Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Ratifying The City Manager’s Approval Of The Issuance Of A Purchase Order To Cardinal Contractors, Inc., In An Amount Up To $1,500,000.00 For Additional Costs Related To Repairs To The Effluent Pump Station At The Southern Regional Wastewater Treatment Plant, Pursuant To Section 38.41(C)(1) Of The Procurement Code (“Emergency Purchases”); Amending The Fiscal Year 2025 Capital Improvement Plan.
Strategic Plan Focus
Infrastructure & Facilites
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
The Southern Regional Wastewater Treatment Plant (“SRWWTP”) Ocean Outfall Effluent Pump Station is permitted to pump an annual average amount of up to 46.3 million gallons per day of treated secondary effluent to the ocean outfall.
On November 17, 2023, one of the two 48-inch discharge pipes for the Ocean Outfall Effluent Pump Station at the SRWWTP failed and the Department of Public Utilities (“Department”) initiated an immediate emergency response that included engaging Cardinal Contractors, Inc. (“Cardinal”) to perform the repair of the broken 48-inch pipe.
On December 12, 2023, the motor for Effluent Pump No. 1 also failed, rendering the entire Ocean Outfall pumping system inoperable since Pump No. 2 had previously become inoperable when its discharge pipe failed on November 17, 2023. The Department initiated a second emergency response mobilizing Cardinal to switch the remaining operable pump motor from Pump No. 2 to Pump No. 1 on December 13, 2023, and to conduct the refurbishment of two 800 horsepower electrical motors, two diesel pumps with associated engines, check valves, VFD drives, motor actuators, and the rental of a temporary effluent bypass pumping system.
Section 38.41(C) of the Procurement Code exempts from competitive bid and competitive proposals emergency purchases that receive prior administrative approval except for the most urgent situations presenting a clear and present substantial threat to life or property where immediate action is required.
On December 6, 2023, pursuant to Section 38.41(C)(1) of the Procurement Code, the City Manager approved and authorized the Issuance of a Purchase Order (“PO”) to Cardinal, via Memo PU-24-31, in an amount up to $1,000,000.00.
On December 16, 2023, pursuant to Section 38.41(C)(1) of the Procurement Code, the City Manager further approved and authorized the Issuance of a PO to Cardinal, via Memo PU-24-38, in a total amount up to $4,250,000.00, for Emergency Responses to the December 12, 2023, Ocean Outfall Effluent Pump Station Pump No. 1 motor failure.
On April 17, 2024, pursuant to Resolution No. R-2024-130, the City Commission approved the ratification of the City Manager’s approval of POs to Cardinal and increased the total amount to up to $5,750,000.00 for Emergency Responses related to the failures of a 48 inch pipe and a pump motor in the Ocean Outfall Effluent Pump Station.
On July 5, 2024, Cardinal notified the City that the that the factory had determined the damage to Effluent Pump No. 2’s motor was worse than originally expected, resulting in higher motor repair costs and significantly extended repair time. Consequently, the rental of the effluent bypass pumping system needs to be extended for two to three additional months to sustain operations at the SRWWTP during the aforementioned extended repair period. On July 22, 2024, pursuant to Section 38.41(C)(1) of the Procurement Code, the City Manager further approved and authorized the Issuance of a PO to Cardinal via Memo PU-24-101 in a total amount up to $1,500,000.00, for additional costs related to the Emergency Repair of the Effluent Pump Station.
This agenda item seeks the City Commission’s approval to ratify the City Manager’s approval of the additional PO to Cardinal, in an amount up to $1,500,000.00, to complete the emergency repair work.
Cardinal is expected to complete the proposed repairs by October 2024.
Fiscal Impact:
Funding for this purchase order requires amending the approved FY 2025 Capital Improvement Plan as detailed in Exhibit 1, subject to approval of this resolution.
Department of Public Utilities staff will manage this project. No additional staff are needed as a result of this project.
Recommended for inclusion on the agenda by:
Feng “Jeff” Jiang, P.E., Assistant Director, Department of Public Utilities
Vincent Morello, P.E., Director, Department of Public Utilities
Gus Zambrano, Assistant City Manager/Sustainable Development