ORDINANCE appropriating $6,529,900.00 out of Water & Sewer System Consolidated Construction Fund, awarding contract to McKINNEY CONSTRUCTION, INC for Water Line Replacement in Post Oak Estates Area; setting a deadline for the bidder’s execution of the contract and delivery of all bonds, insurance, and other required contract documents to the City; holding the bidder in default if it fails to meet the deadlines; providing funding for engineering, testing, CIP Cost Recovery, and contingencies relating to construction of facilities financed by the Water & Sewer System Consolidated Construction Fund - DISTRICTS G - TRAVIS and K - GREEN

SUBJECT:  Contract Award for Water Line Replacement in Post Oak Estates Area. WBS No. S-000035-0213-4.

RECOMMENDATION: Accept low bid, award Construction Contract and appropriate funds.

PROJECT NOTICE/JUSTIFICATION: This project is part of the City’s Water Line Replacement Program. This program is required to replace and upgrade water lines within the City to increase availability of water, improve circulation and fire protection.

DESCRIPTION/SCOPE: This project consists of the construction of approximately 50,464 linear feet of water lines with related appurtenances in the Post Oak Estates Area. The contract duration for this project is 390 calendar days. This project was designed by Isani Consultants L.P.

LOCATION: The project is generally bound by Area 1: Woodway on the North, San Felipe on the South, Chimney Rock on the East and Briarmead on the West.  Key Map Grid Number 491J, K,P & N; Council District G.  Area 2: Kingsbrook from Queen Annes to Chimney Rock. Key Map Grid Number 491A; Council District G.  Area 3: Chimney Rock from West Bellfort to 550 feet South of Gasmer. Key Map Grid Number 571B, 531X; Council District K.  Area 4: Pin Oak Place from Pin Oak Parkway to Loop Central. Key Map Grid Number 491Z and 531D; Council District G.

BIDS: This project was advertised for bidding on March 03, 2017. Bids were received on March 30, 2017. The three (3) bids are as follows:

            Bidder                                                            Bid Amount

1.     McKinney Construction, Inc.                         $5,696,271.25

2.     Resicom, Inc.                                                 $5,705,051.85

3.     D.L. Elliott Enterprises, Inc.                          $7,727,828.00

AWARD: It is recommended that this construction contract be awarded to McKinney Construction, Inc. with a low bid of $5,696,271.25.

PROJECT COST: The total cost of this project is $6,529,900.00 to be appropriated as follows:

• Bid Amount                                                                 $5,696,271.25

• Contingencies                                                                $284,813.56

• Engineering and Testing Services                               $150,000.00

• CIP Cost Recovery                                                      $398,815.19

Engineering and Testing Services will be provided by Raba Kistner, Inc. under a previously approved contract.

HIRE HOUSTON FIRST: The proposed contract requires compliance with the City’s ‘Hire Houston First’ (HHF) ordinance that promotes economic opportunity for Houston business and supports job creation.  In this case McKinney Construction, Inc. is a designated HHF company, but they were the successful awardee without application of the HHF preference.

PAY OR PLAY PROGRAM:  The proposed contract requires compliance with the City’s ‘Pay or Play’ ordinance regarding health benefits for employees of City contractors. In this case, the Contractor provides health benefits to eligible employees in compliance with City policy.

M/WSBE PARTICIPATION:  The low bidder has submitted the following proposed program to satisfy the 12% MBE goal and 8% WBE goal for this project.

No significant Fiscal Operating Impact is anticipated as a result of this project.

All known rights-of-way, easements and/or right-of-entry required for the project have been acquired.

_________________________________

Karun Sreerama, MBA, PhD, PE

Director

Department of Public Works and Engineering

WBS No. S-000035-0213-4

$6,529,900.00 from Fund No. 8500-Water and Sewer System Consolidated Construction Fund.

Ravi Kaleyatodi, P.E., CPM

Senior Assistant Director, Engineering Branch

Phone: (832) 395-2326