HomeMy WebLinkAbout1999-06-21 Water & Sewer
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 513
ASSEMBLY
The District Board of Commissioners of the New Hanover County Water and Sewer District
met in Regular Session on Monday, June 21, 1999, at 11:41 a.m. in the New Hanover County Public
Library, 2nd Floor Conference Room, 201 Chestnut Street, Wilmington, North Carolina.
Members present were District Commissioner Buzz Birzenieks; District Commissioner Ted
Davis, Jr; District Commissioner William A. Caster; Vice-Chairman Charles R. Howell; Chairman
Robert G. Greer; County Manager, Allen O’Neal; County Attorney, Wanda M. Copley; and Clerk
to the Board, Lucie F. Harrell.
Chairman Greer called the meeting to order.
NON-AGENDA ITEMS
Chairman Greer announced that time has been reserved to allow the public to present an item
that was not listed on the regular agenda. He requested all persons speaking to limit their remarks
to three minutes.
No items were presented.
AWARD OF SURVEY CONTRACT #99-0401 TO ARNOLD W. CARSON, RLSPC TO
PROCEED WITH DESIGN OF THE SEWER COLLECTION SYSTEMS FOR THE
BRIERWOOD\BROOKFIELD AREA, WEAVER ACRES, AND GLYNWOOD MOBILE
HOME PARK AND APPROVAL OF THE ASSOCIATED BUDGET AMENDMENT #99-
0193
County Engineer, Wyatt Blanchard, requested the District Board to award the survey and
design contract in the amount of $52,150 to Arnold W. Carson, RLSPC, the lowest bidder, for the
sewer collection systems to serve the Brierwood/Brookfield area, Weaver Acres, and Glynwood
Mobile Home Park.
Motion:
District Commissioner Howell MOVED, SECONDED by District Commissioner Caster
to award the survey and design contract in the amount of $52,150 to Arnold W. Carson, the lowest
bidder, and to approve the associated budget amendment for the sewer collection systems to serve
the Brierwood/Brookfield area, Weaver Acres, and Glynwood Mobile Home Park. The Chairman
was authorized to execute the necessary contract documents. Upon vote, the MOTION CARRIED
UNANIMOUSLY.
A copy of the contract is on file in the Legal Department.
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 514
Budget Amendment #99-0193
ADJUSTMENTDebitCredit
Sewer Operating Fund:
Appropriated Fund Balance $52,150
Water & Sewer Engineering:
Contracted Services$52,150
Explanation:
To appropriate Water and Sewer District Fund Balance for survey and design contract
#99-0401 with Arnold W. Carson.
APPROVAL OF CHANGE ORDER #3 TO HEATH CONSTRUCTION CONTRACT #98-
0176
County Engineer, Wyatt Blanchard, reported that Heath Construction Company was hired
to install water and sewer taps and make emergency repairs beyond the capability of the County’s
personnel and equipment. Due to the increased number of taps requested and emergency repairs,
the original contract in the amount of $91,900 is almost depleted. The District Board was requested
to approve a Change Order #3 in the amount of $75,000 to continue the service.
Motion:
District Commissioner Birzenieks MOVED, SECONDED by District Commissioner Caster
to approve Change Order #3 to the Heath Construction Contract #98-0176 in the amount of $75,000
as recommended by the County Engineer and to approve the associated budget amendment. The
Chairman was authorized to execute the necessary contract documents. Upon vote, the MOTION
CARRIED UNANIMOUSLY.
A copy of the change order is on file in the Legal Department.
Budget Amendment #99-0192 - Water & Sewer District - Sewer Operating Fund/Water &
Sewer Engineering
DebitCredit
Sewer Operating Fund:
Appropriated Fund Balance $75,000
Water & Sewer Engineering:
Contracted Services$75,000
Explanation:
To appropriate Water & Sewer Fund Balance for Change Order #3 of Contract #98-
0176 with Heath Construction Company.
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 515
AUTHORIZATION TO FILE AN APPLICATION TO THE UNSEWERED
COMMUNITIES PROGRAM ADMINISTERED BY THE RURAL CENTER TO ASSIST
WITH FUNDING THE WILMINGTON-HANBY BEACH AND CASTLE HAYNE AREA
SEWER SYSTEMS
County Engineer, Wyatt Blanchard, requested authorization for staff to file an application
to the Unsewered Communities Program administered by the Rural Center to assist with funding the
Wilmington-Hanby Beach and Castle Hayne area sewer systems.
Motion:
District Commissioner Caster MOVED, SECONDED by District Commissioner Birzenieks
to authorize staff to file an application to the Unsewered Communities Program administered by the
Rural Center to assist with funding the Wilmington-Hanby Beach and Castle Hayne area sewer
systems. The Chairman was authorized to execute the necessary documents. Upon vote, the
MOTION CARRIED UNANIMOUSLY.
ADOPTION OF 1999-2000 BUDGET ORDINANCE FOR THE NEW HANOVER COUNTY
WATER AND SEWER DISTRICT
Motion:
District Commissioner Birzenieks MOVED, SECONDED by District Commissioner
Caster to adopt the 1999-2000 Budget Ordinance for the New Hanover County Water and Sewer
District. Upon vote, the MOTION CARRIED UNANIMOUSLY.
A copy of the Budget Ordinance is hereby incorporated as a part of the minutes and is
contained in W&S Book II, Page 26.
ADOPTION OF ORDINANCES UPON THE FIRST READING TO INCREASE WATER
AND SEWER RATES
Ms. Julie Griffin, Finance Director of the Water and Sewer District, reported the District
Board has not increased water and sewer rates since 1991. She requested the Board to adopt
ordinances that will increase the water rate to $1.87 per 1,000 gallons and the sewer rate to $3.64
per 1,000 gallons. The proposed increases will generate an additional $100,000 in water revenues
and $1,000,000 in sewer revenues per year.
Motion:
Vice-Chairman Howell MOVED, SECONDED by District Commissioner Caster to adopt
the ordinances as presented. Upon vote, the MOTION CARRIED UNANIMOUSLY.
Copies of the ordinances are hereby incorporated as part of the minutes and are contained
in W&S Book II, Page 26.
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 516
ADOPTION OF RESOLUTION AWARDING THE LOWEST RESPONSIBLE BID
(CONTRACT #98-0356) TO THE GENEVA CORPORATION FOR THE PURCHASE OF
17 GENERATORS, APPROVAL OF A CONTRACT WITH STURDY POWER COMPANY
FOR THE PURCHASE OF TWO SELF-MONITORING GENERATORS, AND APPROVAL
OF ASSOCIATED BUDGET AMENDMENT #99-0191
Chairman Greer requested to be recused from discussing or voting on this issue since he is
associated with one of the companies.
Motion:
District Commissioner Caster MOVED, SECONDED by District Commissioner Birzenieks
to recuse Chairman Greer from voting on this issue. Upon vote, the MOTION CARRIED by a 4 to
0 vote.
County Engineer, Wyatt Blanchard, reported that four companies presented bids for the
purchase of backup generators for pump stations and portable generators. The lowest bidder,
Owsley & Sons, did not submit a complete package as specified in the bid. The vendor was
contacted by phone the day following the bid and the company was requested to provide the
necessary information. The vendor did not provide the required information. The vendor was
notified by telephone and by fax on Monday, June 7, 1999, and told if the information was not
received by the deadline, the bid would be disqualified. The information was received by the
deadline, but the bid was not in compliance with the specifications.
County Engineer Blanchard advised that staff recommends award of the bid to Geneva
Corporation for Alternate #1 Price for Pump Stations in the amount of $340,857 and the Base Bid
for portables in the amount of $84,380 for a total purchase price of $425,237.
In closing County Engineer Blanchard introduced Mr. Jack Talbert, of Sturdy Power
Company, and stated he has requested time to make a presentation to the District Board regarding
a new technology incorporating self-monitoring generator systems.
Mr. Talbert expressed appreciation to the District Board for allowing him time to present the
new concept of self-monitoring generator systems. He requested the District Board to consider
purchasing two emergency power systems with battery packs that are charged by generators when
power levels fall at pumping stations. The system is electronically monitored 24 hours a day, and it
will initiate an alarm that can be tied into a pager used by a maintenance person through a satellite
monitoring system. The initial cost of the systems will be more expensive than purchasing two
generators, but in the long term, the systems will be more cost effective. These systems will not fail
because they are self-monitoring and they are designed to last for 20 to 30 years without replacement
of parts. One visit per year is required to change the oil and air system.
Mr. Talbert commented on this being a new concept, and he offered to negotiate a five-year
agreement with the District to purchase two Sturdy battery pack units at a cost of $42,000 each with
the County keeping maintenance records to verify operational costs between the two units versus
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 517
the Geneva generators for a 5-year period. If the cost analysis pro-rated over the estimated life of
the equipment does not verify that Sturdy units cost less to operate over the 5-year period, the
company will reimburse the District the total purchase price of the two units upon the return of the
equipment to the Sturdy Power Company.
In closing, Mr. Talbert informed the Board that the systems proposed will last longer without
replacement of parts and they will not fail during power outages. He offered to answer any
questions.
Discussion was held on the number of generators to be purchased from Geneva. County
Engineer Blanchard responded that 19 generators were to be purchased from the Geneva
Corporation; however, after discussion with the company about reducing the generators to 17,
Geneva Corporation does not have a problem with amending the bid award.
Further discussion was held on the additional cost of the two units versus the generators.
Mr. Talbert explained that the price was based on a 20 to 30 year life cycle of the equipment and a
5-year time frame at no risk to the District. The cost of operation, manpower, and other costs will
be included in the agreement.
District Commissioner Davis asked what would happen if the District experienced a hurricane
and the Sturdy systems did not function.
Mr. Talbert responded that the battery pack systems could not fail because each system
monitors itself through a micro-processor that pages a designated person when the system has a
problem. It informs that person about the probable cause and the solution to the problem. This type
of monitoring is programmed into the equipment. He said when a generator is needed, even though
it was tested the day before, there is no way to assure the generator will crank the next day.
County Engineer Blanchard asked Mr. Talbert to comment on the life expectancy and cost
of each battery pack.
Mr. Talbert said the cost of each battery pack was $8,400. He explained that it would be
difficult to project a time frame because it would depend on the amount of use. The batteries control
when there is sufficient need to cut on the generator. If there is a light load, the batteries will not
turn on the generator; however, if the load becomes heavy, the batteries will shift the load to the
generator. In a pump lift station environment, the company is comfortable with a 20 to 30 year life
expectancy of the system.
District Commissioner Davis requested County Engineer Blanchard to express his feelings
about the proposed units.
County Engineer Blanchard responded that the concept was excellent and stated, however,
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 518
the system has not been proven and the battery unit generators cost more than regular generators.
Mr. Talbert reported the long term savings will be in annual maintenance and the cost of
parts. When you eliminate fan belts, radiators, starter motors, and starter batteries, the operating
cost is reduced. Sturdy believes that over a 5-year period, the District will save untold dollars.
District Commissioner Birzenieks asked how long it will take Sturdy to place the two units
on line.
Mr. Talbert responded the units can be delivered by the first of October.
District Commissioner Birzenieks said he felt the system will save money, but he would like
to know the exact amount of money that will be saved.
Deputy County Manager Atkinson estimated that the District will save approximately $8,000
per year over the 5-year period.
Motion:
After further discussion, District Commissioner Caster MOVED, SECONDED by District
Commissioner Birzenieks to adopt a resolution to: (1) purchase 17 instead of 19 pump station
generators plus four portable generators from the Geneva Corporation at a total cost of $391,049;
(2) purchase two battery pack generator units from Sturdy Power Company at a cost of $84,000
contingent upon the District keeping maintenance records to verify operational costs for the 5-year
period between the Sturdy units versus the Geneva generators with the guarantee that if the 5-year
cost analysis pro-rated over the estimated life of the equipment does not result in the equipment
provided by Sturdy being less expensive to operate, the District will be reimbursed by Sturdy Power
Company the total purchase price of the two units upon the return of the units to the company; (3)
authorize the Chairman to execute the necessary contract documents; (4) and approve the associated
budget amendment. Upon vote, the MOTION CARRIED UNANIMOUSLY.
Budget Amendment #99-0191 - Sewer Operating Fund/Water & Sewer Engineering
DebitCredit
Sewer Operating Fund:
Appropriated Fund Balance$475,049
Water & Sewer Engineering:
Capital Outlay - Equipment $475,049
Explanation:
To appropriate Water & Sewer District fund balance for purchase of generators, Bid
#99-0356.
A copy of the resolution is hereby incorporated as a part of the minutes and is contained in
NEW HANOVER COUNTY WATER AND SEWER DISTRICT BOOK 2
REGULAR MEETING, JUNE 21, 1999 PAGE 519
W&S Exhibit Book II, Page 26.
ADJOURNMENT
Motion:
District Commissioner Birzenieks MOVED, SECONDED District Commissioner Davis
to adjourn. Upon vote, the MOTION CARRIED UNANIMOUSLY.
Chairman Greer adjourned the meeting at 12:40 p.m.
Respectfully submitted,
Lucie F. Harrell
Clerk to the District Board