TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 15, 2023
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to award Contract 06-360-3SR, Upper Des Plaines Intercepting Sewer 14B Rehabilitation, NSA (Re-Bid), to Michels Trenchless, Inc., in an amount not to exceed $36,082,848.50, plus a five (5) percent allowance for change orders in an amount of $1,804,142.42, for a total amount not to exceed $37,886,990.92, Account 401-50000-645700, Requisition 1554039
Body
Dear Sir:
On June 17, 2021, the Board of Commissioners authorized the Director of Procurement and Materials Management to advertise for bids Contract 06-360-3S, Upper Des Plaines Intercepting Sewer 14B Rehabilitation, NSA.
In response to a public advertisement of August 11, 2021, a bid opening was held on November 2, 2021. The sole bid was rejected at the November 18, 2021, Board Meeting as reported.
At the Board Meeting of September 1, 2022, the cost estimate was increased as approved.
In response to a public re-advertisement of September 14, 2022, a bid opening was held on November 29, 2022. The bid tabulation for this contract is:
MICHELS TRENCHLESS, INC. $36,082,848.50
INSITUFORM TECHNOLOGIES, USA LLC. $51,046,055.60
BENCHMARK CONSTRUCTION CO., INC. *$52,288,200.00
*corrected total
Michels Trenchless, Inc., the lowest responsible bidder, is proposing to perform the contract in accordance with the specifications. The estimated cost range for this contract is $28,500,000.00 to $34,500,000.00, placing their bid of $36,082,848.50 approximately 4.6 percent above the high end of the cost estimate.
Michels Trenchless, Inc., has executed the Multi-Project Labor Agreement (MPLA) Certificate as required. It is anticipated that the following trades will be utilized on this contract: cement workers/masons, iron workers, laborers, operating engineers, truck drivers, pile drivers and skilled workers. The list of construction trades is not intended to confer any rights or jurisdiction upon any union or unions.
The Minority Business Enterprise (MBE), Women Business Enterprise (WBE), Small Business Enterprise (SBE) and Veteran-Owned Business Enterprise (VBE) utilization goals for this contract are 5 percent MBE and/or WBE, 5 percent SBE, and 3 percent VBE.
The bidder has committed to the following utilization goals for this contract: 1.05 percent MBE and/or WBE, 5.35 percent SBE, and 4.30 percent for VBE participation.
The contract will require approximately one-hundred and sixty-one (161) jobs for the services.
In view of the foregoing, it is recommended that the Director of Procurement and Materials Management be authorized to award Contract 06-360-3SR to Michels Trenchless, Inc., in an amount not to exceed $36,082,848.50, plus a five (5) percent allowance for change orders in an amount of $1,804,142.42, for a total amount not to exceed $37,886,990.92, subject to the contractor furnishing a performance bond in form satisfactory to the Law Department and approved by the Director of Procurement and Materials Management.
The contract specifications require that all work commence 30 days after approval of the contractor’s bond and shall be completed within 1050 calendar days after approval of the contractor’s bond.
Funds are available in Account 401-50000-645700.
Requested, Catherine A. O’Connor, Director of Engineering
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:lc
Respectfully Submitted, Marcelino Garcia Chairman, Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for June 15, 2023