Title
Scenario 3B Transmission Main Rehabilitation - Construction Manager at Risk Services - WS85507008 (Ordinance S-50533)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with Sundt Construction, Inc. to provide Construction Manager at Risk Preconstruction and Construction Services for the Scenario 3B Transmission Main Rehabilitation project. Further request to authorize execution of amendments to the agreement as necessary within the Council-approved expenditure authority as provided below, and for the City Controller to disburse all funds related to this item. The fee for services will not exceed $25,775,000.
Report
Summary
The purpose of this project is in response to the results of the Large Transmission Main Assessment Program, which determined the need to rehabilitate a portion of the City's 48-inch water transmission main defined as Scenario 3B. The project was split into four phases defined as Segments 1 to 4. Segments 2 and 3 have been completed while Segments 1 and 4 still need rehabilitation. Construction methods could potentially consist of slip line rehabilitation, open trench replacement, or a combination of the two, and are subject to final design of the project.
Sundt Construction, Inc. will begin in an agency support role for Construction Manager At Risk Preconstruction Services. Sundt Construction, Inc. will assume the risk of delivering the project through a Guaranteed Maximum Price agreement.
Sundt Construction, Inc.’s Preconstruction Services include, but are not limited to: detailed cost estimating and knowledge of marketplace conditions, project planning and scheduling, construction phasing and scheduling that will minimize interruption to City operations, alternate systems evaluation and constructability studies, long-lead procurement studies and initiate procurement of long-lead items, protect the owner's sensitivity to quality, safety, and environmental factors, and participate with the City in a process to establish a Small Business Enterprise (SBE) goal for the project.
Sundt Construction, Inc.’s initial Construction Services will include preparation of a Guaranteed Maximum Price proposal provided under the agreement. Sundt Construction, Inc. will be responsible for construction means and methods related to the project and fulfilling the SBE program requirements. Sundt Construction, Inc. will be required to solicit bids from prequalified subcontractors and to perform the work using the City’s subcontractor selection process. Sundt Construction, Inc. may also compete to self-perform limited amounts of work.
Sundt Construction, Inc.'s additional Construction Services include: construct per final plans and specifications, select subcontractors and suppliers for this project, coordinate with various City of Phoenix departments, other agencies, and utility companies, arrange for procurement of materials and equipment, schedule and manage site operations, provide quality controls, bond and insure the construction, and maintain a safe work site for all project participants.
Procurement Information
The selection was made using a qualifications-based selection process set forth in section 34-603 of the Arizona Revised Statutes (A.R.S.). In accordance with A.R.S. section 34-603(H), the City may not publicly release information on proposals received or the scoring results until an agreement is awarded. Four firms submitted proposals and are listed below:
Selected Firm
Rank 1: Sundt Construction, Inc.
Additional Proposers
Rank 2: Kiewit Infrastructure West Co.
Rank 3: Achen-Gardner Construction, L.L.C.
Rank 4: Structural Preservation Systems, LLC
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 agreement value for Sundt Construction, Inc. will not exceed $25,775,000, 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
General Location: Segment 1 Orangewood Avenue and 20th Street, traversing under SR-51 to Dreamy Draw Drive and north to south of the Preserve and Segment 4 is north of the Preserve area, along 26th Street to Shea Boulevard
Council Districts: 3 and 6
Department
Responsible Department
This item is submitted by Deputy City Managers Ginger Spencer and Alan Stephenson, the Water Services Department and the City Engineer.