6b Environmental Site Support memo
COMMISSION AGENDA MEMORANDUM Item No. 6b ACTION ITEM Date of Meeting June 26, 2018 DATE: June 14, 2018 TO: Stephen P. Metruck, Executive Director FROM: Don Robbins, Senior Environmental Program Manager Arlyn Purcell, Director, Aviation Environment & Sustainability SUBJECT: Environmental Site Support Services Indefinite Delivery, Indefinite Quantity (IDIQ) Professional Services Agreement Amount of this request: $0 Maximum Contract Value: $5,000,000 ACTION REQUESTED Request Commission authorization for the Executive Director to execute two professional services indefinite delivery, indefinite quantity contracts to perform Environmental Site Support Services with a total value of $5,000,000 and a contract ordering period of five years. No funding is associated with this authorization. EXECUTIVE SUMMARY The Aviation Environmental Department proposes to advertise and select two qualified firms to provide Environmental Site Support Services. The two IDIQ contracts would provide environmental construction monitoring, hazardous waste compliance and site assessments for environmental due diligence to the Airport's Capital Improvement Program (CIP), planning and development initiatives, and other strategic interests. The contracts would also be used by other Port Divisions as needed. IDIQ contracts provide the Port with the flexibility to meet business requirements as they arise by issuing individual Service Directives to accomplish tasks within the general, pre-defined scope of work on an as-needed basis for a fixed period of time and a maximum contract amount. The funding for these service directives will come separately from either annual operating budgets or individual project authorizations. JUSTIFICATION This contract will enable the Port to perform environmental construction monitoring, hazardous waste management compliance and environmental assessment support. Management of waste consistent with the Port's construction monitoring work plan as well as federal and state regulations minimizes construction delays, limits adverse environmental impacts, reduces the Port's exposure to unacceptable liability, and avoids enforcement actions. Template revised April 12, 2018. COMMISSION AGENDA Action Item No. ____ Page 2 of 6 Meeting Date: June 26, 2018 Competitively bid IDIQ contracts are a widely used public sector contracting tool, consistent with the Port'sGeneral Delegation of Authority and governed by Central Procurement Office (CPO)-1 policy. The contract will be procured according to CPO-1 procedures for Category III procurement. The Port will advertise and issue a request for qualifications (RFQ) that includes a small business goal of ten percent (10%) on one contract, and a portion of the contract ($500,000) will be unbundled to leverage small business participation only. An evaluation of the level of outside services required versus Port staff support was performed as detailed in the Alternatives and Implications Considered section below. This evaluation considered cost as well as staff availability, impacts to work schedules and level of in-house expertise. The evaluation concluded that environmental site support services could be most effectively met through a combination of existing Port staff supplemented by IDIQ contract support. DETAILS Port environmental staff is on-call 7/24 and responds as needed to monitor and coordinate environmentally related events, all spill response actions, and discovery of unanticipated contamination during construction and other Port activities. Annually, the Port manages hundreds of thousands of pounds of contaminated soil, hazardous waste and other regulated materials as well as responds to other environmental emergencies. A major portion of this work is monitoring construction activities for environmental contamination caused by historical operations and current-day spills of hazardous materials. In many cases contaminated soils at these sites present no risk to human health or the environment while in place or below pavement However, that same contaminated material must be properly managed and disposed of in accordance with federal and state requirements once excavated and removed from the site. In 2002, an environmental construction monitoring work plan was developed to document the coordination and oversight activities related to the discovery, evaluation, and disposal of contaminated materials encountered during Airport construction projects. This work plan has been approved by the Washington State Department of Ecology and is implemented as evidence that the Port is properly managing all contamination discovered and that known onsite contamination is not causing harm to human health or the environment. Continued implementation of this plan decreases the potential for independent cleanup projects that drastically delay and interfere with our capital improvement program. In addition to properly managing contaminants on-site, environmental construction monitoring ensures the Port properly disposes of contaminated material, preventing significant additional cost and cleanup liability. Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. ____ Page 3 of 6 Meeting Date: June 26, 2018 In addition, Airport operations and maintenance activities generate hazardous waste which must be managed appropriately. These wastes include maintenance supplies, garden pesticides, building materials containing PCB's, mercury, and lead, underground storagetanks and containers of unknown contents. Each of these materials requires special management to comply with the rules of multiple regulatory agencies. Acquisitions of property previously used for residential, commercial, and industrial purposes also can contain hazardous wastes that need to be disposed of properly. These acquisitions require environmental assessments and other technical support services to determine if historical contamination is present and how the site should be properly characterized to meet environmental due diligence standards. The current Environmental Site Support Contract has expended funds at a faster rate than was anticipated when it was procured in 2015. It contained $2.3 million dollars, estimated for three years, but it will reach that ceiling before its expiration date of March 2018. Scope of Work Prepare and execute two IDIQ contracts for Environmental Site Services Support for the Airport. Services to be included in the IDIQ contracts are: environmental construction monitoring for identification and proper management of contaminated soils, underground storage tanks, fuel pipelines and other hazardous materials encountered during construction; field screening and laboratory sampling services for all types of media including waste, sediment, groundwater, surface water, storm water, soils, sludge, and air/vapor; data management and geographic information system services and mapping; compliance support for identifying, designating, packaging, inspecting and coordinating disposal of hazardous and non-hazardous wastes; support for spill response activities; pollution prevention assessments; environmental site and risk assessments and investigations; design of site remediation systems; and cost estimation services for environmental projects. Schedule These IDIQ contracts will have a contract ordering period of five years during which service directives will be issued. The contract duration and ordering period will ensure continuity of support to upcoming multi-year construction projects and other environmental support provided by this contract. ALTERNATIVES AND IMPLICATIONS CONSIDERED Four alternatives for meeting the Airport's Environmental Site Support Services requirements were evaluated. The alternatives evaluated methods of performing environmental construction Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. ____ Page 4 of 6 Meeting Date: June 26, 2018 monitoring tasks through contracted services, Port staff, construction contractor or combination of all three. Annual costs for each alternative were evaluated based on the anticipated demand for environmental construction monitoring during a construction season. Although the level of required services may vary year to year, the relative costs for each alternative were shown to remain the same and therefore did not affect the evaluation of the alternatives presented below. Hazardous waste compliance and site assessments must be performed through contracted services due to technical expertise needed for these tasks. Cost for these tasks was therefore the same in each alternative. Alternative 1 Environmental Site Support Services Completed through IDIQ contract only: Cost Implications: Estimated Annual Costs: $1,261,000 Pros: (1) Contractor only gets paid for work performed; no payment is given for being on-call. (2) Does not require additional Port staff. (3) Provides flexibility of contracted work force. (4) Provides consistent reporting and documentation. (5) Direct control of contamination and low potential for compliance violations or environmental liability. Cons: (1) Increased costs as compared to Alternative 3 and 4. This is not the recommended alternative. Alternative 2 Environmental Construction Monitoring performed by Construction Contractor Cost Implications: Estimated Annual Costs: $1,425,000 Pros: (1) Reduces AV/ENV staff costs for contract administration. Cons: (1) Increases environmental liability due to lack of direct control of waste designation. (2) Increases AV/ENV staff time to track, compile and manage contractor reports. (3) Prime contractor would charge premium up to 25% markup to manage these services under force account. (4) Potential overpayment for mischaracterized soil. (5) Costs greater than the other alternatives. This is not the recommended alternative. Alternative 3 Environmental Construction Monitoring Completed by Port Staff Cost Implications: Estimated Annual Costs: $980,600 Pros: (1) Reduces AV/ENV staff costs for contract administration. Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. ____ Page 5 of 6 Meeting Date: June 26, 2018 (2) Provides Port work force that can increase or decrease service level of effort as needed. (3) Provides trained Port workforce with specific technical expertise. (4) Provides consistent reporting and documentation. (5) Direct control of contamination and low potential for compliance violations or environmental liability. Cons: (1) Servicing peak seasonal demand requires hiring full time employees resulting in unutilized labor through the majority of the year. (2) Costs greater than the recommended alternative. This is not the recommended alternative. Alternative 4 Environmental Site Support Services Completed by IDIQ Contract and Port Staff Cost Implications: Estimated Annual Costs: $1,000,000 Pros: (1) Lowest cost alternative. (2) Provides contracted and Port work force that can increase or decrease service level of effort needed. (3) Utilizes existing trained Port staff with specific technical expertise. (4) Direct control of contamination and low potential for compliance violations or environmental liability. (5) Provides consistent reporting and documentation. Cons: (1) Coordination is required between Port Environmental Construction Manager and consultant. This is the recommended alternative. FINANCIAL IMPLICATIONS The contracts will have a total not-to-exceed amount of $5,000,000. The Port will authorize work under individual Service Directives as specific work tasks are required and funding for that work is authorized by the Commission. Individual Service Directives will be negotiated and processed before any work is performed. Service Directives, consisting of a scope, fee agreement and schedule, will not be established until the project has been approved in accordance with Resolution 3605. There are no guarantees that the Port will initiate any Service Directive or that any related projects will be authorized by the Port Commission. The Port will not issue service directives in excess of the $5,000,000 combined contract dollar value. Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. ____ Page 6 of 6 Meeting Date: June 26, 2018 ATTACHMENTS TO THIS REQUEST None PREVIOUS COMMISSION ACTIONS OR BRIEFINGS October 13, 2015 The Commission authorized an IDIQ contact to perform Environmental Field Support Services at the airport with a total value of $2,300,000 and a contract ordering period of five years. Template revised September 22, 2016; format updates October 19, 2016.
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