Title
Contract No. 2004735
Design/Build Contract for Incineration Complex Fire Repairs
Body
Agenda of: April 28, 2021
Item No.: 2021-131
Amount: $2,587,000.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: March 18, 2021
RE: Contract No. 2004735
Design/Build Contract for Incineration Complex Fire Repairs
Vendor: Commercial Contracting Corporation
MOTION
Upon recommendation of Navid Mehram, Chief Operating Officer - Wastewater Operating Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 2004735, “Design/Build Contract for Incineration Complex Fire Repairs” with Commercial Contracting Corporation, at a cost not to exceed $2,587,000.00 for a duration of 24 months; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
This contract is required to repair damage resulting from a September 20, 2020 fire within Incineration Complex II at the Water Resource Recovery Facility. The contract objective is to restore the facility to its pre-fire condition. Required services generally include cleaning to remove smoke and soot damage, repainting to the extent necessary and authorized by GLWA, replacement of a damaged portion of the building wall panels and insulation, replacement of fire-damaged wiring, and all necessary design and engineering. Repairs of fire damaged conveyors were previously completed on an emergency basis to restore facility operation, however, some remaining outstanding work is required that is included in this scope of work.
Incineration Complex II is critical to GLWA’s operations and cannot be shut down. Therefore, all work under this contract must be accomplished while the facility remains in operation. The Contractor will be required to utilize means and methods that do not interfere with ongoing facility operation.
JUSTIFICATION
Repairs to the Incineration Complex II building are necessary to: restore fire-damaged wall panels; install reliable permanent wiring to replace fire-damaged wiring that was temporarily spliced to restore operation; remove smoke and soot deposits from the upper portions of the walls and ceiling area and lighting fixtures to restore pre-fire lighting levels; and repaint on a unit-price basis where necessary based on cleaning results and to replace fire-damaged paint.
Two proposals were received for this work. In accordance with the RFP, the proposals were evaluated using cost and qualifications-based selection criteria.
Based on detailed proposal evaluation, staff recommends award of this contract to Commercial Contracting Corporation, due to its superior overall offer. Both proposers offered competitive pricing with bids just $96,587.00 (3.9%) apart, but importantly, the recommended proposer offered a superior plan for minimizing interference to GLWA operations. This included a well thought-out and detailed scaffolding phasing/work sequence, as well as a series of temporary measures to reduce the impact to GLWA’s operations, protect GLWA equipment, close off the cleaning and painting work from plant operations, and minimize painting odors. In addition, the recommended firm proposed a two-month shorter work duration to substantially complete the project, thus reducing the period during which WRRF operations could be affected.
Additionally, the recommended firm proposed to utilize a cleaning process that will include hand wipe-down, vacuuming, and steam cleaning to restore the existing surfaces to their original condition without damaging the underlying existing paint. If repainting is required, soda-blasting would be used to properly prepare the surfaces. In case it turns out that full re-painting will be necessary, the recommended firm also offered a voluntary alternate that would allow GLWA to save $200,000.00 by eliminating the steam cleaning and instead utilize soda-blasting as the final cleaning/paint preparation.
FINANCIAL PLAN IMPACT
Summary: This contract, for the repairs in the Incineration Complex II would not be anticipated in the development of the Financial Plan for wastewater operations. While negotiations with GLWA's property insurer are not yet complete, it is expected that the majority of the proposed contract will be covered by GLWA's net insurance proceeds. A budget amendment equal to the insurance deductible of $1,000,000 is to be prepared for FY 2021 & FY 2022 as the work schedule is finalized.
Funding Source: Operations and Maintenance Budget (O&M)
Cost Centers: Wastewater Fire Damage (892228)
Expense Types: Repairs & Maintenance - Damage Recovery (622500)
SAVINGS, COST OPTIMIZATION, AND REVENUE ENHANCEMENT IMPACT
The cost savings are not determinable at the time of award.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on April 14, 2021. The Operations and Resources Committee unanimously recommended that the GLWA Board adopt the resolution as presented.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.