| | CITY OF EAST PROVIDENCE RHODE ISLAND COUNCIL WORK SESSION APRIL 14, 2009 7:30pm | |
The City Council meets for a Work Session for review of the DBO RFP for the Wastewater Treatment Plant Improvement on Tuesday, April 14, 2009 and Mayor Joseph S. Larisa, Jr. calls the meeting to order at 7:51 pm.
| Present: | Joseph S. Larisa | ) | Mayor |
| | Robert E. Cusack | ) | |
| | Bruce DiTraglia | ) | Council Members |
| | Brian G. Coogan | ) | |
| | James Briden | ) | City Solicitor |
| | Kim A. Casci | ) | City Clerk |
A motion is made to return to open session by Councilman Cusack, seconded by Councilman DiTraglia and it is unanimous.
A motion is made to seal the minutes of the Executive Session made by Councilman Cusack, seconded by Councilman DiTraglia and on a roll call vote it is unanimous.
Councilman Coogan arrives at open session.
A power point presentation was completed and a hard copy of the presentation was given to the Council.
Engineering issues were answered by Susan Landon from Malcom Pirnie.
Legal Issues were answered by Sean Coffee of Burns and Levinson.
Mayor Larisa stated the biggest concern of the Council is the cost to ratepayers, how will our ratepayers be compared to others across the state? The Council will need to see a comparison.
Susan Landon stated that once all the information is on board a model can be developed.
The Mayor also mentioned grants, low interest loans and other loan programs to help with the cost of the project.
The City Manager stated East Providence is the number two project in the State and the City would be eligible via stimulus funds which could cover the first year’s cost.
Mayor Larisa stated this is the best time to go out for bid and it was agreed that it was as there were a lot of companies out there looking to bid for business.
Councilman Cusack stated that given the contract and the risk transfer from the City to the team, the operator will be very much interested in the reliability of the construction firms and that cost may not be the only factor.
Sean Coffey said typically with these kinds of projects the main team will be the finest available, the work of the construction can vary bringing in subcontractors but the City won’t have the headache of going out to bid and supervising all those. Once the design is built it is turned over to the operator. Combining all the work generally reduces the cost and eliminates any finger pointing.
The City Manager stated that via informal discussions there have been rumors that Narragansett Bay Commission may bid on it but he added that he did not think it was a fit and would be surprised if they decided to bid.
Mayor Larisa stated one of the goals would be to keep the rate lower than or at that of NBC who is in charge of a 1/3 of East Providence, currently Bucklin Point.
Councilman Coogan asked what else would there be with hazardous materials and is the City responsible?
Sean Coffey said the vendor would do a comprehensive geo-tech study and evaluation to determine what is there. If there is more than was originally thought in the initial reports they would then contact the City and see how the City would want to proceed and if modifications needed to take place to the existing contract. Once they get past this point anything that is found as they move forward is their responsibility not the City’s.
Councilman Cusack restated that the entire project being undertaken is being driven by DEM who is requiring that the City’s emission of nitrogen go way down. That reduction can’t be done by just fixing up the current plant. The biological processes have to change and this is very expensive. The facility the City has now has not been underfunded or allowed to deteriorate but because of the heroic efforts of the staff there has been able to perform very well because of their efforts and innovation. Had the City spent money on upgrades to make it look better but not changed the functionality the money would actually have been wasted. Everyone will have a cleaner Bay as a result.
Mayor Larisa stated other Cities and Towns did spend money a few years ago prior to DEM regulations while East Providence avoided an increase to the ratepayers at that time. He asked does Barrington pay 20% and do they agree with this process?
The City Manager and Steve Couto both stated they have been keeping Barrington apprised of the situation and they are a contributor and they will be paying 20% maybe a bit more.
The Watchemoket pump station will stop any overflows during heavy rains which we have now.
Councilman DiTraglia asked if the price was $70 million dollars over 10 years and who pays for that cost?
Susan Landon stated the City pays and there is some cost to the ratepayer.
Sean Coffey stated the useful life of the improvements is closer to 30 years for financing purposes. Increases will be gradual over a period of time.
Councilman DiTraglia expressed concern in voting for this without knowing what the cost to the ratepayer will be.
Sean Coffey responded that the approval is just to go to bid not to vote to accept the bid.
Mayor Larisa stated this is going to be financed over 30-40 years. The goal for Council is to make sure what our ratepayers are paying is equal to or less than other communities or at or below the NBC rate.
Councilman DiTraglia asked if the workers there will be trained and will the Union continue there and the answer from Sean Coffey was yes. Susan Landon explained that a new contract is worked out with the employees and that includes keeping it a Union operation in fact it is required that they honor the collective bargaining agreements.
Mayor Larisa asked if the RFP and the service agreement could be received by the Council as a PDF, so as not to waste paper, and they would like it by Friday this week for review for the Council meeting. The Mayor instructed them to work with the City Solicitor to create a resolution for approval at the upcoming Council meeting on April 21st.
The Mayor added the City reserves the right to reject any and all proposals and that they can start the whole process over if they so choose. He further requested they get at the very least prices locked in by December and hopefully have construction beginning by then as well.
A motion is made to adjourn at 9:30pm by Councilman DiTraglia, seconded by Councilman Cusack and it is unanimous.
Attest: Approved by Council: May 5, 2009
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Kim A. Casci
City Clerk