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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 No. 6006374 (CS-1988) with DLZ Michigan, Inc., for Inspection, Surveying and Materials Testing for DWSD Construction Projects; for a total contact amount not-to-exceed $4,500,000.00 and a term of three (3) years. 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. 2024-109
Contract No: 6006374 (CS-1988)
Contractor: DLZ Michigan, Inc. (DBB, DHB, DBMB)
Address: 607 Shelby Street, Suite 650, Detroit, MI 48226
Initial Contract Amount: $4,500,000.00
Contract Term: 11/1/24 - 10/31/27 (3 years)
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Detroit Water and Sewerage Department
RE: Proposed DWSD Contract No. 6006374 (CS-1988)
Inspection, Surveying and Materials Testing for DWSD Construction Projects
DLZ Michigan, Inc.
MOTION
Upon recommendation of Marqaicha Welch, Purchasing Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department, authorizes the Director to approve The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract No. 6006374 (CS-1988) with DLZ Michigan, Inc., for Inspection, Surveying and Materials Testing for DWSD Construction Projects; for a total contact amount not-to-exceed $4,500,000.00 and a term of three (3) years. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
As-needed inspection, surveying and material testing is needed for on-going and future DWSD construction projects. The proposed contract will allow needed inspection, surveying, testing, such as soil compaction test, concrete slump test, and asphalt test, etc. for projects like water main replacements. There are approximately 2,700 miles of water distribution main and 3,000 miles of sewer line having an average age of 95 years. So far, only a fraction (~15%) of water main and sewer pipe has been rehabilitated and/or replaced.
Therefore, a consistent rehabilitation and replacement of the water and sewer system in a priority basis program is ongoing. In 2017, DWSD acquired a Capital Improvement Program Management Organization through Project CS-1812 (Contract# 6000777 with AECOM) to conduct risk and criticality evaluation of the water and sewer infrastructure, create a list of high priority neighborhoods’ assets to be rehabilitated and maximize the total return on investment for capital expenditures.
Many water and sewer infrastructure improvement contracts have since been developed. With the quantity of work targeted for the water and sewer system, there is a need for additional inspection staff to supplement our current DWSD staff. This contract will supply qualified staff to monitor the new work for the DWSD water and sewer networks. The proposed contract benefits the department in the long-term to meet the recurring schedules and help meet the city of Detroit’s public health and safety goals.
PROCUREMENT METHOD
DWSD published Request For Proposals (RFP) 517031/CS-1988 for Inspection, Surveying and Materials Testing for DWSD Construction Projects on the MITN Bidnet website for 35 calendar days (4/10/24 - 5/15/24). Notices were sent to 594 vendors with a total of 52 vendors downloading at least a portion of bidding documents. Three (3) proposals were received.
The Proposals were first evaluated for responsiveness and responsibility by Procurement. Proposals from OHM, Inc. and Mannik & Smith Group were deemed non-responsible for failing to meet minimum qualifications as outlined in the RFP. The remaining proposal from DLZ Michigan, Inc. was determined to be both responsive and responsible.
With only one viable proposal, an Evaluation Committee wasn’t convened. The Engineering Division was instead tasked with determining if DLZ Michigan’s proposal was acceptable, and to score on a pass/fail basis.
The division determined DLZ Michigan’s proposal was acceptable and passed. Negotiations with the company were successful. Based on the information above, DWSD recommends the contract be awarded to the responsive and responsible proposer, DLZ Michigan, Inc.
DLZ Michigan, Inc is a Detroit Based Business (DBB), Detroit Headquartered Business (DHB) and Detroit Based Micro Business (DBMB). DLZ Michigan’s clearances expire on 9/29/24 and the formal contract document is being sent to the vendor for review and signature.
SUMMARY
A. Contract No.: 6006374 (CS-1988)
B. Contract Term: 11/1/24 - 10/31/27 (3 years)
C. Initial Contract Amount: $4,500,000.00
D. Funding Source: I&E Funds
E. Anticipated FY Spend: FY 24-25: $1,000,000.00
FY 25-26: $1,500,000.00
FY 26-27: $1,500,000.00
FY 27-28: $500,000.00
F. GL String(s):
5721-20244-487711-617900-900394-30129-0000-000000 - 50% Water
5821-20243-497711-617900-900395-30129-0000-000000 - 50% Sewer
This proposed contract was presented to the BOWC Finance Subcommittee on June 5, 2024. Per DWSD procurement protocol, Mayoral Review will also be obtained.