Title
Resolution to Award a Construction Contract to Douglas N. Higgins, Inc. ($655,427.00, Bid No. ITB-4368) for the Duncan Street Watermain Replacement Project
Memorandum
Attached for your review and approval is a resolution to award a contract to Douglas N. Higgins, Inc. in the amount of $655,427.00 for the Duncan Street Watermain Replacement Project.
Budget/Fiscal Impact
The current City of Ann Arbor Capital Improvements Plan (CIP) includes project UT-WS-12-04, the Duncan Street Watermain Replacement Project. The total cost of the project is estimated at $ 880,000.00. This project is being funded by the approved Water Fund Capital budget ($752,800.00), Street Resurfacing Millage Capital budget ($40,000.00), Storm Water Capital Fund ($70,000.00) and Informational Technology Fund ($17,200.00).
The existing watermain in this neighborhood has experienced frequent breaks, is undersized, and is in poor condition. This project will replace the existing water main with approximately 2,200 feet of new 8-inch watermain along Duncan Street between Miller Avenue and Alice Street and along Alice Street between Duncan Street and Bruce Street. The final street resurfacing, including placement of the concrete curb and gutter, concrete sidewalk, drive approaches, bituminous pavement and turf restoration will be performed under separate contract by the 2015 Street Resurfacing Project, following the watermain installation.
In response to our invitation to bid (ITB-4368), four (4) bids were received on Thursday, March 5, 2015. The low bid from Douglas N. Higgins, Inc. of $655,427.00 is approximately 7% lower than the Engineer's Estimate.
The construction of the project is scheduled to begin in June of 2015 and to be completed in August 2015.
Douglas N. Higgins, Inc. complies with the requirements of the non-discrimination and living wage ordinances.
Staff
Prepared by: Nicholas Hutchinson, P.E., City Engineer
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Steven D. Powers, City Administrator
Body
Whereas, The existing water main along Duncan Street between Miller Avenue and Alice Street and along Alice Street between Duncan Street and Bruce Street is in poor condition, and must be replaced;
Whereas, This project is included in the City's Capital Improvement Plan;
Whereas, Funding for this project is included in the approved capital budget;
Whereas, Competitive bids were received by the Procurement Unit on March 5, 2015 and Douglas N. Higgins, Inc. of Ann Arbor, MI, was the lowest responsible bidder at $655,427.00;
Whereas, It is now necessary to enter into a contract with Douglas N. Higgins, Inc. company for the construction of Duncan Street Watermain Replacement Project; and
Whereas, Douglas N. Higgins, Inc. will comply with the City of Ann Arbor's Non-Discrimination and Living Wage Ordinance; and
Whereas, Douglas N. Higgins, Inc. complies with the requirements of the Non-Discrimination and Living Wage Ordinances;
RESOLVED, That a contract in the amount of $655,427.00 be awarded to Douglas N. Higgins, Inc. for the construction of the Duncan Street Watermain Replacement Project (Bid No. ITB-4368);
RESOLVED, That a contract contingency amount of $80,000.00 be established and that the City Administrator be authorized to approve additional change orders to the construction contract with Douglas N. Higgins, Inc. not to exceed $80,000.00 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 necessary administrative actions to implement this project, including issuing Traffic Control Orders for the streets included in the Duncan Street Watermain Project, including parking prohibition as needed in excess of 1 block and/or 90 days.