Approval Sheet

CITY OF GILLETTE
201 E. 5th Street
Phone (307)686-5200
CITY OF GILLETTE


www.gillettewy.gov

 
DATE: 4/21/2015 7:00:00 PM
SUBJECT:
Council Consideration for the Rejection of all Bids for the Gillette Madison Pipeline Phase III Rehabilitation Project (1% Project).
BACKGROUND:
The purpose of the "Phase III" Pipeline Rehabilitation Project is to install a cathodic protection system (CP System) on the existing 30-inch Madison Pipeline that was made electrically continuous as part of previous phases of this project.  The CP system will be a series of deep-ground anodes with rectifiers installed at 5 to 6 mile intervals along the length of the entire 42-mile pipeline.  The new CP system is designed to provide additional cathodic protection for the new 42-inch metallic pipeline currently being installed, as well as the existing 30-year old pipeline facility.

This project was advertised for bid on March 13th, 20th, and 27th.  A pre-bid meeting was held on March 20th at the City West breakroom.  The City of Gillette Purchasing Division opened bids on April 2nd at 2:00 P.M. at the City Warehouse.  Below is a summary of the bids received:

Bidder

Bid Price

QualCorr Engineering Corporation

$          794,954.00

WBI Energy Corrosion Services 

Non-Responsive


DOWL provided bidding phase services for this project, which included a review of the bids.  The bid from WBI Energy Corrosion Services was not submitted on the provided bid form and was therefore considered non-responsive and was disqualified.  The bid from QualCorr Engineering Corporation was reviewed and considered complete and is considered an acceptable contractor.  However, their bid was much higher than expected and is above the available budget (see below).  Therefore, DOWL has provided the attached recommendation for rejecting all bids and rebidding at a later date.  Also attached, is the Wyoming Water Development Commission (WWDC) concurrence for the proposed motion to reject all bids.
ACTUAL COST VS. BUDGET:
The budget for this project is $750,000.00 which includes engineering, land acquisition, and construction phase services.  The construction estimate in this budget is $525,000.00. The Engineer's estimate for construction at the time of bidding was $420,000.00.

Sixty-seven percent (67%) of all eligible costs associated with this project are eligible for reimbursement from the WWDC through grant funding we have with them.

The remaining 33% will be funded through the City's 1% Sales Tax Revenue.

Expenditures will be charged to Budget Account No. 201-10-05-419-70-47411,
Project No. 06EN40.
SUGGESTED MOTION:
I Move to Reject all Bids for the Gillette Madison Pipeline Phase III Rehabilitation Project.
STAFF REFERENCE:
Kendall Glover, Utilities Director
ATTACHMENTS:
Click to download
Engineer's Recommendation
WWDO Concurrence