Memorandum 10-04 Contract for Pressure Reducing Vault Replacement Project

MEMORANDUM 10-04

To: Walt Wrede, City Manager
From: Carey Meyer, Public Works Director
Date: January 4, 2010

Subject: ARRA PRV Replacement Project

Construction Contract Award Recommendations

The City opened bids for this project on December 17. Three bids were receivd:

Bidder Local/Non-Local Bid Amount

East Road Services Local* $189,800

Twin Peaks Construction Not Local $222,685

Endries Company Not Local $171,500

Engineer’s Estimate $109,500

(The 5% local bidder’s preference does not apply due to federal funding restrictions)

This work appears to be more expensive than the City Engineer thought. He has been properly reprimanded. In retrospect, the Hilltop PRV station (competed in 2006 did cost approx. $165,000).

Public Works reviewed Endries Company’s Contractor’s Questionnaire and found it to show adequate capacity to complete the contract. Endries Company had an opportunity to review their bid and the scope of work and have committed to completing the work as described in the bid documents.

A notice of intent to award was sent to all bidders; each had the opportunity to protest this award; none were received.

This project is an ARRA (economic stimulus) project. The Council has previously authorized accepting a 90% forgiveness loan to fund the project through ADEC and authorized a $200,000 project budget.

Recommendations:

The City Council award the construction contract to Endries Company, Soldotna, Alaska in the amount of $171,500 for the PRV Replacement Project and authorize the City Manager to execute all appropriate documents to complete construction.