HomeMy WebLinkAbout16 2017 Pipeline ReplacementI A
ACTION
To: Board of Directors
From: Neil Kaufman
Date: May 03, 2017
Subject: Consideration to Award the District's 2017 Pipeline Replacement
Project
1. WHY THIS MATTER IS BEFORE THE BOARD
Board approval is required for expenditures in excess of $15,000,
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 - 2017 project covers about 2,100 feet of main at
two locations:
Dulzura Street and Palisade Street in the Biltz Tract
Keiser Avenue at Bridge Street and Trout Creek in downtown Truckee
The bid opening was held at 2:00 PM on April 18, 2017. Four bids were received. A
summary of the bids is given below:
TOTAL AMOUNT OF BID
Bidder
Location
Amount
Responsive
Longo Incorporated
Tahoe City, CA
$787,486.00
Yes
Aspen Developers
Reno, NV
$868,848.00
Yes
Civil Engineering Construction
Loomis, CA
$9401750.00
No
Lorang Brothers
Colfax, CA
$17255,370.00
Yes
The bid documents indicate that line item for mobilization should not exceed five
percent of the bid total. However, the bid from the Longo Incorporated was for a total
of $787,486.00 and the line item for mobilization in the Longo bid was $70,000. This
represents 8.9% of the total bid price. Based upon a review by the District's legal
counsel, this issue can be considered a minor irregularity and the requirement can be
waived by the Board of Directors, as this irregularity does not constitute a competitive
advantage.
The bid from Civil Engineering Construction was not signed and should be rejected as
non -responsive.
In addition to the construction contract, the District will retain
perform environmental services, geotechnical testing, and
construction period. The costs for this work are:
Environmental Services -Inland Ecosystems - $1,760
Geotechnical Testing - CME - $35,000
Surveying - MAPCA - $9,600
4. FISCAL IMPACT
outside consultants to
surveying during the
The bid price from Longo Incorporated is $787,486.00. The funding source for this work
is the Water Department General Fund. It is recommended that a 10 percent change
order allowance be established.
5. RECOMMENDATION
1) Waive the minor irregularity in the bid from Longo Incorporated associated with the
line item for mobilization.
2) Award the District Pipeline Replacement - 2017 project to Longo Incorporated in an
amount of $787,486 plus a10% change order allowance for a total authorzation not
to exceed $866,000,
Michael D. Holley
General Manager /Water Utility Manager