STRATEGIC PRIORITY: Transportation & Infrastructure
AGENDA DATE: April 10, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Water Utilities Department
EXECUTIVE: Kimberly Bizor Tolbert
______________________________________________________________________
SUBJECT
Title
Authorize an increase in the construction services contract with Omega Contracting, LLC for additional work associated with the installation of permitted wastewater services - Not to exceed $2,738,807.25, from $13,694,429.80 to $16,433,237.05 - Financing: Wastewater Construction Fund
Body
BACKGROUND
On May 16, 2023, the City Council authorized a construction services contract for (1) a twelve-month master agreement for water and wastewater small services installations; (2) the installation of water and wastewater mains at four locations; and (3) a twelve-month master agreement for water and wastewater mainline extensions and emergency mainline installations and relocations at various locations by Resolution No. 23-0579.
Following implementation of the contract, Dallas Water Utilities (DWU) has received a significantly higher than anticipated volume of permitted wastewater service line requests. The installation of these service lines support development activities and are initiated upon issuance of a permit to a property owner by Development Services. Available funding under the original contract will not be adequate to provide permitted wastewater service installations for the rest of the contract term and there is also the need to extend the contract duration by an additional 6 months to provide continuity of services.
This action will authorize Change Order No. 1 to the construction services contract with Omega Contracting, LLC for additional work associated with the installation of permitted wastewater services. Additional funding is needed to keep up with anticipated wastewater service installation requests for a period of six months beyond the original contract completion timeframe. Continuity of wastewater service installation will avoid major disruption and delays to development efforts, as it is critical to provide new wastewater service lines in a timely manner. The delay or disruption of permitted service line installations is likely to lead to excessive customer complaints and will affect DWU’s efforts to meet the needs of future growth.
ESTIMATED SCHEDULE OF PROJECT
Began Construction May 2023
Complete Construction November 2024
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On May 16, 2023, the City Council authorized a construction services contract for (1) a twelve-month master agreement for water and wastewater small services installations; (2) the installation of water and wastewater mains at four locations; and (3) a twelve-month master agreement for water and wastewater mainline extensions and emergency mainline installations and relocations at various locations by Resolution No. 23-0579.
FISCAL INFORMATION
|
Fund |
FY 2024 |
FY 2025 |
Future Years |
|
Wastewater Construction Fund |
$2,738,807.25 |
$0.00 |
$0.00 |
Construction $13,694,429.80
Change Order No. 1 (this action) $ 2,738,807.25
Total Project Cost $16,433,237.05
M/WBE INFORMATION
In accordance with the City’s Business Inclusion and Development Policy adopted on September 23, 2020, by Resolution No. 20-1430, as amended, the M/WBE participation on this contract is as follows:
|
Contract Amount |
Procurement Category |
M/WBE Goal |
|
$2,738,807.25 |
Construction |
32.00% |
|
M/WBE Subcontracting % |
M/WBE Overall % |
M/WBE Overall Participation $ |
|
36.51% |
100.00% |
$2,738,807.25 |
|
• This contract exceeds the M/WBE goal. |
|
• Change Order No 1 - 100.00% Overall Participation |
|
• Omega Contracting, LLC - Local; Workforce - 57.00% Local |
OWNER
Omega Contracting, LLC
Luis Spinola, Owner
MAP
Attached