3B Public Hearing 2008 0915 - Laserfiche WebLink

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CITY OF SAN LEANDRO STAFF REPORT DATE: September 15, 2008 TO: Stephen L. Hollister, Interim Ci Manager FROM: Uchenna Udemezue, Director -` Engineering and Transportation epartment BY: Kenneth Joseph, City Engineer SUBJECT PROJECT/PROJECT DESCRIPTION: APPROVED AND FORWARDED TO CITY COUNCIL Stephen L. Hollister Interim City Manager MATTER OF AUTHORIZATION OF THE EXECUTION OF A DESIGN/BUILD CONTRACTUAL SERVICES AGREEMENT WITH SIEMENS BUILDING TECHNOLOGIES, INC. IN THE AMOUNT OF $3,287,124 FOR THE DESIGN AND CONSTRUCTION OF A WATER POLLUTION CONTROL PLANT CO-GENERATION PROJECT NO. 08-593-52-228, CONDUCTING A PUBLIC HEARING IN CONNECTION WITH THE WATER POLLUTION CONTROL PLANT, ADOPTING FINDINGS IN SUPPORT THEREOF, AND APPROPRIATION OF WATER POLLUTION CONTROL PLANT FUNDS IN THE AMOUNT OF $3,287,124 The subject contract provides for professional design services, construction, and long term maintenance of a 330-kilowatt co-generation system, supporting equipment, and a waste grease receiving station at the Water Pollution Control Plant. SUMMARY AND RECOMMENDATION Staff recommends approval of a design build contractual services agreement with Siemens Building Technology, Inc. in the amount of $5,650,358 for design, construction and long term maintenance of a 330-kilowatt electrical co-generation facility and associated facilities at the Water Pollution Control Plant and appropriation of $3,287,124 of Water Pollution Control Plant funds. BACKGROUND The Water Pollution Control Plant (WPCP) treats an average of six million gallons per day of municipal and industrial wastewater. In its treatment operations, the WPCP is the largest single consumer of electrical energy of all City facilities. As part of the wastewater treatment process the WPCP produces an average of 96,000 cubic feet per day of methane gas, which is currently used in boilers to heat water used in the treatment process or is burned onsite. Co-generation is the process whereby the methane gas is supplied to specially-designed generators to produce energy. In addition, the waste heat produced by the generators is used to replace the hot water currently produced by boilers for the treatment process. This system more efficiently uses the energy in the methane by serving two purposes: electrical energy and heat;