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CONSIDERATION OF BID 1617-23, CONTRACT K-1617-77 BY AND BETWEEN THE NORMAN UTILITIES AUTHORITY AND INDUSTRIAL HYDRO SERVICES, L.L.C., IN THE AMOUNT OF $76,560, CHANGE ORDER NO. ONE INCREASING THE CONTRACT AMOUNT BY $11,484 FOR A REVISED CONTRACT AMOUNT OF $88,044; PERFORMANCE BOND B-1617-41, AND STATUTORY BOND B-1617-42 FOR REMOVAL AND LAND APPLICATION OF LIQUID BIOSOLIDS AT THE WATER RECLAMATION FACILITY.
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BACKGROUND: The Water Reclamation Facility (WRF) is currently required by Federal and State law to remove and properly dispose of treated biosolids. Frequent and regular removal of these solids from the treatment process is essential for maintaining treatment efficiency. Excess biosolids currently stored in the Storm Holding Facility are ready for removal. Contract services are necessary to remove the back log of biosolids from the holding ponds thus leaving NUA staff time to remove normal daily production of biosolids.
DISCUSSION: The advertisement for bids was mailed to vendors on September 30, 2016. Staff received five (5) bids for the project. Industrial Hydro Services submitted the lowest bid of $76,560 for removal of an estimated 4,000,000 gallons of biosolids. Staff recommends award of Bid 1617-23 to Industrial Hydro Services and execution of Contract K-1617-77 in the amount of $76,560.
In addition, since the bid unit price is favorable, staff recommends approval of Change Order No. 1 increasing the volume of biosolids to be removed from 4,000,000 to 4,600,000 gallons. This will allow staff to better manage the remaining backlog of biosolids that have accumulated during construction of the WRF Phase II Improvements. Change Order No. 1 increases the contract amount by $11,484 (15%) to a revised total of $88,044. This increase should be sufficient to remove the remaining biosolids in the northeast and northwest holding ponds as well as any remaining biosolids in the south pond.
Funding for Contract K-1617-77 is provided in the Water Reclamation Fund, Business Services-Sludge Removal (account 032-5545-432.41-21) with an unencumbered balance of $102,363. Approval of the contract and the change order in the amount of $88,044 will leave a remaining balance of $14,319.
RECOMMENDATION: Staff recommends the bid be awarded to Industrial Hydro Services as the lowest and best bidder meeting specifications, approval of Contract K-1617-77 in the amount of $76,560, Change Order 1 in the amount of $11,484 for a revised amount of $88,044, and the performance and statutory bonds