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HomeMy WebLinkAbout06 - CC-7 - Measure M2 Environmental Cleanup Funds - 3/6/2012CITY COUNCIL AGENDA REPORT MEETING DATE: MARCH 6, 2012 SUBJECT: MEASURE M2 ENVIRONMENTAL CLEANUP GRANT FUNDS ITEM NUMBER: DATE: FEBRUARY 23, 2012 FROM: PUBLIC SERVICES DEPARTMENT / ENGINEERING DIVISION PRESENTATION BY: RAJA SETHURAMAN, TRANSPORTATION SERVICES MANAGER FOR FURTHER INFORMATION CONTACT: PATRICK BAUER, ASSOCIATE ENGINEER, 714-754-5633 RECOMMENDATION: 1) Accept Measure M2 Environmental Cleanup grant funding in the amount of $100,000; 2) Authorize the use of County of Orange Master Agreement MA -080-11011795 (Attachment 1) with West Coast Storm, Inc. to purchase and install catch basin screens; 3) Approve Budget Adjustment (Attachment 2) in the amount of $100,000 to recognize Measure M2 Funds; and 4) Authorize the Mayor to execute the Subordinate Agreement (Attachment 3). BACKGROUND: Orange County Transportation Authority's (OCTA) M2 Environmental Cleanup Program was established to provide funding to protect Orange County beaches and waterways from urban runoff associated with transportation generated pollution. The City applied for and was successful in capturing $100,000 in grant funding under the M2 Environmental Cleanup Program. The program distributes funds on a competitive basis for the purchase and installation of Best Management Practices (BMP's) such as catch basin inserts and screens. There are over 1,165 catch basins in the City of Costa Mesa. The City presently has approximately 60 catch basin inserts installed at various locations as well as approximately 70 automatic retractable screens installed on catch basins. The M2 grant program will enable the City to install additional catch basin screens throughout the City. ANALYSIS - In an effort to aid municipalities using M2 grant funds, the County of Orange entered into a Master Agreement (Attachment 1) with three vendors to provide and install water quality devices. One of these vendors is West Coast Storm, Inc. Through the County's Master Agreement, prices with each vendor have been established and terms and conditions have been approved. The Master Agreement has established volume based pricing and will save the City approximately 15% off the purchase price. In addition, the M2 Grant requires that these BMP's must be installed by the end of this fiscal year, June 30, 2012. Of the three vendors included in the County's Master Agreement, West Coast Storm, Inc. provided the lowest cost estimate to provide and install catch basin screens. It is, therefore, recommended that the City use the County's Master Agreement with West Coast Storm, Inc. to purchase and install at least 100 automatic retractable screens, for a cost not to exceed the grant amount of $100,000 as part of the Citywide Installation of Catch Basin BMP's. The City Council approved participation in other public agencies' purchasing bids and contracts with the adoption of Resolution 94-11 on March 7, 1994. The City's Purchasing Policies & Procedures Manual Section 3.3 I. states: "City Council will be advised by the Purchasing Officer or City Manager of procurements over $25,000 which were exempt from the formal bid process". Section 3.3 D. also states that a purchase may be exempt from the bidding process when the City is participating in an established governmental cooperative purchasing agreement. ALTERNATIVES CONSIDERED: Staff could issue a formal bid for installation of catch basin screens in compliance with Measure M2 Tier 1 funding guidelines; however, this will further delay the use of M2 grant funding required to be spent by June 2012. Staff anticipates that the pricing would potentially be higher due to the City not having the volume rates negotiated by the County. FISCAL REVIEW: The attached Budget Adjustment (BA 12-011) will recognize the full amount of the grant in the amount of $100,000. The total cost to purchase and install the catch basin inserts is $100,000. The grant does require a 25% match amount. This requirement will be met through the use of existing public services staff time for project management and supervision until completion of the project. LEGAL REVIEW: The City Attorney's Office has reviewed and approved agreement MA -080-11011795, and developed a Subordinate Agreement (Attachment 3) to execute the agreement between the City and West Coast Storm, Inc. for installation of catch basin screens. CONCLUSION: Staff was successful in securing $100,000 of Measure M2 grant funding for Environmental Cleanup Program. Staff recommends that the City Council accept Measure M2 Environmental Cleanup Program funding in the amount of $100,000, authorize use of County of Orange Master Contract MA -080-11011795 with West Coast Storm, Inc. to purchase and install catch basin screens; approve the Budget Adjustment; and authorize the Mayor to execute the Subordinate Agreement. ERNESTO MUNOZ FARIBA FAZELI Public Services Director Interim City Engineer Attachments: 1. Master Aareement. Contract MA -080-11011795 2. Budget Adjustment 12-011 3. Subordinate Agreement Distribution: Chief Executive Officer Finance/IT Director City Attorney City Clerk Staff File E