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HomeMy WebLinkAbout2010-12-13 City Council Minutes Approved C Y Off' Nwmilithir 9 c , City Council Minutes—December 13, 2010 At 7:30 p.m. Mayor Maxwell called the continued Anacortes City Council meeting of December 6, 2010 to order. Kevin McKeown, Nick Petrish, Erica Pickett, Brad Adams, Bill Turner, Cynthia Richardson and Brian Geer were present. In light of recent flood warnings, Mr. McKeown inquired about the vulnerability of the Water Treatment Plant during flood events. Mayor Maxwell confirmed that the Water Treatment Plant Improvement Project would put all electrical systems above the 100-year flood level. Public Works Director Fred Buckenmeyer introduced Assistant City Engineer Matt Reynolds, Project Manager for the Water Treatment Plant Improvement Project; Greg Pearson, HDR Project Manager who has been managing the design of the project; Brandt Barnes, MWH Construction Manager for the project; and Frank Imhof, company officer from IMCO General Construction. Contract Award: Construction of Water Treatment Plant Improvements Mr. Buckenmeyer reported that bids for this project were opened on November 16, 2010. The twelve bids ranged from approximately$51 M to approximately$72M. The apparent low bidder was Mountain Cascade but they claimed a bid error and withdrew their bid leaving IMCO General Construction the apparent low bidder at$56,028,665. Mr. Buckenmeyer said third bidder Stellar J Corporation filed a notice of protest but withdrew that protest so there were no active bid protests. Mr. Buckenmeyer said legal counsel at Foster Pepper, engineering consultant HDR and city staff had all reviewed the bid packages and recommend award to IMCO General Construction for$56,028,665. Mr. Petrish clarified that this project was started years ago, long before the recent Tethys contract was contemplated. Mr. Geer clarified the amount of the contract. Mr. Adams moved, seconded by Mr. Turner, to award the Water Treatment Plant Improvement Project construction contract to IMCO General Construction for $56,028,665. Mrs. Richardson commented that this project would put in place infrastructure to serve the community for several generations and continues a legacy of caretaking for the future health of the community. Mr. Petrish asked the status of the current Skagit River flood watch. Mr. Buckenmeyer responded that the river had fallen and there was no flood danger at the plant. He added that every year WTP staff train with Navy personnel to fight floods and that they are ready to respond if necessary. Mr. McKeown noted that the amount bonded for this project was less than $56M and asked how and when the rest of the funds would be raised. Mayor Maxwell stated that the City intentionally bonded for only $44M initially and would be considering its options to fund the rest of the project including possibly a Public Works Trust Fund loan. Mr. McKeown asked how long it would take to build the project. Mr. Buckenmeyer said the contract calls for 900 construction days so approximately two and a half years. Vote: Ayes—McKeown, Petrish, Pickett, Adams, Turner, Richardson and Geer. Motion carried. Contract Award: Construction Management Services for Water Treatment Plant Improvements Mr. Buckenmeyer asked Council to award a contract to MWH Americas, Inc. to provide on site construction management services for the WTP Improvement Project. He said this would include an on- site Construction Manager, a Resident Engineer, a project Administrator and an Office Engineer. Mr. Buckenmeyer said MWH and specifically construction manager Brandt Barnes had been involved very successfully with a number of City projects. Mr. Buckenmeyer explained that the professional services contracts for this 2.5-year project were being issued on an annual basis to help control costs. He recommended a contract with MWH in the amount of$1,332,960 for 2011. Mr. McKeown asked if this contract had been put out to bid. Mr. Buckenmeyer said no and explained that MWH is on the city's on- call roster. He reminded that state law prohibits bidding for these types of contracts. Mr. McKeown questioned spending $1.3M for four people. Mr. Buckenmeyer said the contract also covers subcontractors for special inspections. Mr. Barnes elaborated that the contract includes on site management, inspection, administration, project controls, a subcontract to GeoEngineers for ICBO certification to meet state requirements for rebar, concrete and structural testing, and a web-based project monitoring system to provide access to pictures, daily reports, etc. from offsite locations. Mr. Turner asked how MWH would account for personnel hours and if there would be a change order if they ran Anacortes City Council Minutes December 13, 2010 1 over. Mr. Barnes clarified that this is a cost-not-to-exceed contract. Mr. Geer moved, seconded by Mrs. Pickett, to award a one-year contract to MWH Americas, Inc. for$1,332,960. Mr. Adams clarified that Council would be able to evaluate the success of this contract before issuing one for 2012. Mr. Buckenmeyer said contract costs would be continually evaluated. Mrs. Richardson said she was excited about using web-based project monitoring to efficiently provide timely information to all involved. Mr. McKeown asked if the public would have access to it. Mr. Buckenmeyer said he was working on establishing a webcam for the public. Mrs. Pickett commented that she had observed Mr. Barnes's work in the past and was pleased to have him involved with the project. Vote: Ayes— Petrish, Pickett, Adams, Turner, Richardson, Geer and McKeown. Motion carried. Contract Award: Engineering Consultant Support for Water Treatment Plant Improvements Mr. Buckenmeyer stated that HDR Engineering, Inc. is the engineer of record for the WTP Improvement Project. During construction, HDR will be in charge of submittal review, construction observation, special inspections, contract interpretations, and start up services including training and O&M manuals. He said staff recommended a cost-not-to-exceed contract with HDR for calendar year 2011 in the amount of $1,206,089. Mr. McKeown asked if the actual costs could come in under that amount. Mr. Buckenmeyer said that is always the goal. Mr. McKeown asked if staff could manage the project to reduce those costs. Mr. Buckenmeyer said staff would meet at least weekly with the consultants to monitor progress and costs. Mr. Turner asked if the HDR contract makes provision for possible changes in the construction contract. Mr. Buckenmeyer said yes. Mr. Geer moved, seconded by Mr. Adams, to award a one-year contract to HDR Engineering, Inc. for engineering services at the WTP Improvement Project in the amount of$1,206,089. Mr. McKeown asked what size consulting contracts are normal for a project of this size. Mr. Buckenmeyer said the industry standard is 5-10% of the construction budget and said these contracts would fall within that range. Mrs. Richardson noted that on this highly technical project one would expect consulting contracts at the high end of the range. Vote: Ayes— Pickett, Adams, Turner, Richardson, Geer, McKeown and Petrish. Motion carried. Mayor Maxwell expressed his confidence in the expertise on board for this project and assured the community that all involved would be working to ensure the city gets the best possible value. There being no further business, at 8:00 p.m. Mayor Maxwell adjourned the continued meeting of December 6, 2010. Anacortes City Council Minutes December 13, 2010 2