Title
AUTHORIZATION TO ENTER INTO AMENDMENT NO. 2 TO THE LINKING AGREEMENT WITH LAYNE CHRISTENSEN COMPANY AND APPROVE THE EXPENDITURE OF FUNDS FOR THE PERFORMANCE EVALUATION, MAINTENANCE AND REPAIR OF PUMPS AND RELATED EQUIPMENT
Staff Contact: Craig Johnson, P.E., Director, Water Services
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Purpose and Recommended Action
Recommendation
This is a request for City Council to authorize the City Manager to amend the linking agreement C-10228 with Layne Christensen Company (Layne) for performance evaluation, maintenance, and repair services; and approve the increase of expenditure of funds in an amount not to exceed $250,000 for this amendment, and authorize the City Manager, at his discretion, to extend the agreement for two additional one-year terms, in an amount not to exceed $850,000 for the entire term.
Background
On August 25, 2015, Council authorized the linking agreement with Layne and expenditure of funds in an amount not to exceed $100,000 through May 7, 2016. On May 19, 2016, the agreement was amended (C-10228-1) with Layne to provide service through May 7, 2017 for expenditure of funds in an amount not to exceed $100,000. This cooperative purchase is available through an agreement between City of Scottsdale and Layne, contract 14RP021, and can be extended through May 7, 2019.
After a year of assessing the condition and performance of the groundwater well sites, additional work is needed to rehabilitate major components and pumping equipment.
Analysis
The increase in the contract amount to $250,000 will provide for additional funding to rehabilitate and update capital equipment at the well sites.
The City of Glendale Materials Management and the City Attorney’s Office have reviewed and approved the utilization of the agreement for the defined services, and concur the cooperative purchase is in the best interest of the city.
Budget and Financial Impacts
Funding is available in the Water Services FY2016-17 operating and capital budgets. Annual budget appropriation thereafter is contingent upon Council approval. Total expenditure is not to exceed $250,000 annually for the remaining terms. The budget will be encumbered as the repairs are scheduled.
|
Cost |
Fund-Department-Account |
|
$250,000 |
2400-17240-518200, Central System Controls |
|
|
2400-17280-523400, Central System Maintenance |
|
|
2400-61048-523400, City Well Rehab |
Capital Expense? Yes
Budgeted? Yes
Requesting Budget or Appropriation Transfer? No
If yes, where will the transfer be taken from?