Title
Resolution to Award a Construction Contract to A. Z. Shmina, Inc. for the Arbor Landing Lift Station Replacement Project (RFP No. 22-32, $837,000.00)
Memorandum
Attached for your approval is a resolution to authorize the award of a construction contract to A. Z. Shmina, Inc., in the amount of $837,000.00 for the Arbor Landings Lift Station Replacement Project.
The City operates and maintains eight sewage lift stations, which lift sewage from lower to higher elevations as needed to allow it to flow by gravity to the City’s Wastewater Treatment Plant (WWTP) for treatment. An evaluation of all eight lift stations was performed during development of the 2004 WWTP Facilities Master Plan, which identified deficiencies and estimated the useful remaining life of each station.
Two of the lift stations were replaced prior to 2019 and one lift station, South Boulevard, is scheduled to be eliminated in FY 23. The remaining five lift stations were identified as needing replacement due to their age and condition and design documents for this work were prepared in 2019. Astor and Franklin Sewage Lift Stations were replaced in 2020. Work on Sequoia No. 1 and Sequoia No. 2 Lift Stations is on-going and scheduled to be substantially complete by October 2022. The Arbor Landings Lift Station is to be replaced beginning in FY 23 as scheduled in the City of Ann Arbor Capital Improvements Plan.
Solicitation of Proposals
RFP No. 22-32 was prepared along with project specific plans and contract documents. On April 26, 2022, three proposals were received for this work. A selection committee comprised of WWTP staff reviewed the proposals and determined which respondent was the best value based on the following criteria (as laid out in ORD-21-41, adopted by Council on January 3, 2022):
• Qualifications, Experience & Accountability (20%)
• Workplace Safety (20%)
• Workforce Development (20%)
• Social Equity & Sustainability (20%)
• Schedule of Pricing/Cost (20%)
After reviewing and scoring the proposals, staff ranked the respondents in the following order:
1. A. Z. Shmina, Inc. ($837,000.00)
2. CSM Mechanical, LLC. ($557,550.36)
2. LaSalle Construction Services ($685,000.00)
The replacement of Arbor Landing Lift Station includes demolition of existing structures, modification of an existing wet well structure, installation of new pumps and valves, and improvements to station electrical and control systems. Staff also requests that a construction contingency in the amount of $84,000.00 be approved to fund additional necessary services. Staff requests that a $921,000.00 contract and contingency amount be approved.
A. Z. Shmina, Inc. received the highest score among the proposals reviewed by the selection committee indicating that its proposal represents the best value to the City. Therefore, staff recommends awarding them the contract for this project.
A. Z. Shmina, Inc. complies with the City’s Non-Discrimination and Living Wage ordinances.
Budget/Fiscal Impact: The City of Ann Arbor Capital Improvements Plan (CIP) includes the WWTP: Lift Station Repair/Replacement Program Funds (UT-SN-14-05). Total estimated project costs are $3,050,000.00. Funds to finance this contract are included in the approved Sewage Disposal System Capital Budget.
Staff
Prepared by: Anne M. Warrow, P.E., Wastewater Treatment Services Engineer
Reviewed by: Brian Steglitz, P.E., Interim Public Services Area Administrator
Approved by: Milton Dohoney Jr, City Administrator
Body
Whereas, The City operates and maintains eight sewage lift stations, which lift sewage from lower to higher elevations as needed to allow it to flow by gravity to the City’s Wastewater Treatment Plant (WWTP) for treatment;
Whereas, An evaluation of these sewage lift stations performed as part of a 2004 WWTP Facilities Master Plan identified deficiencies and estimated the useful remaining life of each station;
Whereas, As a result of this evaluation, four of the sewage lift stations have been replaced, another has been identified for elimination, and two are in the process of being replaced;
Whereas, Arbor Landing Lift Station is the last remaining sewage lift station in need of replacement due to its age and condition;
Whereas, Three proposals were received on April 26, 2022, and A. Z. Shmina, Inc. received the highest score among the proposals reviewed by the selection committee, and thus, its proposal represents the best value to the City;
Whereas, Sufficient funds for this contract are included in the approved Sewage Disposal System Capital Budget;
Whereas, A. Z. Shmina, Inc. complies with the requirements of the City’s Non-Discrimination and Living Wage ordinances;
Whereas, It is appropriate now to enter into a contract with said company for said construction project; and
Whereas, The contract sets forth, among other things, the services to be performed by said company, and the payments to be made by the City therefore, all of which are agreeable to the City;
RESOLVED, That City Council approve a construction contract with A. Z. Shmina, Inc. in the amount of $837,000.00 for replacement of the Arbor Landing Lift Station (RFP No. 22-32);
RESOLVED, That a contingency amount of $84,000.00 be established to fund any additional necessary services for a total contract amount of $921,000.00, and that the City Administrator be authorized to approve change orders that do not exceed the contingency amount;
RESOLVED, That the Mayor and City Clerk be authorized to sign the agreement after approval as to substance by the City Administrator and approval as to form by the
City Attorney;
RESOLVED, That the City makes the following declaration for the purposes of complying with the reimbursement rules of Treasury Regulations 1.15-2 pursuant to the Internal Revenue Code of 1986, as amended, that the City reasonably expect to reimburse itself for expenditures for the costs of the Project with proceeds of Bonds; and
RESOLVED, That the City Administrator be authorized to take all necessary actions to implement this resolution.