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CONSIDERATION OF THE RATIFICATION OF THE DECLARATION OF EMERGENCY REPAIRS TO THE EXISTING INFLUENT SEWER LINE TO PRIMARY CLARIFIERS 3 AND 4 AT THE WATER RECLAMATION FACILITY IN THE AMOUNT OF $97,705.
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BACKGROUND: The Phase 2 Water Reclamation Facility (WRF) Improvements (WW0065) are about 90% complete at this time. WRF staff and the our contractor recently discovered that the 30-inch reinforced concrete pipe (RCP) conveying raw wastewater between the new Influent Metering Facility and Primary Clarifiers 3 and 4 (South Plant) is very deteriorated and close to collapse in several locations along its 354 foot length (see location map). The sewer pipe constructed in the 1960’s was internally televised by Urban Contractors to determine its condition and length. Based on review of the video, full replacement of this pipe segment was recommended by staff.
On November 7, 2016 NUA staff submitted a memo to the City Manager (attached) requesting authorization to have Jordan Contractor’s Inc. proceed with the emergency repairs at an estimated cost of $85,300. On November 11, 2016, the City Manager approved this request.
In order for competitive bidding requirements to be waived under the Oklahoma Public Trust Act (60 O.S. s. 176), the Trustees of the NUA need to make a “finding” that an immediate emergency exists and the immediate outlay of trust funds in excess of $50,000 is necessary to avoid loss of life, substantial damage to property, or damage to the public peace or safety. The NUA can then enter into contracts without competitive bids. Section 8-204 of the City Code exempts certain contracts for services from competitive bidding when approved by the Council/NUA as necessary for the immediate preservation of the peace, health, or safety.
In this case, the required 20-day public notice was foregone due to the need to replace the sewer line while Primary Clarifiers 3 and 4 were being rehabilitated by the WRF contractor. Written quotes were obtained and the work was awarded to the low bidder in compliance with competitive bidding requirements. Failure to take advantage of the opportunity to replace the line at that time might allow a future catastrophic failure to occur resulting in release of raw wastewater into the environment. Repairing the line prior to failure protects the public health and limits NUA exposure to DEQ fines for illegal unpermitted discharges of wastewater at the WRF. For these reasons, NUA staff believed the 20-day public notice should be waived.
DISCUSSION: As noted above and as described in the memo to the City Manager (NUA General Manager), two written quotes were obtained from contractors to slip line the existing 30-inch RCP with 27-inch fiberglass reinforced pipe (FRP). Slip lining was chosen due to many above ground and below ground obstructions that would be encountered if the piping was installed by open-cut technologies. Jordan Contractors, Inc. (Jordan) submitted a low bid of $85,300 while Urban Contractors, LLC submitted a bid of $99,240.
Staff advised Jordan that their proposal was accepted on November 11 and Jordan immediately began excavation of the existing piping at the two locations for the proposed manholes. Jordan found other piping and/or structures in the immediate area that hampered installation of 20-foot lengths of replacement piping and the new manholes. Additionally, the orientation of the existing piping implied the existence of additional fittings not shown on the original plans. Jordan excavated at another location and found existing piping had been deflected at several joints. Jordan recommended and NUA staff agreed that 20-foot long pipe sections would need to be shortened to 10-feet to allow insertion of the slip lining pipe in the smaller excavations. Additionally, fittings were ordered as a substitute to new manholes at two locations. After delivery of the required piping, work began December 12 and was successfully completed on December 14, 2016.
Jordan submitted his final invoice in the amount of $97,705 on December 16, 2016. This is an increase of $12,405 over the original estimate of $85,300 (14.5%). The increased costs are detailed on the attachment letter from Jordan. As noted, three proposed manholes were deleted for a savings of $9,015; two fittings were added to replace manholes ($5,670) as well as six Fernco couplings to make piping connections ($2,670). The 27-inch reinforced fiberglass piping (FRP) had to be cut into 10-foot lengths rather than the originally estimated 20-foot lengths at an increased unit cost of $19 per foot ($6,840). Additional costs totaling $4,490 were also incurred for the third excavation as well as required rock for pipe bedding and concrete to encase piping connections. These additional costs total $10,655. Lastly, in lieu of replacing an existing manhole for approximately $3,005, staff chose to rehabilitate the manhole just upstream of primary clarifiers at a cost of $1,750. Thus, the final cost for the emergency repairs to the primary clarifier influent line was $97,705.
Purchase Order (PO) #285011 to Jordan Contractors, Inc. was created in the amount of the original estimate ($85,300). Since the final cost is $97,705, it is necessary to increase PO#285011 by $12,405 to allow final payment to Jordan.
The Fiscal Year Ending (FYE) 2017 construction budget for the Phase 2 Water Reclamation Facility (WRF) Improvements includes approximately $1,334,132 in the Water Reclamation Fund account and $803,943 in the Sewer Excise Tax account for a total of $2,138,075. It is proposed to fund the increased emergency repair cost of $12,405 with 40.7% ($5,049) from Sewer Excise Tax Fund Construction account (322-9048-432.61-01) and 59.3% ($7,356) from Water Reclamation Fund Construction account (032-9048-432.61-01). Approval of this expenditure will leave an unencumbered balance for the Phase 2 WRF Improvements of about $2,130,719.
RECOMMENDATION 1: Staff recommends the NUA ratify expenditure of funds totaling $97,705 to complete emergency repairs to the primary clarifier influent line at the Water Reclamation Facility as detailed above and authorize final payment to Jordan Contractors, Inc.