File #: K-1314-52    Version: 1 Name: Highway 9 Water Line Project, Phase 2
Type: Contract Status: Passed
File created: 9/23/2013 In control: City Council
On agenda: 10/8/2013 Final action: 10/8/2013
Title: CONSIDERATION OF BID NO. 1314-24 AND THE NORMAN UTILITIES AUTHORITY'S APPROVAL OF CONTRACT NO. K-1314-52 WITH DOWNEY CONTRACTING, L.L.C., IN THE AMOUNT OF $259,620, PERFORMANCE BOND NO. B-1314-33, STATUTORY BOND NO. B-1314-34, AND MAINTENANCE BOND NO. MB-1314-30 FOR THE HIGHWAY 9 WATERLINE PROJECT, PHASE 2.
Attachments: 1. Text File K-1314-52, 2. Bids.pdf, 3. Contract K1314_52.pdf, 4. Performance Bond B1314_33.pdf, 5. Statutory Bond B1314_34.pdf, 6. Maintenance Bond MB1314_30.pdf, 7. PR Downey

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CONSIDERATION OF BID NO. 1314-24 AND THE NORMAN UTILITIES AUTHORITY’S APPROVAL OF CONTRACT NO. K-1314-52 WITH DOWNEY CONTRACTING, L.L.C., IN THE AMOUNT OF $259,620, PERFORMANCE BOND NO. B-1314-33, STATUTORY BOND NO. B-1314-34, AND MAINTENANCE BOND NO. MB-1314-30 FOR THE HIGHWAY 9 WATERLINE PROJECT, PHASE 2.

 

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BACKGROUND: On November 23, 2011, the City received a letter from the Oklahoma Department of Transportation (ODOT) informing the City of plans to perform construction on Highway 9  beginning just west of 24th Avenue SE and extending east along State Highway 9 for approximately 1.5 miles.  In the letter, ODOT notified the City of its responsibility to relocate City utilities in advance of construction.

 

On November 13, 2012, the NUA approved Contract No. K-1213-119 in the amount of $47,000 with Cardinal Engineers for the design work for the Highway 9 Waterline Relocation Project.  On March 26, 2013 the NUA approved Amendment No. 1 to Contract No. K-1213-119 for the design of an additional half mile of 12” waterline to complete a looped system which would also provide an additional feed for businesses and residents of this area. Two easements have been acquired for this construction.  The additional half mile is Phase 2 of the project.

 

DESCRIPTION: Advertisement for Bid No. 1314-24 for construction of the Highway 9 Waterline Project Phase 2 was published in the Norman Transcript on August 22nd and August 29th, 2013.  Four bidders submitted bids for this project on September 12, 2013.  As shown on the attached bid tabulation, Downey Contracting, LLC of Oklahoma City, Oklahoma was the low bidder at $259,620 for the base bid with other bids ranging between $278,647 and $292,710.  Staff has reviewed the bids and recommends the NUA award the bid to Downey Contracting, LLC in the amount of $259,620.

 

The Highway 9 Utility Relocation Project is funded through Construction (account 031-9727-462.61-01; project #WA0191). The Fiscal Year Ending (FYE) 2014 budget currently has an unencumbered balance of $730,021.  Therefore, adequate funding is available.

 

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.

 

RECOMMENDATION:  It is recommended that the NUA accept the bids received in response to Bid 1314-24 and award the bid to Downey Contracting, LLC of Oklahoma City, Oklahoma; that the NUA approve Contract No. K-1314-52 in the amount of $259,620 with Downey Contracting, LLC, Performance Bond No. B-1314-33, Statutory Bond No. B-1314-34, and Maintenance Bond No. MB-1314-30; all bonds being in the amount of the construction contract; and the NUA allow the Utilities Director to approve the purchase of equipment and materials directly from vendors at prices agreed to by Downey Contracting, LLC.