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HomeMy WebLinkAbout127-19 RESOLUTIONF fAYEr F� SRKrNS PS: 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 127-19 File Number: 2019-0264 AIT SERVICES, INC.: A RESOLUTION TO ACCEPT A QUOTE IN THE AMOUNT OF $58,250.00 PLUS APPLICABLE TAXES FROM AIT SERVICES, INC. FOR THE INSTALLATION OF CRITICAL REPLACEMENT PARTS FOR THE THERMAL DRYER AT THE BIOSOLIDS MANAGEMENT SITE, TO APPROVE A PROJECT CONTINGENCY IN THE AMOUNT OF $10,000.00, AND TO APPROVE A BUDGET ADJUSTMENT WHEREAS, the City Council previously approved Ordinance No. 6147 which waived the requirement of formal competitive bidding and authorized future purchases of parts and repair services for the Biosolids Management Site thermal dryer unit from AIT Services, Inc. as the sole authorized service and parts provider for the unit. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby accepts a quote in the amount of $58,250.00 plus applicable taxes from AIT Services Inc. for the installation of critical replacement parts for the thermal dryer at the Biosolids Management Site, and further approves a project contingency in the amount of $10,000.00. Section 2: That the City Council of the -City of Fayetteville, Arkansas hereby approves a budget adjustment, a.copy of which is attached to this Resolution. PASSED and APPROVED on 6/4/2019 Page 1 Printed on 615119 rZt4,0&tA,oA /2,7-/q File Number.' 2019-0264 Attest: .I I Sondra E. Smith, City Clerk Treas;��ERK O F .�o AYE�EVI<<E;S701_ I iii �����. Page 2 Printed on 615119 City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Text File File Number: 2019-0264 Agenda Date: 6/4/2019 Version: 1 Status: Passed In Control: City Council Meeting File Type: Resolution Agenda Number: A. 3 AIT SERVICES, INC.: A RESOLUTION TO ACCEPT A QUOTE IN THE AMOUNT OF $58,250.00 PLUS APPLICABLE TAXES FROM AIT SERVICES, INC. FOR THE INSTALLATION OF CRITICAL REPLACEMENT PARTS FOR THE THERMAL DRYER AT THE BIOSOLIDS MANAGEMENT SITE, TO APPROVE A PROJECT CONTINGENCY IN THE AMOUNT OF $10,000.00, AND TO APPROVE A BUDGET ADJUSTMENT WHEREAS, the City Council previously approved Ordinance No. 6147 which waived the requirement of formal competitive bidding and authorized future purchases of parts and repair services for the Biosolids Management Site thermal dryer unit from AIT Services, Inc. as the sole authorized service and parts provider for the unit. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby accepts a quote in the amount of $58,250.00 plus applicable taxes from AIT Services Inc. for the installation of critical replacement parts for the thermal dryer at the Biosolids Management Site, and further approves a project contingency in the amount of $10,000.00. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution. City of Fayetteville, Arkansas Page 1 Printed on 61512019 Tim Nyander Submitted By City of Fayetteville Staff Review Form 2019-0264 Legistar File ID 6/4/2019 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 4/23/2019 WASTEWATER TREATMENT (730) Submitted Date Division / Department Action Recommendation: Staff recommends the approval of the installation of critical replacement parts for the thermal dryer at the Biosolids Management Site by AIT Services Inc. in the amount of $58,250.00 plus applicable taxes, approval of a labor contingency in the amount of $10,000.00, and approval of a budget adjustment. 5400.730.5800-5414.00 Account Number 02069.1 Project Number Budget Impact: Water and Sewer Fund Plant Pumps and Equipment - WWTP Project Title Budgeted Item? Yes Current Budget Funds Obligated Current Balance Does item have a cost? Yes Item Cost Budget Adjustment Attached? Yes Budget Adjustment Remaining Budget $ 906,843.00 $ 901,558.87 1_$ 5,284.13 $ 73,929.38 $ 73,930.00 $ 5,284.75 V20180321 Purchase Order Number: Previous Ordinance or Resolution # Change Order Number: Original Contract Number: Approval Date: Comments: Taxes are estimated in the amount of $5,679.38. Including the contingency, this item has a potential total cost of $73,929.38. CITY OF FAYETTEVILLE ARKANSAS MEETING OF JUNE 4, 2019 TO: Mayor and City Council THRU: Don Marr, Chief of Staff Water & Sewer Committee Tim Nyander, Utilities Director FROM: Greg Weeks, Wastewater Treatment DATE: April 23, 2019 CITY COUNCIL MEMO SUBJECT: Installation of Critical Replacement Parts on the Thermal Dryer System at the Biosolids Management Site by AIT Services, Inc. RECOMMENDATION: Staff recommends the approval of the installation of critical replacement parts for the thermal dryer at the Biosolids Management Site by AIT Services Inc. in the amount of $58,250.00 plus applicable taxes, approval of a labor contingency in the amount of $10,000.00, and approval of a budget adjustment. BACKGROUND: The Biosolids Management Site (BMS) utilizes a 24 -cubic yard Fenton CM 7212 Thermal Dryer system to convert wet biosolids to a Class -A fertilizer. Biosolids are the byproduct of the city's wastewater biological nutrient removal process. The Noland and West Side treatment facilities produce an average of over 100,000 pounds of dewatered biosolids every day. The thermal dryer, in combination with the site's solar house dryers, reduces the daily biosolids volume down to approximately 15,000 lbs. of Class -A, Exceptional Quality fertilizer. The nearly full-time biosolids dryer operation saves the city significant landfill costs annually, as well as allows for beneficial reuse of the biosolids material. DISCUSSION: The thermal dryer has been in operation for 6.5 years and several critical parts are reaching their life expectancy. Recent inspections identified need of replacement for dryer parts such as rotor -drive sprockets, rotor swivels, rotor bearings and end -gland packing. Earlier this year, Council approved an ordinance (No.6147) for purchase of the critical replacement parts. These parts are very specific to the Fenton Dryer system where AIT technicians provide parts -specific technical training and service experience. Ordinance No. 6147 also waived the requirement of formal competitive bidding and authorizes future parts purchases, installation and repair services through AIT Services, Inc as they are the sole source authorized service and parts provider for Fenton Drying Systems. Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 AIT Services recently submitted a quote of $58,250.00 for installation -rebuild of eight critical replacement parts for the Fenton Dryer. Staff recommends approval of parts installation services by AIT in the amount of $58,250.00 plus applicable taxes. Staff also recommends the approval of a contingency in the amount of$10,000.00, allowing for additional AIT labor and lodging resulting from site-specific unforeseen circumstances or delays caused by the owner - operator. BUDGET/STAFF IMPACT: A budget adjustment from capital project No. 14018 Sanitary Sewer Rehabilitation — Ramsey and Overcrest will be necessary to fund this purchase of spare parts. The budgeted funds being transferred is cost savings left over after completing the sewer rehabilitation project. Attachments: AIT Services Quote Ordinance 6147 Budget Adjustment AIT SERVICES, Inc. Date: April 15, 2019 To: Tim Luther Jacobs Fayetteville WWT.P From: Dan Bolton AIT Services, Inc. Re: Parts Installation. Quote Tim: The following is the price for the labor and other costs associated with: - Replacing both rotor drive sprockets - Replacing one complete rotor swivel with.a new. unit - Rebuilding onexotor swivel Replace both rotor bearing rollers with new components - Replacing packing in both end glands on the rotor shaft. Assisting Jacobs: personnel with verbal instructions to install the water column: gauge and fill limiting arm. AIT will provide: - 4 to 5 qualified personnel to perform the. work. - All required equipment (welder, torch,.hand tools, etc.). - All lifting equipment(forklift(s), rigging, etc.) required.. Price: $ 58,250.00 (based on 4 to 5 men @ 5 days onsite and.2 days travel time) Terms: 50% ($ 29,125.00) Down Payment Due With Purchase Order 50% ($ 29,125:00) Due Net 30 Days after Work Completion NO LOCAL, STATE OR FEDERAL SALES TAXES ARE INCLUDED IN THIS QUOTE. NOTE: - All work defined above can be accomplished within the timeframe quoted or less, unless there are unforeseen circumstances related, to site-specific delays such as limited access to perform the work, weather, etc., or unanticipated issues with the drying system that may be identified during the work process which, at the customer's request needs to be corrected at that time. Any additional days which may be required by AIT personnel over the time specified above will be billed at $1.250.00 per man per day for every day the personnel show up at the site, plus $300.00 per man per day for lodging, meals and miscellaneous living expenses. 1100 County Road 134, Brownwood, Texas 325-646-9754 - The above price is good for 120 days. If you have any questions, please do.not hesitate to contact me. Thanks, Dan Bolton 325-642-3544 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Ordinance: 6147 File Number: 2018-0741 AIT SERVICES, INC.: AN ORDINANCE TO WAIVE THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING AND AUTHORIZE THE PURCHASE OF SPARE PARTS AND REPAIR SERVICES FOR THE THERMAL DRYING UNIT LOCATED AT THE BIOSOLIDS MANAGEMENT SITE FROM AIT SERVICES, INC. IN THE AMOUNT OF $117,917.67 PLUS APPLICABLE TAXES, TO APPROVE A PROJECT CONTINGENCY IN THE AMOUNT OF $20,000.00, AND TO WAIVE THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING FOR FUTURE PURCHASES OF PARTS AND REPAIR SERVICES FOR THE THERMAL DRYING UNIT FROM AIT SERVICES, INC. THROUGH DECEMBER 31, 2021 WHEREAS, the thermal dryer located at the City's Biosolids Management Site has helped save the City approximately $1,000,000.00 in landfill costs and generated $48,500.00 in revenue through fertilizer sales to the public in 2018; and WHEREAS, a recent inspection identified stress damage to split bearings, critical parts that support each end of the rotating drum, and the replacement or repair of the bearings and other worn or failing components should extend the life of the dryer up to five more years; and WHEREAS, AIT Services, Inc. is the sole provider of replacement parts for the thermal dryer. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section l: That the City Council of the City of Fayetteville, Arkansas hereby determines an exceptional situation exists in which competitive bidding is deemed not feasible or practical and therefore waives the requirements of formal competitive bidding and, authorizes the purchase of spare parts for the thermal drying unit located at the Biosolids Management Site from AIT Services, Inc. in the amount of $117,917.67 plus applicable taxes, and further approves a project contingency in the amount of $20,000.00. Page 1 Printed on 217119 Ordinance Number. 6147 File Number 2016-0741 Section 2: That the City Council of the City of Fayetteville, Arkansas hereby determines that, because AIT Services, Inc. is the sole provider of replacement parts for the dryer unit, an exceptional situation exists in which competitive bidding is deemed not feasible or practical for future purchases and therefore waives the requirements of formal competitive bidding through December 31, 2021. PASSED and APPROVED on 2/5/2019 Attest: LID") �itiiElPt/� Lisa Branson; Deputy City 196 Yiw1~ Page 2 Printed on 217119 City of Fayetteville, Arkansas 113 West Mountain Street '3 Fayetteville, AR 72701 (479) 575-8323 Text File `f File Number: 2018-0741 Agenda Date: 2/5/2019 Version: 1 Status: Passed In Control: City Council Meeting Agenda Number: D. 2 AIT SERVICES, INC.: File Type: Ordinance AN ORDINANCE TO WAIVE THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING AND AUTHORIZE THE PURCHASE OF SPARE PARTS AND REPAIR SERVICES FOR THE THERMAL DRYING UNIT LOCATED AT THE BIOSOLIDS MANAGEMENT SITE FROM AIT SERVICES, INC. IN THE AMOUNT OF $117,917.67 PLUS APPLICABLE TAXES, TO APPROVE A PROJECT CONTINGENCY IN THE AMOUNT OF $20,000.00, AND TO WAIVE THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING FOR FUTURE PURCHASES OF PARTS AND REPAIR SERVICES FOR THE THERMAL DRYING UNIT FROM AIT SERVICES, INC. THROUGH DECEMBER 31, 2021 WHEREAS, the thermal dryer located at the City's Biosolids Management Site has helped save the City approximately $1,000,000.00 in landfill costs and generated $48,500.00 in revenue through fertilizer sales to the public in 2018; and WHEREAS, a recent inspection identified stress damage to split bearings, critical parts that support each end of the rotating drum, and the replacement or repair of the beatings and other worn or failing components should extend the life of the dryer up to five more years; and WHEREAS, AIT Services, Inc. is the sole provider of replacement parts for the thermal dryer, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby determines an exceptional situation exists in which competitive bidding is deerned not feasible or practical and therefore waives the requirements of formal competitive bidding and authorizes the purchase of spare parts for the thermal drying unit located at the Biosolids Management Site from AIT Services, Inc. in the arnount of $117,917.67 plus applicable taxes, and further approves a project contingency in the arnount of $20,000.00. Sectipii 2: That the City Council of the City of Fayetteville, Arkansas hereby determines that, because AIT Services, Inc. is the sole provider of replacement parts for the dryer unit, an exceptional situation exists in which competitive bidding is deemed not feasible or practical for future purchases and therefore waives the requirements of formal competitive bidding through December 31, 2021. City of Fayetteville, Arkansas Page 1 Printed on 2/7/2019 Fife Number 2018-0741 City of Fayetteville, Arkansas Page 2 Printed on 2!7/2019 City of Fayetteville Staff Review Form 2018-0741 ..........._ ...... Legistar File ID 2/5/2019 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item Greg Weeks 1/4/2019 WASTEWATER TREATMENT (730) Submitted By Submitted Date Division / Department Action Recommendation: Staff recommends the approval of the purchase of spare parts and repair services for the thermal drying unit located at the Biosolids Management Site (BMS) from AIT Services, Inc. in the amount of $117,917.67 plus applicable taxes, to approve a project contingency in the amount of $20,000.00, and to authorize future purchases of parts and repair services through December 31, 2019. 5400.730.5800-5414.00 Account Number 02069.1 Project Number Budgeted Item? Yes Does item have a cost? Yes Budget Adjustment Attached? No Budget Impact: Water/Sewer Fund Plant Pumps and Equipment - WWTP Project Title Current Budget Funds Obligated Current Balance Item Cost Budget Adjustment Remaining Budget $ 844,807.00 $ 698,366.79 146,440.21 $ 137,917.67 ' 522.54 V20180321 Purchase Order Number: Previous Ordinance or Resolution # Change Order Number: _ Approval Date: Original Contract Number: Comments: CITY OF FAYETTEVILLE ARKANSAS MEETING OF FEBRUARY 5, 2019 TO: Mayor and City Council THRU: Don Marr, Chief of Staff Tim Nyander, Utilities Director Water and Sewer Committee CITY COUNCIL MEMO FROM: Greg Weeks, Jacobs Area Manager DATE: January 4, 2019 SUBJECT: Thermal Dryer Parts and Repairs at the Biosolids Management Site RECOMMENDATION: Staff recommends the approval of the purchase of spare parts and repair services for the thermal drying unit located at the Biosolids Management Site (BMS) from AIT Services, Inc. in the amount of $117,917.67 plus applicable taxes, to approve a project contingency in the amount of $20,000.00, and to authorize future purchases of parts and repair services through December 31, 2019. BACKGROUND: Biosolids are the solid by-product from the water recovery process. Prior to 2012, all biosolids were landfill disposed. In 2012, the City implemented a sustainable, beneficial reuse drying process that converts the biosolids to a thermally dehydrated, organic -based Class -A, Exceptional Quality fertilizer, which is then sold for public use. The drying process is accomplished through operation of a 24 -cubic yard Fenton CM 7214 Thermal Dryer system. The biosolids drying process saves the City significant landfill costs annually, and through November 2018 generated approximately $48,500 in fertilizer sales. DISCUSSION: The biosolids are dried within a rotating drum supported on either end by large split bearings. Recent equipment inspections performed by AIT Services, Inc. identified stress damage to both split bearings; more recently shaft movement has also been measured pointing towards impending bearing failure. The manufacturer specified bearings are fabricated on a per order basis resulting in lead times of up to 5 months. If a bearing fails without the availability of a critical spare the thermal dryer down time could generate more than $500,000 of additional landfill fees while waiting for parts fabrication and delivery. The recent equipment inspection also identified several dryer components that are recommended to be replaced due to wear. These parts are needed to extend the life of the dryer for up to 5 more years. AIT Services, Inc is the sole authorized service and parts provider for Fenton Drying Systems. Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 AIT Services, Inc. quoted $114,917.67 for the thermal dryer parts and repairs, and freight has been estimated in the amount of $3,000.00 for a total of $117,617.67. City staff recommends the approval of a contingency in the amount of $20,000.00 for potential parts and labor costs that could arise during the repair process. BUDGET/STAFF IMPACT: Funds are available in the Wastewater Treatment Plant CIP — Plant Pumps and Equipment project. Attachments: Quotes from AIT Services, Inc. AIT Services, INC. 1100 CR 134 Brownwood, TX 76801. 325-646-9754 } d, TO SHIP TO INSTRUCTIONS City of Fayetteville Same as recipient Add additional instructions 2435 S Industrial Dr Fayetteville, AR 71701 �1T 1. Rotorsrocket p $9,669.52 $9,669.52 1 Motor drive sprocket $8,508.09 $8,508.09 1 Complete swivel $22,659.63 $22,659.63 2 Swivel rebuild kit including brass $2,602.55 $5,205.10 compression rings and compression washers 1 Stainless Steel Venturi $2,453.88 $2,453.88 Stainless Steel U trough with classifier box 1 and screen. approximately 12'3" long with $9,927.44 $9,927.44 lids and one end 2 Rotor packing glands this includes two $1,303,87 $2,607.74 aluminum packing rings and packing i Chamber product fill limiting arm plus bearings $385.00 $385.00 1 Thermocouple brush parts plus bearings and extra brush $735.00 $735.00 1 Water column gauge 0-10" $81.25 $81.25 Si) IOTAi $62,232.65 SAI,E:S TAX (I PLUS, ALL SHIPPING TBD TOTAL $62,232.65 Thank you far your h SHICSS! AIT Services, INC. - 1100 CR 139": Brownwood, TX 76801,: 325-646-9754 J TO SNIP TO INSTRUCTIONS City of Fayetteville Same as recipient Add additional instructions 2435 S Industrial Dr Fayetteville, All 72701 y 1 Craft Fl oat Bearing: cartridge, bearing and $26,34.2.51.. $26,34.2.51.. pedestal - 1 Craft Locking Searing: cartridge, :bearing $26,342,5.1. $26,34"1.51 and pedestal These are an alternate to the cooper bearings all specs are the same 4 — 6 weeks ship date r I a j SUBTOTAI. Al"FS TAX t) PLUS, ALI. SHIPPING TBD TOTAL `52,685.02 `I'llan C yUU 101' }': Eli' i:7i::iEl1t`.SS! i� City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar) Budget Year Division Adjustment Number /Org2 WASTEWATER TREATMENT (730) 2019 Requestor: Cheryl Partain BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: A Budget Adjustment is needed in the Plant Pumps and Equipment - WWTP for the purchase of macerator pumps critical spare parts kit at the Westside WWTP. Budgeted funds from the completed Sanitary Sewer Rehabilition-Ramsey and Overcrest project will be transferred to this project to cover the cost of this item. The budgeted funds being transferred are cost saving after completing the Sanitary Sewer Rehabilition-Ramsey and Overcrest project. COUNCIL DATE: LEGISTAR FILE ID#: 6/4/2019 2019-0264 LCk }( utc, wnk 5/1/2019 3:37 PM Budget Director Date TYPE: JOURNAL #: I GLDATE: RESOLUTION/ORDINANCE CHKD/POSTED: TOTAL - _ v.20190430 Increase / (Decrease) Proiect.Sub# Account Number Expense Revenue Project Sub.Detl AT Account Name 5400.730.5800-5414.00 73,930 - 02069 1 EX Plant Equipment Maintenance - Plant Eqt 5400.720.5700-5815.00 (73,930) - 14018 1 EX Sewer Improvements - Sewer Improveme HABudget Adjustments\2019_Budget\City Council\06-04-2019\2019-0264 BA AIT Services, Inc 1 of 1