HomeMy WebLinkAbout8 Donner Lake Road Tank Project Agenda Item # Gl
Memorandum
To: Board of Directors
From: Neil Kaufman
Date: July 15, 2005
Subject: Construction of the Donner Lake Road Tank Project—Tank Portion
1. Why this matter is before the board:
District Staff has prepared Bid Documents for construction of the Donner Lake 6323 Tank
contract.
Approval from the Board of Directors is necessary for two issues related to this project;
1) Approval of the plans and specifications for the project
2) Authorization to advertise for Bids
2. History:
The purpose of this project is to continue the District's ongoing efforts of rehabilitation and
reconstruction of the Donner Lake Water System.
3. New information:
For bidding and construction purposes, the total storage project has been separated into two
separate construction contracts. The first contract is entitled Donner Lake Tank Earthwork and
Piping. This contract will cover performing the excavation and grading associated with the
storage tank and access road. This contract will also include construction of the tank site piping
along with inlet/outlet pipeline and conduits that will provide service to the site. The second
contract is entitled Donner Lake 6323 Tank. This contract will cover construction of the tank itself.
The attached figures give the location of the tank project.
The rationale behind separating the project into two contracts is based upon the fact that the
storage tank fabricators are somewhat specialized. Their main focus is fabrication and
construction of tanks. Every storage tank project is different to some degree due to differences in
site grading, site access and requiring piping. However, the actual tank itself is somewhat "cookie-
cutter" and has been built before. Some steel tank fabricators have significant capabilities for
earthwork and site grading, others do not. Depending upon the magnitude and difficulty of the
grading, access and piping, a tank project can end up with a tank fabricator as a subcontractor to a
local earthwork and grading contractor. As an example, Tahoe City PUD currently has a project
where Chicago Bridge and Iron is a subcontractor to Burdick Excavating.
By separating the two parts of the project into separate contracts, the intent is to avoid any
subcontractor markups associated with the storage tank (which could be over 50% of the total
project cost) and to make a portion of the work available to the local contracting base. It should be
noted that there is nothing within the Bid Documents that would prevent a steel tank fabricator from
bidding on the earthwork and piping portion of the project, thereby pursuing the entire project.
4. Recommendation:
I recommend that the Board:
1) Approve of the plans and specifications for the project.
2) Authorize staff to begin advertising for Bids with a Bid Opening Date of August 11,
2005.
Attachments:
Figures showing location of proposed project
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Location of Donner Lake Rd. Tank
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