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APPROVE FINDINGS AND RATIFY FINAL EXPENSES FOR THE EMERGENCY ENVIRONMENTAL CLEANUP AND REMEDIATION OF A HAZARDOUS MATERIALS SPILL AT ANDERSON STREET
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RECOMMENDATION
It is recommended that the City Council adopt a resolution to approve findings and ratify the emergency expenditure of $962,489.88 to Ponder Environmental of Benicia, California (Ponder Environmental) for emergency environmental cleanup and remediation of a hazardous materials spill at Anderson Street.
It is also recommended that 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
On June 10, 2022, a hazardous materials spill of approximately 1,700 gallons of diesel fuel and other petroleum products was reported at the City’s stormwater pump station located at 725 West Anderson Street near Interstate 5. Stormwater discharge from the pump station flows into Mormon Slough and the Stockton Channel. The Municipal Utilities Department (MUD) Stormwater and Environmental Control staff investigated and determined the spill posed a threat to public health, property, and the environment.
• On August 25, 2022, the City Manager approved the MUD request for emergency procurement authorization for the cleanup and remediation of the Anderson Street hazardous materials spill in accordance with the City Manager Emergency Contract and Procurement Policy.
• By September 12, 2023, Ponder Environmental completed cleanup and remediation work pending a determination that no additional cleanup actions were required.
• On February 21, 2024, MUD was notified that the Central Valley Regional Water Quality Control Board determined no additional cleanup actions were required by the City.
If approved by the City Council, this resolution will approve findings and ratify the total expenditure of $962,489.88 for emergency environmental cleanup and remediation by Ponder Environmental for the Anderson Street hazardous materials spill.
DISCUSSION
Background
On June 10, 2022, MUD received notification of a hazardous materials spill at the Anderson Street stormwater pump station. MUD Stormwater and Environmental Control inspectors initiated containment and remediation procedures to mitigate risk to public health, property and the environment. MUD staff also provided notifications to all appropriate regulatory agencies of the hazardous materials spill.
On June 15, 2022, MUD retained Ponder Environmental to conduct more extensive containment and remediation at the pump station wet well and surface ditch that drains to Mormon Slough and Stockton Channel. The hazardous materials spill was determined to be approximately 1,700 gallons of diesel fuel and other petroleum products.
On June 21, 2022, due to the scope of the remediation required, MUD initiated multi-agency inspections and meetings with the U.S. Fish and Wildlife Service, San Joaquin County Environmental Health Department, and the California State Water Board. In addition, a series of investigations were completed to determine the source of the spill. The investigations failed to determine the source.
On August 5, 2022, the City Manager approved the MUD request for emergency procurement authorization for the Anderson Street hazardous materials spill in accordance with City Manager Emergency Contract and Procurement Policy (17.05.150) and City Council Resolution 2019-03-05-1109, which authorizes a rotating vendor list for environmental cleanup and abatement services.
Present Situation
All containment, cleanup, and remediation measures at the Anderson Street site are complete. Ponder Environmental has submitted the final cost of $962,489.88 for cleanup, and remediation services for the emergency environmental work to the department.
On February 21, 2024, the Central Valley Regional Water Quality Control Board (Regional Board) determined that no further action was required regarding any additional remediation efforts at the Anderson Street hazardous materials spill site. The determination by the Regional Board fulfilled MUD’s responsibility for any further emergency spill response, cleanup, or incurred costs and allowed for the complete execution of emergency procurement efforts and the accounting of all incurred costs.
Under the City Manager Emergency Contract and Procurement Policy (17.05.150 Section 4), the MUD is required to make a record of all emergency purchases of supplies, services, and construction in excess of $100,000 and report to the City Council for ratification at the next Council meeting or no later than sixty (60) days following execution of the emergency procurement. Based on the 60 day rule, the ratification of the Anderson Street spill response and costs was scheduled for the City Council meeting on April 16, 2024.
Findings
The findings for this emergency cleanup and remediation service, in accordance with SMC section 3.68.070, and use of the rotating vendor list (City Council Resolution 2019-03-05-1109) are as follows:
1. A hazardous materials spill of diesel fuel near the City’s Anderson Street stormwater pump station was reported to the City.
2. Emergency environmental containment, cleanup and remediation of the stormwater pump station, storm drainage system, and surface ditch was necessary to protect public health, property, and the environment, in accordance with environmental regulations.
3. City Council Resolution 2019-03-05-1109, which approved a rotating vendor list for environmental cleanup and abatement services, allowed staff to quickly respond to address the hazardous materials spill at Anderson Street.
4. Ponder Environmental 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 Environmental completed the cleanup and remediation of the Anderson Street spill area on September 12, 2023.
6. On February 21, 2024, the Central Valley Regional Water Quality Control Board notified the City that no additional cleanup actions were required.
7. Final expenses have been identified in the amount of $962,489.88.
Staff recommends that the City Council ratify the findings and total expenditure of $962,489.88 for emergency environmental cleanup and remediation by Ponder Environmental of the hazardous materials spill near Anderson Street.
FINANCIAL SUMMARY
There are sufficient funds in the Environmental Control Budget for the emergency environmental cleanup and mitigation service costs provided by Ponder Environmental. In addition, MUD is working with Risk Services regarding a claim filed to possibly receive reimbursement of environmental cleanup expenses.
There is no impact to the General Fund or any other unrestricted fund from this action.