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ITEM NO. 11b |
TOWN OF PRESCOTT VALLEY
STAFF REPORT
STAFF REPORT
DATE: 10/22/2026
TO: Mayor & Town Council
THROUGH: Gilbert Davidson, Town Manager
FROM: Skyler Barton, Assistant to the Town Manager/Interim Utilities Director
DEPARTMENT: Utilities
AGENDA TYPE: New Business
SUBJECT: Quailwood Well #3 PFAS Treatment, Construction Phase Contract - Consideration & Possible Action (Approve) [James Warne, Senior Utilities Engineer]
TO: Mayor & Town Council
THROUGH: Gilbert Davidson, Town Manager
FROM: Skyler Barton, Assistant to the Town Manager/Interim Utilities Director
DEPARTMENT: Utilities
AGENDA TYPE: New Business
SUBJECT: Quailwood Well #3 PFAS Treatment, Construction Phase Contract - Consideration & Possible Action (Approve) [James Warne, Senior Utilities Engineer]
| VISION 2024 FOCUS AREA: Water and Land Stewardship - Responsible planning for sustainable water management and land conservation. |
SUMMARY/BACKGROUND:
In 2022, the Town became aware of PFAS (poly- and per- fluoroalkyl substances) chemicals in three lower system water production wells. At the time, PFAS chemicals were not regulated by the US Environmental Protection Agency (EPA) but were becoming a known concern. The EPA subsequently established Maximum Contaminant Levels (MCLs) for PFAS chemicals. And those MCLs are currently scheduled to go into effect in 2029.
As soon as the presence of PFAS was identified, the Town took the three wells out of service. It has since been determined that one of the wells (Quailwood Well #3, located in the Antelope Meadows Commercial area) could be returned to production if it is equipped with a PFAS treatment system. Design of a treatment system has now been completed, and two funding agencies (EPA and the Arizona Water Infrastructure Finance Authority...WIFA) have since approved plans and specifications for bidding. Pre-purchase of pressure vessels (part of the design) has been advertised for bid, and the bids are due on November 16, 2026. Construction documents have also been submitted to the Arizona Department of Environmental Quality (ADEQ) for issuance of an Approval to Construct Permit. Staff anticipates bidding for a construction contractor in early November.
The EPA funding has been awarded through a Community Grant ($2,100,000) that requires a 25% match. The WIFA funding involves a loan ($4,710,000) with 90% principal forgiveness.
This proposed Town Council action involves approval of an Agreement for Professional Services with Jacobs Engineering Group. The services to be provided include project management, review of construction documents (submittals, requests of information, clarifications, etc.), construction management/inspections, and funding coordination. A detailed scope of work is included in the attached Agreement for Professional Services.
As soon as the presence of PFAS was identified, the Town took the three wells out of service. It has since been determined that one of the wells (Quailwood Well #3, located in the Antelope Meadows Commercial area) could be returned to production if it is equipped with a PFAS treatment system. Design of a treatment system has now been completed, and two funding agencies (EPA and the Arizona Water Infrastructure Finance Authority...WIFA) have since approved plans and specifications for bidding. Pre-purchase of pressure vessels (part of the design) has been advertised for bid, and the bids are due on November 16, 2026. Construction documents have also been submitted to the Arizona Department of Environmental Quality (ADEQ) for issuance of an Approval to Construct Permit. Staff anticipates bidding for a construction contractor in early November.
The EPA funding has been awarded through a Community Grant ($2,100,000) that requires a 25% match. The WIFA funding involves a loan ($4,710,000) with 90% principal forgiveness.
This proposed Town Council action involves approval of an Agreement for Professional Services with Jacobs Engineering Group. The services to be provided include project management, review of construction documents (submittals, requests of information, clarifications, etc.), construction management/inspections, and funding coordination. A detailed scope of work is included in the attached Agreement for Professional Services.
RECOMMENDED MOTION:
Motion to approve a Professional Services Agreement with Jacobs Engineering Group Inc, in the amount of $1,022,061 for Construction Phase services for the Quailwood Well #3 PFAS Treatment Project. VOTE.
STAFF RECOMMENDATION:
Staff recommends approval of the Professional Services Agreement with Jacobs Engineering Group Inc, in the amount of $1,022,061 for Construction Phase services for the Quailwood Well #3 PFAS Treatment Project.
FISCAL ANALYSIS:
Total Cost this Request:
Funding Source: Grant and Loan Funding 517-7020-700.73.01
Budget Impact: The approved FY27 Budget included budget capacity in the amount of $1,394,100 for Professional Services as part of this Project.
Purchasing Method and Results: This is a Direct Select for professional services based on Town Code 3-04-080.
| Overall Cost | $ 1,022,061 |
| Task 1 - Project Management | $ 93,154 |
| Task 2 - Meetings, Review of Submittals, RFI's, & Co's | $ 258,362 |
| Task 3 - Construction Management, Startup, Commissioning | $ 304,332 |
| Task 4 - Funding Coordination | $ 109,624 |
| Task 5 - Project Closeout | $ 46,590 |
| Task 6 - Supplemental Services Allowance | $210,000 |
Funding Source: Grant and Loan Funding 517-7020-700.73.01
Budget Impact: The approved FY27 Budget included budget capacity in the amount of $1,394,100 for Professional Services as part of this Project.
Purchasing Method and Results: This is a Direct Select for professional services based on Town Code 3-04-080.