Placement: Consent Agenda
Action Requested: Motion / Vote
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Award Contract #20230060 for the Construction of the Deep Injection Well #2 at the Prineville Water Treatment Facility.
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Submitted By: Robyn Holder, CPPB, Procurement Management Division (PMD).
Strategic Plan Link: The City's Goal of high-quality infrastructure and facilities.
Summary Brief (Agreements/Contracts only)
1. Prepared by: Robyn Holder, CPPB (PMD).
2. Parties: City of Port St. Lucie and Youngquist Brothers, LLC (“Contractor”).
3. Purpose: To provide a redundant well for the disposal of reverse osmosis concentrate.
4. New/Renewal/Modified: New.
5. Duration: 900 calendar days with no option to renew.
6. Benefits to Port St. Lucie: The proposed deep injection well will provide redundancy of the existing well and maintain the ability to produce 11.15 million gallons a day of water through our reverse osmosis treatment process.
7. Cost to Port St. Lucie (Annual and Potential): One-time expense of $13,986,482.00 plus a city owned contingency of $500,000.00 for a total budget of $14,486,482.00.
Presentation Information: N/A.
Staff Recommendation: Move that the Council award Contract #20230060 and enter into a unit price contract with Youngquist Brothers, LLC for the Construction of the Deep Injection Well #2 at the Prineville Water Treatment Facility.
Alternate Recommendations:
1. Move that the Council amend the recommendation and award Contract #20230060.
2. Move that the Council not award Contract #20230060 and provide staff with direction.
Background: The City of Port St. Lucie owns and operates the Prineville Water Treatment Facility deep injection well system for disposal of concentrate from the reverse osmosis (RO) process. The deep injection well system currently consists of one Class I deep injection well (IW-1) and associated dual-zone monitor well (MW-1), a surge control system, yard piping and instrumentation. The Prineville IW-1 has been operational since 2011. The City desires to construct a second Class I deep injection well (IW-2) to meet concentrate disposal capacity needs as a back-up to IW-1.
The new industrial-class deep injection well will be drilled to a depth of approximately 3,350 feet and will be equipped with pressure and flow monitoring instrumentation. This project mitigates operational issues should the existing injection well fail, or must undergo routine maintenance and testing, and enables increased brackish water treatment capacity by removing constraints placed on the system by limited concentrate disposal capacity.
An E-Bid was issued on May 26, 2023 to 1,817 potential suppliers. There were 24 plan holders with 1 proposal submitted on July 19, 2023.
Issues/Analysis: Staff has reviewed the proposal and after negotiations finds that Youngquist Brothers, LLC provides the best value to the City.
Financial Information: Funds are appropriated in the Utility CIP Fund / Improvements O/T Building (#448-3310-563000).
Special Consideration: Section 7.01-R-7 of the Procurement Manual allows the Procurement Management Division (PMD) to negotiate when there is only one bidder, and the price was over the approved budget. Youngquist Brothers, LLC was the only bidder at $18,845,678.00. PMD and the Utility System Department held negotiations on August 10th and September 20th. After these negotiations, the Contractor has revised their proposal to $13,986,482.00 and this amount is within budget. The significant decrease in the proposal was based primarily on the project duration being extended due to the significant demand for similar wells statewide.
Location of Project: Prineville Water Treatment Facility.
Attachments:
1. Notice of Intent to Award.
2. E-Bid Tabulation Report.
3. Signed Contract.
4. Recommended Proposal.
5. Bid Documents.
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 10145
Legal Sufficiency Review:
Reviewed by Alyssa Lunin, Deputy City Attorney. Approved as to Legal form and sufficiency by Richard Berrios, Interim City Attorney.