Title
Resolution to Approve a Two (2) Year Construction Contract with SAK Construction, LLC for On-Call Sewer System Services (Not-to-Exceed $2,000,000.00, RFP 24-27)
Memorandum
Attached for your review and action is a resolution to approve a two (2) year construction contract with SAK Construction, LLC, in the amount not-to-exceed $2,000,000.00, to perform as-needed services for the maintenance, repair, and improvement of existing sanitary and storm sewer infrastructure.
This contract is necessary to effectively maintain the City’s sewer infrastructure and respond to emergency sewer issues. The City will utilize this contract for services such as sewer cleaning, inspection and rehabilitation as required by the Public Works Unit on an as-needed basis. These services will both supplement activities already performed by Public Works staff and allow the City to perform more advanced maintenance and rehabilitation work. One example is trenchless sewer repair methods that eliminate the need to perform an excavation minimizing construction impacts on residents.
The request for proposals was advertised on the City’s website and on the Michigan Intergovernmental Trade Network (MITN) website. One (1) proposal was received and publicly opened on April 23, 2024. A selection committee comprised of Public Services staff reviewed the proposal and determined that the proposal 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%)
The proposal submitted by SAK Construction, LLC (SAK) received a very high score from the review panel, therefore, staff recommends that City Council approve a contract with SAK for this project. SAK complies with the City’s Non-Discrimination, Conflict of Interest and Living Wage ordinances.
This contract was bid with the understanding that it could be extended for one (1) additional year at the mutual consent of the City and the Contractor with a onetime cost escalator of 3%. This Resolution would authorize the City Administrator to approve such an extension.
Budget/Fiscal Impact: These contracted services will be paid for within approved capital budgets and annual operating budgets in the Stormwater and Sewage Disposal System Funds as appropriate.
Staff
Prepared by: Paul Matthews, Public Works Manager
Reviewed by: Sue F. McCormick, Interim Public Services Area Administrator
Approved by: Milton Dohoney Jr., City Administrator
Body
Whereas, Public Works needs contracted support services for the maintenance, repair, and improvement of existing sanitary and storm sewer infrastructure;
Whereas, One (1) proposal from Sak Construction, LLC was received by Purchasing on April 23, 2024;
Whereas, SAK Construction, LLC is highly qualified to perform the work identified in RFP 24-27;
Whereas, The term of the proposed contract with SAK Construction, LLC is for two years and up to $2,000,000.00, subject to the availability of funding; and
Whereas, SAK Construction, LLC complies with the City’s Non-Discrimination, Conflict of Interest and Living Wage ordinances and submitted the appropriate documentation.
RESOLVED, That City Council approve a two (2) year construction contract with SAK Construction, LLC for On-Call Sewer System Services (RFP 24-27) not-to-exceed $2,000,000.00 and subject to the availability of funding;
RESOLVED, That the City Administrator be authorized to extend the agreement for one - one year period subject to a one-time 3% increase in unit prices provided both parties agree to an extension and subject to the annual appropriation of funds;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said agreement after approval as to substance by the City Administrator and approval as to form by the City Attorney; 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.