Title
West Anthem Lift Station 76 Force Main and Water Main Improvements - Design-Bid-Build Services - Rescind and Award - WS90400067 and WS90501005 (Ordinance S-46194)
Description
Request to authorize the City Manager, or his designee, to rescind the award to Action Direction LLC, dba Redpoint Contracting (Redpoint), and to accept Achen Gardner Construction, LLC, as the next lowest responsive and responsible bidder and to enter into an agreement with Achen Gardner Construction, LLC for Design-Bid-Build Services for the West Anthem Lift Station 76 Force Main and Water Main Improvements project. Further request to authorize the City Controller to disburse all funds related to this item. The fee for services will not exceed $7,531,332.
Report
Summary
The purpose of this project is to construct 24-inch to 36-inch water transmission mains, 18-inch to 21-inch gravity sewer lines, a new lift station, three high-density polyethylene force mains, and upgrade the existing Booster Pump Station 8CP-B1.
The construction of the new lift station is located west of I-17 near Sheriffs Pistol Range Road and will have an initial capacity of 0.5 Million Gallons per Day (MGD) and a maximum capacity of 4.3 MGD. Construction also includes approximately 5,000 feet of 8-inch and 18-inch force mains along Pioneer Road.
Achen Gardner Construction, LLC's services include, but are not limited to: constructing the wet well, manholes, above- and below-ground piping, masonry wall and retaining wall structures; installing submersible pump, electrical and instrumentation and control equipment; installing force mains, 4-inch water mains, and Arizona Public Service utility duct bank/conduits; replacing pavement and Micro Seal; and other work as required for a complete project.
Procurement Information
The selection was made using an Invitation for Bids procurement process set forth in section 34-201 of the Arizona Revised Statutes. Three bids were received on March 12, 2019 and were 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 Engineer's Estimate and the three lowest responsive, responsible bidders are listed below:
Engineer's Estimate: $6,069,439.90
Achen Gardner Construction, LLC: $7,531,332
T & T Construction, Inc.: $9,639,360
Bid of contract terminated for convenience:
Action Direct LLC dba Redpoint Contracting: $6,480,889
After discussions with Redpoint, the City and Redpoint reached an agreement to terminate the contract for convenience. Although the next lowest bid exceeds the Engineer's Estimate 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.
Contract Term
The term of the agreement is 335 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 Achen Gardner, LLC will not exceed $7,531,332, 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.
Concurrence/Previous Council Action
The City Council approved:
- Engineering Services Agreement 142098 (Ordinance S-42295) on Feb. 3, 2016;
- Engineering Services Agreement 142098 Amendment 1 (Ordinance S-45187) on Dec. 5, 2018; and
- Design-Bid-Build Agreement 150136 (Ordinance S-45684) on June 5, 2019.
Location
Along the west side of I-17 between Pioneer Road and just north of Sheriff’s Pistol Range Road
Council District: 1
Department
Responsible Department
This item is submitted by Deputy City Managers Karen Peters and Mario Paniagua, the Water Services Department, and the City Engineer.