HomeMy WebLinkAbout11928RESOLUTION NO. 11928 A RESOLUTION AWARDING A CONSTRUCTION CONTRACT IN AN AMOUNT NOT TO EXCEED $19,600,000 TO GLACIER CONSTRUCTION COMPANY FOR SECTIONS 2, 3, and 5 – JRD WATER RECLAMATION FACILITY AMMONIA AND NUTRIENT REMOVAL PROJECT, SETTING FORTH $2,940,000 FOR CONTINGENCIES, AND AUTHORIZING THE PURCHASING AGENT TO EXECUTE THE SAME WHEREAS, construction is necessary to accomplish ammonia removal in accordance with the discharge permit issued to the James R. DiIorio Water Reclamation Facility, and; WHEREAS, the work was awarded to Glacier Construction Company. BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. A contract for construction is necessary to accomplish Sections 2, 3 and 5 – JRD Water Reclamation Facility Ammonia Removal and Nutrient Removal Project (Project No. 10-031; (WWL01B, WWL01C, WWL02A) at the James R. DiIorio Water Reclamation Facility with Glacier Construction Company be, and the same is hereby awarded to said bidder in an amount not to exceed $19,600,000. SECTION 2. The Purchasing Agent is hereby authorized to execute said contract on behalf of Pueblo, A Municipal Corporation, and the City Clerk shall affix the seal of the City thereto and attest the same. SECTION 3. In addition to the amount of the bid set forth, as aforementioned, an additional amount as stipulated in this section is hereby established for contingencies and additional work. Contingencies and Additional Work…..$2,940,000 SECTION 4. Funds for said project shall be paid from the Sewer User Fund, subject to reimbursement from funds, if any, taken from the Project Loan Subaccount established under the 2010 Series A Project Loan Agreement between the Colorado Water Resources and Power Development Authority and The City acting by and through its Sewer Enterprise. INTRODUCED: July 12, 2010 BY: Judy Weaver /COUNCILPERSON Background Paper for Proposed RESOLUTION AGENDA ITEM # M-1 DATE: July 12, 2010 DEPARTMENT: WASTEWATER Gene Michael, Director TITLE A RESOLUTION AWARDING A CONSTRUCTION CONTRACT IN AN AMOUNT NOT TO EXCEED $19,600,000 TO GLACIER CONSTRUCTION COMPANY FOR SECTIONS 2, 3, and 5 – JRD WATER RECLAMATION FACILITY AMMONIA AND NUTRIENT REMOVAL PROJECT, SETTING FORTH $2,940,000 FOR CONTINGENCIES, AND AUTHORIZING THE PURCHASING AGENT TO EXECUTE THE SAME ISSUE Should the City Council award a construction contract in an amount not to exceed to for construction of $19,600,000Glacier Construction CompanySections 2, 3, and 5 – JRD Water Reclamation Facility Ammonia and Nutrient Removal Project? RECOMMENDATION Approval of Resolution BACKGROUND Through its Sewer Enterprise, the City of Pueblo operates the James R. DiIorio Water Reclamation Facility under a discharge permit issued by the State of Colorado to treat wastewater generated within the community. The discharge permit contains numeric limits for specific chemicals that can be discharged in the effluent from the treatment facility, and contains compliance schedules requiring that specific actions be accomplished by specific dates. In 2010 the Colorado Department of Health and Environment issued a new discharge permit to Pueblo containing effluent limits for ammonia that the existing treatment facility cannot attain reliably. Maintaining compliance will require constructing new treatment facilities. The permit requires that construction of ammonia removal facilities begin by the end of 2010. In addition, bid alternative 2, a project converting the existing gaseous chlorine disinfection process to disinfection via ultraviolet radiation, is to be constructed. The City of Pueblo applied for and received a State Revolving Fund loan in an amount of $23,595,277, at an interest rate of 2.5 percent. This loan amount will cover engineering and construction costs of both the ammonia removal facilities and the ultraviolet disinfection facilities. was selected through a competitive bid process as the best Glacier Construction Company and lowest bidder. A total of ten bids were received. The three lowest bidders were selected for more detailed evaluation of contractor capabilities, the history of similar projects, financial capabilities, subcontractors, and the contractor’s project team. The Committee of Awards received the results of the evaluation on June 18, 2010, and has recommended award of a contract to . A copy of the bid Glacier Construction Company summary sheet is attached. FINANCIAL IMPACT Funds for Sections 2,3,and 5 – JRD Ammonia Removal Project (Project No. 10-031; ) will be paid from the Sewer User Fund, which will be WWL01B, WWL01C, WWL02A reimbursed from proceeds, if any, of a Colorado Water Resources and Power Development Authority loan to the Sewer Enterprise which have been credited to a Project Loan Subaccount for payment of construction costs , with the loan repayment obligation being evidenced by the Sewer Enterprise’s 2010A Series Bond.