRW had to make the switch to chloramines to have water quality consistent with the Water Infrastructure Supply Efficiency (WISE) water.  Chloramines are also being use more often nationwide by water providers because they produce less disinfection byproducts than chlorine alone.

 

Due to water demand within the red pressure zone, tanks 17A and 17B are not maintained near their capacity. Tanks 17A and 17B each have the capacity to hold two million gallons and are part of the red pressure zone.  Additionally, these two tanks, completed in 2005 and 2008, were initially designed to operate at a higher demand rate than customers in the red zone currently require.  As a result, chloramine residuals within the tanks drop as water age increases, especially in the summer.  As a result, CRW has to utilize significant labor resources to monitor and sometimes drain the tanks when chlorine residuals fall too low.  This wastes labor resources and water resources.  The timing of the water resources being wasted is a problem as this issue arises primarily in the middle of irrigation season.  It also creates a potential for a regulatory violation if tank chlorine residuals are not monitored closely.

 

The Monoclor Residual Control System, placed in each tank with adjacent support infrastructure, will monitor the chloramine residual and add chemicals as needed to maintain a residual in the tank.

 

Budget Impact

 

The budget impact of purchasing the equipment is shown below in the table.  The total budget impact of the project including installation of the equipment is $667,502.00.

 

Fund Name 

Account Number

Current Balance

Budget  Transfer Amount

Cost

Balance after Transfer

Liggett Rd. Waterline

210-4275-442.76-97

$373,000.00

$373,000.00

 

$0.00

Distribution System Upgrades 

210-4275-442.75-38

$170,016.67

 

$471,641.00

$71,375.67

 

Staff Recommendation

 

Staff recommends Town Council approve services and acquisition agreement with PSI Water Technologies, Inc. to provide equipment at Tanks 17A & 17B, for $428,765.00, plus a 10% contingency equaling $42,876.00, for a total authorization amount of $471,641.

 

Proposed Motion

 

“I move to approve the Resolution as introduced by title.”

 

Alternative Motions

 

“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).

 

“I move to continue this item to the Town Council meeting on _____ date to allow additional time to (list information needed).”

 

Attachments

 

Attachment A:                      Resolution or Ordinance

        Exhibit 1:                     Contract/Agreement                     

Attachment B:                     Sole Sources Justification

Attachment C:                     Location Map