TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 7, 2013
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Report on advertisement of Request for Proposal, 13-RFP-06 Biogas Renewable Energy Project at the Calumet Water Reclamation Plant (As Revised)
Body
Dear Sir:
Request for Proposals (RFP) documents have been prepared for 13-RFP-06 Biogas Renewable Energy Project at the Calumet Water Reclamation Plant, at the request of the Engineering Department.
The Calumet Water Reclamation Plant (CWRP) has anaerobic digesters which stabilize and reduce the volume of primary and waste activated sludge produced at the plant. A beneficial by-product of the anaerobic digestion process is digester gas, also known as biogas. Although the plant utilizes some of the digester gas produced, there are significant quantities that are not utilized at certain times of the year, primarily during warm weather.
The District's overall objective is to reduce its energy footprint by maximizing the production and beneficial use of digester gas as a renewable energy source in a manner that is economically beneficial, energy efficient, and environmentally responsible. The purpose of this RFP is to identify a highly reputable and experienced contractor to design and build a system for producing renewable energy from the CWRP's digester gas. The successful proposer will clearly define in the proposal the approach to the work including the proposed technology, the implementation process, a cost proposal, a quantification of energy generated and off-set, and the environmental and social impacts of the approach.
The District's review panel will review and score these proposals based on pre-determined criteria. The District may invite some or all proposers to make an oral presentation to the review panel, at the District's discretion. A short list of firms will then be generated. The District may request the short-listed proposers to modify their proposals to meet certain District requirements or needs. A request for "Best and Final Offers" will then be issued. The District will select the approach and the vendor that will provide the best long-term benefit to the District. It is the intent of the District to enter into a formal agreement with the successful proposer. "Long-term" is defined as 10 to 20 years. The successful proposer must design, permit, and construct the facility, and may propose to operate, maintain, and/or finance this facility, or any combination of these, that are in the best interest of the District.
This RFP is the second phase in a multi-phase approach to the project. The first phase was the Request for Expression of Interest, which was reported to the Board of Commissioners on April 19, 2012, and for which proposals were received on August 31, 2012. The purpose of the first phase was for the District to understand the variety of approaches present in the marketplace, as well as to ascertain the level of interest in such a project, in order to prepare the RFP documents accordingly. It is hereby emphasized that this RFP, 13-RFP-06, is open to all proposers, whether or not the proposer submitted a proposal in response to the Request for Expression of Interest.
The estimated benefit from this RFP is indeterminate at this time, as it remains to be seen what technologies and financial plans are submitted by the proposers. The Board of Commissioners will be kept apprised of the technology, cost model, and implementation approach that is ultimately determined to be the most beneficial to the District.
No bid deposit is required for this RFP.
The successful proposer will be required to comply with the Multi-Project Labor Agreement. The successful proposer will also be required to comply with the District's Affirmative Action policy with regard to utilization of Socially and Economically Disadvantaged individuals for a portion of both the engineering design work and the construction work. Demonstration of compliance with the Multi-Project Labor Agreement and the District's Affirmative Action policy is not required in the initial stage of the RFP but will be required in a subsequent stage from short-listed proposers.
The tentative schedule for this RFP is as follows:
Advertise March 13, 2013
Pro-proposal Meeting: March 28, 2013
Proposals Received May 3, 2013
The schedule for subsequent action is dependent upon the content of the proposals and the quantity of proposals received. It is expected that a successful proposer can be identified, and a Request to Enter into an Agreement brought before the Board by the fourth quarter of 2013.
Respectfully Submitted, Darlene A. LoCascio, Director of Procurement and Materials Management