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Given the low response rate from bidders and the higher than expected bid pricing, staff believes <br />that it maybe in the best interest ofthe City to reject the current bids and re-bid the project. <br />While re-bidding does not guarantee a lower project cost, staff feels that the project’s very tight <br />timeline for completion contributed to both the higher pricing and the lower response. <br />Eliminating this constraint may open up the project to additional companies that could not meet <br />these specifications in the original bid. <br />Project Benefits, Liabilities, and Operating Cost: <br />Benefits: <br />Harris County Pct 2 proposes to upgrade their storm drainage facilities and concrete road <br />surface along Farrington Boulevard. The improved storm sewer system will greatly <br />reduce the potential for overland flooding into residential structures in portions of <br />Fairmont Park Sections One and Two. The current roadway condition is poor and <br />requires reconstruction. <br />Liabilities of Maintaining the Status Quo: <br />The city utilities are located within Harris County right-of-way and some of these <br />existing facilities must be relocated in order to allow Harris County to construct the <br />proposed storm and roadway improvements that will benefit motorists and the local <br />residents. <br />Operating Costs: <br />The majority of the relocation work involves the existing water main crossovers. These <br />mains are 50-years old and have required repair on numerous occasions over the past <br />several years. Replacing the mains will eliminate need for emergency repairs on those <br />replaced segments likely for several decades. <br />Action Required by Council: <br />Council may: <br />1.Consider rejecting all bids forSealed Bid #13012 – Farrington Boulevard Utility Relocate <br />and re-bid the project; or <br />2.Consider approval or other action authorizingthe City Manager to enter into a contract with <br />Paskey, Incorporated in the amount of $525,742.02, accepting the Alternate Bid, and <br />further allocating up to $578,316.22for this contract including a $52,574.20contingency <br />(10.0%). The $578,316.22contract will be funded from the Utility Fund reserve reducing <br />the working capital to just over 60-days; or <br />3.Direct staff to pursue any other option desired by the City Council. <br />Approved for City Council Agenda <br />Corby D. Alexander, City Manager Date <br /> <br />