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HomeMy WebLinkAbout5G - CR 21 Watermain Replacement Project Construction Contract MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: SEPTEMBER 8, 2009 5G STEVE ALBRECHT, DIRECTOR OF PUBLIC WORKS CONSIDER APPROVAL OF A RESOLUTION ACCEPTING BIDS AND AWARDING THE CITY'S STANDARDIZED CONSTRUTION CONTRACT FOR THE CR 21 WATERMAIN REPLACEMENT PROJECT Introduction The purpose of this agenda item is to seek approval from the City Council to authorize the Mayor and City Manager to execute the City's Standardized Contract for the CR 21 Watermain Reconstruction Project. Historv During the winter of 2008-2009 the City experienced several watermain breaks in the CR 21 Watermain between Eau Claire Trail and Quincey Street. The City Council ordered a Feasibility Report to examine the condition of the watermain and options for its repair or replacement. The Feasibility Report was presented to the City Council on June 15, 2009. Based on the condition of the watermain described and depicted in the Feasibility Study, breaks will continue if the watermain is not replaced. On June 15, 2009 the City Council authorized SRF to negotiate easements on the City's behalf for construction of the watermain on the northern boulevard of CR 21. The proposed project impacts three parcels. On August 17, 2009 the City Council approved the plans and authorized advertisement for bids for the project. The council may recall that the city was to act as a general contractor on this project given its complexity. We would solicit bids from firms who do directional boring which is a subspecialty in itself. We would also solicit quotes from firms doing the remainder of the work on the project. This would typically involve one other contract but because we are the general contractor, we are soliciting quotes from vendors in three specialties: paving, watermain reconstruction and watermain materials. The results are shown below. Current Circumstances On September 14,2009 the City received and opened bids for the directional drilling portion of the project. The following bids were received: I Bidder I Ellingson Drainage Companies I GM Contracting Inc. I EBI Drilling Inc. I $251,684.00 I $336,987.81 I $734,900.00 I Total Bid Ellingson of West Concord, Minnesota has been around for nearly 40 years and specializes in directional drilling. The City's consultant AE2S has reviewed the bids and the low bidder's qualifications and recommends award of the City's Standardized.t9pntract to Ellingson Drainage Companies. www.chyotpnoffake.com Phone 952.447.9800 / Fax 952.447.4245 ISSUES: FINANCIAL IMPACT: In addition to the directional drilling work the City will be undertaking the watermain reconnection and restoration work for the project. To minimize costs to the taxpayers the City will serve as the general contractor for these services and contract individual portions of the work. In order to complete this work the City solicited and received quotes for these services. The following quotes were received on September 14,2009; Bidder Paving Prior Lake Blacktop McNamara Contracting Northwest Asphalt Watermain Reconstruction Quiring Excavating McNamara Contracting SM Hentges & Sons Watermain Materials Northern Waterworks HD Supply Waterworks Minnesota Pipe Total Bid $19,483.00 $35,050.00 DNQ $71,519 $116,350 $120,950 $93,938.85 $95,196.95 $129,242.79 . Based on the quotes received City Staff recommends award of the City's Standardized Construction Contract to Prior Lake Blacktop for paving, Quiring Excavating for watermain reconstruction and Northern Waterworks for watermain materials. In addition to the above work the City Staff will be completing the reconnection of water services and restoration of private property which $44,787.34 for purchase of materials and services. This work includes water service reconnection ($9,500), concrete curb/sidewalk replacement ($11,500), traffic control ($5,000), miscellaneous restoration supplies ($4,500) and concrete valve manhole ($14,287.34). These purchases will be completed in accordance with the City's Purchase Policy. In order to complete the work before this winter to prevent further watermain breaks the City should proceed at this time. Minnesota Statutes Section 471.345, the Uniform Municipal Contracting Law provides that projects may not be broken into component parts for the purpose of circumventing the law. That is not what is happening here. Directional drillers do not also complete other conventional aspects of watermain installation. Instead they specialize in this area. If the city elected not to be the general contractor on this project, one contractor could handle the remaining work. But just as we have done, that contractor would solicit quotes and place their mark up on these quotes. In this case we have solicited each of the quotes and no mark up would be added. Finally we are following the statute in that we are bidding for those items anticipated to exceed $100,000 and soliciting quotes for those items which are less. The required funding is available in the Water Utility fund for the reconstruction of the CR 21 Watermain. To date the project has the following expenditures: I Construction Costs I Ellingson Drainage Co. I Prior Lake Blacktop I Quiring Excavating I Northern Waterworks I Traffic Control/Restoration/Misc I Total Construction Costs Cost $251,684.00 $19,483.00 $71,519.00 $93,938.85 $44,787.34 $481,412.19 I Project Costs Cost I SRF (Easement Acquisition Asst.) $23,650 I Easements Acquisition $75,300 I I AE2S (Project Design) $31,750 I I Misc Permits/Survey $7,500 I I City Administration/lnspection (4%)* $19,300 I I Total Project Costs $157,500.00 I *Reduced from 8% to 4% to reflect contributions of Utility Fund staff. Based on the bids received the Total Project costs is estimated to be $638,912.19. The estimated project cost in the feasibility study was $889,300. ALTERNATIVES: 1. Approve a resolution awarding the City's Standardized Construction Contract and authorize purchase of materials for watermain reconstruction and restoration for the CR 21 Watermain Reconstruction Project. 2. Table this Resolution and alternative direction to staff. 3. Deny the resolution. RECOMMENDED Alternative # 1 MOTION: 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 RESOLUTION 09-XXX RESOLUTION ACCEPTING BIDS AND AWARDING THE STANDARDIZED CONSTRUCTION CONTRACT FOR THE CR 21 WATERMAIN PROJECT Motion By: Second By: WHEREAS, The CR 21 watermain between Eau Claire Trail and Quincy Street is an important piece of the City's water infrastructure; and WHEREAS, Breaks that occurred during the 2008-2009 winter season revealed damage that if left unrepaired will most likely continue to fail annually resulting in considerable cost to the City; and WHEREAS, On June 15, 2009 the City Council accepted a Feasibility Study for the repair and reconstruction of the CR 21 watermain and authorized Staff to pursue relocation of the watermain to the northern boulevard of CR 21 utilizing directional drilling. SRF was authorized to proceed with easement acquisition on the City's behalf; and WHEREAS, In order to complete the project during the fall of 2009 the City needs to acquire easements for construction; and WHEREAS, On August 17, 2009 the City Council approved the plans and specifications and authorized the advertisement for bids; and WHEREAS, On September 14, 2009 the City received the following bids for the directional drilling: I Bidder I EllinQson DrainaQe Companies I GM ContractinQ Inc. I EBI DrillinQ Inc. Total Bid $251,684.00 $336,987.81 $734,900.00 The low bid was submitted by Ellingson Drainage Companies; and WHEREAS, The City also solicited quotes in accordance with the City's Purchasing Policy for paving, watermain materials and watermain construction. The following quotes were received: I Bidder I Paving I Prior Lake Blacktop I McNamara ContractinQ Northwest Asphalt Watermain Reconstruction I QuirinQ ExcavatinQ McNamara Contracting SM HentQes & Sons I Watermain Materials Northern Waterworks HD Supply Waterworks MN Pipe Total Bid $19,483.00 $35,050.00 DNQ $71,519 $116,350 $120,950 $93,938.85 $95,196.95 $129,242.79 www.cityofpriorlake.com Phone 952.447.9800 / Fax.952.447.4245 WHEREAS, City Staff recommends award of the City's Standardized Construction Contract for the CR 21 Watermain Reconstruction Project to: 1. Ellingson Drainage Co. for directional drilling; 2. Prior Lake Blacktop for paving; and 3. Quiring Excavating for watermain reconstruction. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The Mayor and City Manager are authorized to execute the City's Standardized Construction contract with: A. Ellingson Drainage Co. in an amount not to exceed $251,684.00 for directional drilling; B. Prior Lake Blacktop in an amount not to exceed $19,483.00 for paving; and C. Quiring Excavating in an amount not to exceed $71,519.00 for watermain construction. 3. Staff is authorized to purchase watermain materials from Northern Waterworks for an amount not to exceed $93,938.85. 4. Staff is authorized to complete watermain service reconnections and project restoration for an amount not to exceed $44,787.34. 5. Watermain reconstruction costs will be recorded in the Water & Sewer Fund (#601-49400-530). PASSED AND ADOPTED THIS 21st DAY OF SEPTEMBER 2009. YES NO Haugen Erickson Hedberg leMair Millar Haugen Erickson Hedberg leMair Millar Frank Boyles, City Manager R:\Council\2009 Agenda Reports\09 21 09\CR 21 Watermain Bid Resolution.doc