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CONSIDERATION OF AWARDING OF BID NO. 1213-43; THE NORMAN UTILITIES AUTHORITY’S (NUA) APPROVAL OF CONTRACT NO. K-1213-87 WITH CENTRAL CONTRACTING SERVICES, INC., IN THE AMOUNT OF $934,225; PERFORMANCE BOND NO. B-1213-63; STATUTORY BOND NO. B-1213-33; AND MAINTENANCE BOND NO. MB-1213-26 FOR THE PENDLETON DRIVE AREA WATER LINE PROJECT AND BUDGET APPROPRIATION.
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BACKGROUND: The Pendleton Drive Area Waterline Project (WA0187) provides for replacement of about 10,000 feet of ductile iron (D.I.) water line with Polyvinyl Chloride (C900 PVC) piping in the Prairie Creek Addition. The D.I. pipe is not compatible with the acidic soil and is failing, causing water outages, water loss and damage to driveways, streets, and yards.
DESCRIPTION: An advertisement for bids was published in the Norman Transcript on January 10 and 17, 2013. Project bids were opened January 31, 2013. As shown in the attached letter from Cardinal Engineering, Inc. (Cardinal), six (6) bids were received and Central Contracting Services, Inc. (CCS) was the low bidder at $934,225. The engineer’s estimate was $1,060,000; staff and Cardinal recommend award to CCS. Work should begin during late March with a 180 day contract completion time.
The Fiscal Year Ending (FYE) 2013 budget for WA0187 includes an unencumbered balance of $871,000 for Construction (account 031-9360-462.61-01), a shortfall of $63,225 from the low bid amount. Staff recommends a supplemental appropriation of $109,936, the $63,225 shortfall plus five percent (5%) contingency, from the Water Fund Balance (account 031-0000-253.00-00).
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 wi...
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