Title
Recommendation to Award a Contract in the Amount of $438,533.50, Including Contingencies, to Ranger Pipelines, Inc. for the Construction of the Park/Otis Force Main Replacement Project, No. P.W. 10-15-19. (Public Works 602)
Body
To: Honorable Mayor and Members of the City Council
From: Jill Keimach, City Manager
Re: Recommendation to Award a Contract in the Amount of $438,533.50, Including Contingencies, to Ranger Pipelines, Inc. for the Construction of the Park/Otis Force Main Replacement Project, No. P.W. 10-15-19
BACKGROUND
In August 2015, there was a force main failure on Otis Drive that impacted traffic and water quality. A force main is a pipe where the sanitary flow is pressurized and conveys flow from a pump station discharge to the gravity sewer system. An emergency temporary repair was installed on the Park/Otis pump station force main to allow time to design and construct a new force main with improved hydraulics and modern day durable materials.
On January 19, 2016, the City Council approved plans and specifications and authorized a call for bids for this project. Staff opened seven bids on February 16, 2016, and determined there to be ambiguity in the specifications regarding the required documents of the bid package. On April 5, 2016, City Council rejected all bids, approved revised specifications that clarified the ambiguity and integrated information issued as addendums during the initial bid period, and authorized a call for rebid.
DISCUSSION
To solicit the maximum number of bids and most competitive price for this project, plans and revised specifications were provided to builders exchanges throughout the Bay Area, notices were sent to contractors on the Public Works Department Contractor List, advertisement was posted in the Journal, notice was posted on the City’s web site, and posted to the BPexpress website. After a bidding period of 21 days, two contractors submitted bids:
|
Bidder |
Location |
Bid Amount |
|
Ranger Pipelines, Inc. |
San Francisco, CA |
$398,666.50 |
|
California Trenchless |
Hayward, CA |
$722,034.00 |
Staff recommends awarding a contract to Ranger Pipelines, Inc. in the amount of $438,533.50, which includes a 10% contingency. The contractor is not guaranteed any of the contingency amount and use of the contingency will be at the sole discretion of the City for work not originally anticipated in the plans and specifications. The plans and revised specifications also informed the successful bidder that they shall pay not less than the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations. A copy of the contract is attached as Exhibit 1. Construction is expected to commence in July 2016 when the lagoon system is down, ground water conditions are most suitable for the work, and schools are on summer break. As this work will have traffic impacts on Otis Drive, staff has restricted construction hours in the Park Street/Otis Drive intersection so that work will not commence until after the morning commute hours.
FINANCIAL IMPACT
The funds for this contract are budgeted in the Public Works Department’s account for Capital Improvement Program (Project No. 9950216) for sewer rehabilitation with monies allocated from the Sewer Enterprise Fund (Fund 602). There is no impact to the General Fund.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action does not affect the Municipal Code.
ENVIRONMENTAL REVIEW
The Project is exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15301(b) of Article 19 of Title 14 of the California Code of Regulations for repair and maintenance of publicly-owned utilities.
RECOMMENDATION
Award a contract in the amount of $438,533.50, including contingencies, to Ranger Pipelines, Inc. for the construction of the Park/Otis force main replacement project, No. P.W. 10-15-19.
Respectfully submitted,
Bob Haun, Public Works Director
By,
Erin Smith, Public Works Coordinator
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibit:
1. Contract