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HomeMy WebLinkAbout06 PROJECT 600103 08-03-98AGENDA- : DATE: NO. 6 .,,' ?-3-98 Inter-Oom AUGUST 3, 1998 TO: FROM: SUBJECT: WILLIAM A. HUSTON, CITY MANAGER PUBLIC WORKS DEPARTMENT/WATER SERVICES DIVISION AWARD OF CONTRACT FOR DRILLING OF MAIN STREET WELL NO. 4 (PROJECT NO. 600103) SUMMARY This action is a request for authorization to award a construction contract for the drilling of Main Street Well No. 4 at the Main Street water facilities site. RECOMMENDATION It is recommended that the Tustin City Council award the contract for the subject project to Bakersfield Well & Pump Company of Bakersfield, California, in the amount of $303,068. FISCAL IMPACT The amount of this contract is $303,068. Them is currently $1,016,400 remaining in the 1997/98 budget allocated for completion of this project. This well will be constructed under, the Orange County Water District (OCWD) conjunctive use well construction program as authorized in the agreement approved by the City Council on October 21,' 1996. The City will be reimbursed for expenses as they occur. Once the well is operating, the City will repay OCWD for capital costs over the next 20 years based on an interest rate of 3.5%. The water supply from this well will reduce the City's annual water production expenses by $200,000 per year. BACKGROUND The drilling of the replacement water well was budgeted as a Water Capital Improvement Program project within fiscal year 1997/98. This project (No. 600103) consists of constructing a new water well at the Main Street Plant which will replace Main Street Well NO. 2. The City Council authorized advertisement and soliciting bids for this project on June 1, 1998. Bids were opened on July 8, 1998 for subject project and four bids were received as follows: 1. Bakersfield Well & Pump Company ........................................................... $303,068.00 2. Layne Christensen Company ....................................................................... $319,000.00 3. Beylik Drilling, Inc ...................................................................................... $326,000.00 4. Rottman Drilling Company ......................................................................... $387,245.25 The low bid by Bakersfield Well & Pump Company is 12.2% under the engineer's estimate of $345,290. The Contractor's references have been verified and past job performance has been satisfactory. DISCUSSION: Plans and specifications for the subject well replacement were prepared by Richard C. Slade & Associates (Slade), reviewed and approved by City staff. During the preliminary design phases of the project, Slade recommended that the new well not be drilled in the site originally selected due to its close proximity to existing active and previously abandoned wells. The City Council subsequently authorized the purchase of the adjacent property at 275 E. Main Street on which the new well will be drilled. The well will be constructed in two phases. The first phase, to be completed under this contract, will be the drilling and construction of the subsurface facilities. Once'the drilling and testing are complete, and the water quality and flow of the well are known, final design of the wellhead facilities will be completed and a second contract will be issued for construction of those facilities. Following is the anticipated schedule for completion of the project: Award of Contract .................................................. : ................................................ 08/03/98 Begin Construction ................................................... : ............................................. 08/31/98 Complete Construction ........................................................................................... 01/05/99 Tim D. Serlet ~ Director of Public Works/City Engineer Gary R. V eeh ' Water Services Manager TDS:GRV:klb/CITY COUNCIL: Award of Main Street Well No. 4 Drilling