2005/05/04 Council Agenda Packet

Street), which runs parallel and adjacent to the existing pipeline, which provides much easier access than for the Phase 6 work. 5 The bid proposal consists of three separate bid schedules; Bid schedule A (Phase 6), Bid Schedule B (Phase 7) and Bid Schedule C (Phases 6 and 7). The Bidders were allowed to submit proposals on one or any combination of the three bid schedules. During and after bidding, various contractors that bid the work pointed out that this project represents a complex and challenging project due to the various constraints imposed by project constraints, access limitations, schedule, and permit conditions. SUMMARY OF CONSTRUCTION COSTS The subtotal bid prices referenced below are costs without state sales tax. This approach was used to simplify the relative comparisons between construction costs. The bid tab summary spreadsheet covering Bid Schedules A, B and C is attached for reference. The subtotal bid prices received for Phase 6 were $17,384,274 (Tri-State Construction Co.), $17,953,364.64 (James W. Fowler Co.) and $18,017,350 (Advanced American Diving Services, Inc.). The low bid price is approximately 49% (or $5,750,374) above the engineer's opinion of probable cost of$11,633,900. The subtotal bid prices received for Phase 7 were $4,699,133.50 (IMCO General Construction, Inc.), and $4,728,866.50 (James W. Fowler Co.). The low bid price is approximately 48% (or $1,526,233.50) above engineer's opinion of probable cost of $3,172,900. Upon review it was later determined that IMCO's bid was non-responsive and it was rejected. The subtotal bid prices for Phase 6 and 7 combined were $21,360,007 (Tri-State Construction Co.), and $22,582,060 (Advanced American Diving Services, Inc.). The low bid price is approximately 44% (or $6,553,107) above the engineer's opinion of probable cost of $14,806,900. The specialized construction requirements necessary for this project limited the number of contractors qualified to perform the work. Because of this, only three bid proposals were received for Bid Schedule A (Phase 6) and two proposals each were received for Bid Schedules B (Phase 7) and C (Phase 6 & 7). Although the total number of proposals was relatively few, the bid prices were actually quite close together and appear to represent responsive bids. Bid prices for Bid Schedule A fell within a range of 3.6% of each other, Schedule B within 0.63% and Schedule C within 5.7%. COMPARISON OF SIGNIFICANT PROJECT COST ITEMS A review was completed comparing the engineer's opinion of probable costs to the bid tabulations received. Significant variance in construction costs for the combined Phase 6 and 7 project were identified in three bid categories involving five major bid items: • Mobilization (Item 1) • Elevated Walkways — Elevated Walkway- Pipelines No. 2 & 3 (Item 26) — Elevated Walkway- Pipeline No. 4 (Item 27) — Elevated Walkway- Pipeline No. 4 (Item 64) MWH—TECHNICAL MEMORANDUM Page 2 TRANSMISSION LINES 2&3—PHASE 6&7 APRIL 22,2005 ASSESSMENT OF BIDDER'S PRICE PROPOSALS 14