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1c-1. 2006 Sanitary Sewer Rehabilitation Proj. No. 06-11: Award Construction Contract for Infiltration/Inflow Project CITY OF CHANHASSEN 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.227.1110 Building Inspections Phone 952.227.1180 Fax 952.227.1190 Engineering Phone: 952.227.1160 Fax 952.227.1170 Finance Phone: 952.227.1140 Fax 952.227.1110 Park & Recreation Phone: 952.227.1120 Fax 952.227.1110 Recreation Center 2310 Coulter Boulevard Phone 952.227.1400 Fax 952.227.1404 Planning & Natural Resources Phone 952.227.1130 Fax 952.227.1110 Public Works 1591 Park Road Phone 952.227.1300 Fax 952.227.1310 Senior Center Phone: 952.227.1125 Fax 952.227.1110 Web Site www.ci.chanhassen.mn.us 1e- wI ""'I~I~"' MEMORANDUM TO: Todd Gerhardt, City Manager Paul Oehme, Dir. of Public Works/City Engineer ,,?,..O. November 13, 2006 Ol~ FROM: DATE: SUBJ: 2006 Sanitary Sewer Rehabilitation Project No. 06-11 & PW254B: A ward Construction Contract for Infiltration/Inflow (1&1) Project REQUESTED ACTION Award Construction Contract for Infiltration/Inflow Project & Approve Agreement with Metropolitan Council. BACKGROUND On August 29, 2006, staff requested and was approved by the MCES for a reduction in the surcharge amount to $272,380 based on illicit discharge from a development under construction during the 2005 rain event. On June 26, 2006, Council approved plans and specifications and authorized ad for bids. On June 12,2006, the Council reviewed a Sanitary Sewer Infiltration and Inflow (1&1) Reduction Plan. The surcharge amount MCES is charging the City is $311,920 per year for five years. The surcharge amount was calculated based on the amount of metered 1&1 that entered the MCES trunk system from the City system during a large rainfall event in 2005. Staff was directed to finalize the plan to eliminate the surcharge fee and convert this amount into the Capital Improvement Plan for 1&1 projects. On December 12, 2005, Council held a joint meeting with Metropolitan Council staff to discuss the MCES Sanitary Sewer Surcharge Program. DISCUSSION The 2006 1&1 project is designed to identify and eliminate areas in the sewer system that allows groundwater or surface water to enter the system. These improvements include lining sewer pipes, pipe joint sealing, grouting manholes and pipe joints. Two alternate bids were included in the project. The Alternate A is for cleaning and televising City sewers. This alternate was bid out per linear foot and allows the City to approve any amount of televising. The alternate was for cleaning and televising 170,000 feet of sewer pipe. The areas to be televised will be used to plan for the The City ofChanhassen. A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play. G:\ENG\PUBLIC\06-11 2006 San Sewer Rehab Prog\bkgd 111306 award contr apmv agr w mces.doc following year's improvements. The areas that are proposed to be televised are anticipated to be the biggest contributors to 1&1. Alternate B is for televising 24,328 feet of Metropolitan Council sanitary sewer within the City. The Metropolitan Council will pay 100% of the contract and engineering and construction services work. On September 2,2006 at 10:00 a.m., bids were received. The bids received are as follows: Bidder Visu-Sewer Clean and Seal Inc. Infrastructure Technologies Base Bid $75,949.08 $107,060.12 Alternate A $161,500 $241,400 Alternate B $31,626.40 $43,790.40 Totals $269,075.48 $392,250.52 The Engineer's estimate for the project was $363,057.00. The budget for the City improvements was $150,000. Based on the bids received, all of the base bid and $70,000 worth of televising and cleaning could be awarded to stay within budget. However, staff feels the cost for televising and cleaning could increase significantly over the next few years. This is due to the demand for these services by communities in the metro area because of the MCES surcharge program. Very few contractors are available in the metro area to complete these types of projects. Staff is requesting that a portion of the 2007 1&1 budget be used to televise and clean the number of sewers bid out. Staff has reviewed these unit costs and finds them very competitive. The preliminary CIP budget for 2007 has $210,000 budgeted for 1&1. Staff is requesting that a portion ($87,449.08) of the 2007 budget for 1&1 be used under this contract. The 2007 CIP budget amount will be reduced to reflect the change if approved. The televising work under this project will identify improvements for future years' improvements. Staff has worked with Visu-Sewer, Inc. on other jobs and finds their work acceptable. Staff recommends awarding the 2006 1&1 Project to Visu-Sewer Clean and Seal Inc. in the amount of $269,075.48. Attachment G:\ENGIPUBLIC\06-11 2006 San Sewer Rehab Prog\bkgd 111306 award contr aprov agr w mces.doc Capitol Improvement Program City of Chonhassen, MN SS-012 Project # Project Name Inflow and InfIltration Abatement Account # 1 Account #2 Account # 3 2006 thru 2010 Contact Unassigned Department Sanitary Sewer hnprovements Type hnprovement Useful Life Unassigned Category Utilities Priority nla Total Project Cost $450,000 Description This annual project includes televising, repairs and rehabilitation of existing sanitary sewer. The program also detects and eliminates points of entry of ground water and surface water into the City sanitary sewer system. Justification City staff has identified numerous older sewer lines that are in need of repair. The City ofChanhassen pays the Metropolitan Council for sewage treatment. Those payments are based on the amount of flow generated by the City of Chanhassen. Surface water and ground water that makes its way into the system either through breaks, displaced joints, manhole covers, or private connections to the system increase the amount charged to the City fOr sewage disposal and increasing the load on the City's lift stations. Also, MCES may place a surcharge on cities that are not trying to improve" the inflow and infiltration problem. Expenditures Maintenance 2006 150,000 150,000 2007 75,000 75,000 Total Funding Sources Sewer Utility Fund 2006 150,000 150,000 2007 75,000 75,000 Total Operationallmp~t/Other The efforts mayl decrease operational costs, emergency call outs and maintenance costs. 108 2008 75,000 75,000 2008 75,000 75,000 2009 75,000 75,000 2009 75,000 75,000 2010 75,000 75,000 I Total 450,000 450,000 I I 2010 75,000 75,000 Total 450,000 . 450;000 I I I I I I I I