ORDINANCE appropriating $5,863,000.00 out of the Water & Sewer System Consolidated Construction Fund; awarding contract to INDUSTRIAL TX CORPORATION for Renovation of the 4200 Leeland Annex & Improvements at the NEWPP Administration Building; setting 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, construction management and contingencies relating to construction of facilities financed by the Water & Sewer System Consolidated Construction Fund - DISTRICTS E - MARTIN and I - GALLEGOS

SUBJECT:  Contract Award for Renovation of the 4200 Leeland Annex & Improvements at the NEWPP Administration Building, WBS Number S–001000-0052-4.

RECOMMENDATION:  (Summary)  Accept low bid, award construction contract and appropriate funds.

PROJECT NOTICE/JUSTIFICATION: This project is part of the City’s Capital Improvement Program for improvements to building facilities including the consideration for  meeting Drinking Water Operation’s current and future operational and staff accommodation requirements while addressing existing facility deterioration, code and safety issues at various City of Houston buildings.

 DESCRIPTION/SCOPE: The project consists of remodeling and repairs at two building locations: 

 At 4200 Leeland, the construction includes remodeling and repairing the annex building infrastructure to provide space for a water quality testing laboratory (complete with testing, and analytical equipment) and personnel offices.

At the Northeast Water Purification Plant’s administration building; renovate the interior of the building, convert the bottled water plant to a water quality laboratory and furnish it with laboratory equipment and appliances; construct a storage building annex to the administration building complete with air conditioning and lighting; construct a side walk with an aluminum canopy walkway to connect all the buildings at the site; construct influent and sample lines including sample pump and sample water recycle lift station.  The renovated infrastructure will be used for the current plant capacity and accomodate additional space for laboratory equipment for future plant expansion.

The construction and the ancillary services cost for the Northeast Water Purification Plant is $1,480,035.00.  This cost will be shared, under previous approved contracts, between the City of Houston (58.62%), North Harris County Regional Water Authority (2.63%), and Central Harris County Regional Water Authority (38.75%).  The City of Houston will recover $612,438.00 of the construction cost from Authorities.

The contract duration for this project is 480 calendar days. This project was designed by Huitt-Zollars, Inc.

LOCATION: The project sites are as follows:

BIDS:  This project was advertised for bidding on January 29, 2016.  Bids were received on March 10, 2016. The two (2) bids are as follow:

            Bidder                                                             Bid Amount

1.         Industrial TX Corporation                              $4,894,300.00

2.         CYMI Industrial, Inc.                                      $5,004,980.00

AWARD: It is recommended that this construction contract be awarded to the low bidder, Industrial TX Corporation, with a bid of $4,894,300.00 and that Addendum Number 1 be made a part of this contract.   

PROJECT COST:  The total cost of this project is $5,863,000.00 to be appropriated as follows:

·                            Bid Amount                                                     $4,894,300.00

·                            Contingencies                                                 $244,715.00     

·                            Engineering and Testing Services                  $80,000.00

·                            CIP Cost Recovery                                         $147,485.00

·                            Construction Management                              $496,500.00

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

Construction Management Services will be provided by Lloyd, Smitha & Associates, LLC under a previously approved contract.

HIRE HOUSTON FIRST:  The proposed contract requires compliance with the City’s ‘Hire Houston First’ ordinance that promotes economic opportunity for Houston businesses and supports job creation.  In this case, the proposed contractor meets the requirements of Hire Houston First.

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 City policy.

M/WBE PARTICIPATION: The low bidder has submitted the following proposed program to satisfy the 13% MBE goal and 7% WBE goal for this project:

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

Ravi Kaleyatodi, P.E., CPM’

Phone: (832) 395-2326