Title
Resolution to Approve a Construction Contract with E.T. MacKenzie Company, Inc. ($1,868,000.00, RFP 24-53) for the 2024 Valve Replacement Project
Memorandum
Attached for your review and approval is a resolution to approve a construction contract with E.T. MacKenzie Company, Inc., in the amount of $1,868,000.00, for the 2024 Valve Replacement Project.
Currently there are a number of water main valves in the City’s system that do not function properly 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. This project includes replacement of 15 valves at multiple critical locations throughout the City.
The construction of the project is scheduled to begin in February 2025 and continue through June 2025.
Engineering staff supervised the creation of plans and contract documents and bid the project through the City’s Procurement Unit. On October 30, 2024, three proposals were received for this work. A selection committee comprised of Public Services staff reviewed the proposals and determined which bidder was the Best Value based on the criteria in ORD-21-41:
• 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 responding firms in the following order:
1. E.T. MacKenzie Company, Inc.
2. Fonson Company, Inc.
3. E & K Contractors
E.T. MacKenzie Company, Inc. (MacKenzie) received the highest score among the proposals reviewed by the selection committee. Therefore, staff recommends awarding the contract for this project to MacKenzie. MacKenzie 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 2024 Valve Replacement Projects (UT-WS-24-11). The total estimated project cost is $2,500,000. Funding for the project is included in the Water Supply System Fund Capital Budget.
Staff
Prepared by: Nicholas Hutchinson, P.E., City Engineer
Reviewed by: Sue F. McCormick, Interim Public Services Area Administrator
Approved by: Milton Dohoney Jr., City Administrator
Body
Whereas, Many water main valves throughout the City are currently not functioning and would not be able to isolate parts of the water main system in the case of a break;
Whereas, Replacement valves must be installed for appropriate operation of the water system;
Whereas, The City of Ann Arbor received three proposals for this work on October 30, 2024 and E.T. MacKenzie Company, Inc. received the highest score among the proposals reviewed by the selection committee;
Whereas, It is now necessary to enter into a contract with E.T. MacKenzie Company, Inc. for the performance of this work; and
Whereas, E.T. MacKenzie Company, Inc. complies with the City’s Non-Discrimination, Conflict of Interest, and Living Wage ordinances;
RESOLVED, That City Council approve a construction contract with E.T. MacKenzie Company, Inc. in the amount of $1,868,000.00 for the 2024 Valve Replacement Project (RFP 24-53);
RESOLVED, That a contract contingency amount of $200,000.00 be established within the project budget and that the City Administrator be authorized to approve additional change orders to the construction contract with E.T. MacKenzie Company, Inc. not to exceed $200,000.00 in order to satisfactorily complete this project;
RESOLVED, That the City make 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;
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; 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.