TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 11, 2024
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase order and enter into an agreement for Contract 23-RFP-19 Professional Engineering Services for the Stickney Water Reclamation Plant Biosolids Management Strategy, with Black & Veatch Corporation, in an amount not to exceed $1,500,000.00, Account 201-50000-612430, Requisition 1604172
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Dear Sir:
Authorization is requested to issue a purchase order and enter into an agreement with Black & Veatch Corporation, (Black & Veatch) to provide professional engineering services for the Stickney Water Reclamation Plant (WRP) Biosolids Management Strategy from the date of award through December 31, 2026.
Professional services are required to develop a biosolids management facility for the Stickney WRP. The request is to address required processing capacities and is consistent with the Metropolitan Water Reclamation District’s (District's) Strategic Plan as it pursues opportunities to recover, reuse, and monetize resources and is a success measure under Strategic Goal #1: Resource Management. Through this contract, a strategy will be developed to replace the existing biosolids pelletizing facility at the end of its useful life, with a new biosolids management facility to process biosolids from the Stickney WRP. This long-term biosolids management strategy, 2030 and beyond, will be developed with resiliency in mind, so that the chosen strategy can resist or adapt to external regulatory, economic, environmental, and/or social challenges. This work will include a comprehensive evaluation of technology, considering such things as product type, distribution, outlets, reliability, and energy use. Proposal documents will then be prepared to bid an alternative delivery contract for the new biosolids management facility.
On January 10, 2024, request for proposal for Contract 23-RFP-19 was publicly advertised. Five (5) responsive proposals were received on March 1, 2024. Acceptable bids were received from AECOM Technical Services Inc., Black & Veatch, Brown and Caldwell, CDM Smith Inc., and Jacobs Engineering Group Inc.
The proposals were evaluated by a panel consisting of two (2) members from the Monitoring and Research Department, two (2) members from the Maintenance and Operations Department, one (1) member from the Engineering Department, and one (1) member from the Procurement and Materials Management Department. The criteria for these evaluations were outlined in request for proposal for Contract 23-RFP-19 and included: understanding of the project, approach to the work, technical competence, team effectiveness, cost of services, financial stability, compliance with insurance requirements, submission of all necessary licenses and permits, and compliance with affirmative action requirements. Following the preliminary evaluation of proposals, excluding cost, all five proposers were deemed to be finalists and were invited to interviews conducted May 7 and 8, 2024. On May 24, 2024, a solicitation was sent to the finalists requesting an unqualified “best and final” offer. The “best and final” offers were submitted to the Director of Procurement and Materials Management on May 31, 2024.
A final evaluation matrix, including the review of proposals, interviews, and the best and final offers, resulted in an overall top ranking for Black & Veatch. The Black & Veatch team’s high score was a result of their team’s experience in biosolids master planning and process design, alternative delivery contract experience, approach to the work, and understanding of the design-build market. The Black and Veatch team’s breadth of knowledge and experience along with their approach to complete the work were important factors in their high score.
The agreement for Contract 23-RFP-19 will be in effect from the date of the award through December 31, 2026.
As part of the preliminary design task, Black & Veatch will provide engineering services to assist the District in determining the biosolids strategy and resulting technology, capacity, ancillary requirements, and potential impacts of a new biosolids management facility for processing biosolids from the Stickney WRP. Deliverables for this preliminary design work include two (2) technical memoranda. Deliverables for the contract development task include design specifications, cost estimates and request for proposal documents necessary to bid an alternative delivery contract for the new biosolids management facility. As-needed support will also be provided to the District during the bidding process.
Black & Veatch estimates that 3,833 hours are required to determine the preliminary design of the biosolids management facility and 1,707 hours for contract development. An estimated twenty-seven (27) people from Black & Veatch and their teaming partners will be working on this project. Black & Veatch teaming partners include KaleTech LLC, Metro Strategies Group, Cotter Consulting, Aqua Vitae and Material Matters.
Black & Veatch will fulfill the 20% Minority Business Enterprises requirement with KaleTech LLC; 10% Women Business Enterprises requirement with Metro Strategies Group and Cotter Consulting; and 3% Veteran-Owned Business Enterprises requirement with Aqua Vitae.
The Diversity Section reviewed the Agreement and concluded that Black & Veatch is in accordance with the District’s Affirmative Action Policy.
Inasmuch as the firm of Black & Veatch possesses a high degree of professional skill, it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order and enter into an agreement per Section 11.4 of the Purchasing Act in an amount not to exceed $1,500,000.00.
Funds in the amount of $300,000.00 for the 2024 expenditure are available in Account 201-50000-612430. The estimated expenditure for 2025 is $950,000.00, and 2026 is $250,000.00, and are contingent upon the Board of Commissioners’ approval of the District’s budget for those years.
Requested, Edward W. Podczerwinski, Director of Monitoring and Research, EWP:RA:EJJ:mb
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, Chairman Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for July 11, 2024
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