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File #: 17-45    Version: 1 Name:
Type: Resolution Status: Passed
File created: 7/19/2017 In control: City Council
On agenda: 8/10/2017 Final action: 8/10/2017
Enactment date: 8/16/2017 Enactment #: 17-45
Title: SUPPLEMENTAL BUDGET RESOLUTION NO. 17-45 - PENSACOLA ENERGY - AWARD OF BID #17-028, NATURAL GAS PIPELINE CONSTRUCTION EAST OF I-110 LOW PRESSURE AREA UPGRADES
Sponsors: Ashton J. Hayward, III
Attachments: 1. Supplemental Budget Resolution No. 17-45, 2. Supplemental Budget Explanation No. 17-45

LEGISLATIVE ACTION ITEM

 

SPONSOR:                         Ashton J. Hayward, III, Mayor

 

SUBJECT:

 

title

SUPPLEMENTAL BUDGET RESOLUTION NO. 17-45 - PENSACOLA ENERGY - AWARD OF BID #17-028, NATURAL GAS PIPELINE CONSTRUCTION EAST OF I-110 LOW PRESSURE AREA UPGRADES                     

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RECOMMENDATION:

 

recommendation

 

That City Council adopt Supplemental Budget Resolution No. 17-45

 

A RESOLUTION AUTHORIZING AND MAKING REVISIONS AND APPROPRIATIONS FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2017 PROVIDING FOR AN EFFECTIVE DATE.

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HEARING REQUIRED:  Choose an item.

 

SUMMARY:

                                          

Sealed bids were received July 20, 2017 for a contract to replace aging natural gas pipelines (infrastructure replacement).  Four (4) vendors responded to the City’s invitation to bid.  Pricing for six (6) projects was included in the bid packages to be awarded over the one year period.  R.A.W. Construction, LLC was the lowest and most responsible bidder.

 

The contract also provides for miscellaneous outside work in addition to the specified work orders.  Miscellaneous outside work is based on hourly rates for out of scope work or change order work.  Miscellaneous projects may arise, for example, in a case of emergency such as unusual weather conditions or to assist with system expansion. 

 

Project #1-Cervantes                                                                                    Replace 10,555 LF                                           $253,769.25

Project #2-East Hill Phase I                                                               Replace 37,000 LF                                          $591,555.00

Project #3-East Hill Phase II                                                               Replace 23,500 LF                                          $432,300.00

Project #4-Old East King Cottage Area                                          Replace 37,300 LF                                          $625,950.00

Project #5-Old East Hill                                                                                    Replace 31,400 LF                                          $495,480.00

Project #6-Heinberg Area                                                               Replace 20,000 LF                                          $397,700.00

 

Total Award                                                                                                         $ 2,796,754 .25

 

PRIOR ACTION:                     

 

November 29, 2016 - City Council approved a resolution authorizing $7,302,400 in financing for the acquisition and construction of capital improvements to the natural gas system including cast iron replacement in the west and central portions of the city, bare steel main replacement in various system locations, and the construction of main in new subdivisions. 

 

April 13, 2017 - City Council approved a resolution authorizing $3,365,900 in financing for the acquisition and construction of certain capital improvements to the natural gas system including cast iron replacement in the east portion of the city.

 

FUNDING:                     

 

     Budget:                     $3,428,485.00

 

     Actual:                     $2,796,754.25                     Construction Contract

                                               320,050.00                     Miscellaneous Work Option

                                               311,680.42                     10% Contingency

     Total:                     $3,428,484.67

 

FINANCIAL IMPACT:

                     

Funding is available in the Gas Utility Fund from the Florida Gas System Revenue Note, Series 2016.  Approval of the supplemental budget resolution will appropriate funds for this project.

 

CITY ATTORNEY REVIEW:    Yes

 7/24/2017

   

STAFF CONTACT:

 

Eric W. Olson, City Administrator

Richard Barker, Jr., Chief Financial Officer

Don J. Suarez, Pensacola Energy Director

 

ATTACHMENTS:

 

1)                     Supplemental Budget Resolution No. 17-45

2)                     Supplemental Budget Explanation No. 17-45

 

PRESENTATION:     No   end