From
Craig Alexander
Title
Ordinance amending the FY 2015/2016 Capital Improvement Projects Budget; construction contract with McMahon Contracting, Inc. in the amount of $3,018,611.49 for Capetown Paving, Drainage, and Wastewater Improvements; material testing with Team Consultants in the amount of $36,681; in-house labor distribution in the amount of $90,558; 5% contingency in the amount of $150,930; for a total project cost of $3,296,780.49
Presenter
Ron McCuller, Director of Public Works and Romin Khavari, City Engineer
Recommended Action
Approve
Analysis
As part of the City’s ongoing Capital Improvements Program, Salcedo Group, Inc. was hired to design improvements for the pavement, drainage system, and wastewater system for Capetown Drive between Denmark Drive and Sweden Drive. The contract with Salcedo Group was later modified to include the design of wastewater improvements along Tripoli Trail from the intersection with Capetown Drive north to the intersection with Tarrant Road so that the streets department may proceed to re-build the Tripoli Trail roadway at a future date as part of the City’s street maintenance program funded by sales tax revenues.
This project includes the complete replacement of the concrete pavement along Capetown Drive, the rehabilitation or replacement of the wastewater line located under the Capetown Drive pavement, the replacement of the wastewater line located under the Tripoli Trail pavement, and drainage improvements along Capetown Drive and also along Tripoli Trail from Capetown Drive north to Juneau Drive.
The City of Grand Prairie advertised and received two (2) proposals for this project on Thursday, March 3, 2016:
McMahon Contracting Total Bid: $3,274,890.02
Tiseo Paving Total Bid: $5,586,097.20
This project was bid using the competitive sealed proposals method, which allows the City to select a contractor based upon the best value for the City based upon the ranking criteria specified in the bid documents. An evaluation committee consisting of City personnel and the project manager from Salcedo Group, Inc. then ranked each contractor based upon the ranking criteria. The evaluation committee reached a consensus that McMahon Contracting, Inc.’s proposal represented the best value for the City for this project. The engineer's estimate for this project is $4,751,672.00.
The second portion of the competitive sealed proposals method allows the City to negotiate unit prices with the contractor in order to keep prices balanced or meet budgeted project amounts. The City negotiated different prices with McMahon on several items, including a change in the scope of work, suggested by McMahon Contracting, to move a storm drain line to another location that in turn would save the City money as opposed to constructing the line as shown in the bid documents. Staff value engineered the proposal and negotiated the proposal from $3,274,890.02 to $3,018,611.49, a savings of $256,278.53.
Salcedo Group, Inc. and Staff recommend that this project be awarded to McMahon Contracting, Inc. for the negotiated proposal amount of $3,261,774.02.
This project is anticipated to begin construction in late April or early May of 2016 with a construction timeline of 409 calendar days until completion.
Financial Consideration
The final negotiated price of $3,018,611.49 with McMahon Contracting, Inc. is higher than the estimated project cost of $2,584,492.23 by $434,119.26, but represents the best value to the City.
Funding in the total project amount of $3,296,781 is available as follows:
STRT - $1,996,964
1. $1,751,405 is available in Street Capital Project Fund (400192) WO #01506603 (Capetown from Denmark- STRT)
2. $245,559 is available by approving an ordinance transferring and appropriating from the unobligated fund balance in the Street Capital Projects Fund (400192) to WO #01506603 (Capetown from Denmark- STRT)
STRM - $309,494
1. $309,494 is available in Storm Drainage Capital Projects Fund (401592) WO #01604203 (Capetown Denmark - STRM)
WWST - $990,323
1. $712,238 is available in Wastewater Capital Projects Fund (500692) WO #01510201 (Capetown Denmark - WWST)
2. $278,085 is available by approving an ordinance transferring and appropriating from the unobligated fund balance in the Wastewater Capital Projects Fund (500692) to WO #01510201 (Captetown Denmark - WWST)
Body
AN ORDINANCE OF THE CITY OF GRAND PRAIRIE, TEXAS, AMENDING THE FY 2015/2016 CAPITAL IMPROVEMENT PROJECTS BUDGET BY TRANSFERRING AND APPROPRIATING $245,559 FROM THE UNOBLIGATED FUND BALANCE IN THE STREET CAPITAL PROJECTS FUND (400192) TO WO #01506603 (CAPETOWN FROM DENMARK-STRT) AND $278,085 FROM THE UNOBLIGATED FUND BALANCE IN THE WASTEWATER CAPITAL PROJECTS FUND (500692) TO WO #01510201 (CAPETOWN DENMARK -WWST)
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1. THAT THE FY 2015/2016 Capital Improvement Projects Budget be amended by transferring and appropriating $245,559 from the unobligated fund balance in the Street Capital Projects Fund (400192) to WO #01506603 (Capetown Denmark - STRT)
SECTION 2. THAT THE FY 2015/2016 Capital Improvement Projects Budget by amended by transferring and appropriating $294,985 from the unobligated fund balance in the Wastewater Capital Projects Fund 9500692) to WO #01510201 (Captetown Denmark - WWST)
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 5TH DAY OF APRIL, 2016.