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Item 5BCity of Southlake, Texas MEMORANDUM May 4, 2004 To: Billy Campbell, City Manager From: Pedram Farahnak, P.E., Public Works Director, 481 -2308 Subject: Consider awarding bid for the construction of the redundant water supply line from the City of Fort Worth to the City of Southlake Pump Station No. 1 to Barson Utilities, Inc. in the amount of $5,763,504.50. Action Requested: Award bid for the construction of the redundant water supply line from the City of Fort Worth to the City of Southlake Pump Station No. 1 to Barson Utilities, Inc. in the amount of $5,763,504.50. Background Information: The 2000 -2001, 2002 -2003 and 2003 -2004 Capital Improvements Programs provide funding for professional services for design and construction of a 42" and 30" transmission line to transport treated water from the City of Fort Worth Caylor Tank to the City of Southlake Pump Station No. 1. The City of Southlake currently receives its treated water through a water purchase agreement with the City of Fort Worth. The treated water is delivered to the City of Fort Worth Beach Street Pump Station approximately three miles west of the City of Southlake. This treated water is transported to the City of Southlake and the City of Keller via a single 36" transmission line constructed in 1984. Due to the City of Southlake's high growth, this transmission line is approaching its top capacity. The redundant water supply line will expand the current water delivery capability to 32,000,000 gallons per day. On February 12, 2002, the City Council approved a professional services agreement with Freese and Nichols, Inc. for the design and preparation of construction plans and specifications for the construction of the redundant water supply line. The City of Keller is going to own a part of this transmission line and receive a portion of the water; therefore, on January 20, 2004, the City Council approved an interlocal agreement between the City of Southlake and the City of Keller for the funding of construction and maintenance of the water transmission lines from the City of Fort Worth to the City of Southlake. Keller will own and pay 25% of cost of the transmission line. All easements and permits have been acquired for this construction. The contract time for completion of the work is 420 calendar days. A $75,000 bonus is included in the contract if the contractor substantially completes the installation of the water transmission lines within 320 calendar days to encourage the completion of the transmission lines prior to the high water usage in the summer of 2005. Six bids were received on April 15, 2004 with Barson Utilities, Inc. being the low bidder. The bids have been reviewed by Freese and Nichols, Inc. and the City Staff and are tabulated as follows: Bidder Bid Amount Barson Utilities, Inc. $5,763,504.50 Circle C Construction $5,950,768.00 Bar Constructors, Inc. $7,603,265.50 John Burns Construction Co. of Texas $7,084,863.00 S. J. Lewis Construction of Texas $7,224,561.25 John D. Stephens $7,708,690.00 The low qualified bidder is Barson Utilities, Inc. with a bid of $5,763,504.50. Financial Considerations: Funds are available for the construction of the water transmission lines in the 2000 -2001 CIP, 2002 -2003 CIP and 2003 -2004 CIP. Bid award is in the amount of $5,763,504.50 with a 10% contingency in the amount of $576,350.45. Citizen Input/ Board Review: None Legal Review: None Alternatives: The Council may award the bid or reject the bid. Supporting Documents: Location Map Project Schedule: 420 calendar days are allotted from the date of Notice to Proceed for this project. Staff Recommendation: Award bid for the construction of the redundant water supply line from the City of Fort Worth to the City of Southlake Pump Station No. 1 to Barson Utilities, Inc. in the amount of $5,763,504.50 and approve a 10% contingency in the amount of $576,350.45 for unanticipated construction related items. Staff Contact: Pedram Farahnak, P.E., Public Works Director Charlie Thomas, P.E., City Engineer CC: Sharen Elam, Finance Director Mike Patterson, Operations Manager N I 30�O' 6000 = Wo WE57LANE ay CALM r*A S m j .9 CLEM W W 41 WCAMAPIACIly KELLER Lim - El - jo.-Im IA21V Q MCD P —�* ?m .1 Fm F — — — -- — — — — — — — — — 20 kw CWAC17Y r.. 0 UW 5OUTHLAI(c) n MW KELLER) KELLER 1 xr SOUTHLAKE Figure 1 SOUTHLAKE / KELLER WATER SUPPLY SYSTEM