3 Resolution Accepting Bid for City of Livingston Well #13 Arsenic Removal Treatment from TNT Industrial Contractors, Inc.

Meeting Date: MARCH 17, 2015

3. Resolution Accepting Bid for City of Livingston Well #13 Arsenic Removal Treatment from TNT Industrial Contractors, Inc.

Note from TheGardeningSnail: Parts of this page may have been prepared by running a PDF Image Document through a program which converts image to text. My apologies for any Textual Gremlins that may have slipped in. Copy of the Original can be found on the City’s Website. I may also broken up some of the longer paragraphs for ease of reading.

Well 13

STAFF REPORT

AGENDA ITEM: Resolution Accepting Bid for City of Livingston Well #13 Arsenic Removal Treatment from TNT Industrial Contractors, Inc.

MEETING DATE: March 17, 2015

PREPARED BY: Mario B. Gouveia, City Engineer

REVIEWED BY: Odi Ortiz, Interim City Manager

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RECOMMENDATION:

Staff recommends that the Council accept the low bid from TNT Industrial Contractors, Inc. for $598,238.00 and authorize the Interim City Manager to sign the Agreement on behalf of the City of Livingston.

BACKGROUND:

The City of Livingston’s Well #13 produces water with an arsenic concentration in excess of the Maximum Contaminant Level of 10 µg/1. I

n May 2013, the Division of Drinking Water (formerly Department of Public Health) issued the City a compliance order for failing to comply with Health and Safety Code Section 11655(a)(l) and (3).

In response to the Compliance Order, the City submitted a planning application to the Drinking Water State Revolving Fund (DWSRF) for the design of an arsenic removal treatment system at Well #13.

Although a funding agreement was never executed, the City was informed that all planning expenses related to Well #13 would be reimbursable once the agreement was finalized. The City has finished the planning and design work and has submitted an application to the DWSRF for construction funds. The construction DWSRF application is complete and is under review by the SWRCB.

The construction application includes the planning and design costs, equipment purchase costs and installation costs.

The total amount of funds requested from the DWSRF is $1,548,836.

Council approved the purchase of filtration equipment from the Loprest Water Treatment Co. in December 2014.

This agenda item covered the installation of the filtration equipment purchased directly by the City. The major work consists of constructing miscellaneous piping and site improvements to install the City-furnished arsenic removal treatment system.

The project was advertised on February 2, 2015, February 9, 2015, February 16, and February 23, 2015 and bids were opened March 2, 2015.

DISCUSSION:

A total of 5 bids were opened and read aloud at 2:00 p.m. on March 2, 2015, this being the advertised bid opening date and time. The low bid was submitted by TNT Industrial Contractors, Inc. in the amount of

$598,238.00. The Bid results were as listed:

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Contractor

TNT Industrial Contractors, Inc.

Total Bid

$ 598,238.00

Conco West, Inc.

$ 643,000.00

Hobbs Construction, Inc.

$ 728,232.00

Western Water Constructors, Inc.

$ 755,000.00

Integrated Water Services, Inc.

$ 931,500.00

Engineer’s Estimate

$ 577,500.00

FISCAL IMPACT:

   

Construction costs for this project will be covered by the TCP fund until a financing agreement is issued by the SWRCB and the City is reimbursed for all expenditures incurred to that date on the project.

SWRCB staff is currently reviewing the City’s application and has not yet determined the amounts of grant and loan for this project.

The City’s capital improvement program used in the preparation of the most recent water rate study includes a $1,720,000 expense for Well #13.

The debt service on that amount was included in the new rates. The amount of funding requested from the DWSRF is $1,548,836 which is less than the amount included in the rate study.

Any grant funds awarded by the SWRCB will further reduce the debt service.

ATTACHMENTS:

1. Resolution No. 2015-

RESOLUTION NO. 2015-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LIVINGSTON ACCEPTING BID AND AWARDING CONTRACT TO TNT INDUSTRIAL CONTRACTORS, INC. FOR WELL #13 ARSENIC REMOVAL TREATMENT

WHEREAS, the Invitation to Bid for the WELL #13 -ARSENIC REMOVAL TREATMENT in the City of Livingston was listed in the Merced Sun Star on February 2, 2015, February 9, 2015, February 16, 2015, and February 23, 2015; and

WHEREAS, the project will consist of constructing miscellaneous piping and site improvements to install an owner-furnished arsenic removal treatment system; and

WHEREAS, the following bids for the project were publicly opened and read aloud at the Livingston City Hall on March 2, 2015 at 2:00 p.m.

Contractor

TNT Industrial Contractors, Inc.

Total Bid

$ 598,238.00

Conco West, Inc.

$ 643,000.00

Hobbs Construction, Inc.

$ 728,232.00

Western Water Constructors, Inc.

$ 755,000.00

Integrated Water Services, Inc.

$ 931,500.00

WHEREAS, the City Engineer’s Estimate was $577,500.00.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Livingston hereby accepts the recommendation of the City Engineer that the WELL #13 -ARSENIC REMOVAL TREATMENT be awarded to: TNT Industrial Contractors, Inc. of Sacramento, CA 95823 in the amount of Five Hundred Ninety-Eight Thousand Two Hundred Thirty-Eight Dollars ($598,238.00).

Passed and adopted this 1ih day of March, 2015, by the following vote: AYES:

NOES:

ABSTAIN:

ABSENT:

Rodrigo Espinoza, Mayor of the City of Livingston

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