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The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6006290 with Major Contracting Group; for West Chicago South Stormwater Improvement (Project PC-818); for a total contract amount not-to-exceed $21,354,100.00 and a term of 760 days. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
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Agenda of June 18, 2024
Item No.: 2024-106
Contract No. 6006290 (PC-818)
Contractor: Major Contracting Group (DBB)
Address: 12222 Greenfield Road, Detroit MI 48227
Contract Amount: $21,354,100.00
Contract Term (Tentative): 7/2/2024 - 8/1/2026 (760 days)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed DWSD Contract No. 6006290 (PC-818)
West Chicago South Stormwater Improvement
Major Contracting Group
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6006290 with Major Contracting Group; for West Chicago South Stormwater Improvement (Project PC-818); for a total contract amount not-to-exceed $21,354,100.00 and a term of 760 days. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
In April of 2023, the DWSD Permitting and Stormwater Management Group (PSMG) submitted four (4) projects to the State of Michigan Department of Energy, Great Lakes and Environment (EGLE) for consideration for grant reimbursement via the State Revolving Fund. The four projects included West Chicago South (B063), West Chicago North (B064), Schoolcraft South (B069/B070) and Schoolcraft North (B069/B070). These four projects targeted portions of the city that lie west of the Rouge River. Each of these areas are served by combined sewer systems with overflows that result in frequent discharges to the Rouge River. These projects have been identified within the GLWA 2020 Wastewater Master Plan and are among efforts needed to reduce untreated CSO discharges by 2037.
In late 2023, DWSD, via an agreement with GLWA, executed a milestone schedule which provided assurances of grant funding of $21,000,000.00 to be used towards the West Chicago South Stormwater Improvements project. This grant included a mixture of American Rescue Plan Act (ARPA), Clean Water State Revolving Funds (CWSRF) and EGLE Principal Forgiveness (PF) which will reimburse eligible improvements at 100%.
PROJECT OBJECTIVES
The objective of the proposed Contract No. 6006290 is to remove rain and snowmelt from the combined sewer system and reduce basement backups, street flooding and CSO discharge in the West Outer Drive Neighborhood. The project will modernize the neighborhood’s underground infrastructure system and will lessen the effects on the environment through a reduction in untreated CSO discharges. The PC-818 project includes the following work (all quantities approximate):
- 12, 500 feet of reinforced concrete storm sewer ranging in size from 12-inch to 60-inch in diameter.
- 100 storm sewer manholes, catch basins, and inlets ranging in size from 24-inch to 120-in in diameter.
- Water quality systems treating 35 cfs and 7 cfs flows
- 2,500 of 24-inch diameter PVC sanitary sewer
- 10 sanitary sewer manholes
- 150 water main service replacements
- 5 8-inch diameter water main lowerings
- 32,000 square yards of concrete paving
- 2,300 tons of HMA paving
- 13,000 square feet of sidewalks and sidewalk ramps
- 20,000 tons of aggregate base
PROCUREMENT METHOD
This procurement was competitively solicited through a Request for Bids (RFB) per Requisition 517126, which was fully approved on 2/15/24. The RFB was advertised on the Michigan Inter-Governmental Trade Network (MITN) BidNet website for 36 calendar days (3/12/24 - 4/16/24). MITN published this opportunity to 1,254 companies and 715 firms downloaded the bid package. In addition to posting on MITN, Procurement sent email notices to approximately 72 firms. Additional vendor outreach was performed by DWSD staff to connect with firms that have not done business with DWSD in the past to expand the DWSD vendor pool. Five (5) bids were received:
|
Bidder |
Total Bid Price |
Equal. Applied |
Equal. Credit |
Equal. Bid Total |
|
Major Contracting Group |
$21,354,100.00 |
N/A |
N/A |
$21,354,100.00 |
|
CI Contracting Inc. |
$21,852,312.13 |
N/A |
N/A |
$21,852,312.13 |
|
DVM Utilities Inc. |
$21,904,720.70 |
N/A |
N/A |
$21,904,720.70 |
|
LGC Global |
$24,391,794.47 |
N/A |
N/A |
$21,391,794.47 |
|
Dan's Excavating, Inc. |
$24,587,743.54 |
N/A |
N/A |
$24,587,743.54 |
The Engineer’s Estimate for this work is $ 21,000,000.00.
After the bids were reviewed, the lowest equalized bidder is Major Contracting Group; their bid included all required information and was deemed responsive and responsible. Major Contracting Group is a Detroit Based Business. Therefore, it is recommended that Major Contracting Group be awarded the contract resulting from the RFB for PC-818 in the amount of $21,354,100.00. The bid tab, responsiveness evaluation, and bid was sent to the Permitting and Stormwater Management Group.
Major Contracting Group clearances expire on 7/24/24 and the formal contract document has been sent to the vendor for review and signature.
SUMMARY
A. Contract No.: 6006290 (PC-818)
B. Contractor: Major Contracting Group
C. Contract Term (Tentative): 7/2/2024 - 8/1/2026 (760 days)
D. Contract Amount: $21,354,100.00
E. Anticipated FY Breakdown: FY 24-25: $4,911,443.00
FY 25-26: $9,182,263.00
FY 26-27: $7,260,394.00
F. Funding Sources: ARPA, CWSRF, EGLE Principle Forgiveness, I&E Funds
G. GL String: 5821-20243-497711-617900-900391-30129-0000-000000 - 100% Sewer
This proposed contract was presented to the BOWC Finance Subcommittee on June 5, 2024. Per DWSD procurement protocol, Mayoral Review and City Council approval will also be obtained.