Title
Resolution to Award a Construction Contract to Fonson Company, Inc. ($1,250,972.00, Bid No. ITB-4705) for the 2022 Valve Replacement Project
Memorandum
Attached for your review and approval is a resolution to award a contract to Fonson Company, Inc., in the amount of $1,250,972.00, for the 2022 Valve Replacement Project.
Currently there are a number of water main valves throughout the City that do not function and would not facilitate the isolation of segments of the water main system in case of failure. In cases when a water main shut down is required, this may create additional inconvenience for the businesses and residents. Staff identified valves essential for the operation of the water system. This project includes replacement of 17 valves at multiple locations throughout the City. The replacement of existing valves in some areas is complicated by their location. The project is expected to begin in May/June of 2022.
The project was sent out for bid in December 2021 (ITB-4705) under the previous Responsible Contractor Policy (which predated Ordinance 21-41). In response to the Invitation to Bid, four (2) bids were received on February 2, 2022. The lowest responsible bidder was Fonson Company, Inc. with a bid of $2,225,822.00.
The amount of work included in the bid package resulted in the total bid amounts exceeding the available budget. Thus, to bring the total project cost within the approved budget, the scope of the project was reduced to the most critical valves and bid unit prices applied to the revised scope of work resulting in a proposed contract amount of $1,250,972.00 which is agreeable to the bidder.
Fonson Company, Inc. complies with the requirements of the non-discrimination and living wage ordinances and has submitted the appropriate responsible contractor documentation.
Budget/Fiscal Impact: The City of Ann Arbor Capital Improvements Plan (CIP) includes the 2022 Valve Replacement Project (UT-WS-18-23). Total estimated project cost ...
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