Loading...
North Fork Catsfish Creek Stormwater_Sewer Reconstruction Phase III_Rejecting BidsTO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III CIPs 7101802, 7102178, 7201662, 7201807, 7201911 & 7202018 DATE: October 26, 2009 Sealed bids were received for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III. City Engineer Gus Psihoyos recommends rejection of all bids because the lowest bid submitted was $1,997,396.75, or 32.5% over the estimate of probable cost. Gus Psihoyos believes that a change to the specifications, avalue engineering analysis, and a constructability review will identify ways to reduce the project cost while meeting the project objectives. The project will be rebid in November. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Gus Psihoyos, City Engineer THE CTTY OF DUB E Masterpiece on the Mississippi MEMORANDUM TO: Michael C. Van Milligen, City Manager FROM: Gus Psihoyos, City Engineer , DATE: October 27, 2009 Dubuque i ~a zoos SUBJECT: North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase II I CI Ps 7101802, 7102178, 7201662, 7201807, 7201911, & 7202018 INTRODUCTION The purpose of this memo is to seek authorization to reject the bids for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III. BACKGROUND Phase III of the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project involves the replacement of just over 4,700 feet of 12-inch diameter clay sanitary sewer from Keystone Drive to the Northwest Arterial (IA32) with 600 feet of 24-inch diameter and 4,130 feet of 18-inch diameter ductile iron sanitary sewer. Phase III also includes stormwate~- management improvements outlined in the Drainage Basin Master Plan: replacement of the Key Way culverts (CIP 7201662), an additional culvert at Rosemont Street (CIP 7201911) and creek improvements to improve flow and stabilize the creek banks from Key Way to the Northwest Arterial (CIP 7201807 &CIP 7202018). At the public hearing held on October 19, 2009, the City Council adopted a resolution approving the plans, specifications, form of contract and the estimated cost for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III. BID RESULTS Sealed bids were received on the project on October 22, 2009. Portzen Construction of Dubuque, Iowa, submitted the low bid in the amount of $1,997,396.75. This amount is 32.5% over the estimate of probable cost. A summary of the bid proposals received is as follows: Contractor Name Total Bid Portzen Construction $1,997,396.75 Tschiggfrie Excavating $1,998,796.90 Connolly Construction $2,092,361.06 Top Grade Excavating $2,162,668.51 There are two primary reasons that the bids exceeded the engineer's estimate by $490,331.75. First, the narrow corridor limits the contractor's movements and the bids reflect this additional time/expense to install the new sewer. The line-item cost alone to install the 18-inch diameter sewer in the same location as the existing sanitary sewer was $143,280.00 more than anticipated. Other bids items reflect the same space constraints. Secondly, the cost of installing the erosion control matting along the creek was $228,750.00 more than anticipated. The Engineering Department met with the supplier of the specified turf reinforcement product; and it was determined that the installation details for that product were incorrect. Thus the labor and material associated with the installation of the erosion control matting was incorrectly bid. The Engineering Department believes that a change to the specifications, avalue engineering analysis, and a constructability review will identify ways to reduce the project cost while meeting the project objectives and result in a cost savings to the City. Therefore, I recommend rejection of the bids, a value engineering analysis, a constructability review with contractors, and rebidding the project in November. The revised schedule for Phase III of the project would be as follows: Value Engineering Complete November 6, 2009 Initiate Bidding November 16, 2009 Advertisement for Bids November 20, 2009 Receipt of Bids December 8, 2009 Award of Contract December 20, 2009 Final Completion Date (unchanged) August 27, 2010 RECOMMENDATION recommend that the City Council reject the bids received on October 22, 2009 for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project - Phase III. BUDGET IMPACT If the contract was awarded to the lowest bid received on October 22, 2009, the estimate of probable costs for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III would be as follows: Cost Estimate Bid Award Construction Contract $1,507,065.00 $1,997,396.75 Contingency 150,706.50 150,706.50 Engineering 237,100.00 237,100.00 Total Project Cost $1,894,871.50 $2,385,203.25 ACTION TO BE TAKEN I respectfully request that the City Council reject the bids received on October 22, 2009 for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project - Phase III through the adoption of the attached resolution. Prepared by Deron Muehring, Civil Engineer II cc: Barry Lindahl, City Attorney Jenny Larson, Budget Director Ken TeKippe, Finance Director Don Vogt, Public Works Director John Klostermann, Street & Sewer Maintenance Manager Deron Muehring, Civil Engineer II RESOLUTION NO. 432-09 REJECTING ALL COMPETITIVE BID PROPOSALS RECEIVED FOR THE NORTH FORK CATSIFH CREEK STORMWATER AND SANITARY SEWER IMPROVEMENTS PROJECT - PHASE III Whereas, competitive sealed bid proposals have been submitted by contractors for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project - Phase III (the Project) pursuant to Resolution No. 390-09 and Notice to Bidders published in a newspaper published in the City of Dubuque, Iowa on the 9t" day of October, 2009; and Whereas, said competitive sealed bid proposals were opened and read on the 22nd day of October, 2009; and Whereas, the City Council has deemed it advisable to reject all competitive sealed bid proposals the Project. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. All of the competitive sealed bid proposals for the North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III are hereby rejected. Section 2. The City Clerk is authorized and instructed to return the bid deposits of the unsuccessful bidders for North Fork Catfish Creek Stormwater and Sanitary Sewer Improvements Project -Phase III. Passed, approved and adopted this 2nd Attest: eanne F. Schneider, CMC, City Clerk day of November. , 2009. '~~) %~ 't ~~ ,%~ .fc ~~"'~ ,r~~~o-`ate .~.~'' Roy D. Buol, ~/layor