Report Prepared by: Eric Soito, Assistant Engineer, Engineering Department
Title
SUBJECT: Award Bid to GSE Construction Company, Inc. for the Merced WWTF Phase VI Project - Headworks Improvements, Project No. CP230035, in the Amount of $3,152,700
REPORT IN BRIEF
Considers awarding a Construction Contract to GSE Construction Company, Inc., in the amount of $3,152,700 for the Merced WWTF Phase VI Project - Headworks Improvements.
RECOMMENDATION
City Council - Adopt a motion:
A. Awarding the Merced WWTF Phase VI Project - Headworks Improvements, Project No. CP230035 to GSE Construction Company, Inc., in the amount of $3,152,700; and,
B. Authorizing the City Manager or Deputy City Manager to execute the necessary documents and to approve change orders not to exceed 10% of the total contract.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or
3. Deny; or,
4. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Charter of the City of Merced, Article II, Section 200 - Powers, City of Merced and Article XI, Section 1109 - Contracts on Public Works.
Merced Municipal Code, Chapter 3.04, Article IV - Public Works Contracts.
CITY COUNCIL PRIORITIES
As provided for in the FY 2022/2023 Adopted Budget.
DISCUSSION
Headworks Improvements
The work to be performed includes construction of a new influent flow meter manhole; and new mechanical screens, washer/compactors, grit removal baffles, new equipment hatches, flap gates, piping, electrical, and concrete repair, and coating for the Headworks Improvements. The City has selected the manufacturer of the mechanical screens and washer/compactors at the Headworks. The Contractor will furnish and install all equipment and electrical for the mechanical screens and washer/compactors.
History and Past Actions
The original project scope included new boiler building, gas treatment system, hot water boilers, pumps, compressors, piping and electrical for the Active Solar Dryers (ASDs) Supplemental Heating System; influent flow meter manhole; and new mechanical screens, washer/compactors, grit removal baffles, new equipment hatches, flap gates, piping, electrical and concrete repair work for the Headworks Improvements. Work inside the ASDs included electrical equipment, dryers, boilers, and electrical motor control center for the dryer equipment located inside the Boiler Building.
The project was advertised on January 5, 2023, and bids received on February 16, 2023. The lowest total base bid was $15,287,000 with a bid deduct of $2,489,000 for the headworks equaling a total bid with deduct of $12,798,000.
Due to cost increase in materials and inflation, bids exceeded the project budget of $11.6 million and all bids were rejected on March 20, 2023. Staff determined that the Headworks was the priority and recommended rebidding the project with a reduced scope. Per council direction, staff rebid the Headworks Improvements as a stand-alone project.
Merced WWTF Phase VI Project - Headworks Improvements was advertised March 30, 2023. Bids were opened on May 4, 2023, with GSE Construction, Inc. being the low bidder and the following results:
1. GSE Construction Company, Inc. $3,152,700.00
2. C. Overaa & Co. $3,317,000.00
3. W.M. Lyles Co. $3,499,919.00
4. Syblon Reid $3,610,761.00
5. Mountain Cascade, Inc. $3,934,761.00
6. Garney Pacific, Inc. $4,337,876.00
The Engineer’s estimate was $3,900,000 for the project.
The following is the proposed budget for the project:
|
Construction |
$3,152,700.00 |
|
Contingency |
$ 315,270.00 |
|
Engineering, Testing & Inspection |
$ 63,054.00 |
|
TOTAL: |
$3,531,024.00 |
IMPACT ON CITY RESOURCES
Project CP230035 is established as a Capital Improvement project and funding is available to complete this project.
ATTACHMENTS
1. Bid Results
2. Site Plan
3. Construction Contract