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HomeMy WebLinkAbout9 Fireboard Well Agenda Item # 9 Public Utility District ACTION To: Board of Directors From: Ed Taylor Date: October 011 2008 Subject: Award Contracts for Construction of the Fibreboard Well 1. WHY THIS MATTER IS BEFORE THE BOARD Only the Board can approve bid awards over$15,000. 2. HISTORY As part of the Old Greenwood & Gray's Crossing development agreements and the Mello Roos Community Facilities District, the developer paid a lump sum of $750,000 which included the installation of a dedicated non-potable irrigation well. In 2003 the District drilled four exploration test wells prior to the development of the Prosser Village Well. One of these sites was located in the old Fibreboard site near the 1-80 under crossing. The results of the exploration well proved to be positive with regards to productivity and staff is recommending the construction of a new irrigation well at this site. With the development of the Old Greenwood and Gray's Crossing projects, sufficient transmission is now available to convey this source to these locations. The Fibreboard Well project was included in both the 2007 & 2008 budgets. Staff bid this project in July of 2007 and no bids were received. Perspective bidders indicated that equipment availability was the reason for not submitting a bid for the project. 3. NEW INFORMATION Staff re-bid the Fibreboard Well project in early September of this year. On September 25, 2008 bids were received and opened for the drilling of the well and the pump development & testing of the new well. The District received three bids for the well drilling project from Layne Christensen Company, WDC Exploration & Wells, and Boart Longyear Drilling Services. All bids were found to be responsive. The lowest bid was determined by a comparison of the total lump sum bid price. Boart Longyear Drilling Services submitted the lowest bid of $889,516. A summary of the bids is included in Table 1. The District received two bids for the well pump development and testing from Layne Christensen Company and Carson Pump LLC. Both bids were found to be responsive. The lowest bid was determined by a comparison of the total lump sum bid price. Carson Pump LLC. submitted lowest bid of $63,050. A summary of the bids is included in Table 2. 4. FISCAL IMPACT The bid total for both the well drilling and pump development and testing program is $952,566. Funding for the Fibreboard Well projects in the approved FY 2007 & FY 2008 budgets is $862,000. The total amount needed to proceed with this project exceeds the current approved budgeted amount (engineer's estimate), however sufficient funds exists in water facilities fees to cover the remaining portion of the project. Staff is also requesting a change order authorization of 5% on each of these projects bringing the total award amount to $1,000,194.30. Operation of this new well as a dedicated irrigation source will result in an estimated annual power savings to the Water Department of$45,000. Further, due to a reduced pump head requirement, the District's overall electric demand will be reduced by an estimated 180,000 kwh. 5. RECOMMENDATION A. Award the contract for the drilling of the Fibreboard Well to Boart Longyear Drilling Services in an amount not to exceed $933,991.80 (includes 5% change order authorization). B. Award the contract for the Pump Development & Testing of the Fibreboard Well to Carson Pump, LLC in an amount not to exceed $66,202.50 (includes 5% change order authorization). C. Authorized t e. transfer of $1,000,194.30 from Water Facilities Fees to the rWejrpartmen eneral Fund to pay for these contracts. E Taylor ael D. Holley Water Utility Manager General Manager TABLE 1: Fibreboard Well Drilling Contractor Lump Sum Bid Layne Christensen $1,028,950.00 Boart Longyear Drilling Services $889,516.00 WDC Exploration & Wells $911,568.00 TABLE 2: Fibreboard Pump Development and Testing Program Contractor Lump Sum Bid Carson Pump LLC $63,050.00 Layne Christensen $91,050.00