1991 AGN FEB 19 I14 - Laserfiche WebLink

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CITY OF COLTON AGENDA REPORT For Council Meeting of February 19, 1991 TO: Honorable Mayor and City Council FROM: John C. Hutton, Director of Public Works' Date: February 14, 1991 SUBJECT: Authorization to Execute Contract for RIX Treatment Facility Maintenance and Operations BA MCAUUND: The Cities of Colton and San Bernardino, in joint participation agreed to construct a required tertiary treatment facility (RIX) project located along Agua Mansa Rd., west of Colton's existing secondary treatment plant. As outlined in the JPA, the construction and eventual operation of the facility would be based upon Colton's participation at 25% and San Bernardino's participation at 75%. The project is nearing 85% completion and proposals for operation and maintenance were necessary at this time to secure its implementation within 90 days of its completion. STATEMENT OF THE PROBLEM: As part of Colton's permit to operate a waste discharge facility, the State and Federal Governments mandated a third stage tertiary treatment plant, both the Cities of Colton and San Bernardino were mandated to meet this requirement and as a means to decrease costs a joint facility was agreed to. Both agencies are constructing the facility and a State loan of 3.5% interest was to be utilized for its initial construction (bond sales had been prepared and were ready to be issued at 8.5% interest, however, SAWPA was able to secure the low- interest State loan). The State loan is currently being processed and all related construction engineering and land costs will be reimbursed to the City. Operations and maintenance costs are not related or reimbursable expenses, as outlined in the JPA. ALTERNATIVES: None, operations and maintenance costs were agreed to as part of the JPA and these costs would exist if operated solely or in joint participation. FINANCIAL IMPAiCT: The total operational and maintenance costs (including all related lab analysis) is $556,848 based upon the agreed 25$/75% split. The City's obligated cost for operations and maintenance would be $139,212. Attachments: 3 Page 1 of 2 Item No / Y