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Agenda Item 8BAGENDA ITEM # 8B SEPTEMBER 12, 2011 STAFF REPORT City of Atlantic Beach Commission Meeting AGENDA ITEM: Award of Contract on Donner Sewer Rehabilitation Project DATE: September 2, 2011,,, SUBMITTED BY: David E. Thompson, A City Manager BACKGROUND: The City's Sewer Master Plan Update recommended that the City use cured -in -place pipe technology to upgrade the old, cracked clay sewer mains, and use lining to rehabilitate deteriorated manholes. Fortunately, staff was able to obtain a Community Development Block Grant to upgrade the sewer system in the Donner Subdivision. This is a Disaster Recovery Grant associated with Tropical Storm Fay. By improving the sewer system, the City will reduce the possibility of overflowing manholes and excessive flows caused by infiltration during heavy storms. Specifications were completed, reviewed and approved by the Florida Department of Community Affairs. Bids were advertised, five contractors were prequalified and four attended the Pre -Bid Meeting. Five contractors submitted bids as follows: American Insituform Lanzo Lining Miller Reynolds Infrastructure Technologies, Services, Inc. Pipeline Corp. Inliner Technologies Inc. Corp. $157,410.00 $140,294.00 $188,320.00 $175,590.25 $198,275.00 On June 13, 2011, the City Commission awarded the contract to Insituform Technologies, Inc., contingent on approval by the City of Jacksonville, as they are the grant administrators. The City of Jacksonville would not approve awarding the bid to Insituform, and on July 11, 2011, the City Commission rejected all bids and authorized staff to rebid the project. Jacksonville had contacted the bidders to see if any were willing to comply with Section 3 hiring requirements. Insituform and American Infrastructure Technologies would not agree to hire people under the Section 3 requirements. Miller was the lowest bid that agreed to abide by the Section 3 requirements. Staff rebid the project, and the City only received one (1) bid, and it was for $188,000 which was $10,000 over budget. This went back to Jacksonville for their evaluation. AGENDA ITEM # 8B SEPTEMBER 12, 2011 Jacksonville said that they would approve the award of the bid to Miller Pipeline Corporation for $175,590.25 if Miller Pipeline would stand by their original bid and Atlantic Beach was willing to approve it. Utilities Director Donna Kaluzniak contacted Miller Pipeline Corporation, and they said that they would honor the original bid and comply with the direction provided by the City of Jacksonville relative to Section 3 requirements. BUDGET: The award of the bid will utilize $175,590.25 of CDBG Disaster Grant funding to address the Donner Subdivision Sewer Rehabilitation project. This does not require any matching funding on the part of the City of Atlantic Beach. RECOMMENDATIONS: To waive purchasing requirements, and award the contract for the Donner Sewer Rehabilitation project to Miller Pipeline, Corporation in the amount of $175,590.25. ATTACHMENTS: August 31, 2011 Email to David Thompson from Alice Jones, City of Jacksonville Public Works, Director's Office REVIEWED BY CITY MANAGER: AGENrA ITEM NUMBER: - - - � F r mob— J N tj -.4 � OLT(.: U ' Cox, At jr A C j- ;, �, -TO d� �4v I* d r 771.114 16 �J 3Y, � � ''l y'I r ��'� ", �f ,'.,�'� 5•�'F 1.1�� �'� _'a.'_�� �.P �'�����+Tds�ll - -- - - -q4 AIL Mt.; 3p MY1. I I T l7 e'.: i7 • rTM .�� - : - i�.: �e. 3 'i''w: l: :`�'•.!�,r'; `�['. �f' Jw_ rill. ■ r- 5r +' F P1 P . ' ` I 4 WN W. ., i L 5' t���+Y. u� _� j I 1 "'�.� , r_ o"it T 111 a, IMWW 4i 4W A 4p 14; M" r I rlr 96" t 6 46 * v .44 A166- lk . A k