REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Travis Hopkins, Acting City Manager
VIA: Eric McCoy, Fire Chief
PREPARED BY: Steve Eros, Deputy Fire Marshal Patrick Bannon, Capital Projects Administrator
Subject:
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Approve and authorize execution of Amendment No. 2 with Excalibur Well Services, Corp; approve additional funding and appropriation of funds for the Civic Center Oil Well Abandonment Project.
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Statement of Issue:
The Huntington Beach Fire Department (HBFD) and the Public Works Department have been working on the abandonment of oil wells at the City Center and is requesting an additional $498,500 to complete the Project. During the abandonment of Civic Center #2, the abandonment contractor, Excalibur Well Services, Corp. (Excalibur) discovered that the down-hole conditions did not match Cal-GEM's as-built records for the well. Updating the well's history led to multiple delays in the project and the need to increase Excalibur's scope to ensure the oil well was abandoned properly. The same conditions exist in Civic Center #1, but the strategies applied during the abandonment of Civic Center #2 have been applied to shorten the timeline for abandonment. The HBFD is requesting $498,500 to complete this portion of the abandonment project.
Financial Impact:
Staff is requesting an appropriation of $498,500 in HB Recovery Fund to Business Unit 31465001.82800 to cover the remaining cost of the project.
Recommended Action:
recommendation
A) Approve and authorize the Mayor and City Clerk to execute "Amendment No. 2 to Service Agreement between the City of Huntington Beach and Excalibur Well Services, Corp. for Civic Center Well Abandonment;" and
B) Approve an appropriation and transfer of $498,500 in HB Recovery Funds to Oil Well Abandonment business unit 31465001.82800.
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Alternative Action(s):
Do not approve, and direct staff accordingly.
Ana...
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