Title
Lift Station 66 Refurbishment - Design-Bid-Build Services - WS90400084 (Ordinance S-50364)
Description
Request to authorize the City Manager, or his designee, to accept Hunter Contracting Co. as the lowest-priced, responsive and responsible bidder and to enter into an agreement with Hunter Contracting Co. for Design-Bid-Build Services for the Lift Station (LS) 66 Refurbishment project. Further request to authorize the City Controller to disburse all funds related to this item. The fee for services will not exceed $8,515,532.30.
Report
Summary
The purpose of this project is to refurbish LS 66. The LS 66 was initially constructed and operated to provide direct flows to Cave Creek Water Reclamation Plant (CCWRP). When the CCWRP was shut down in 2009, LS 66 flows were bypassed to the gravity sewer in North Valley Parkway with the exception of flows from the adjacent City of Phoenix Solid Waste Transfer Facility. In order to make LS 66 operational, upgrades and improvements are recommended for the mechanical, structural, electrical, instrumentation and control system equipment.
Hunter Contracting Co.'s services include, but are not limited to: replacing or upgrading pumps, motors, slide gates, piping, valves, bio filter, variable frequency drive, programmable logic control, control pane instrumentation and coatings.
The selection was made using an Invitation for Bids procurement process set forth in section 34-201 of the Arizona Revised Statutes. One bid was received on Aug. 15, 2023, and was sent to the Equal Opportunity Department for review to determine subcontractor eligibility and contractor responsiveness in demonstrating responsiveness to Small Business Enterprise program requirements.
The Opinion of Probable Cost and the one responsive, responsible bidder is listed below:
Opinion of Probable Cost: $9,044,391.51
Hunter Contracting Co.: $7,741,393
Due to volatile material costs and increased labor prices in the construction industry, a 10 percent contingency is being requested to allow for project uncertainties. The initial contract will be executed at the bid amount of $7,741,393. Use of the 10 percent contingency above the bid amount will not be allowed without the prior written approval of the Water Services Department Director and the City Engineer.
The bid award amount including the added contingency is within the total budget for this project.
Contract Term
The term of the agreement is five years from issuance of the Notice to Proceed. Work scope identified and incorporated into the agreement prior to the end of the term may be agreed to by the parties, and work may extend past the termination of the agreement. No additional changes may be executed after the end of the term.
Financial Impact
The initial agreement value for Hunter Contracting Co. will not exceed $7,741,393, including all subcontractor and reimbursable costs. The total agreement value, including amendments, for Hunter Contracting Co. will not exceed $8,515,532.30, including all subcontractor and reimbursable costs.
Funding is available in the Water Services Department's Capital Improvement Program budget. The Budget and Research Department will separately review and approve funding availability prior to execution of any amendments. Payments may be made up to agreement limits for all rendered agreement services, which may extend past the agreement termination.
Location
North of the Central Arizona Project and west of North Valley Parkway
Council District: 2
Department
Responsible Department
This item is submitted by Deputy City Managers Ginger Spencer and Alan Stephenson, the Water Services Department and the City Engineer.