File #: K-2021-77    Version: 2 Name: WTP 36-Inch Filter Effluent Pipe Improvements Construction Contract and Bond Approval
Type: Contract Status: Passed
File created: 1/5/2021 In control: City Council
On agenda: 1/12/2021 Final action: 1/12/2021
Title: CONSIDERATION OF AWARDING BID-2021-38, THE NORMAN UTILITIES AUTHORITY'S APPROVAL OF CONTRACT K-2021-77 WITH W.E.B. CONSTRUCTION, INC., IN THE AMOUNT OF $338,000; PERFORMANCE BOND B-2021-59; STATUTORY BOND B-2021-60; AND MAINTENANCE BOND MB-1920-45 FOR WATER TREATMENT PLANT 36-INCH FILTER EFFLUENT PIPE IMPROVEMENTS PROJECT.
Attachments: 1. City Council Staff Report, 2. Bid Tabulation, 3. Carollo Award Recommendation, 4. Contract and Bonds, 5. Project Location Map

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CONSIDERATION OF AWARDING BID-2021-38, THE NORMAN UTILITIES AUTHORITY’S APPROVAL OF CONTRACT K-2021-77 WITH W.E.B. CONSTRUCTION, INC., IN THE AMOUNT OF $338,000; PERFORMANCE BOND B-2021-59; STATUTORY BOND B-2021-60; AND MAINTENANCE BOND MB-1920-45 FOR WATER TREATMENT PLANT 36-INCH FILTER EFFLUENT PIPE IMPROVEMENTS PROJECT. 

 

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BACKGROUND:  On May 22, 2012, the NUA approved Contract K-1112-124 to Carollo Engineers, Inc. (Carollo) to perform design services for the Phase II Water Treatment Plant (WTP) Improvements.  On February 10, 2015, the NUA approved Amendment No. 1 to complete final design, provide construction administration services, and provide full-time on-site construction inspection services for the WTP Phase II Upgrade.  Construction of the improvements began on May 29, 2017, and the project was deemed substantially complete on March 31, 2020.  

 

During construction of the Phase II Water Treatment Plant Improvements project, it was discovered that the 36-inch filter effluent line, which was installed as part of the original plant construction in 1965 included neither an isolation valve nor any means of access so the pipeline could be inspected.  As a result, not only was plant staff unable to effectively monitor its condition, but, in case of catastrophic failure of the line, the entire plant would have to be taken out of service to effect repairs. Upon further review, it was determined that a 36” isolation valve and manway could be installed in the 36” effluent line that would eliminate these issues and, if construction were scheduled during winter months, the work could be completed with a few short plant shutdowns and no impact to customers.

 

On December 1, 2020, Contract K-2021-73 with Carollo Engineers, Inc. was executed by the NUA.  This contract provided for design, bidding, and construction administration services for the Norman Water Treatment Plant 36-Inch Filter Effluent Pipe Improvements project.

 

DESCRIPTION:  The Invitation to Bid for Bid-2021-38 for the Norman Water Treatment Plant 36-Inch Effluent Pipe Improvements was published in the Norman Transcript on November 27 and December 4, 2020.  Mandatory pre-bid meetings were held on December 7 and 10, 2020.  Addenda 1 and 2 were issued to plan holders on December 7 and 11, 2020, respectively.

 

Bids were opened on December 18, 2020, and three (3) contractors submitted bids.  The Bids ranged from $338,000 to $465,250. Both staff and Carollo (letter attached) recommend award to W.E.B. Construction Inc. for the Bid amount of $338,000. 

 

Funding will be from the Water Treatment Plant Improvements Phase I Construction account (Org 31999939 - Object 46101; Project WA0291).  This account has an unencumbered balance of $380,617.

 

The City of Norman is exempt from the payment of any sales or use taxes. Pursuant to Title 68 O.S., Section 1356 (10) and as allowed by Oklahoma Tax Commission Rules Part 27 Trust Authority 710:65-13-140, direct vendors to the NUA are also exempt from those taxes. A bidder and his subcontractors may exclude from their bid sales taxes on appropriate equipment, materials, and supplies that will not have to be paid while acting on behalf of the NUA. To minimize project costs, the NUA will make payment directly to vendors supplying equipment and materials for incorporation into the project.

 

Work on the project will commence shortly after NUA approval of the contract and will continue for approximately six (6) months.

 

RECOMMENDATION:  Staff recommends the NUA accept bids meeting project specifications; award Bid-2021-38 to W.E.B. Construction Inc. for Norman Water Treatment Plant 36-Inch Filter Effluent Pipe Improvements in the amount of $338,000; approve Contract K-2021-77 and associated performance, statutory, and maintenance bonds in the amount of the bid; and authorize execution of the contracts and bonds and the NUA to purchase equipment and supplies on behalf of the contractor for incorporation into the project.