PILLAR: Sustainable
AGENDA DATE: November 10, 2026
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Dallas Water Utilities Department
PRIORITY: Infrastructure
______________________________________________________________________
SUBJECT
Title
Authorize a thirty-six-month construction services contract for emergency and routine water system repairs and adjustments - Omega Contracting, LLC, lowest responsible bidder of two - Not to exceed $18,323,205.00 - Financing: Dallas Water Utilities Fund (subject to annual appropriations)
*In alignment with Infrastructure Maintenance.
Body
BACKGROUND
The Dallas Water Utilities Department maintains over 5,000 miles of water mains and 32,000 fire hydrants. Aging infrastructure, expansive soils, and increased demand have contributed to a growing backlog of water main breaks, service line leaks, and leaking hydrants and valves. Although emergency repairs are addressed within 24 hours, routine repair requests exceed available staff capacity, resulting in ongoing water loss, increased operating costs, and infrastructure deterioration.
This action does not authorize or encumber funding. The service price agreement establishes pre-negotiated pricing and contract terms for a specified period of time for emergency and routine water system repairs and adjustments. These construction services will supplement staff emergency and scheduled maintenance including water mains, service lines, fire hydrants, and valve leaks. Actual expenditures will occur only when services are requested and are supported by available departmental appropriations. The estimated amount represents the maximum anticipated value based on all potential usage scenarios during the contract term and is provided for planning purposes only. Actual expenditures may vary significantly and will be driven by operational needs.
The following chart illustrates Omega Contracting, LLC’s contractual activities with the City of Dallas for the past three years:
AVI DWU PKR TPW
Projects Completed 0 0 0 0
Active Projects 0 2 0 0
Change Orders 0 2 0 0
Projects Requiring Liquidated Damages 0 0 0 0
Projects Completed by Bonding Company 0 0 0 0
ESTIMATED SCHEDULE OF PROJECT
Begin Construction January 2027
Complete Construction January 2030
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
Information about this item was provided to the Transportation and Infrastructure Committee on October 19, 2026.
The City Council was briefed by memorandum regarding this matter on November 6, 2026. <https://dallascityhall.com/government/citymanager/Documents/FY26-27%20Memos/August%2012,%202026,%20City%20Council%20Agenda%20Item%2026-26-3285A%20Omega%20Contracting%20LLC.pdf>
FISCAL INFORMATION
|
Fund |
FY 2027 |
FY 2028 |
Future Years |
|
Dallas Water Utilities Fund |
$6,107,735.00 |
$6,107,735.00 |
$6,107,735.00 |
BUSINESS PARTICIPATION
|
Prime Contractor Information |
|
Prime Certification |
SBE |
|
Headquarters |
Local |
|
Prime Workforce Residing in Dallas |
70.41% |
|
SBE Utilization |
|
DRIVE SBE Participation Goal |
19.81% |
|
Total SBE Commitment |
100.00% |
|
Economic Impact |
|
City of Dallas Spend |
$14,678,355.00 (80.11%) |
|
DFW MSA Spend |
$3,644,850.00 (19.89%) |
|
Non-Local Spend |
$0.00 (0.00%) |
|
The proposed contract exceeds the SBE goal and retains 100.00% of total spend within the Dallas-Fort Worth-Arlington MSA. |
PROCUREMENT INFORMATION
The following two bids were received on October 2, 2026:
*Denotes successful bidder
Bidders Bid Amount
*Omega Contracting, LLC $18,323,205.00
2518 Chalk Hill Road
Dallas, Texas 75212
Camino Construction, LP $31,372,000.00
OWNER/EXECUTIVE
Omega Contracting, LLC
Daniel Garcia, Vice President
MAP
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