Item Coversheet

CITY OF HOUSTON - CITY COUNCIL

Meeting Date: 11/29/2022
District E
Item Creation Date: 8/30/2022

HPW-20SD177 Contract Award CFG Industries, LLC

Agenda Item#: 43.


 
                               
Summary:

ORDINANCE appropriating $3,281,555.00 out of Water & Sewer System Consolidated Construction Fund, awarding contract to CFG INDUSTRIES, LLC for Rehabilitation of Water Storage Tanks- Package 13; 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 CIP Cost Recovery relating to construction of facilities financed by the Water & Sewer System Consolidated Construction Fund, contingency, and testing services - DISTRICT E - MARTIN

Background:

SUBJECT: Contract Award for Rehabilitation of Water Storage Tanks - Package 13.

 

RECOMMENDATION: Award a Construction Contract to CFG Industries, LLC for Rehabilitation of Water Storage Tanks - Package 13 and appropriate funds.

 

PROJECT NOTICE/JUSTIFICATION: This project is part of the City's program to upgrade and rehabilitate groundwater production facilities and will meet the area's water demand to ensure compliance with the Texas Commission on Environmental Quality regulations program. 

 

DESCRIPTION/SCOPE:  This project consists of the rehabilitation of a 0.75-million-gallon backwash tank and two 13.4-million-gallon ground storage tanks at the Southeast Water Purification Plant (SEWPP). The Contract duration for this project is 281 calendar days. This project was designed by IDS Engineering Group, Inc.

 

LOCATION: This Project is located at 3100 Genoa Red Bluff Rd, Houston, TX 77034.   

 

BIDS: This project was advertised for bidding on June 3, 2022. Bids were received on June 30, 2022.  The three (3) bids are as follows:

 

 

Bidder

Bid Amount

 

1.

CFG Industries, LLC 

$2,915,050.00

 

2.

NG Painting, LP

$3,213,300.00

 

3.

DN Tanks

$3,996,015.00

 

 

 

AWARD: It is recommended that this construction contract be awarded to CFG Industries, LLC. with a low bid of $2,915,050.00 and that Addendum Number 1 be made a part of this Contract.

 

PROJECT COST: The total cost of this project is $3,281,555.00 to be appropriated as follows:

 

· Bid Amount

$2,915,050.00

· Contingencies

$   145,752.50

· Testing Services

$     75,000.00

· CIP Cost Recovery

$   145,752.50

 

 

Testing Services will be provided by Paradigm Consultants, Inc. 

 

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 CFG Industries, LLC., 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 has elected to pay into the Contractor Responsibility Fund in compliance with City policy.

 

M/WSBE PARTICIPATION: The contractor has submitted the following proposed program to satisfy the 9.88% MBE goal and 2.73% WBE goal for this project.

 

 

MBE - Name of Firms

Work Description

Amount

% of Contract

1.

Izzy Tank Specialist, LLC

Painting Services

$ 310,000.00

10.63%

 

 

TOTAL

$ 310,000.00

10.63%

 

 

WBE - Name of Firms

Work Description

Amount

% of Contract

1.

Champion Fuel Solutions, LLC

Supply Fuel

$ 20,000.00

0.69%

2.

Arc Light Electric, Inc.

Electric Services

$ 74,916.78

2.57%

 

 

TOTAL

$ 94,916.78

3.26%

 

 

FISCAL NOTE:  No significant Fiscal Operating impact is anticipated as a result of this project.

 

 

 

_________________________________

Carol Ellinger Haddock, P.E., Director

Houston Public Works

 

WBS No. S-000600-0053-4

Amount and Source of Funding:

$3,281,555.00 - Fund No. 8500 – Water and Sewer System Consolidated Construction.

Contact Information:

Markos E. Mengesha P.E,CCM.

Interim Assistant Director, Capital Projects

Phone: (832) 395-2365

 

ATTACHMENTS:
DescriptionType
Signed CoversheetSigned Cover sheet
Maps Backup Material