Item 10 Staff Report Request for Proposals (RFP) for Assessment and Analysis of Sewer Systems OperationsMEETING DATE: 8/20/01
ITEM NO.
COUNCIL AGENDA REPORT
DATE: AUGUST 6, 2001
TO: MAYOR AND TOWN COUNCIL
FROM: TOWN MANAGER
SUBJECT: REQUEST FOR PROPOSALS (RFP) FOR ASSESSMENT AND ANALYSIS
OF SEWER SYSTEM OPERATIONS
RECOMMENDATION:
Approve Request for Proposals (RFP) for assessment and analysis of sewer system operations.
BACKGROUND:
On May 24, 2001, the Town Council extended the Agreement between the Town and the District
for maintenance of the sanitary sewer system for one year. This was intended to provide time for
the District and the Town to jointly undertake an analysis of alternatives for maintenance of the
sanitary sewer system. Staff also indicated that the extension would provide time to evaluate new
regulations which might affect how sewers are maintained.
DISCUSSION:
Working in conjunction with the District, staff has now prepared the attached Request for Proposals.
The proposed Scope of Services is divided into three main tasks. The selected consultant will
quantify all existing sewer system services provided by both the Town and the District, analyze the
potential impact of pending regulations on existing service levels, and utilize the findings from the
first two tasks to develop a cost -benefit of at least three alternative service options.
The proposed schedule is to release the Request for Proposals in August and strive to obtain a draft
report in late November.
PREPARED BY: LES WH
Interim Director of P. ° s and Public Works
Reviewed by: 6// Attorney Clerk 6e, Finance Community Development
Revised: 8/6/01 1:26 PM
Reformatted: 5/30/01 N:\B&E\CNCLRPTS\RF ' Assess & Analysis of Sewer System.wpd
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MAYOR AND TOWN COUNCIL
SUBJECT: REQUEST FOR PROPOSALS (RFP) FOR ASSESSMENT AND ANALYSIS OF
SEWER SYSTEM OPERATIONS
AUGUST 6, 2001
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA, and no further action is required.
FISCAL IMPACT:
Funding for this study is expected to total $50,000 and that is to be split 50/50 between the District
and the Town. The Town's share of the cost is budgeted in the Sanitary Sewer Fund in the FY 2001-
2002 Operating Budget - Account No. 2230-61500.
Attachments:
Request for Proposals (RFP) for Assessment and Analysis of Sewer System Operation.
THE TOWN OF LOS GATOS, CALIFORNIA
AND
WEST VALLEY SANITATION DISTRICT
OF SANTA CLARA COUNTY
Jointly Issue This
REQUEST FOR PROPOSAL
Soliciting
CONSULTING SERVICES FOR ASSESSMENT AND ANALYSIS OF
PUBLIC SEWER SYSTEM OPERATION AND MANAGEMENT
PROPOSALS DUE: 4:30 P.M., September 14, 2001
RETURN TO:
Robert Reid, General Manager
West Valley Sanitation District
100 E. Sunnyoaks Avenue
Campbell, CA 95008
(408) 378-2407
Lester White, Interim Director
Department of Parks & Public Works
Town of Los Gatos, P.O. Box 949
Los Gatos, CA 95031
(408) 399-5774
INDEX
Section I. INTRODUCTION , 3
Section II. SCOPE OF SERVICES 4-5
Section III. CONSULTING SERVICES SCHEDULE 6
Section IV. PROPOSAL FORMAT 6
Section V. SUBMITTAL PROCEDURE 7-8
Section VI. BUDGETARY ALLOWANCE . 8
Section VII. SELECTION CRITERIA 8
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INTRODUCTION
Historical Background
The Town of Los Gatos was incorporated in 1887. Beginning as early as the 1890's
sewers had been constructed in the Town's central business district. As indoor plumbing
became common in the early twentieth century, the Town's sewer system expanded to
serve a growing number of residents. Until sometime after 1950 Town sewers discharged
into sewage lagoons near Los Gatos Creek. This `sewage farm' was located on the site of
present day Oak Meadow Park north of Blossom Hill Road. In 1946 a report was
prepared for use by the Planning Commission and Board of Supervisors of Santa Clara
County recommending incorporation of several sanitation districts within the County to
provide for the integration of existing sewerage facilities into a central area system. The
report also recommended the construction of a wastewater treatment plant near Alviso to
serve this system.
In 1948 County Sanitation District No. 4 ( now West Valley Sanitation District ) was
formed in accordance with the County report to provide sanitary sewerage facilities for
the area of the Santa Clara Valley south and west of the City of San Jose. By 1951 trunk
sewers had been constructed to connect with the existing Los Gatos system and convey
the Town's sewage to Alviso. At this time the Town and the District entered into an
agreement whereby the Town continued to operate its own local collection system and
paid to discharge into the District's trunk sewer system. Rapid urban development during
the next few decades created a very complex mix of Town and District sewers. In 1977
the two agencies signed a new agreement intended to simplify system operations. Under
the 1977 agreement the District assumed responsibility for permitting new sewer
connections and all matters related to design and construction of public sewers within the
Town. In return the Town bought into the capacity of the District trunk sewer system and
took over operation and maintenance responsibilities for all public sewers within Town
boundaries. Under the agreement, the Town's annual sewer operating costs are
reimbursed by the District.
Current Status
The 1977 agreement, as amended in 1991, was due to terminate on July 1, 2001. The
Town and the District entered into a Continuation Agreement in June of this year that
extends the 1977 agreement for a one-year period. During this time the two agencies have
agreed to thoroughly examine alternatives to the current operating arrangement and
determine what is the best way to meet the Town's sewer service needs in the future.
Included in this examination is an understanding that future sewer system operations will
be impacted by pending new federal regulations. This rulemaking is being promulgated
by the U.S. Environmental Protection Agency and will add a new section to the National
Pollutant Discharge Elimination System (NPDES) regulations entitled "Capacity,
Management, Operation and Maintenance Programs for Municipal sanitary sewer
systems." These `CMOM' regulations will require all municipal satellite collection
systems to operate in compliance with an NPDES permit and meet industry best practices
to optimize collection system performance and prevent sewer overflows. The new
regulations are expected to take effect at or near the end of the Continuation Agreement
between the Town and District.
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SCOPE OF SERVICES
The scope of services to be incorporated into the consulting agreement includes:
examination of all available information concerning existing operational procedures and
resources used for maintaining the public sewer system in both the Town and District;
discussion of changes in system operation and management necessitated by pending
federal (`CMOM') regulations; analysis of potential resource requirements for
maintaining regulatory compliance; and development of at least three organizational
models comparing costs and benefits.
The scope of services is divided into three tasks with specific requirements as described
below:
Task 1. Assessment of Existing Sewer System Operations
CONSULTANT will be provided with all known data including maintenance records,
budgets, payroll records, monthly work reports, computer databases and other
information necessary to perform the following tasks:
• Determine Existing Level of Service. Assessment involves evaluating and quantifying
services provided by Town and District staff including routine system maintenance,
service requests, emergency response time and procedures, USA response protocol,
system repairs, television inspection, record keeping and data management, and
miscellaneous other work necessary to operate and maintain the public sewer system.
Assessment will categorize identified services to distinguish 1)basic comparable
services provided by both the Town and District, 2) additional sewer system services,
if any, provided by Town, 3) additional sewer system services provided by District to
Town, and 4) other related services provided to all jurisdictions within the District
including the Town.
• Determine Existing Cost of Service. Assessment involves identifying and quantifying
all resources and costs necessary to provide existing services including relevant staff
payroll and benefits, materials and equipment costs, contract service costs,
administrative overhead, and all other related costs necessary to provide existing
service levels in the Town and the District. These costs will be totaled by categories
identified above.
• Determine Existing Cost of Service on Unit Basis. Utilizing the District's database of
sewer connections and the cost of service determined above, the Consultant will
calculate the cost per 1) acre, 2) mile of sewer mains, 3) sewer connection, and 4)
`Equivalent Dwelling Unit' (EDU) for providing existing service levels in both the
Town and the remainder of the District.
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Task 2. Assessment of Potential Changes in Operations
CONSULTANT will use best professional judgement to assess probable impact of
pending federal C-MOM regulations on future Town and District operations, and will
specifically:
• Determine Necessary Changes in Existing Level of Service. Assessment involves
identifying and quantifying gaps, if any, between existing management, operation and
maintenance of Town and District sewer systems and the level of service necessary to
maintain compliance under new regulations. At a minimum the gap analysis will
include resources, processes and procedures, and level of technology and staff skills.
• Estimate Additional Cost of Service for Service Changes. Assessment involves
estimating costs of eliminating any gaps identified above for both the Town and
District. Estimates will identify one-time and/or capital costs as well as continuing
operational costs.
Task 3. Development of Alternative Service Models
CONSULTANT will utilize data and assessments determined in Tasks 1 and 2 to develop
costs and benefits of providing the changes in level of service in at least three ways, and
will specifically develop the following options:
• Town Continues at Existing Service Level. Consultant will analyze costs and benefits
for Town to continue basic services identified in Task 1, and District (or others) to
provide service improvements identified in Task 2.
• Town Provides Enhanced Service Level. Assessment involves analyzing the costs and
benefits of Town upgrading sewer system management, operation and maintenance to
provide level of service identified in Task 2.
• District Provides All Town Sewer Services. Assessment involves analyzing costs and
benefits of Town relinquishing all sewer system operations to the District.
• Identify Preferred Option for Future Sewer System Operations. Consultant will
develop a cost -benefit analysis model for comparing identified organizational options.
The methodology and rationale for the cost -benefit analysis model should be
sufficiently detailed and thorough in scope to provide a comprehensive comparison of
all identified service options. The Consultant may develop an additional service
option to compare with the three already specified. Consultant will discuss and
quantify all transition issues for options involving changes in Town and/or District
provided services.
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CONSULTING SERVICES SCHEDULE
The expected timetable is as follows:
Wednesday, August 22, 2001
Friday, September 14, 2001
Monday, September 24,2001
Friday, September 28, 2001
Monday, October 1, 2001
Monday, November 12, 2001
PROPOSAL FORMAT
RFP Released
Proposals due by 4:30 p.m.
Oral Interviews/Consultant Selection
Execution of Consulting Agreement
Notice to Proceed
Anticipated Completion of All Tasks/Report Submittal
To be considered responsive for this Request for Proposal and to demonstrate the
Consultant's qualifications and abilities to perform the tasks outlined in the Scope of
Services, the Consultant shall submit a proposal containing information summarized
under the following sections.
A. Executive Summary
A summary containing highlights of the Consultant's qualifications to provide the
services described in the RFP. The title page should state the name and address of the
firm, phone and fax numbers, sub -consultants (if any), and contact name for proposal.
B. Management Plan
A management plan describing how the services would be organized. This should include
name, position, summary of qualifications and related experience of the project manager
and key personnel assigned to project tasks.
C. Proposal Content
This section should clearly convey the Consultant's understanding of the work and
present a summary of the proposed approach for performing the required services. The
following detailed information is required:
• Understanding of the purpose of this project as specified in the Scope of
Services contained in this RFP.
• Previous experience with similar data analysis, sewer system operational
requirements, and service cost -benefit analysis.
• A full description of the work elements including proposed methodology
and assigned personnel, including brief resumes for personnel assigned to
various tasks.
• A schedule which details time requirements for each task and due dates for
deliverables.
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D. Consultant Firm Information and Disclosure
Consultant shall present the following information, briefly but completely:
• Legal name of firm, date established, type of organization, current size of firm,
local office and location of office.
• Brief description of similar work undertaken by the consultant within the past five
years including client references, description and value of services provided, key
personnel and sub -consultants employed, and budget and schedule performance.
• List of contracts terminated for convenience or default, if any, within the past five
years.
E Budget Proposal
A statement is required which indicates the consultant can perform the required tasks
within the project budget and schedule outlined in this RFP.
A detailed budget proposal which includes hourly rates for each category of personnel
assigned to the project and other direct expenses shall be included with the proposal. The
proposal shall outline how the consultant intends to allocate the project budget and
assigned personnel to complete the scope of work.
The selected consultant's budget proposal will either be accepted in whole or the Town
and District will negotiate an acceptable budget allocation with the consultant. If an
agreement on budget cannot be reached, the next highest ranking consultant will be
invited to negotiate the contract.
Payment for services for labor will be made on the basis of actual time expended by the
consultant. Direct expenses will be billed separately.
SUBMITTAL PROCEDURE
Consultant shall submit a proposal in accordance with the following requirements:
1. The proposal shall be transmitted with a cover letter which confirms that the
proposal is binding for a 90-day period and is signed by an officer authorized to
bind the consultant contractually.
2. The proposal shall be submitted as two sets, each consisting of one original signed
copy with two duplicate copies.
3. One set of the proposal shall be delivered to each of the following:
Robert Reid, General Manager
West Valley Sanitation District
100 E. Sunnyoaks Avenue
Campbell, CA 95008
Lester White, Interim Director
Department of Parks & Public Works
Town of Los Gatos, P.O. Box 949
Los Gatos, CA 95031
4. The proposal shall be received at the above addresses no later than Friday,
September 14, 2001 at 4:30 p.m.
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5. Questions pertaining to the RFP should be directed either to Robert Reid at (408)
378-2407 or Lester White at (408) 399-5774.
The costs for developing the proposals are entirely the responsibility of the consultant and
neither the District nor the Town shall assume any liability therefore.
BUDGETARY ALLOWANCE
A budgetary allowance not to exceed $50,000 has been established for the consulting
services and related expenses specified herein.
SELECTION CRITERIA
Principle criteria used to evaluate proposals will include the following:
• Consultant's experience and expertise in providing cost -benefit analysis and
quantification of all operational, technical and administrative services necessary
for the management, operation and maintenance of a public sewer system.
• Consultant's ability to discern and compare relative advantages and disadvantages
of differing organizational and operation management models.
• Consultant's understanding of proposed `CMOM' regulations and ability to
develop a realistic gap analysis between existing and future operational
requirements.
• Consultant's responsiveness and ability to complete work within schedule and
budget.
Selected consultants will be invited for an oral interview for further evaluation of the
information presented in the proposal. After final evaluation a contract will be negotiated
with the selected consultant who, in the mutual judgment of the District and Town, best
meets the qualification criteria. The two agencies, District and Town, reserve the right to
reject any or all proposals, waive irregularities in any statement, accept or reject all or part
of any statement, waive any requirements of the proposals, as may be deemed to be in
their mutual best interest.
The District and Town may choose to enter into agreements for none, a portion, or all of
the work listed in this Request for Proposal.
Town Council Minutes
Redevelopment Agency
COUNTY REFERRALS (06.38)
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council accept the report concerning County
Referrals:
NUMBER LOCATION APPLICATION REQUEST RECOMMENDATION
4809 16362 Aztec Ridge Schloh Design Review Approval/No Conditions
Carried unanimously.
PLANNING COMMISSION/PLANNING DEPARTMENT MONTHLY STATUS REPORT (07.38)
Informational report regarding activityofPlanning Commission and Department was received and filed.
COUNCIL CALENDAR OF MEETINGS (08.28)
Informational item presenting future Town Meetings for Council and other Town Boards and
Commissions was received and filed.
August 20, 2001
Los Gatos, California
XEROX DC 470 COPIER/PUBLIC WORKS/FIXED ASSET (09.42)
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council authorize fixed asset purchase of
a Xerox DC 470 Copier for the Parks and Public Works Department from Xerox Corporation for
$29, 126.36. Carried unanimously.
SEWER SYSTEM OPERATIONS/ASSESSMENT ANALYSIS/REQUEST FOR PROPOSALS (10)'LJO
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council approve Request for Proposals (RFPs)
for assessment and analysis of sewer system operations. Carried unanimously.
PROJECT 0106 (PHASE 2)/STREET RECONSTRUCTION/RESOLUTION 2001-91 (11.24)
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council adopt Resolution 2001-91 entitled,
RESOLUTION OF THE TOWN OF LOS GATOS AWARDING A CONSTRUCTION
CONTRACT FOR PROJECT 0106 (PHASE 2) OF THE 2001 STREET RECONSTRUCTION
PROGRAM AND PROJECT 0206 FOR SERVICE CENTER IMPROVEMENTS, declaring
O'Grady Paving, Inc. of Mountain View to be the lowest responsible bidder on the project; adopting
resolution awarding a construction contract to O'Grady Paving, Inc. in the amount of $557,147; and
authorizing staff to issue change orders to the construction contract up to an amount of $160,000.
Carried unanimously.
PROJECT 0106(PHASE 3)/STREET RESURFACING PROGRAMIRESO 2001-92 & 6RD (12.24)
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council/Agency adopt Resolution 2001-92
& 6RD entitled, RESOLUTION OF THE TOWN COUNCIL/REDEVELOPMENT AGENCY
OF THE TOWN OF LOS GATOS APPROVING THE PLANS AND SPECIFICATIONS FOR
THE 2001 PAVEMENT OVERLAY PROGRAM AND RELATED WORK AND
AUTHORIZING STAFF TO ADVERTISE THE PROJECT FOR BIDS. Carried unanimously.
PROJECT 0203/CONCRETE REPAIR/AWARD OF BID/RESOLUTION 2001-93 (13.24)
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council adopt Resolution 2001-93 entitled,
RESOLUTION OF THE TOWN OF LOS GATOS AWARDING A CONSTRUCTION
CONTRACT FOR PROJECT 0203 FOR THE YEAR 2001 ANNUAL CONCRETE REPAIR
PROGRAM. Carried unanimously.
HOUSING ELEMENT/FREITAS & FREITAS CONSULTING/RESOLUTION 2001-97 (14.39)
Motion by Mr. Blanton, seconded by Mrs. Decker, that Council adopt Resolution 2001-97 entitled,
RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE TOWN MANAGER
TO EXECUTE AN AGREEMENT WITH FREITAS AND FREITAS FOR SERVICES AS
TOWN HOUSING CONSULTANT, and for update of 1997 Housing Element. Carried unanimously.
TC: D 13 : M M082001
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