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HomeMy WebLinkAboutCOM 0782.000 2010-2012 (C11.,9.f M11'..William P.Kenoi • _ \,j�;�� NancyD QCrrawford : ., �� sue` " � Mayor ��• 'r- Deanna S. Sako •r .e!�'p` Deputy Director County of Hawaii Finance Department ', 25 Aupuni Street, Suite 2103 • Hilo,Hawaii 96720 'vJ (808)961-8234 • Fax(808)961-8569 July 13, 2012 Dominic Yagong, Council Chair and Members of the Hawaii County Council Hawai'i County Council 25 Aupuni Street Hilo, Hawaii 96720 Re: Capital Budget Enclosed is a bill for an ordinance adding the North Kalaniana'ole Interceptor Sewer Rehabilitation Phase II project for $622,000 into this fiscal year's (FY2012-13) Capital Budget. An interim SRF Loan has been executed with the State of Hawaii Department of Health in the amount of$8 million as authorized by Ordinance 11-81. A construction contract has been awarded for this project with a Notice to Proceed date of June 25, 2012. Based on the awarded bid price, the County is eligible for a maximum loan amount of $8,621,409 which includes up to 10% for contingencies and a design allowance of $380,362. This request is to increase the appropriation for SRF funding for this project to the maximum available loan amount in order to take advantage of the lower interest rates, should contingency items arise. If there are any questions, please do not hesitate to call Robin Bauman of the Department of Environmental Management at 981-8324. ..,-,Nancy Crawford Director of Finance Enc. cc: Environmental Mgmt (B; L 262-) Comm.No. 18.2— Ref.To: F- Ref. Date JUL 1 3 ZO 7 Hawaii County is an Equal Opportunity Provider and Employer Form #: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Dept of Environmental Management DATE: 7/10/12 STAFF CONTACT: Lyle Hirota PHONE: 961-8333 A. REQUEST: Request to amend Ordinance 12-87, Capital Improvement Budget, to include an appropriation for the following project: Kalaniana'ole Interceptor Sewer Rehabilitation Phase II —$622,000 from State Revolving Fund B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The State Department of Health has indicated that funding through the State Water Pollution Control Revolving Fund Loan Program is available for the Kalaniana'ole Interceptor Sewer Rehabilitation Phase II project. An Interim SRF Loan has been executed with the DOH in the amount of$8,000,000 as authorized by Ordinance 11- 81. A construction contract has been awarded for this project in the amount of$7,491,861 with a Notice to Proceed date of June 25, 2012. Based on the awarded bid price, the County is eligible for a maximum loan amount of$8,621,409 which includes up to 10% for contingencies and a design allowance of$380,362. This request is to increase the appropriation for SRF funding for this project to the maximum available loan amount in order to take advantage of the lower interest rates should contingency items arise. This project involves the rehabilitation of the existing Kalaniana'ole Avenue Interceptor from Kea'a St. to Baker Avenue due to severe deterioration from sewer gases. The Kalaniana'ole Avenue Interceptor between Kea'a St. and the Pua Sewage Pump Station (SPS) receives sewage from all areas of Hilo located North of Kea'a St. Failure of the interceptor would result in a sewage spill of approximately 2.8 million gallons per day, the majority of which would be discharged to the Wailoa River resulting in contamination of both the Wailoa River and Hilo Bay. The interceptor between the Pua SPS and Keokea Loop road services all areas east of the Pua SPS and failure would result in a sewage spill to State Water on the order of approximately 500,000 gallons per day to shoreline and anchialine ponds. A Project Data/Financial Impact Statement is attached. SIGNED: DATE: �/tVlZ P De artment Head C:\Documents and Settings\rbauman.000NTYOFHAWAII\Local Settings\Temporary Internet Files\OLK2E\B-52-Request for Council Action-Ord KISR Ph 2 071012.doc O. r — _ - 00 N _N- Co m N •L N m in N N in u 3 o o .O 0 d 6 Q' W Q. e0• a 0/ I .-f .-f .tG 4- m W H > vt in lit C a£, o C w Li > C " o.0 c f,, O z Q fa j. O u 'O 1 0 'o O f/t W 4- a d C 0. Y K C Ia a O a fa W u co N C fa C O C a, C '41," To W ICO W rl Q a° 3 O C W L 0 c C a. C Q c a. E 0 m >io a ° o a, o LL — 2 a V) m N L c 0. m F •.474 > 0 0 W aa°• £ .-Ct 0 � —— — C O y H 1-..' 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