AgdaPkt 2013-07-22 - Laserfiche WebLink

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6.1. D. - Page 1 RE PO RT To the Honorable Mayor and City Council From the Cit Mana er July 22, 2013 SUBJECT Award of Contract — Sanitary Sewer Air Release Valve Replacement Project RECOMMENDATION Approve, by motion, the contract documents and award the standard form contract 00520 for the Sanitary Sewer Air Release Valve Replacement Project to J& M, Inc. of Livermore for their responsive and responsible low bid of $124,900.00 and authorize the City Manager to increase the contract amount, if necessary, up to 10% of the amount awarded, not to exceed $137,390.00. BACKGROUND Fifteen air release valves are installed at various locations on multiple sewer forcemains in the Redwood Shores area and along Seaport Boulevard. The valves automatically exhaust small amounts of air that can collect at the highpoints in the forcemain when the system is flowing and under pressure. Venting the trapped air reduces resistance to the liquid flow thereby reducing the energy costs to operate the system's pumps. Three air release valves were recently replaced as part of the improvements to pump stations 12 and 15. The other existing air release valves are corroded and near the end of their useful life. Staff recommends replacing these valves to increase the efficiency and the reliability of the sanitary sewer system. ANALYSIS The two bids received at the June 5, 2013 bid opening for the Sanitary Sewer Air Release Valve Replacement Project are summarized below. BIDDER BID AMOUNT J & M Inc. - Livermore $124,900 Casey Construction, Inc. — Emerald Hills $198,800 The low bid of $124,900 submitted by J& M, Inc., is 13.5% higher than the engineer's estimate range of $110,000.00. Staff attributes the variance to a less competitive bidding environment due to the construction specialties required to perform the work of this project. Based on references provided, J& M, Inc. has successfully completed similar projects in the past and is a qualified contractor. Based on the bids received, staff believes that the low bid is reasonable and recommends awarding the contract to J & M, Inc.