ORDINANCE appropriating $2,355,000.00 out of Water & Sewer System Consolidated Construction Fund, awarding contract to RELIANCE CONSTRUCTION SERVICES, L.P.  for Work Order Contract for Small Diameter Water Lines; 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 testing services, CIP Cost Recovery, and contingencies relating to construction of facilities financed by the Water & Sewer System Consolidated Construction Fund

SUBJECT: Contract Award for Work Order Contract for Small Diameter Water Lines.

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

PROJECT NOTICE/JUSTIFICATION: This project provides for the construction of extensions of water lines to meet the capacity needs in various City neighborhoods. It will also improve water quality by increasing the potable water circulation.

DESCRIPTION/SCOPE: This project consists of the construction of water main extensions throughout the City. This is a work order construction contract for the extension of small diameter water lines in neighborhoods where the systems are inadequate and these extensions will be made on an as-needed basis. Plans and work orders will be prepared when these extensions are requested by the Public Utilities Division. The contract duration for this project is 730 calendar days. The construction documents were prepared by Amani Engineering, Inc.

LOCATION: The project is located throughout the City of Houston, with the exception of the Central Business District.

BIDS: Base Unit Prices have been determined by the Department of Public Works and Engineering. Bidders submitted an Adjustment Factor to be applied to the Base Unit Prices. The price for each work order issued to the contractor will be calculated by multiplying the pre-determined base unit prices in the contract with the Adjustment Factor and with the quantities for the individual work orders.

The total expenditure available for the entire project is $1,900,000.00. This project was advertised for bidding on August 11, 2017. Bids for the Adjustment Factor were received on September 21, 2017. The four (4) bids are as follows:

AWARD: It is recommended that this construction contract be awarded to low bidder Reliance Construction Services, L.P. with an adjustment factor of 1.385 based on the contract amount of $1,900,000.00 and that Addendum Number 1 be made a part of this Contract.

PROJECT COST: The total cost of this project is $2,355,000.00 to be appropriated as follows:

Testing Services will be provided by Geoscience Engineering and Testing, 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, Reliance Construction Services, L.P. 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 benefits for some employees but will pay into the Contractor Responsibility Fund for others, in compliance with the City policy.

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

FISCAL NOTE: 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.

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Carol Ellinger Haddock, P.E.

Director

Houston Public Works 

WBS No. S-000700-0070-4

Brian P. Alcott, P.E.

Acting Senior Assistant Director, Capital Projects