Title
27th Avenue and Thomas Road Burlington Northern-Santa Fe Railroad Crossing - Design-Bid-Build Services - ST85100198 (Ordinance S-49418)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with Combs Construction Company, Inc. for Design-Bid-Build Services for the 27th Avenue and Thomas Road Burlington Northern-Santa Fe Railroad Crossing REBID project. Further request to authorize the City Controller to disburse all funds related to this item. The fee for services will not exceed $3,401,090.
Report
Summary
The purpose of this project is to provide construction services that will enhance the safety of the Burlington Northern-Santa Fe Railroad crossings at the intersection of 27th Avenue and Thomas Road.
Combs Construction Company Inc’s services include, but are not limited to: new curbs, gutters, sidewalks, ramps, pavement restoration, traffic signal upgrades, and installation of new cantilevers and railroad gate arms.
Procurement Information
The selection was made using an Invitation for Bids procurement process set forth in section 34-201 of the Arizona Revised Statutes. Two bids were received on Dec. 20, 2022 and were sent to the Equal Opportunity Department for review to determine subcontractor eligibility and contractor responsiveness in demonstrating responsiveness to Disadvantaged Business Enterprise (DBE) program requirements.
The Opinion of Probable Cost and the two lowest responsive, responsible bidders are listed below:
Opinion of Probable Cost: $2,154,267
Combs Construction Company, Inc.: $3,401,090
Hunter Contracting Co.: $4,322,440.09
Although the bid exceeds the Opinion of Probable Cost by more than 10 percent, it has been determined the bid represents a fair and reasonable price for the required work scope. Additionally, the bid award amount is within the total budget for this project.
The reasons for the variance from the Opinion of Probable Cost to the lowest, responsive, responsible bid are lack of competing bidders and continued price escalation in the construction market.
Contract Term
The term of the agreement is 240 calendar days 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 Combs Construction Company, Inc. will not exceed $3,401,090, including all subcontractor and reimbursable costs.
This project will utilize federal funds and is subject to the requirements of 49 Code of Federal Regulations Part 26 and the U. S. Department of Transportation DBE Program. Funding is available in the Street Transportation 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
27th Avenue and Thomas Road
Council Districts: 4 and 7
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua, the Street Transportation Department, and the City Engineer.