HomeMy WebLinkAbout7. MANAGERS REPORT 05/18/2010
Mount Prospect
Mount Prospect Public Works Department
INTEROFFICE MEMORANDUM
TO:
VILLAGE MANAGER MICHAEL E. JANONIS
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FROM:
WA TERlSEWER SUPERINTENDENT
RE:
RFP RESULTS FOR WA TERlSEWER PUMPING ELECTRICI
DATE:
MAY 11, 2010
Background
Public Works routinely purchases electricity for the primary purpose of pumping water
and wastewater. Since the electricity market was deregulated for commercial
customers in 2006, the Village has been requesting pricing from authorized electric
resellers in the state. The last agreement was with Sempra Energy Solutions in 2008
and was for a period of two years. This period expires in May 2010. Prior to Sempra,
the Village had an inaugural 2-year agreement with Mid-American Energy.
Request for Proposals
In anticipation of the expiration, staff prepared a request for proposals (RFP) for
electricity. The RFP document requested pricing for three different time periods: six-
month, one year and two years. On April 13, 2010, staff solicited pricing from six (6)
vendors. Four vendors responded with pricing:
Mid-
Term Exelon Sempra Ameren American Bluestar Constellation
6 months 0.06281 0.05974 0.06355 0.06555 No bid No bid
12 months 0.05878 0.06021 0.06319 0.06775 No bid No bid
24 months 0.05669 0.05985 0.06309 0.06405 No bid No bid
Discussion
The quotes are all-inclusive rates to supply electricity. In addition to the above rates,
Commonwealth Edison charges an average $0.0575 per kWhr to deliver electricity via
their local transmission and distribution systems. This Commonwealth Edison delivery
charge must be added to all supplier prices.
Based on a review of the prices, Exelon Energy's two-year rate of 5.669 cents per kWhr
will provide the Village with the most economical electricity. It should be noted that this
rate is almost one cent lower (per kWhr) than the rate paid from 2008 to 2010 (Sempra
contract).
to
Page 2 of 2
RFP Results for Water/Sewer Pumping Electricity
May 11, 2010
Due to the volatile nature of the electricity market, most supplier price tenders are only
valid for a very short period of time. In this instance, Exelon's offer stipulated
acceptance within 48 hours. In April 2008, the Village Board adopted a resolution
authorizing the Village Manager to enter into one or several contractual agreements to
supply electrical energy for water/sewer pumping (Resolution No. 11-08). Therefore,
the Village Manager was asked to execute an acceptance of Exelon's two-year rate on
April 15, 2010. This action is consistent with the provisions of Resolution 11-08.
Recommendation
This memorandum is submitted for informational purposes only. No further action is
required of the Village Board.
~~
Matt Overeem
I concur.
Glen R. Andler
Director of Public Works
H:\Water\electricity\2010 elec bid\2010 Electric rfp results.doc
Mount Prospect
Mount Prospect Public Works Department
INTEROFFICE MEMORANDUM
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TO:
FROM:
DATE:
SUBJ:
VILLAGE MANAGER MICHAEL E. JANONIS
DEPUTY DIRECTOR OF PUBLIC WORKS
MAY 12,2010
BASIN 14 FOOTING TILE DISCONNECT/OVERHEAD SEWER INSTALLATI
PROGRAM CONTRACTOR RECOMMENDATION ($324,000)
Background
At the May 12, 2009 Committee of the Whole meeting, staff presented a discussion on the causes of and
potential solutions to a sanitary sewer back-up problem in Basin 14. In summary, staff asserted that the
cause of the back-up problem can be attributed to an excessive amount of clear water entering the
separate sanitary system during storm events via private plumbing in single-family homes. Staff also
suggested that the best, most cost effective solution to this problem was to eliminate the sources of
private sector inflow by removing direct footing tile connections and installing overhead sewers in private
homes.
At the July 7, 2009 Village Board meeting, the Board sanctioned the Basin 14 Footing Tile Disconnect I
Overhead Sewer Installation Program as outlined in Attachment A.
Subsequently, all 150 single-family residential homeownersin Basin 14 received a detailed informational
bulletin describing the program. Accompanying the bulletin was an application form that homeowners
were asked to complete and return if they were interested in participating in the program. 23 application
forms were returned.
Subsequently, 18 of the 23 homes have been subjected to detailed house inspections by Public Works
staff to verify that the homes did indeed have footing tiles connected to the separate sanitary sewer
system. All 18 homes have verified connections and also have provided evidence of past basement
flooding caused by sanitary sewer surcharges. Consequently, all 18 homes appear eligible for
participation in the Footing Tile Disconnect/Overhead Sewer Installation Program.
The remaining 5 homeowners withdrew from the program for personal reasons not related to the program
requirements.
In order to leverage economies of scale and garner the benefits of public bidding, staff attempted to
organize a formal bid for this project. Unfortunately, all of the planned work takes place on private
property; much of it inside private homes. Consequently, the problem of providing multiple bidders with
access to 18 separately owned work sites proved a daunting organizational feat. To minimize this
problem, staff devised an alternative to the traditional bidding or RFP protocols; one which did not involve
a large number of property owners or a large number of bidders.
Staffs alternative approach involved organizing the eligible homes into categories and selecting one (1)
representative home from each category to serve as the "model" for the price solicitation process.
Structurally and mechanically similar homes were grouped together. Colonial style homes with full
basements, a full crawl space (because of an addition) and a sewer stack near the front of the home
comprised one group. Split-level homes with a crawl space comprised another. And colonial style homes
.-
Page 2 of 3
Basin 14 Footing Tile Disconnect I OH Sewer Installation Contractor Recommendation ($324,OOO)
May 12, 2010
with a full basement, a partial crawl space (because of an addition), and a sewer stack near the middle of
the home constituted the final category. Three (3) model homes were selected; one from each category.
In addition, staff also limited the number of sewer contractors involved in the process. The Building
Division of the Community Development Department recommended three (3) contractors with a
significant history of good quality workmanship performing this type of work at reasonable rates in Mount
Prospect. In turn, each of these contractors was interviewed by Public Works staff to assess their
capabilities and affinity for the specific scope of work involved in this project. All three (3) contractors
were invited to participate in our modified price solicitation process. This group included Bishop Plumbing
of Des Plaines, Illinois, Rick's Sewer of Spring Grove, Illinois, and Capp's Plumbing & Sewer of Wheeling,
Illinois.
With a limited number of work sites (3) and a limited number of contractors (3), our modified price
solicitation process returns to convention. That is, the lowest-cost contractor gets the job. In this case,
the contractor submitting the lowest overall cost to perform the prescribed work at the three (3) model
homes becomes the preferred and exclusive service provider for the entire project.
After the exclusive contractor is sanctioned by the Village Board, he or she will be required to visit each of
the remaining participating homes (15) and establish not-to-exceed fees for each home. Staff will
subsequently evaluate each fee. Exceptional variances from model home costs will be scrutinized and
thoroughly vetted. Variances that cannot be effectively explained could result in the loss of work or even
the entire project.
Once a firm price is established for each home, the Village, the exclusive contractor, and each individual
property owner will become party to a project agreement. The project agreement will incorporate the
contractor's not-to-exceed price. There could be as many as 18 separate project agreement documents.
In addition, each homeowner will also sign loan and grant agreements with the Village. These
agreements will be recorded against the property title in the office of the Cook County Recorder of Deeds.
Proposal Results
Staff prepared a detailed set of specifications and contract documents that defined the scope of work
included in the project. In addition, staff set appointments with each contractor at each of the three (3)
model homes for the purposes of preparing an accurate estimate of cost to disconnect the footing tiles
and install overhead sewers. Each contractor met with each homeowner individually; a total of nine (9)
separate appointments. The Village plumbing inspector, electrical inspector, and a representative from
Public Works also attended each appointment to answer technical questions and assure adherence to the
scope of work. The results are as follows:
Rick's Capp's B" h
Scope of Work Sewer & Plumbing PI IS I~P
" urn )Ing
Drainage & Sewer
Remove footing tiles, install overhead
sewers, and use clean backfill @ three (3)
model homes.
$39,325
$40,195
$46,435
Discussion
The apparent lowest-cost contractor for the prescribed work is Rick's Sewer & Drainage of Spring Grove,
Illinois (Rick's). As previously noted, Rick's has an extensive history of successful and similar private
sector sewer improvements in Mount Prospect. It is the opinion of staff that they are well-qualified to
complete this proposed project.
Page 3 of 3
Basin 14 Footing Tile Disconnect / OH Sewer Installation Contractor Recommendation ($324,000)
May 12,2010
Rick's has indicated that they would prosecute the work at the rate of two (2) homes per week. Assuming
prices can be finalized, agreements can be signed, and a notice to proceed can be issued in early June,
the project should be substantially completed by early September.
Once the sewer and plumbing work is completed, Public Works will organize an exclusive exterior
restoration contract(s) to replace turf, plantings, or pavements damaged by the work. The cost of exterior
restoration will be apportioned to each participating homeowner and incorporated into the $18,000 per
property project cap. Interior restoration costs are not eligible for this project.
Staff requests that an award be made in a not-to-exceed amount of $324,000. This amount incorporates
the Village Board-sanctioned per property cap of $18,000 ($9,000 in the form of a direct grant and $9,000
in the form of a 3% simple-interest loan) for all 18 homes presently participating in the program. Although
the average cost per home indicated in the pricing received to date from Rick's is only $13,108, actual
costs could vary due to unforeseen field conditions, legitimate material quantity variances, and exterior
restoration costs.
Staff also requests that that the Village Board be petitioned to waive the procedural rules for public
bidding for the purpose of obtaining an exclusive sewer contractor to construct the Basin 14 Footing Tile
Disconnect / Overhead Sewer Installation Program improvements. As noted previously, the involvement
of multiple private owners makes access to work sites prohibitively cumbersome thereby rendering
customary bidding procedures ineffective.
Recommendation
Staff recommends waiving the procedural rules for public bidding for the purpose of obtaining an
exclusive sewer contractor to construct the Basin 14 Footing Tile Disconnect I Overhead Sewer
Installation Program improvements.
Staff also recommends awarding an exclusive contract to construct the Basin 14 Footing Tile Disconnect /
Overhead Sewer Installation Program improvements to Rick's Sewer & Drainage of Spring Grove, Illinois
at a cost not-to-exceed $324,000. Sufficient funds for this proposed ,xpen 'ture exist in current
water/sewer enterprise fund budget.
~
Sean P. Dorsey
I concur.
Cc: Director of Public Works Glen R. Andler.
Director of Community Development Bill Cooney
Building Commissioner William Schroeder
Water/Sewer Superintendent Matt Overeem
File
Attachment A
Basin 14 Single-Family Residential
Footing Tile Disconnection I Overhead Sewer Installation Program
Purpose
The purpose of the program is to reduce excess clear water in the separate sanitary sewer system that
serves Basin 14 (see attached map). The reduction of excess clear water will help reduce sanitary
basement back-ups during wet weather events. It will also help bring the basin discharge rate below the
Metropolitan Water Reclamation District (MWRDGC) maximum threshold of 673 gallons per capita per
day (gpcpd).
Method
Excess clear water will be reduced by eliminating direct footing tile connections in single-family homes.
Basement back-ups will be reduced by retrofitting existing homes with overhead sewers.
Elhtibilitv
· Only single-family residential homes tributary to the Village-owned separate sanitary sewer system in
Basin 14 that have a documented and verifiable history of sanitary basement back up are eligible to
participate.
· Only projects that include both the removal of direct footing tile connections to the separate sanitary
sewer system AND the installation of overhead sewers are eligible.
· Only costs associated with the removal of footing tile connections and the installation of overhead
sewers are eligible.
· Interior restoration costs are NOT eligible.
Priority
1 Homes with a history of sanitary back-ups attributable to flow restrictions in the Village-owned sewer
main( s) verified by public works department staff.
2 Homes with a history of sanitary back-ups verified by valid receipts, photographs, and descriptive
work orders from plumbing and/or restoration contractors.
Provisions
· 50% of the Village funding ($9,000 max) will be in the form ofa grant.
· 50% of the Village funding ($9,000 max) will be in the form of a loan repayable as a balloon lump sum
upon the sale of the home.
· 3% simple interest shall accrue on the principal of the loan amount each year until the loan is repaid.
· The Village will fund individual projects to a maximum cap of$18,000 per home (combined grant and
loan).
· The Village will only enter into loan and grant agreements with the legal property owner.
· Loans and grants will be subject to the terms and conditions established by the Village Attorney.
· The loan agreement will be recorded against the property in the office of the Cook County Recorder of
Deeds.
Village of Mount Prospect
Mount Prospect, Illinois
INTEROFFICE MEMORANDUM
FROM:
MICHAEL E. JANONIS, VILLAGE MANAGER
DAVID STRAHL, ASSISTANT VILLAGE MANAGER
CABLE PRODUCTION COORDINATOR
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TO:
Backaround
Television Service's programming on both its access channels is controlled by an Automated Cable
Playback System, manufactured by Tightrope Inc. MPTV was the first access center in Illinois to
have a Tightrope system installed. Since that time Tightrope playback systems has become one of
the main providers of hardware and software in the automated playback industry. MPTV's system
controls the playback and switching of individual shows, public service announcements and station
IDs as well as hosting the Village's community bulletin board. The programming of this system can
be done remotely from any computer with an internet connection. Users are able to access the
system for scheduling purposes or to create slides for the video bulletin board. The current system is
made up of four components. The first is a computer that houses the controller software, the
scheduler and the bulletin board. The second is a computer that acts as a video server that stores
the digital files and facilitates the playing back. The third is a two channel video switcher that
changes the inputs and outputs of the two channels and the fourth is a 400 disk DVD player used to
play back board meetings.
DATE: MAY 10, 2010
SUBJECT: REQUEST TO WAIVE BID REQUIREMENT AND ACCEPT Q
FOR THE PURCHASE OF A CABLE PLAYBACK SYSTEM
The current system was purchased in 2004 and the software has been upgraded repeatedly.
However, we have been unable to upgrade the software for the past two years due to the age of the
hardware. The size of our video server at 250 gigabytes has also become too small for our
purposes.
Improved Technoloav
Since the last time our hardware was upgraded 4 years ago and our software was upgraded 2 years
ago, there has been a great deal of change in automated playback systems. Digital video formats
have changed in quality and size. Scheduling software has changed in ease of use. Video servers
have become bigger and more versatile, and video bulletin boards have become more user friendly
and integrated in the flow between the server and the switcher.
The Tightrope system that staff is proposing is made up of two new components and uses two
components from the existing system. The first new component is a computer that acts as a host for
the playback/scheduling software and is also a 4 terabyte video server. This server will not only
handle the MPEG-2 video files in use on the current system, but will also play back a mixture of
other video files including Quicktime and Windows Media. The server is also uses RAID-5 storage
Page 2
which gives redundancy to the hard drive system and will help prevent a total loss of data if one of
the RAID drives goes down. The 4 terabyte size of the server is sufficient to provide enough room
for HD files when the time comes for MPTV broadcast in an HD format.
The second component is a separate bulletin board system to be used in conjunction with the server
and playback/scheduling software housed on the server. The bulletin board system graphics and
interactive capabilities have been upgraded. We will continue to use the existing video switcher and
400 disk DVD player with the new system.
Staff is also asking for the Gold Warranty Support. This will extend the warranty period from 90 days
to a year for the software and the hardware and provide enhanced telephone and internet support
for the same period.
Staff will be performing the install themselves. As a result, staff has included 4 hours of telephone
support dedicated to the install.
Tightrope Systems is only marketed by a few companies in the Chicago area. Two of these are in
Illinois and close to Mount Prospect, the other is in Wisconsin. The first company in Illinois is AVI
Systems in Bensenville and the second is ROSCOR in Mount Prospect. The third company,
Advanced Communication Services, Inc., is in New Berlin, Wisconsin, a suburb of Milwaukee. Staff
submitted specifications to the three companies and requested quotes.
Staff specified a Tightrope CBL-SX4 video server with 4 decoder output channels, 2 encoder input
channels, and a 4 terabyte RAID-5 storage array. Also specified was a Tightrope CBL-CG250
bulletin board player, Gold Warranty for both systems and 4 hours of telephone installation support.
AVI Systems quoted $23,339.00.
Advanced Communication Services Inc. quoted 21,130.00
Roscor Corporation quoted $20,360.50
Action Reauested
Staffs recommends waiving the bid requirement and accept the lowest quote from Roscor, for the
purchase of a Tightrope Cable Playback System and integrated bulletin board system. Television
Services has money it the CIP budget to cover these costs. The original CIP estimate for this
equipment replacement was $36,350.00. We have attached a copy of the quotes and manufacturers
information about the Tightrope system.
Thank you.
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Howard Kleinstein
cc: Lisa Angel, Village Clerk