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HomeMy WebLinkAbout16 2016 Pipeline Replacement Projectenda Item # ACT I O N To: Board of Directors From. Neil Kaufman Date. April 06, 2016 Subject: Consideration to Award the 2016 District Pipeline Replacement Project 1. WHY THIS MATTER IS BEFORE THE BOARD Board approval is required for expenditures in excess of $15,000. 16 2. HISTORY The Water Department has an ongoing need to replace existing water pipelines that fall into two basic categories. 1) Pipes that are in poor condition and require repeated repairs. 2) Pipes that are old, undersized (typically 4-inch diameter and smaller) and have exceeded their useful life. 3. NEW INFORMATION The District Pipeline Replacement - 2076 project covers about 7,000 feet of main at three locations in the Tahoe Donner subdivision. • Kitzbuhel Road • Julian Avenue & Northwoods Boulevard • Golf Club Condominiums and the Trout Creek Recreation Center The bid opening was held at 2:00 PM on March 29, 2016. Three bids were received. A summary of the bids is given below: BASE BID Bidder Location Amount Responsive Aspen Developers Reno, NV $1,375,375.75 Yes Civil Engineering Construction Loomis, CA $1,753,144.00 Yes Koch & Koch Inc. Penn Valley, CA $2,173,094.00 Yes The bid documents included two options for the work on Julian Avenue and Northwoods Boulevard. One option involves sliplining the existing 10-inch main with an 8-inch main. The second option involves traditional open -cut construction. The District provided the two options in effort to determine whether sliplining could offer a significant cost savings. The Base Bid given above included the slipline option. The bid price from Aspen for sliplining was $430,500. The bid price for open -cut construction was $441,600. Sliplining has the advantage of lower cost. However, there are a few disadvantages: • There is minimal tolerance between the outside of the new pipe and inside of the existing pipe. This creates the potential for problems when pulling the new pipe • Existing customers must be served with temporary aboveground system that is vulnerable to damage and vandalism • Sliplining provides reduced access to the pipe in the event that new connections or maintenance is required. Given the small differential between the two ($11,100), it is recommended that the District proceed with the open -cut construction. In addition to the construction contract, the District will retain environmental services, geotechnical testing and surveying The costs for this work are: • Environmental Services -Inland Ecosystems - $2,026 • Geotechnical Testing - CME - $67,000 • Surveying - MAPCA - $7,500 outside consultants to perform during the construction period. 4. FISCAL IMPACT The bid price from Aspen developers is $1,386,475.75. The funding source for this work is the Water Department Operating Reserve Fund. It is recommended that a 10 percent change order allowance be established. 5. RECOMMENDATION Authorize the General Manager to execute a contract with Aspen Developers for the 2016 District Pipeline Replacement project in an amount of $1,386,475.75 plus a ten percent change order allowance for a total authorzation not to exceed $152510001 Michael D. Holley General Manager /Water Utility Manager