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APPROVE FINDINGS AND RATIFY FINAL EXPENDITURES FOR THE EMERGENCY ENVIRONMENTAL CLEAN-UP AND REMEDIATION OF A HAZARDOUS MATERIALS SPILL AT 4873 NORTH WEST LANE
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RECOMMENDATION
It is recommended that the City Council approve a resolution to approve findings and ratify the emergency expenditure of $168,943.87 to Ponder Environmental Services, Inc. of Benicia, California, (Ponder), for emergency environmental clean-up and remediation of a hazardous materials spill at 4873 North West Lane.
It is also recommended the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this resolution.
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Summary
The Municipal Utilities Department (MUD) is comprised of three enterprise funds including Water, Wastewater, and Stormwater Utilities. The Stormwater Utility consists of 77 pump stations, over 600 miles of pipeline, and 22,500 drain inlets that route stormwater from city streets into local basins and waterways. Regular system maintenance is necessary to prevent flooding from storm runoff. The Stormwater Utility is also responsible for oversight and compliance with the City’s National Pollutant Discharge Elimination System (NPDES) Municipal Separate Storm Sewer System (MS4) permit, which requires extensive monitoring and public outreach programs to promote water quality in the Sacramento San Joaquin River Delta.
On May 5, 2025, a hazardous materials spill of approximately 300 gallons of petroleum products at 4873 North West Lane was reported to the Stockton Fire Department. MUD inspectors from both Environmental Control and Stormwater divisions investigated and determined that the spill entered the stormwater system and posed a threat to public health, property, and the environment. The clean-up and remediation efforts were completed on June 13, 2025, at the final cost of $168,943.87.
If approved by the City Council, this resolution will approve findings and ratify the total expenditure of $168,943.87 for emergency environmental clean-up and remediation by Ponder Environmental Services, Inc. for the hazardous materials spill at 4873 North West Lane.
DISCUSSION
Background
The MUD Environmental Control Division manages the clean-up of illicit discharges and hazardous material spills that impact Stockton area waterways. The California Health and Safety Code requires immediate response to hazard material spills.
On March 16, 2016, the City Council approved Resolution 2016-03-26-0302 updating the Sewer System Management Plan (SSMP), which includes the Sanitary Sewer Overflow Emergency Response Plan (SSOERP). Both the SSMP and the SSOERP comply with the requirements of State law for immediate response and remediation of hazardous material spills. The SSOERP outlines the actions to be taken by the City in response to illicit discharges to the sewer or stormwater systems.
At the time of the initial response, the total impact of the illicit discharge and subsequent clean-up, testing, and disposal costs were unknown. The Environmental Control Division maintains a list of local companies qualified and licensed to handle hazardous materials. Response to illicit discharges is rotated through qualified companies based on the ability to respond and produce the appropriate required insurance certificates.
On May 5, 2025, a hazardous materials spill of approximately 300 gallons of petroleum products at 4873 North West Lane was reported to the Stockton Fire Department and MUD inspectors determined the spill threatened public health, property, and the environment. Ponder Environmental Services, Inc. (Ponder) was the next available company on the response list. Ponder held the appropriate license certificates for the clean-up of hazardous material and was selected to assist with the clean-up and remediation.
The City Manager approved the request for emergency procurement authorization for the clean-up of the illicit discharge in accordance with City Manager Emergency Contract and Procurement Policy (17.05.150), which provides a process for rapidly acquiring needed materials or services for critical, unforeseen government need amid emergency situations as defined in Chapter 3.68 of the Stockton Municipal Code, and City Council Resolution 2019-03-05-1109, which authorizes a rotating vendor list for environmental cleanup and abatement services.
Present Situation
On June 13, 2025, Ponder completed the clean-up and remediation efforts at the total final expense of $168,943.87.
An ongoing investigation has not determined the party responsible for this incident. The Environmental Control Division typically manages about five clean-ups of hazardous materials a year. Over the past five years, total annual charges for spill response ranged from $5,000 to $36,350 per incident. In the last 10 years, one spill event exceeded $100,000.
Findings
Pursuant to the Stockton Municipal Code (SMC) section 3.68.070, the City Council may approve findings which support and justify an exception to the competitive bidding process. The following findings support and justify an exception:
1. A hazardous materials spill of petroleum products at 4873 North West Lane was reported to the City.
2. Emergency environmental containment, clean-up, and remediation of the stormwater drainage system, public right of way, and gutters were necessary to protect public health, property, and the environment in accordance with environmental regulations.
3. City Council Resolution 2019-03-05-1109 approved a rotating vendor list for environmental cleanup and abatement services and allowed staff to quickly respond to address the hazardous materials spill, satisfying California Health and Safety Code requirements.
4. Ponder is a responsive contractor that was available and capable of completing the necessary environmental cleanup and mitigation, which was in the best interest of the public.
5. Ponder completed the clean-up and remediation of the spill area on June 13, 2025.
6. Final expenses have been identified in the amount of $168,943.87.
Staff recommend that the City Council ratify the findings and total expenditure of $168,943.87 for emergency environmental clean-up and remediation by Ponder of the hazardous materials spill at 4873 North West Lane.
FINANCIAL SUMMARY
There are sufficient funds in the Environmental Control budget for the emergency environmental clean-up and remediation service costs provided by Ponder.
This action has no impact to the General Fund, or any other unrestricted funds.