Upper East Fork Interceptor System
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North McKinney Parallel Interceptor Mitigation Projects;
Project No. 501-0504-18;
Tabulation of Bids and Award of Contract, and Inspection Services
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SUBJECT
recommendation
Authorize award of a construction contract and internal inspection services
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PURPOSE
Complete mitigation as required by the United States Army Corps of Engineers easement agreement for the North McKinney Parallel Interceptor.
RECOMMENDATION
The Executive Director, NTMWD staff and Teague Nall and Perkins, Inc. recommend the Board of Directors authorize the award of a contract as follows:
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Consultant: |
HGS, LLC dba RES Environmental Operating Company, LLC |
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Scope: |
Construction Contract and Internal Inspection Services |
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Project: |
No. 501-0504-18 North McKinney Parallel Interceptor Mitigation Projects |
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Amount: |
$886,922.73 for construction contract and $110,400 for NTMWD inspection services |
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Strategic Objective: |
Objective 1.2 Successfully Deliver Capital Program |
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Committee: |
This item was discussed at the February 21, 2024, Wastewater Committee meeting. |
DRIVER(S) FOR THIS PROJECT
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☒ Regulatory Compliance |
☐ Asset Condition |
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☒ Capacity |
☐ Redundancy/Resiliency |
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☐ Relocation or External Requests |
☐ Operational Efficiency |
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☐ Safety |
☐ Administrative |
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☐ Policy |
☐ Other _____________ |
BACKGROUND
PROJECT PURPOSE
• The United States Army Corps of Engineers (USACE) granted NTMWD a nationwide permit and mandated mitigation for an easement and construction of NTMWD Project No. 501-0504-18, the North McKinney Parallel Interceptor and a fiber optic line. The first part of the required mitigation was performed with the pipeline construction contract. This project will complete and satisfy the balance of USACE mitigation requirements.
• The mitigation value to satisfy is approximately $948,500. The cost of mitigation is to be based on actual contractor bid and construction costs. Approximately $110,300 was expended under Project No. 501-0504-18 for new fencing. The balance of obligation remaining is approximately $838,200.
PROJECT COMPONENTS
• Plant native trees within the temporary construction easement and ensure 85% survivability (estimated to be a minimum 379 1-inch trees) after 3 years.
• Clear and remove a portion of USACE Lavon Lake property of invasive/undesirable Chinese Privet, Chin Berry, and Eastern Red Cedar trees and re-seed with a mix of native prairie grasses and water to create a perennial seed bank on USACE Lavon Lake property.
• The Engineer’s OPCC of $689,331 was based on an amount of acreage to be cleared of invasive/undesirable tree species that would be closest to the remaining obligation value with alternative bid items specified to fulfil the remaining obligation.
TABULATION OF BIDS
Sealed bids for construction were received at 2:00 p.m. on Thursday, February 15th, 2024, as tabulated below. Only 1 responsible bidder submitted a bid.
Bidder Total Base Bid Recommendation
HGS, LLC dba RES Environmental $1,765,813.49 Lowest responsible bid
Operating Company, LLC Recommended for Award
ENGINEER’S OPINION OF $689,331
PROBABLE COST FOR BASE BID
The original base bid price received was greater than the amount that NTMWD is required to compensate for the total mitigation cost. From the prioritization criteria set by the USACE, NTMWD staff negotiated with the bidder and reached an agreement to reduce the quantity and scope of work to align with the remaining obligation.
NTMWD staff, Teague Nall and Perkins, Inc., and HGS, LLC dba RES Environmental Operating Company, LLC, negotiated a reduced quantity and scope of work for the revised amount of $886,922.73.
LOWEST RESPONSIBLE BIDDER HISTORY
RES Environmental Operating Company, LLC, is currently working on a similar project for the NTMWD:
• 101-0366-14 Bois d’Arc Lake Mitigation Property
RES Environmental Operating Company, LLC, has successfully completed several similar projects outside of NTMWD:
• Lake Ralph Hall clearing for Upper Trinity Regional Water District
• Native Prairie Restoration for the University of Houston Coastal Center
Based on their standing as lowest responsible bidder, the information provided, and reports by the supplied references, the NTMWD staff and Teague Nall and Perkins, Inc. recommend award of the contract to HGS, LLC dba RES Environmental Operating Company, LLC.
INTERNAL INSPECTION SERVICES
NTMWD will use internal inspection staff to cover all inspection disciplines. The costs to the NTMWD related to this internal inspection coverage are approximately $110,400.
FUNDING
Funding in the amount of $886,922.73 to HGS, LLC dba RES Environmental Operating Company, LLC, and $110,400 for NTMWD Internal Inspection Services is to be made available utilizing the Upper East Fork Interceptor System Extendable Commercial Paper (ECP) Program as the appropriation source; actual issuance of ECP notes will occur as cash needs arise.