Memorandum

City of Lawrence

Utilities Department

TO:	David L. Corliss – City Manager Cynthia Wagner - Assistant City Manager Diane Stoddard - Assistant City Manager
FROM:	Philip Ciesielski – Assistant Director of Utilities
CC:	Dave Wagner – Director of Utilities Mike Lawless – Deputy Director of Utilities Beth Krishtalka – Assistant to Director Mark Hegeman – Utilities Operations Superintendent Dave King – Utilities Maintenance Superintendent Bob Brower – Utilities Operations Superintendent
Date:	December 31, 2013
RE:	Agenda Item – Award Bid for Bid No. B1367 Project UT0701DS Kaw Water Treatment Plant Transmission Main Phase I, and authorize the City Manager to execute Supplemental Agreement No.2 for Construction Phase Engineering Services.

Please include the following item on the City Commission Agenda for consideration at the January 7, 2014 meeting:

Award the Bid for Bid No. B1367 Project UT0701DS Kaw Water Treatment Plant Transmission Main Phase I to the low bidder Garney Companies, Inc. in the amount of $5,669,409.00 and authorize the City Manager to execute the construction contract.

Authorize the City Manager to execute Supplemental Agreement No.2 to the existing Engineering Services Agreement with Burns & McDonnell in the amount of $265,740.00 for construction phase engineering services in conjunction with project UT0701DS Kaw Water Treatment Plant Transmission Main Phase I.

Project Description

The 2003 Water Master Plan identified projects to address the required increase in capacity and the addition of redundant facilities related to the transmission of finished drinking water from the Kaw Water Treatment Plant (WTP) to the southeast Lawrence area and the second watermain crossing of the Kansas River to North Lawrence.

The current Water Master Plan maintains the recommended project with the completion of a modified Phase I from the Kaw WTP to North 3^rd Street in 2013 – 2014 to provide a redundant water supply connection to North Lawrence. The Plan recommends the completion of Phase II in 2019, and Phase III by 2025 to address capacity requirements in Southeast Lawrence. Phase I Map attached.

Project Status

On December 17, 2013, bids were received from the following three (3) bidders. The bids were opened and publicly read aloud.

Garney Companies, Inc.                $5,669,409.00

Nowak Construction                     $6,060,932.00

BRB Contractors, Inc.                            $6,200,000.00

Engineer’s Estimate                      $5,900,000.00

Burns & McDonnell has reviewed the bid documents, financial status and qualifications of the low bidder Garney Companies, Inc., and their horizontal directional drilling subcontractor Environmental Crossings Inc., and per the attached letter recommend awarding the bid to the low bidder Garney Companies, Inc.

Staff have negotiated Supplemental Agreement No.2 with Burns & McDonnell for Construction Phase Engineering Services in the amount of $265,740.00. The supplemental agreement reflects an appropriate scope of services and fee based on the duration and complexity of the construction, the majority of which involves the horizontal directionally drilled installation of 36” diameter, fused PVC pipe including the crossing of the Kansas River. The work also includes the construction of a new bridge over the Country Club Hope Plaza Tributary. The fee includes a maximum of 980 hours of on-site construction inspection to be billed based on the actual hours incurred. The services include on-site construction inspection, geotechnical and materials testing services, construction materials and equipment submittal reviews, pipeline start-up and commissioning, generation of as-built record drawings, and construction contract administration for the 8 month duration of the construction contract.

Project Schedule                Days From Notice to Proceed

Bid Opening                                December 17, 2013

Substantial Completion                 210 Calendar Days from Notice to Proceed

Final Completion                          240 Calendar Days from Notice to Proceed

Project Funding

The construction is funded from the Department of Utilities 2013 Capital Improvements and Rate Program Bonded Construction Fund Resolution 7019.

Action Request

Award the Bid for Bid No. B1367 Project UT0701DS Kaw Water Treatment Plant Transmission Main Phase I to the low bidder Garney Companies, Inc. in the amount of $5,669,409.00 and authorize the City Manager to execute the construction contract.

Authorize the City Manager to execute Supplemental Agreement No.2 to the existing Engineering Services Agreement with Burns & McDonnell in the amount of $265,740.00 for construction phase engineering services in conjunction with project UT0701DS Kaw Water Treatment Plant Transmission Main Phase I.

Thank you for your assistance.  Please advise if you have any questions.