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The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 1 to DWSD Contract 6006476 (CS-1989), with M. E. Simpson Company, Inc., for City of Detroit Leak Detection in Targeted Neighborhoods, by adding $198,213.68 in funding, for a total amended contract not-to-exceed amount $500,000.00. No change to the scope of services or contract terms and conditions. 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 February 19, 2025
Item No. 2025-32
Proposed Amendment No. 1
Contract No.: 6006476 (CS-1989)
Contractor: M. E. Simpson Company, Inc.
Address: 3406 Enterprise Avenue, Valparaiso, IN 46383
Current Contract Amount: $301,786.32
Proposed Contract Amount: $198,213.68
Proposed New Total Contract Amount: $500,000.00
Contract Term: 300 calendar days - 9/1/2024 - 6/30/2025 (Tentative)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed Amendment No. 1 for DWSD Contract No. 6006476 (CS-1989)
City of Detroit Leak Detection in Targeted Neighborhoods
M. E. Simpson Company, Inc.
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 Amendment No. 1 to DWSD Contract 6006476 (CS-1989), with M. E. Simpson Company, Inc., for City of Detroit Leak Detection in Targeted Neighborhoods, by adding $198,213.68 in funding, for a total amended contract not-to-exceed amount $500,000.00. No change to the scope of services or contract terms and conditions. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
The "City of Detroit, Leak Detection in Targeted Neighborhoods Project" enables the Detroit Water and Sewerage Department (DWSD) to conduct drinking water system leak detection studies and monitoring. This project is critical for ongoing preventive maintenance of the City’s water distribution system. Identifying and addressing leaks helps maintain water quality and pressure, prevents infrastructure damage, and mitigates public health and safety risks.
The original contract amount was $301,786.32. The proposed Contract Amendment increases the contract amount to $500,000.00 to utilize the full grant funding allocated for this project by the Michigan Department of Environment, Great Lakes, and Energy (EGLE). The scope and schedule of the project remain unchanged. The contract remains 100% reimbursable under the grant.
PROJECT OBJECTIVES / COSTS
The objectives of this project include reducing non-revenue water, improving water quality, and restoring service levels in targeted neighborhoods within the City of Detroit. The increased contract amount of $500,000.00 will allow DWSD to expand the quantity of leak detection activities and maximize the use of the allocated grant funds.
PROCUREMENT METHOD
This procurement was competitively solicited through a Request for Bids (RFB) per Requisition 520324, which was fully approved on 6/6/24. The RFB was advertised on the Michigan Inter-Governmental Trade Network (MITN) BidNet website for 18 calendar days (6/5/24 -6/28/24). MITN published this opportunity to 873 companies and 31 firms downloaded the bid package. In addition to posting on MITN, Procurement sent email notices to approximately 90 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. Two bids were received.
|
Bidder |
Total Bid Price |
Equal. Applied |
Equal. Credit |
Equal. Bid Total |
|
M. E. Simpson Company, Inc. |
$301,786.32 |
N/A |
N/A |
$301,786.32 |
|
Alfred Benesch |
$821,317.20 |
DBB - 1% |
$8,213.17 |
$813,104.03 |
The Engineer’s Estimate for this work is $500,000.00.
After the bids were reviewed, the lowest bidder is M. E. Simpson Company, Inc.; their bid included all required information and was deemed responsive and responsible. Therefore, it is recommended that M.E. Simpson Company, Inc. be awarded the contract resulting from the RFB for CS-1989 in the amount of $301,786.32 and for a term of three hundred calendar days. The bid tab, responsiveness evaluation, equalization analysis, and bid was sent to the Field Services Division.
Amendment No. 1 was initiated through Requisition # 529808, requesting to add funding in the amount of $198,213.68. The proposed Contract Amendment increases the contract amount to $500,000.00 to utilize the full grant funding allocated for this project, for which additional work will be completed.
M. E. Simpson Company’s clearances expire on 10/22/25. A formal contract document is being sent to the vendor for review and signature.
SUMMARY
A. Contract No.: 6006476 (CS-1989)
B. Contract Term: 300 calendar days - 9/1/2024 - 6/30/2025 (Tentative)
C. Current Contract Amount: $301,768.32
D. Proposed Amendment No. 1 Amount: $198,213.68
E. Proposed New Total Contract Amount: $500,000.00
F. Anticipated FY Breakdown: FY 24-25 $500,000.00
G. Funding Source: CIP Funds, with 100% of the funds reimbursable through
Michigan Department of Environment, Great Lakes, and
Energy (EGLE) Funds
H. GL String: 5721-20244-487711-617900-900403-10792-0000-000000 - 100% Water
This contract was presented to the BOWC Finance Committee on February 5, 2025. Per the DWSD Procurement Policy, no additional approvals are required.