Title
Sweetwater Avenue Sewer Relief - Design-Bid-Build Services - WS90500317 (Ordinance S-52975) - District 3
Description
Request to authorize the City Manager, or his designee, to accept Kinkaid Civil Construction LLC as the lowest-priced, responsive and responsible bidder and to enter into an agreement with Kinkaid Civil Construction LLC for Design-Bid-Build Services for the Sweetwater Avenue Sewer Relief project. Further request to authorize the City Controller to disburse all funds related to this item. The fee for services will not exceed $3,967,674.
Report
Summary
The purpose of this project is to replace existing sanitary sewer lines with new sanitary sewer lines.
Kinkaid Civil Construction LLC’s services include, but are not limited to: replacement of approximately 5,000 linear feet of existing 12-inch sanitary sewer with new 15-inch and 18-inch in the Sweetwater Avenue alignment from 23rd Avenue to 15th Avenue.
Procurement Information
The selection was made using an Invitation for Bids procurement process set forth in Section 34-201 of the Arizona Revised Statutes. Seven bids were received on April 7, 2026, 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 Opinion of Probable Cost and the three lowest responsive, responsible bidders are listed below:
Opinion of Probable Cost: $5,696,943
Kinkaid Civil Construction LLC: $3,606,976
B&F Contracting, Inc.: $4,220,650
Hudick Excavating, Inc. dba HEI Civil: $4,826,229
The bid award amount is within the total budget for this project.
The reason for the variance from the Opinion of Probable Cost (OPC) to the lowest, responsive, responsible bid is over the costs of labor, materials, equipment; the contractor's methods of determining prices; contractor’s access to tools, machinery and materials, and competitive bidding or market conditions. Consor evaluated the contractor bids received by the City and compared them to the OPC unit prices for the Sweetwater Avenue Sewer Relief project. Of the seven (7) bids, there was a group lower than the OPC, a group near the OPC, and a group higher than the OPC, with the average bid slightly higher than the OPC. Given the range in bids, we cannot point out a single bid item or multiple bid items to provide justification for the wide range in bids. Given our review of the bids, Consor recommends awarding the contract to the apparent low bidder, Kinkaid Civil Construction, LLC.
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 $3,606,976. Use of the 10 percent contingency above the amount will not be allowed without the prior written approval of the Water Services Department Director and the City Engineer.
Contract Term
The term of the agreement is 310 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 Kinkaid Civil Construction LLC will not exceed $3,967,674, 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: 19th Avenue and Sweetwater Avenue
Council District: 3
Department
Responsible Department
This item is submitted by Assistant City Manager Ginger Spencer, Deputy City Manager Amber Williamson, the Water Services Department and the City Engineer.