City Council Meeting - FINAL

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Meeting Date: 05/02/2023  
Co-Submitter: Paul Mood From: Mac McNamara, Capital Improvements Project Manager

Consideration and Approval of Contract: Approve the Construction Contract with Hylan-West, Inc. for the Soliere Water Transmission Main ("Project") in the amount of $2,986,530.11 (which is the sum of the bid amount of $2,900,913.00 and a Contract Allowance of $85,617.11).
  1. Approve the Construction Contract with Hylan-West, Inc. (“Contractor”) in the amount of $2,986,530.11 (which is the sum of the Contractor’s bid amount of $2,900,913.00 and a Contract Allowance of $85,617.11) and a contract time of 180 calendar days;
  2. Approve a Contract Allowance of $85,617.11, which is 5% of the Engineer’s Estimate;
  3. Approve Change Order Authority to the City Manager in the amount of $290,091.30 (10% of the contract amount, less allowances); and
  4. Authorize the City Manager to execute the necessary documents.
Executive Summary:
The Construction Contract award of $2,986,530.11 to the Contractor is proposed to complete the Project that includes installing 5,265 linear feet of 12” PCV for one new water transmission main, that will provide the needed secondary water source for new developments on Butler Ave. Installation will start from the intersection of Elk Run St. and Soliere Ave., and running west to the intersection of 4th St. and Soliere Ave.  Pending City Council’s approval, construction is anticipated to begin in June of 2023 and is anticipated to be complete by October of 2023.
Financial Impact:
The Project is funded by $1,306,176.00 from the FY23 Drinking Water Fund, Soliere Waterline 12” Upsizing and by $2,100,000.00 from the proposed FY24 Drinking Water Fund, Soliere Waterline 12” Upsizing (Account # 202-08-370-3374-0).
Policy Impact:
An award of this Construction Contract supports Water Services Strategic Plan Objective 5: Accelerate Infrastructure Maintenance and Replacement.
Connection to PBB Priorities/Objectives, Carbon Neutrality Plan & Regional Plan:
Priority Based Budget Key Community Priorities and Objectives
Safe & Healthy Community
Ensure the built environment is safe through the use of consistent standards, rules and regulations, and land use practices.

Sustainable, Innovative Infrastructure: Deliver outstanding services to residents through a healthy, well maintained infrastructure system.
Carbon Neutrality Plan
Improve water infrastructure and expand water reuse.
Regional Plan
Disturbed areas for improvements and landscaping for new development shall emphasize the use of native, drought-tolerant, or edible species appropriate to the area.
Maintain and develop facilities to provide reliable, safe, and cost-effective water, wastewater, and reclaimed water services.
Has There Been Previous Council Decision on This:
Yes. The City Council approved the City of Flagstaff’s on-call consultant contract, through which a consultant services contract for the design of the Project was executed with Turner Engineering, Inc.
The Project’s FY-23 budget was approved in the FY-23 Capital Improvements 5-Year Pan. The Project’s FY-24 proposed funding is being requested in the upcoming FY-24 Capital Improvement 5-Year Plan which will be presented to City Council.
Options and Alternatives:
  1. Approve the contract award as recommended. Approval will allow work on the Project to move forward in the summer of 2023; or 
  2. Reject all bids. This action would delay the Project. If rejection occurs, possible options include:
    1. Re-solicit the Project at a later date; or
    2. Suspend or cancel the Project.
The Purchasing section posted an Invitation for Bids (IFB) solicitation for construction on February 10, 2023, on the PlanetBids website, and advertised it in the Arizona Daily Sun newspaper on February 19 and 26, 2023. There were 3 bids received on the opening date of March 10, 2023 (bid summaries are identified in the Expanded Financial Considerations section below). After reviewing all bids received, Staff determined that Hylan-West, Inc. is the lowest responsive and responsible bidder.
Key Considerations:
The City’s overall water system will benefit from the installation of the new transmission main. Increased reliability and reduced service interruptions from failures are the benefits of the transmission main. 
Expanded Financial Considerations:
Below is a summary of the bids received.
Engineer’s Estimate                                         $1,712,342.10 

Hylan-West, Inc.                                                 $2,900,913.00
Kinney Construction Services., LLC                   $3,213,278.00
Action Direct, LLC                                               $3,890,595.00
Included in the contract amount will be an allowance of $85,617.11. The Contract Allowance will be used for unforeseen items of work. The Project Manager, Section Head and Division Head will have the authority to approve the use of the allowance in accordance with Flagstaff Procurement Code Manual.
Change Order Authority establishes a dollar amount (10% of the contract amount, less allowance) and provides the City Manager, on behalf of the Council, authority to amend the Contract Amount in response to unforeseen costs that are more than the contracted amount and in excess of the Contract Allowance.
Community Benefits and Considerations:
The Community benefits of this project include more reliable water service from the new infrastructure. This Project will provide a secondary water source for the 4th Street and Butler Ave area. Several proposed developments have contributed to the cost of this project to satisfy secondary water source requirements in the area. Additional Project information and traffic restriction advisories will be provided as necessary through local media releases and other communication methods.
Hylan-West Construction Contract
Exhibit A - Special Provisions
Exhibit B - Revisions to MAG
Context Map
Vicinity Map
Allowance Justification Form


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