Title
Resolution to Award a Construction Contract to Verdeterre Contracting, Inc. ($231,198.25; Bid No. ITB-3952) for the Austin Ave, Hillcrest Dr., & Carl Ct. Water Main Replacement Project
Memorandum
Attached for your review and approval is a resolution to award a contract to Verdeterre Contracting, Inc in the amount of $231,198.25 for the Austin Ave, Hillcrest Dr, & Carl Ct Water Main Replacement Project.
The construction contract titled "Austin Ave, Hillcrest Dr, & Carl Ct Water Main Replacement" includes the installation of new 8" water mains at three different locations in the City. The three projects are combined in one construction contract for efficiency and cost savings.
The Austin Avenue water main includes the installation of approximately 280 feet of new 8" ductile iron water main to replace the two existing 1 ΒΌ" water mains that serve the houses on Austin Avenue. Residents on this street have complained of low water flow. This work will improve flow by upgrading the service to the City of Ann Arbor standard size water main. Adjacent sidewalk ramps will be replaced to comply with the ADA requirements.
The Hillcrest Drive water main includes the installation of approximately 275 feet of new 8" ductile iron water main to replace the existing 2" main that serves the houses on Hillcrest Drive. This work will upgrade the neighborhood service to City of Ann Arbor water main and fire protection standards by upsizing the pipe, and adding a fire hydrant. The work will include re-surfacing Hillcrest Drive with new asphalt. Adjacent sidewalk ramps will be replaced to comply with the ADA requirements.
The Carl Court water main includes the installation of approximately 376 feet of new 8" ductile iron water main to replace the existing 4" main that serves the houses on Carl Court. Carl Court has a history of water main breaks that have disrupted service. This work will provide a more reliable water service for the neighborhood, and conform to City of Ann Arbor water main and fire protection standards by upsizing the pipe and adding a fire hydrant. Adjacent sidewalk ramps will be replaced to comply with the ADA requirements.
The project was advertised on Bidnet and ten sets of plans and specifications were distributed to contractors who expressed interest in the project. Six bids for the construction were received and opened on Monday, June 23, 2008. The low bid from Verdeterre Contracting, Inc of $231,198.25 is approximately 6% above the Engineer's Estimate. The construction of the project is scheduled for completion by November 2008.
This project includes three locations, one which includes the complete resurfacing of the road, and which might include sub-grade undercutting and base repair, depending on the condition of the base when it is exposed. A contract contingency amount of $35,000.00, will be established in order to satisfactorily complete this project.
Project UT-WS-06-01, the Austin Ave, Hillcrest Dr, & Carl Ct Water Main Replacement Project is included in the City's Adopted FY09 Capital Budget. The funding for this project will be advanced from the Water Supply System pending the sale of Water Revenue bonds.
Verdeterre Contracting, Inc received Human Rights approval on June 24, 2008. Employees working on this project will be paid prevailing wages (which exceed the "living wage") per the contract.
Staff
Prepared by: Homayoon Pirooz, P.E., Manager, Project Management Unit
Reviewed by: Sue F. McCormick, Public Services Administrator
Approved by: Roger W. Fraser, City Administrator
Body
Whereas, It is necessary to install new water mains in Austin Avenue, Hillcrest Drive, and Carl Court to provide safe and dependable water service for these residences;
Whereas, Project UT-WS-06-01, the Austin Ave, Hillcrest Dr, & Carl Ct Water Main Replacement Project is included in the City's Adopted FY09 Capital Budget;
Whereas, Competitive bids were received by the Procurement Unit on June 23, 2008 and Verdeterre Contracting, Inc of Canton, MI, was the lowest responsible bidder at $231,198.25;
Whereas, The contractual proposal sets forth 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;
Whereas, It is now necessary to enter into a contract with said company for said construction project; and
Whereas, Verdeterre Contracting, Inc received Human Rights approval on June 24, 2008 and complies with the Living Wage Ordinance.
RESOLVED, That a contract in the amount of $231,198.25 be awarded to Verdeterre Contracting, Inc for the construction of the Austin Ave, Hillcrest Dr, & Carl Ct Water Main Replacement Project (Bid No. ITB-3952);
RESOLVED, That a contract contingency amount of $35,000.00 be established and that the City Administrator be authorized to approve additional change orders to the construction contract with Verdeterre Contracting, Inc, not to exceed $35,000.00 in order to satisfactorily complete this project;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said contract after approval as to form by the City Attorney, and approval as to substance by the City Administrator;
RESOLVED, That the City makes the following declaration for the purpose of complying with the reimbursement rules of Treasury Regulations 1.150-2 pursuant to the Internal Revenue Code of 1986, as amended, that the City reasonably expects 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 the necessary administrative actions to implement this resolution.