TITLE
Recommendation to authorize City Manager to amend Agreement No. BPPW10000050 with Pacific Coast Tank, a Long Beach-based business (SBE and Local), for underground storage tank (UST) project construction oversight provided for fuel site repair work and additional compliance-related services, in accordance with the California State Water Resources Control Board (SWRCB) requirements, by adding $25,000, bringing the total amount not to exceed $115,000, for the period extended to April 30, 2013. (Citywide)
DISCUSSION
The Department of Financial Management, Fleet Services Bureau (FSB) manages the City's 15 UST fuel sites, which are subject to federal and state compliance regulations relating to hazardous materials such as fossil fuels. The UST Compliance Program (Program) includes, but is not limited to, managing the Program, training staff, inspection and certification of fuel sites.
Pacific Coast Tank provides UST project construction management and additional compliance-related services. New bid specifications are being developed for UST-related services. The SWRCB, which oversees the Program, enforces regulations that necessitate structural modifications at the City's fuel sites to bring them into compliance.
Section 4.3.6 of the Consent Judgment and Permanent Injunction stipulated and entered by the City and the SWRCB on January 21, 2010, relative to investigation of UST construction, operation and maintenance compliance with the laws and regulations, requires the City to hire an independent third party consultant to verify the UST environmental improvements taken since April 10, 2007 through January 20, 2013. Pacific Coast Tank will be providing assistance in the preparation of required UST project documentation for the independent third party consultant's review. Thus, additional funding is necessary for the management of the UST projects and the additional consulting services. To ensure that there is no interruption of services prior to the award of a new contract, additional funds are requested for the current agreement in order to remain compliant with federal and state mandates.
This matter was reviewed by Deputy City Attorney Amy R. Webber on February 11, 2013 and Budget Management Officer Victoria Bell on February 14, 2013.
SUSTAINABILITY
Ensuring that the City's UST Compliance Program is fully implemented is the most important step to prevent damage to the environment while using hazardous fluids, such as diesel and unleaded gasoline. Appropriate subject-matter experts assist the City to remain in compliance with all applicable regulations.
TIMING CONSIDERATIONS
City Council action to amend Agreement No. BPPW1000050 is requested on March 5, 2013 to ensure additional funds are added expeditiously and that various UST projects are completed to meet federal and state regulatory requirements.
FISCAL IMPACT
The cost increase of $25,000 is budgeted in the Fleet Services Fund (IS 386) in the Department of Financial Management (FM). Costs are recovered from departments using the City's fuel sites through monthly UST charges. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER