HomeMy WebLinkAbout08/03/2004, C5 - WRF DAFT REPAIR, SPECIFICATION NO. 90461 council- W°6�D�
Au st 3 2004
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CITY O F SAN LUIS OBISPO
FROM: Michael McCluskey, Public Works DirectoritlDp\
Prepared By: Michael J. McGuire,Assistant Engineer Ajk
SUBJECT: WRF DAFT REPAIR, SPECIFICATION NO. 90461
CAO RECOMMENDATIONS
1. Reject all bids for the"WRF DAFT Repair", Specification No. 90461.
2. Authorize Staff to advertise for bids in Spring, 2005 and authorize the City Administrative
Officer to award the contract if the lowest responsible bid is within the engineer's estimate of
$200,000.
DISCUSSION
On June 10, 2004, bids were opened for the repair work on the Dissolved Air Flotation Thickener
(DAFT) Tank located at the Water Reclamation Facility (WRF). Only one bid, from Spiess
Construction Company, was received in the amount of $192,220, more than $60,000 over the
engineer's estimate of$130,000. This project must be constructed in the summer months, when
Cal Poly attendance is reduced and wastewater flows to the WRF are at their seasonal low. Staff
from the Utilities and Public Works Departments conferred and decided to reject the bid from
Spiess Construction due to the time delay that would occur in procuring the additional funding
necessary to award the contract. As this would not allow the project to be completed in time,
repair work will not be able to be initiated until June, 2005. WRF Staff feels that minor repairs
and maintenance will keep the DAFT Tank operating sufficiently until the repair work can be
completed next year.
In speaking with contractors who attended the walk-through of the project; the main reason for
not bidding, or in the case of Spiess Construction's over-estimate bid, was not being able to
inspect the interior of the tank for the condition of the equipment and the tank walls, and thus,
not having a complete scope of work. The tank could not be inspected without shutting it down
and draining it, which could not be done at the time of bidding due to its critical nature in the
wastewater process. Since the bid opening, Cal Poly has not been in session, which has allowed
WRF staff to take the DAFT Tank off-line, drain and inspect the tank interior. When this project
goes to bid next spring, photographs and a videotape of the tank interior will be made available
to prospective bidders. Also, the coating specifications for the tank and the equipment will be
more detailed in regards to coating types and amounts of coverage.
CONCURRENCES
The rejection of the lone bid and delay of the project until June, 2005 has approval from the
WRF Supervisor, the Utilities Department and the Public Works Department. [
CS� 1
I i
WRF DAFT Repair Page 2
FISCAL IMPACT
This Capital Improvement Project was part of the 2001-03 Financial Plan. Below is the revised
Engineer's Estimate anticipating increased costs for the repair work to be performed in Spring,
2005.
DAFT Tank Repair $200,000
15% Construction Contingency 30,000
Coating Inspection 15,000
TOTAL $245,000
Funds to support the original project estimate were provided from the Major Equipment
Maintenance Account in the amount of$163,000. In anticipation of increased construction costs
and consultant's fees for next year, an additional $82,000 will also come from the Major
Equipment Maintenance Account, which currently has nearly $545,000 and will be receiving
$475,000 for the new fiscal year, for a total amount of$1,020,000.
ATTACHMENTS
Bid Summary Sheet.
I:H-Council Agenda Reports/2004 agenda reports/Engineering and Maintenance Services(Walter)/Capital Projects Design(Lynch)/Shortcut to
90461-CAR-REJECT
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.\ \_?g SUMMARY SHEET
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