Title
Approval of Bid Award for the Black Lake Sewer Lift Station Replacement project
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to award the construction contract for the Black Lake Sewer Lift Station Replacement project to the lowest responsive, responsible bidder, Wiseman Utilities, Inc., in the amount of $728,643.39, authorizing the City Manager to execute all documents necessary to proceed.
Report
Issue:
Whether to confirm staff's recommendation to award the Black Lake Sewer Lift Station Replacement project to Wiseman Utilities, Inc., as the lowest responsible, responsive bidder.
Staff Contact:
Tim Richardson, P.E., Project Manager, Public Works Engineering, 360.753.8749
Presenter(s):
None - Consent Calendar item.
Background and Analysis:
The Black Lake Sewer Lift Station, built nearly 50 years ago, serves over 350 City of Olympia sewer customers. The facility cannot meet the current demand during rainy weather and it won't be able to accommodate future development. In 2012, the City evaluated the lift station and sewer pipes that serve this area to determine the best approach to increase the capacity of the lift station and sewer pipeline. In 2013, the City installed approximately 2,200 feet of new 8-inch pipe along Black Lake Boulevard. This year, the City will install a new sewer lift station and connect it to the pipeline constructed last year. These improvements will add capacity to serve an additional 87 acres of currently undeveloped land as well as improve the ability to handle additional flow when it rains.
This project will install a sanitary sewer lift station at 2421 Black Lake Boulevard, an electrical control cabinet, and a standby generator. Crews will connect the new pipe to the sewer system near the intersection of Black Lake Boulevard and 21st Avenue/RW Johnson Boulevard (see attachment - project map).
Construction is anticipated to begin in August and be complete by December.
The City received five (5) bids. The bid proposal from the lowest bidder, Wiseman Utilities, Inc., meets all bidder responsibility criteria. Their bid of $728,643.39 is 23% above the engineer's estimate of $593,098.18 (See Attachment - Bid Tabulation). Higher bids appear to be due to improvements in the economy, creating a more favorable bidding climate for contractors than the last several years.
Surplus funds from a previous wastewater project will be used to cover the higher than anticipated cost of the project.
Neighborhood/Community Interests (if known):
This project will increase capacity of the Black Lake Boulevard sewer system and significantly reduce the risk of sewer overflowing onto the ground.
The majority of construction activity will take place off the road, minimizing impacts to traffic flow. For a few days, during the pipe connection, traffic delays will occur at the intersection of Black Lake Boulevard and 21st Avenue/RW Johnson Boulevard. Flaggers will direct traffic through the construction zone during this period.
City staff will inform the public of the construction project, schedule, and any impacts to traffic or City service via Twitter, Facebook, and the Construction News webpage.
Options:
1. Award the contract for the Black Lake Sewer Lift Station Replacement project to the lowest responsive, responsible bidder, Wiseman Utilities, Inc., in the amount of $728,643.39, and authorize the City Manager to execute all documents necessary to proceed.
· Project proceeds as planned.
· Potential for overflows due to wet weather conditions will be minimized.
· City delivers on its commitment to construct the project this year.
2. Reject all bids and request that staff rebid the project. The existing facility is not able to meet capacity demands during the rainy season or for future development, which means there is a risk of overflow and a sewer spill.
Delaying construction:
· Increases the risk of sewer overflows,
· Delays potential development of nearby property,
· Increases potential for increased cost due to re-bidding.
Financial Impact:
Below is an estimate of the project costs. This project was identified as a priority in the Capital Facilities Plan and is being funded by Wastewater Utility rates. The City has sufficient funds to complete this project.
Project Costs:
Lowest responsive, responsible bidder: $ 728,644
Contingency to Award (10%): $ 72,864
Pre-purchased packaged sanitary sewer lift station (includes contingency): $ 172,117
Engineering - Design, Construction, Inspection, Survey: $ 275,000
Permits/Right of Way/Consultants/Other Fees: $ 101,375
TOTAL PROJECT COSTS: $ 1,350,000
Attachments:
1. Project Map
2. Bid Tabulation