Legislation Details

File #: 21-0562    Version: Name:
Type: Contract, Change Order Status: Passed
In control: Financial Services
On agenda: 8/18/2021 Final action: 8/26/2021
Title: The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Change Order No. 3 to DWSD Contract No. 6000966 with Inland Waters Pollution Control, Inc. for Inspection and In-Place Rehabilitation of Existing Sewers (Project No. DWS-903). This amendment will add $7,000,000 in funding, for a total amended amount not-to-exceed $72,000,000 and add 6 months to extend contract to 12/30/2021. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Indexes: Board of Water Commissioners, Finance Committee

Title

The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Change Order No. 3 to DWSD Contract No. 6000966 with Inland Waters Pollution Control, Inc. for Inspection and In-Place Rehabilitation of Existing Sewers (Project No. DWS-903).  This amendment will add $7,000,000 in funding, for a total amended amount not-to-exceed $72,000,000 and add 6 months to extend contract to 12/30/2021.  This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.

 

Body

Agenda of August 18, 2021

Item No. 21-0562

Contract No.: 6000966 (DWS-903)

Proposed Change Order No. 3

Contractor: Inland Waters Pollution Control, Inc. (DBB)

Address:  4086 Michigan Avenue, Detroit MI 48102

Current Contract Amount: $65,000,000

Proposed Change Order No. 3 Amount: $7,000,000

Proposed Total Amended Contract Amount: $72,000,000

Current Contract Term: 12/11/17 - 6/30/2021 (3 years)

Proposed Extension:  12/11/20 - 12/30/21 (6 months)

 

TO:                                          The Honorable

                                          Board of Water Commissioners

                                          City of Detroit, Michigan

 

FROM:                     Gary Brown, Director

Detroit Water and Sewerage Department

 

RE:                     Proposed Change Order No. 3 to DWSD Contract No. 6000966

Inspection and In-Place Rehabilitation of Existing Sewers (DWS-903)

Inland Waters Pollution Control, Inc. (DBB)

 

MOTION

 

Upon recommendation of Mamata Burgi, Operations Resource Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department, authorizes the Director to approve Change Order No. 3 to DWSD Contract No. 6000966 with Inland Waters Pollution Control, Inc. for Inspection and In-Place Rehabilitation of Existing Sewers (Project No. DWS-903).  This amendment will add $7,000,000 in funding, for a total amended amount not-to-exceed $72,000,000 and extend the contract six (6) months through 12/30/21.  This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.

 

 

BACKGROUND / JUSTIFICATION

 

This contract provides as-needed inspection and in-place rehabilitation of selected sewers primarily using the procedures, methods and equipment of the cured-in-place pipe lining process.  The existing Detroit Water and Sewerage Department (DWSD) sewer system within the City limits consists of approximately 3,000 miles of sewers ranging from  8” thru 168” and is generally older than ninety-years. As a result of the sewers age, they are deteriorating at a faster rate. Some are near the point of  collapsing, and immediate emergency action is often required. Therefore, rehabilitation services are needed to repair plugged, damaged and collapsed sewers to avoid basement flooding, and maintain the flows within the wastewater collection system.

 

The Inland Waters Pollution Control, Inc. contract was put into place to provide all labor, materials, and equipment to fully perform the work of televising inspection, cleaning and rehabilitation/lining of circular and non-circular storm and sanitary sewers by using the relining methods of (a) cured-in-place pipe (CIPP), (b) slip lining or (c) pipe bursting conforming to the requirements of the current standard specification for “Rehabilitation of Existing Pipelines and Conduits by the Inversion and Curing of a Resin-Impregnated Tube, American Society for Testing and Materials (ASTM) Designation F1216-05, ASTM F1743 Pulled, ASTM D5813, ASTM D790, ASTM D2990 on as-needed basis. Additionally, the work involves repair of failed/collapsed circular and non-circular storm and sanitary sewers by means of the open cut repair method. The Contractor is required to furnish all labor, materials and incidentals required to complete the project in accordance with the Contract Documents. The work will be located throughout the City.

 

The historical average amount of Emergency Sewer Tasks issued per month over the previous 15 years is 6 tasks. The average amount of Emergency Sewer Tasks issued per month under the current Contract DWS-903 (2019 through March 2021) is 24 tasks. During a part of the COVID-19 period in 2020, DWSD Sewer Yard was shut down. All sewer related complaints including cave-ins and water-in-basements investigations and repairs were directed to DWSD’s Sewer contractor to perform under Contract DWS-903. The average amount of Emergency Sewer Tasks issued per month during the COVID-19 period from March 2020 through March 2021 was 40 tasks. This amount of sewer emergency task is more than 6 times the historical average and about twice the average for the current Contract, DWS-903.

 

Change Order #3 requests the extension and additional funds are needed for the continuation of the necessary sewer work. 

 

PROCUREMENT METHOD  

 

Per Requisition #442980 approved on 2/8/17, this contract was competitively solicited as Request For Proposals DWS-903 and was advertised on the MITN Bidnet website from 2/16/17 - 4/3/17 (46 days).  MITN Bidnet published the opportunity to 873 firms, 22 firms downloaded the RFP packet and four (4) Proposals were received.  The contract was awarded to the highest ranked responsive and responsible Proposer, which was Inland Waters Pollution Control and was approved by the BOWC on 9/20/17 and by City Council on 11/14/17.  Inland Water is certified as a DBB.

 

The following change orders were submitted:

 

Change Order #1:

Requisition #484616 (approved on 11/12/20) was requested to extend the contract term for an additional six (6) months, for a new expiration date of 6/30/21 at the same price, scope, terms and conditions of the initial contract for the continuation of the necessary sewer work

 

Change Order  #2: 

Requisition #487628 (approved on 4/8/2021) was requested to add $5,000,000 for a new total amendment amount not-to-exceed $65,000,000, at the same price, scope, terms and conditions of the initial contract.

 

Proposed Change Order  #3: 

CO #3 through Req# 489541 (Budget approved on 7/22/2021) requests additional funds in the amount of $7,000,000, for a new total amendment amount not-to-exceed $72,000,000, and a contract extension through 12/30/21, at the same price, scope, terms and conditions of the initial contract.

 

DWSD Procurement has processed the time extension prior to expiry of the contract without changes to funds. This request is for addition of funds.

 

The replacement contract is DWS-920 (Start date Jan 2022) and is also on this month’s agenda for approval by the BOWC.

 

Inland Water’s clearances expire on 01/26/22 and they have signed the Change Order #3 Form.

 

 

SUMMARY

 

A.                     Contract No.:                     6000966 (DWS-903)

B.                     Initial Contract Term:                     12/11/17 - 12/10/20

C.                     Extension for CO #1:                     12/11/20 - 6/30/21

D.                     Extension for CO #2:                     N/A

E.                     Extension for CO #3:                     6/30/21 - 12/30/21

F.                     Proposed Extension for CO #2:                     N/A

G.                     Initial Contract Amount:                     $60,000,000

H.                     CO #1 Amount:                     N/A

I.                     CO #2 Amount:                     $  5,000,000

J.                     CO #3 Amount:                     $  7,000,000

K.                     Proposed New Total Contract Amount:                     $ 72,000,000

L.                     Funding Source:                     I&E Funds

M.                     Anticipated Fiscal Year Spend:                     FY 20-21:  $11,000,000

                                          FY 21-22:   $ 7,000,000

N.                     GL String(s):              5831-20310-497800-617900-900160-30129-0000-000000

 

This proposed amendment was presented to the DWSD Finance Committee on August 4th, 2021.  Per DWSD Procurement protocol, Post-FRC Mayoral Review and City Council approvals will also need to be obtained.