ORDINANCE appropriating $4,600,000.00 out of Water & Sewer System Consolidated Construction Fund; awarding contract to REYTEC CONSTRUCTION RESOURCES, INC for On-Call Rehabilitation of Large Diameter Water Lines Package 3; 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, testing services

SUBJECT: Contract Award for On-Call Rehabilitation of Large Diameter Water Lines – Package 3.

RECOMMENDATION: Award a Construction Contract to Reytec Construction Resources, Inc. for On-Call Rehabilitation of Large Diameter Water Lines – Package 3 and appropriate funds.

PROJECT NOTICE/JUSTIFICATION: This project is required to provide for the removal, disposal and installation of new diameter waterline valves, fire hydrant and related work.

DESCRIPTION/SCOPE: This project consists of the rehabilitation or replacement of primarily large diameter waterlines, valves and appurtenances (24 inches in diameter and greater), including mobilizing to develop appropriate rehabilitation solutions, installing remedies, bedding and backfilling utilities, and restoring surface around area of work. The contract duration for this project is 730 calendar days.

LOCATION: The projects are located throughout the City of Houston.

BIDS: This project was advertised for bidding on January 3, 2025. Bids were received on January 23, 2025. The three (3) bids are as follows:

AWARD: It is recommended that this Construction Contract be awarded to Reytec Construction Resources, Inc. with the low bid of $4,000,000.00 (0.850 Adjustment Factor) and that Addendum No. 1 and Riders No. 1 and 2 be made a part of this Contract.

PROJECT COST: The total cost of this project is $4,600,000.00 to be appropriated as follows:

Testing Services will be provided by Professional Service Industries, 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, Reytec Construction Resources, 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 Contractor has submitted the following proposed program to satisfy the 12% MBE goal and 5% WBE goal for this project.

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

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Randall V. Macchi, JD

WBS No. S-000701-0051-4

$4,600,000.00 - Fund No. 8500 - Water and Sewer System Consolidated Construction Fund