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HomeMy WebLinkAbout07-18-2017 Item 12 - Margarita Lift Station Replacement Meeting Date: 7/18/2017 FROM: Carrie Mattingly, Utilities Director Prepared By: Jennifer Metz, Utilities Project Manager SUBJECT: MARGARITA LIFT STATION REPLACEMENT, SPECIFICATION NO. 91214A RECOMMENDATION 1. Approve plans and specifications for the Margarita Lift Station Replacement, Specification No. 91214A and authorize staff to advertise for bids; and 2. Authorize the City Manager to award the contract if the lowest responsible bid is within the Engineer's estimate of $903,000. DISCUSSION Background The Margarita Lift Station, and its associated 230 feet of six-inch cast iron force main, serves properties east of South Higuera Street adjacent to Margarita Avenue and was put into service in 1971. At 46 years old, it is operating beyond its useful life. Due to the age and condition of the lift station, budget for the design of a replacement station was identified in the 2013-15 Financial Plan, Capital Improvement Plan. The City Council authorized a request for proposals and the City Manager awarded a contract for design services to replace the lift station in November 2013 and March 2014 respectively. Construction funding for the project was identified in the 2015 -17 Financial Plan, Capital Improvement Plan. On August 16, 2016, the City Council approved the advertisement of the Margarita Lift Station Replacement project with a total project budget of $1,102,000 including construction, construction management, and construction contingencies. Seven general contractors attended a mandatory pre-bid conference on September 14, 2016. On September 30, 2016, the City received two bids, both exceeding the engineer’s estimate. On October 26, 2017, the City Manager rejected all bids. In the 2017-19 Financial Plan, additional funding was added to support the construction of the project. The existing Margarita Lift Station is located along the Margarita Avenue street frontage adjacent to the Margarita Apartments which are owned and managed by the San Luis Obispo Housing Authority (HASLO). The new Margarita Lift Station will be located on an easement obtained by the City from HASLO. The City and HASLO collaborated on the project’s fencing, lighting, sound attenuation, service access, and the connection of recycled water for irrigation on the property. The old station will be abandoned and the property upon which it was located will become part of the Margarita Apartments landscaping. The City acquired temporary construction easements from HASLO for the original construction schedule of the project with a termination date of December 31, 2017. The City is working with HASLO to extend the temporary easements to respond to the updated construction schedule. Packet Pg. 151 12 ENVIRONMENTAL REVIEW This project is categorically exempt from the California Environmental Quality Act pursuant to CEQA Guidelines section 15302 (Replacement or Reconstruction of existing structures and facilities). CONCURRENCES The Public Works Department reviewed the revised plans and special provisions for the Margarita Lift Station Replacement, Specification No. 91214A and provided comments that have been incorporated; Community Development concurs with the environmental review findings. FISCAL IMPACT Adequate funding is available in the Sewer Fund to support the project’s construction, including a 20 percent contingency. The project budget is provided below. Construction Estimate $903,000 Construction Contingencies $180,000 Construction Management $125,000 Materials Testing $5,000 Printing and Miscellaneous $1,000 Project Budget $1,214,000 ALTERNATIVES Deny or defer approval to advertise. The City Council may choose to deny or defer the approval to advertise this project. If Council elects to defer the project, Utilities would continue to work to maintain the station in operable condition. Efforts already made to prolong the life of the station include repairs to the floor of the sump pump due to leaks in 1995; cathodic protection to extend the life of the structure in 1996; additional leaks were repaired on the floor and walls in 2010. If the station is run to failure requiring emergency replacement, emergency construction costs and impacts to the adjacent housing and the environment would be significant. Attachments: a - Council Reading File - Special Provisions for Specification 91214A b - Council Reading File - Planset for Specification 91214A Packet Pg. 152 12