CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Bid 24-029, Excavation and Underground Utility Repairs to Miller Pipeline LLC, Baish Excavating, Inc., and IHC Construction Companies LLC, for an amount not to exceed $462,806 and for an eight-month term
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DEPARTMENT: Water Utilities
SUBMITTED BY: Darrell Blenniss, Director of Water Utilities
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
In February 2024, the Water Utilities issued Bid 24-029, Excavation and Underground Utility Repairs, to seek contractors to supplement and assist City crews during emergencies, when work exceeds the capacity of the City crews, or when work requires specialized equipment or expertise beyond the capabilities of City crews. The work performed under this contract includes installation, replacement, repair and relocation of water and sewer main segments, sanitary sewer manholes, valves, valve vaults, and service laterals. Work will be assigned to the contractors on an as-needed basis.
The Water Utilities maintains contracts with three construction firms. If the primary contractor, defined as the lowest responsive bidder, does not have a crew available for the work, staff will contact the secondary and the tertiary contractor to provide services.
The Water Utilities needed additional underground utility work for the Sanitary Manhole Replacement Program and the Emergency Lead Service Line Replacement Program that were not covered in the previous contract, 21-241 Excavation and Underground Repair. The previous contract exhausted its initial term and one option year ending December 31, 2023. Instead of continuing with the remaining options years and having three bids for similar work, Water Utilities believed that better pricing and project management could be achieved with one contract.
DISCUSSION:
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Advertisement Date: |
2/13/2024 |
Notices Sent: |
485 |
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Opening Date: |
3/6/20204 |
Planholders: |
23 |
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Proposals Received: |
4 |
Bids were received from the following vendors:
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Vendors |
Proposed Cost |
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Miller Pipeline, LLC |
$462,806.00 |
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Engineer’s Estimate |
$469,874.00 |
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Baish Excavating, Inc. |
$532,403.00 |
|
IHC Construction Companies, LLC |
$594,420.00 |
|
Airy’s Inc. |
$611,185.20 |
The term of this award begins from the date of award through December 31, 2024, with three, one-year options to extend. Historically the City has awarded to the three lowest and qualified bidders. Therefore, Airy’s Inc. bid is neither financially advantageous nor operationally necessary and not included in the award.
FISCAL IMPACT:
Underground utility and excavation services are expensed to the account number listed below. A combined total of $278,000 is approved as part of the operational services budget related to these services. Costs incurred for excavation in conjunction with capital improvement projects will be expensed to the respective project. The requested award can be accommodated within the 2024 budget.
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Account Number |
Fund Description |
Total Budget Amount |
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41251540-531308 |
Water Utility Fund |
$278,000 |
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41252000-551502 |
Water Capital Fund |
$40,264,902 |