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File #: 2016-0886   
Type: Contract Status: Passed
File created: 11/2/2016 In control: Construction Committee
On agenda: 1/19/2017 Final action: 1/26/2017
Title: AUTHORIZE the Life-of-Project (LOP) budget of $13,185,000 for a three-year Fuel Storage Tank Project managed through Environmental Compliance and Sustainability Section (ECSS).
Sponsors: Construction Committee
Indexes: Budget, Budgeting, Capital Project, Contracts, Fuels, Fy15-17 Fuel Storage Tank System Enhancements (Project), Project, Safety, Storage tanks, Tanks (Containers), Testing
Attachments: 1. Attachment A - Cost Estimates
Meeting_Body
CONSTRUCTION COMMITTEE
JANUARY 19, 2017


Subject/Action
SUBJECT: FUEL STORAGE TANK PROGRAM FOR RAIL AND BUS FACILITIES

ACTION: ESTABLISH LIFE OF PROJECT BUDGET

Heading
RECOMMENDATION

Title
AUTHORIZE the Life-of-Project (LOP) budget of $13,185,000 for a three-year Fuel Storage Tank Project managed through Environmental Compliance and Sustainability Section (ECSS).

Issue
ISSUE

Metro currently operates Underground Fuel Storage Tanks (USTs) in 16 bus/rail divisions. UST systems are regulated by Los Angeles Fire Department, Los Angeles County Public Works, and State Water Resources Control Board (SWRCB) Title 23 and AQMD Rule 461. The Tank Program is budgeted annually based upon forecasted upgrades and repairs from the annual required testing performed on USTs. Early this year SWQCB inspected all of Metro's USTs that are regulated by SWRCB. SWRCB issued unforeseen Notices of Violations (NOVs) for UST systems at all of Metro Divisions. Consequently, there is a need to request the approval of an out of cycle UST project in order to address the NOVs to allow for continued availability of diesel for emergency generators and gasoline for Metro's non-revenue fleet.
Beyond the completion of the repairs associated with the USTs, the remaining project funding will be used to address on-going maintenance of operating USTs.

Discussion
DISCUSSION

The existing UST Project (Project Number 202211) has a three year life of project budget with corresponding programmed annual activities that include the repair and replacement of UST parts, hoses, electrical conduits, and other related appurtenances. The calendar year 2016 is unusual. While Metro staff has programmed repairs and upgrades for this fiscal year and are scheduled to complete the project within time and budget, all of Metro's facilities were also simultaneously serially inspected by the SWRCB within a very short timeframe at the beginning of 2016. This concentrated inspection by SWRCB had...

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