CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Option Year Two to Contract 18-126, Sanitary Manhole Replacement, to Sheridan Plumbing & Sewer, Inc. for an amount not to exceed $554,950, plus a 3% contingency
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DEPARTMENT: Water Utilities
SUBMITTED BY: Darrell Blenniss, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
In July 2018, the City Manager awarded Contract 18-126, Sanitary Manhole Replacement, to Sheridan Plumbing & Sewer, Inc. for a one-year term from July 26, 2018 to December 31, 2018, with two one-year options to extend. The purpose of the contract is to remove and replace sanitary sewer manholes and associated connections to existing sanitary sewer and services throughout the City. The sanitary manholes being replaced range from 80 to 100 years old and are part of the inflow and infiltration reduction program. Most were rehabilitated approximately 20 years ago, but further rehabilitation is no longer possible. The manholes in this program have been recommended for full replacement.
The first option year was approved by City Council on February 5, 2019.
DISCUSSION:
During the first option year of the contract, Sheridan Plumbing & Sewer provided great service and replaced the eight manhole structures identified for replacement. Based upon their work, staff is recommending the City extend the contract for the second and final option year. Staff negotiated a zero-percent increase for the final extension.
During the final extension, Sheridan Plumbing & Sewer will replace thirty-five sanitary manholes. The manholes are located in the college area bounded by 4th Avenue on the north, Wright Street on the east, Highland Avenue on the south and Ellsworth Street on the west.
Staff recognizes this is a significant increase in work compared to the original term (5 manholes) and first option year (8 manholes). Originally, these manholes were to be replaced on a 5-year schedule; however, the streets where these manholes are located are being paved as part of the TED Business Group’s 2020 street re-surfacing program. Replacement of the manholes before the street resurfacing will prevent any damage to the new street pavement. All thirty-five manholes will be replaced before the June 2020 re-surfacing schedule.
The term of the second option year is January 1, 2020 to December 31, 2020, with no option years remaining.
FISCAL IMPACT:
CIP: WW006
Manhole replacements are expensed to the infrastructure account listed below as part of the capital improvement program. A total of $4,610,000 is budgeted for sanitary sewer system rehabilitation and replacement projects in 2020, pending Council approval. The requested award is within budget.
|
Account Number |
Fund Description |
Total Budget Amount |
|
41251500-551502 |
Water Utilities |
$23,395,000 |
Per Council directive, contingency on construction projects is set at 3% on projects over $500,000 and 5% on projects under $500,000.