Title
Resolution to Award a Construction Contract to Ric-Man Construction, Inc. for the Southside Interceptor Sewer Lining Project ($2,048,872.00; Bid No. ITB-4438)
Memorandum
Attached for your review and approval please find a resolution that awards a construction contract to Ric-Man Construction, Inc. in the amount of $2,048,872.00 for the Southside Interceptor Sewer Lining Project.
Budget/Fiscal Impact
The FY 2016-2021 Capital Improvements Plan (CIP) includes the Southside Interceptor Sewer Lining Project (UT-SN-03-29). Funding for the project is included in the approved Sewage Disposal System capital budget.
Project Description
This project consists of lining approximately 4,940 feet of 32-inch sanitary sewer and 4,950 feet of 42-inch sanitary sewer pipe within Huron River Drive beginning at Chalmers Drive and extending easterly along Thornoaks Drive, along the railroad right-of-way and terminating at Old Dixboro Road at the entrance to the wastewater treatment plant. In addition, the project will line 29 sanitary sewer manholes to aid in limiting stormwater infiltration into the sanitary sewer system. Lining is a trenchless technology which enables the pipe to be repaired without disturbing the surface above. The lining of this sanitary sewer is critical to extending the service life of these pipes. The project is expected to begin in July 2016.
Plans and specifications were advertised through BidNet. Three bids were received and opened on May 17, 2016. The lowest responsible bid, in the amount of $2,048,872.00 was $64,688.00 above the engineer's estimate. The Engineer’s Estimate was based on similar bid prices that were more than four years old. In addition, access to portions of the sanitary sewer will require additional work by the contractor. Attached is a summary of the bids received for the project.
Ric-Man Construction, Inc. complies with the requirements of the non-discrimination and living wage ordinances.
Staff
Prepared by: Nick Hutchinson, P.E., City Engineer
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Tom Crawford, Interim City Administrator
Body
Whereas, The City of Ann Arbor FY 2016-2021 Capital Improvements Plan (CIP) includes the Southside Interceptor Sewer Lining Project (UT-SN-03-29);
Whereas, It is desirable to extend the service life of the existing sanitary sewer infrastructure;
Whereas, Funds are available in the approved Sewage Disposal System capital budget;
Whereas, Competitive bids were received by the Office of Procurement on May 17, 2016 and Ric-Man Construction, Inc. was the lowest responsible bidder with a submitted bid of $2,048,872.00;
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 this construction project; and
Whereas, Ric-Man Construction, Inc. complies with the requirements of the non-discrimination and living wage ordinances;
RESOLVED, That a contract in the amount of $2,048,872.00 be awarded Ric-Man Construction, Inc. for the construction of the Southside Interceptor Sewer Lining Project;
RESOLVED, That a contract contingency amount of $210,000.00 be established within the project budget and that the City Administrator be authorized to approve additional change orders to the construction contract with Ric-Man Construction, Inc. not to exceed $210,000.00 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 purposes 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 necessary administrative actions to implement this resolution, including issuing temporary and permanent Traffic Control Orders and night work authorizations as required for the construction of the project.