20-082 - 2R.  An ordinance authorizing a contract with Pyramid Excavation & Construction, Inc., in the amount of $963,867.00; for the installation of pipe and water main on Walnut Street from Leslie Ave. To Lee’s Summit Rd; appropriating $230,259.00 from the Water Department’s Unreserved Retained Earnings to the Capital Account No. 70402004; and authorizing future minor change orders not to exceed $96,387.00; and/or time extensions.

City staff recommends approval to execute a contract.

The existing 6-inch and 12-inch cast iron water main on Walnut Street was installed in 1927 and 1941. This main has had 46 breaks in the last 34 years resulting in thousands of dollars in water line and road repairs. The existing water main is under the pavement of Walnut Street. The Water Department is proposing to install a new 6-inch and 12-inch ductile iron main along Walnut Street outside of the paved roadway.

The Water Department is recommending this contract be awarded to Pyramid Excavation & Construction, Inc. Pyramid Excavation & Construction, Inc. was the successful bidder and has done other water main projects for the Water Department in the past. The Water Department was very pleased with the quality of their work.

The Procurement Division issued Invitation to Bid (ITB) 20060 on September 1, 2020. The ITB was published on the City’s website through Public Purchase, the City’s e-bidding provider, which notified 187 potential bidders; 63 accessed the bid.

The City received three responsive bids in response to ITB 20060. Upon review by City staff, it was determined the bid submitted by Pyramid Excavation & Construction, Inc. met the requirements of the ITB. Pyramid Excavation & Construction, Inc. possesses the necessary capability and capacity to perform this work. Staff recommends award to Pyramid Excavation & Construction, Inc.

The fiscal impact to the Water fund is estimated to be $1,080,159. The Capital Project is budged in account 7040-5406-402004c on page 145 of the 2020/2021 budget in the amount of $850,000.00. An additional $230,159.00 will need to be appropriated from the Water Departments unreserved retain earnings to cover the difference in the contract cost of $113,867.00 (Contract amount $963,867.00 - $850,000.00), 10% change order amount of $96,387.00, railroad agreement fee of $750.00 and outside engineering (surveying and design) of $19,150.00.

Approval of this item authorizes the Finance and Administration Director to issue change orders up to ten (10) percent, $96,387.00, of the original authorized amount of the contract, providing appropriations are available