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W h F E R E h E R G Y i c F RIVERSIDE PUBLIC UTILITIES Board Memorandum PUBLIC_ U T I L I T I E 5 BOARD OF PUBLIC UTILITIES DATE: December 16, 2011 ITEM NO: 6 SUBJECT: CLEARWATER COGENERATION POWER PLANT RETAINING WALL AND SECONDARY CONTAINMENT BASIN CONSTRUCTION PROJECT ISSUE: That the Board of Public Utilities consider approval of Work Order No. 1208441 in the amount of$147,472 for design and construction of a retaining wall and secondary containment basins at the Clearwater Cogeneration Power Plant. RECOMMENDATION: That the Board of Public Utilities approve the estimated capital expenditure of$147,472 for Work Order No. 1208441 to construct a retention wall and four (4) secondary containment basins at the Clearwater Power Plant. BACKGROUND: Riverside Public Utilities(RPU) acquired the Clearwater Cogeneration Power Plant(Plant) on September 1, 2010. Before the acquisition, RPU staff performed extensive due diligence and identified numerous facility improvement projects that would be recommended after the acquisition was finalized. Plant equipment, parts and supplies originally stored on the City of Corona's property adjacent to the Plant facility were relocated to the Plant footprint now owned by the City of Riverside.This area,approximately one (1) acre, is inadequate for proper storage of the tools, operating supplies and equipment needed on site for the safe and reliable operation of the Plant. A storage area has been identified and construction of a retention wall is required to properly store and layout Plant equipment and supplies. The original Plant design called for numerous secondary containment basins to be built to capture and contain any spills or leaks from the oil or fluid-based storage tanks or equipment. The existing containment basins were constructed using an asphalt base and curb design. For environmental and safety reasons, it is recommended that these containment units be replaced with more appropriate cement structures. RPU staff selected the most practical location for the Plant equipment storage and the best approach to improve the secondary containment basins. Construction drawings and work scope were developed by RPU engineering staff and all construction work will be performed by contractor crews competitively selected from the Contractors' Panel. Over the next three(3)year period, additional Plant and site improvements will be presented to the Board for consideration and approval. Projects such as adding a desuperheater to increase power output,replacement of the SCR catalyst for better AQMD emissions compliance and design enhancements to the inlet air equipment to increase power production are in various stages of design and review.