Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendments 1 & 2 to DWSD Contract 6003817 (an emergency exception) with Lakeshore Global Corporation to 1) add an additional $207,036.68 and 2) to add an additional $7,952.72 for a new total contract not-to-exceed amount of $1,714,900 for emergency manhole and water in basement investigations related to the 2021 severe flooding events (Project No. DWS-949). This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of October 20, 2021
Item No. 21-0629
Amendments 1 & 2
Contract No.: 6003817 (Project No. DWS-949)
Contractor: Lakeshore Global Corporation (DBB)
Address: 7310 Woodward, Suite 500, Detroit, MI 48202
Initial Contract Amount: $1,500,000
Proposed Amendment 1 Amount: $207,036.68 (CIP funds transferred from Contract 6003726/DWS-947)
Proposed Amendment 2 Amount: $7,925.72 (O&M Funds beyond amount being transferred)
New Proposed Total Amount: $1,714,962.40
Term: 6/26/21 - 12/31/21 (6 months) - no change to term
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed Amendments 1 & 2 to DWSD Contract No. 6003817 / Project No. DWS-949
To add funds for Emergency Flood Services to Provide Investigations, Cleaning and Repairs to catch basins, manholes, sinkholes, etc.
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 Amendments 1 & 2 to DWSD Contract 6003817 (an emergency exception) with Lakeshore Global Corporation to 1) add an additional $207,036.68 and 2) to add an additional $7,952.72 for a new total contract not-to-exceed amount of $1,714,900 for emergency manhole and water in basement investigations related to the 2021 severe flooding events (Project No. DWS-949). This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
Three emergency services contracts were put in place for a term of 6 months (through 12/31/21) following the severe rain and flooding events in Detroit on June 25th & 26th, 2021:
• DWS-947 with Pipetek for $1,500,000 (Contract 6003726) - provides emergency catch basin and sewer investigations, repairs and cleaning services.
• DWS-948 with Inland Waters for $2,000,000 (Contract 6003727) - provides emergency services of sewers investigations, cleaning and vacuuming; removal and transport of debris; catch basins and sink hole investigations, cleaning & repairs.
• DWS-949 with Lakeshore Global Corp for $1,500,000 (Contract 6003817) - provides emergency flood field and basement investigation services.
The contracts were made for a term of 6 months each in the event there be additional rain/flood events in Detroit this calendar year.
At the time these three contracts commenced, the total spend was not known and the contracts were initiated with estimated amounts. Due to the vast nature and number of residents and streets impacted by the flooding, along with the time it took to mobilize and perform all necessary investigations, repairs and/or cleaning, DWSD now knows the final dollar amounts spent under these three contracts, which requires revisions to finalize the total contract not-to-exceed amounts.
All services related to the flood events in June 2021 for these three contracts have been performed, thereby requiring amendments to the dollar amounts.
The DWSD Operations Division submitted Requisition 492160 to process Amendments 1 & 2 to DWS-949 with Lakeshore Global (Contract 6003817) as follows:
Proposed Amendment 1 - Requests to reduce the NTE of Pipetek Contract 6003726 (DWS-947) by $207,036.68 and to add those funds to Contract 6003817 (DWS-949) with Lakeshore Global Corporation, for a new NTE of $1,707,036.68.
Proposed Amendment 2 - Requests to add $7,925.72 of O&M Funds to this contract (6003781/DWS-949) with Lakeshore Global Corporation, for a new NTE of $1,714,962.40.
PROCUREMENT METHOD - EMERGENCY EXCEPTION
This contract was procured through an emergency exception to competitive solicitation due to the severe rain and flooding events that happened in Detroit on June 25th & 26th, 2021. The rain and flooding impacted thousands of Detroit residents. DWSD Director Brown signed the final version of the Exception from Competitive Solicitation (ECS) Form for a term of 6 months and a NTE of $1,500,000 on 7/29/21. Prior versions were submitted, signed and eventually revised as it took time to fully vet the true scope and nature of how many homes and streets were affected and the amount of needed. This contract (DWS-949) was put in place in conjunction with DWS-947 with Pipetek and DWS-948 with Inland Waters to cover services related to catch basins, manholes and investigations related to the rain and flood events.
Lakeshore Global’s clearances expire in January 2022.
SUMMARY
A. Contract No.: 6003817 (Project No. DWS-949)
B. Contractor: Lakeshore Global Corporation
C. Contract Term: 6/26/21 - 12/31/21 (6 months)
D. Initial Contract Amount: $1,500,000
E. Proposed Amend 1 Amount: $ 207,036.68 (CIP funds transferred from DWS-947)
F. Proposed Amend 2 Amount: $ 7,925.72 (O&M Funds)
G. Amend 1 & 2 New Total Amount: $1,714,962.40
H. Proposed FY Breakdown: FY 21-22: $ 285,827.07
FY 22-23: $1,429,135.33
I. Funding Source: CIP and O&M Funds
J. GL Strings:
CIP Funds:
5821-20243-497711-617900-460999-15802-0000-000000 - 96% Sewer
O&M:
5720-20167-482431-617900-000209-10680-0000-000000 - 1.6% Water
5820-20178-492431-617900-000230-15826-0000-000000 - 2.4% Sewer
This contract was presented to the DWSD Finance Subcommittee on October 6, 2021. Per DWSD procurement protocol, Mayoral Review will also be obtained.