AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
ACM: Bryan Langley
AGENDA DATE: September 16, 2014
SUBJECT
Title
Consider adoption of an ordinance accepting competitive bids and awarding a public works contract for the Construction of FM 2499 Utility Relocation-Phase II project; providing for the expenditure of funds therefor; and providing an effective date (Bid 5476-awarded to the lowest responsible bidder meeting specification, Speiss Construction Company, Inc. in the amount of $1,604,356). The Public Utilities Board recommends approval (5-0).
Body
BID INFORMATION
The FM 2499 Utility Relocation Phase II project consists of the relocation of several existing water and sanitary sewer lines to accommodate the new alignment and new right-of-way for State Highway FM 2499. Construction of FM 2499 by the State is currently underway, with the City having furnished the Texas Department of Transportation (TXDOT) a clear date for the utilities of June 30, 2015. The clear date is the date that the City will have completed the required relocation of the utilities. The water portion of this project is 100% reimbursable by the State, while the wastewater portion is 85% reimbursable. The water and sanitary sewer lines to be relocated vary in size from 6" up to 48". Some of the sanitary sewer lines are being upsized to accommodate future growth and current capacity inadequacies. None of the water lines require upsizing.
Standard City of Denton purchasing procedures were utilized. Bid notices were advertised in the local paper, posted on the internet, and emailed to 607 prospective bidders. Bids for the project were opened on August 22, 2014. A total of four (4) responses were received with a range in bid pricing from a low base bid of $1,604,356.00 to a high base bid of $1,891,209.00 The engineer's opinion of probable construction cost (OPCC) for the work was $1,200,000.00. The bid summary is enclosed as Exhibit 2.
The low bidder for this project, Speiss Construction Company, Inc. appears to meet all of the necessary requirements for qualification on this project. Spiess Construction Company, Inc.'s bid of $1,604,356.00 is approximately 34% more than the engineer's OPCC. Follow up with contractors who bid on the project revealed that current market conditions and the disjointed nature of the work caused the bids to exceed the engineer's OPCC. According to the agreement with TXDOT actual cost is reimbursable for this project even if it exceeds the engineer's OPCC.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On September 8, 2014, the Public Utilities Board recommended approval to forward this item to the City Council for consideration.
RECOMMENDATION
Award to the lowest responsible bidder meeting specification, Speiss Construction Company, Inc., in the amount of $1,604,356.
PRINCIPAL PLACE OF BUSINESS
Speiss Construction Company, Inc.
Santa Maria, CA
ESTIMATED SCHEDULE OF PROJECT
The project is estimated to be completed within 170 working days from Notice to Proceed.
FISCAL INFORMATION
Funding for this project will initially come from existing bond funds through Water and Wastewater Utilities. The water portion of this project will be funded from account 630074517.1360.40100 in the amount of $399,856. The wastewater portion will be funded from account 640050545.1360.40100 in the amount of $1,204,500. Requisition#120712 has been entered in the Purchasing software system. Reimbursement from the State will not be received until completion of these projects and these funds will be deposited in the water and wastewater capital projects funds.
EXHIBITS
Exhibit 1: Location Map
Exhibit 2: Bid Tabulation
Exhibit 3: Public Utilities Board Draft Minutes
Exhibit 4: Ordinance
Respectfully submitted:
Chuck Springer, 349-8260
Director of Finance
For information concerning this acquisition, contact: Frank Payne at 349-8946.