Explanation
1. BACKGROUND:
A. Need. This legislation authorizes the Director of Public Utilities to enter into a construction contract with The Righter Company for the North West Alum Creek Sanitary Renovations Project for the Division of Sewerage and Drainage. This project was a result of a consent order project as contained in the Wet Weather Management Plan. Work to be completed by this contract consists of the replacement of approximately 24' of 12-inch diameter, 18' of 15-inch diameter and 42' of 20-inch diameter sanitary relief sewer, installation of 1 new manhole, reconstruction of 7 manholes, replacement of 4 flap gates and such other work as may be necessary to complete the contract in accordance with the plans and specifications. The work under this contract shall be completed in a manner acceptable to the City within 90 calendar days after the effective date of the Notice to Proceed.
The contract was advertised in the City Bulletin; seven bids were received, and opened on March 25, 2009 as follows:
Name C.C. No City/State MAJ/MBE/FBE
Walters Excavating 20-4134866 Laurelville, OH Maj
The Righter Company Inc. 31-0889208 Columbus, OH Maj
Complete General Const. 31-4366382 Columbus, OH Maj
John Eramo & Sons 31-0724866 Hilliard, OH Maj
McDaniels Const. Co. 31-1145406 Columbus, OH MBE
Tata Excavating 31-0717926 Columbus, OH Maj
George J. Igel 31-4214570 Columbus, OH Maj
The Engineer's construction cost estimate was $127,056.00
The apparent low bidder, Walters Excavating, was determined to be non-responsive due to missing required documentation. The Righter Company was the second low bidder and therefore the City of Columbus has deferred to the Righter Company as the low bidder.
Award is recommended to the lowest and best bidder.
B. Contract Compliance No.: 31-0889208 (MAJ) (Expires 04/07/2011)
C. Emergency Designation: No emergency designation is requested for this legislation.
2. FISCAL IMPACT:
This ordinance authorizes the transfer and appropriation of funds from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund; to authorize the expenditure of $143,700.00 from the Voted Sanitary Sewer Bond Fund; and amend the 2008 Capital Improvements Budget to establish sufficient funds and budget authority for this ordinance. Monies for this modification are to be provided from a future bond sale via the transfer detailed in this ordinance.
Title
To authorizes the Director of Public Utilities to enter into a construction contract with The Righter Company for the North West Alum Creek Sanitary Renovations Project for the Division of Sewerage and Drainage in order to comply with the consent order as contained in the Wet Weather Management Plan; to authorizes the transfer and appropriation of $143,7000 from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund; to authorize the expenditure of $143,700.00 from the Voted Sanitary Sewer Bond Fund; and to amend the 2008 Capital Improvements Budget, for the Division of Sewerage and Drainage. ($143,700.00)
Body
WHEREAS, seven competitive bids were received and opened on March 25, 2009 for the construction of the North West Alum Creek Sanitary Renovations Project; where upon it was determined that the Righter Company submitted the lowest, best, and most responsive bid proposal; and
WHEREAS, the Division of Sewerage and Drains Engineering personnel determined it necessary to enter into a construction contract with The Righter Company for the North West Alum Creek Sanitary Renovations Project for the Division of Sewerage and Drainage in order comply with consent order requirements as contained in the Wet Weather Management Plan; and
WHEREAS, it is necessary to authorize the transfer and appropriation of funds from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund for purposes of providing sufficient funding for this project expenditure; and
WHEREAS, it is necessary to authorize an amendment the 2008 Amend Capital Improvement Budget for purposes of creating and providing sufficient budget authority for the aforementioned expenditure; and
WHEREAS, it is necessary for City Council to authorize the expenditure of funds from the Voted Sanitary Sewer Bond Fund; and
WHEREAS, the City anticipates incurring certain Original Expenditures (as defined in Section 1.150-2(c) of the Treasury Regulations (the "Treasury Regulations") promulgated pursuant to the Internal Revenue Code of 1986, as amended) with respect to the project described in this ordinance (the "Project").
WHEREAS, the Department of Public Utilities Division of Sewerage and Drainage is requesting that this Council authorize the Director of Public Utilities to enter into a construction contract with The Righter Company for the North West Alum Creek Sanitary Renovations Project at the earliest practical date; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of Public Utilities is, authorized to enter into a construction contract with The Righter Company, 2424 Harrison Rd, Columbus, OH 43204, that will comply with the consent order as contained in the Wet Weather Management Plan. This project is for the replacement of sanitary relief sewer, installation and reconstruction of manholes, and replacement of flap gates in the NW Alum Creek Sanitary Renovations Project in accordance with the terms and conditions of the contract on file in the office of the Division of Sewerage and Drainage's Sewer System Engineering Section.
Section 2. That from the unappropriated monies in the Sanitary Sewer Reserve Fund No. 654, and from all monies estimated to come into said fund from any and all sources, and unappropriated for any other purpose during the fiscal year ending December 31, 2009, the sum of $143,700.00 is hereby appropriated to the Division of Sewerage and Drainage: Division 60-05| OCA Code 901654 | Object Level One 10 | Object Level Three 5502.
Section 3. That the City Auditor be and hereby is authorized and directed to transfer a total of $143,700.00 from the Sanitary Sewer Reserve Fund to the Voted Sanitary Sewer Bond Fund, Fund 664, into the NW Alum Creek Sanitary Renovations 650726-100000, at such time as deemed necessary by the Auditor, and to expend said funds, or so much thereof as may be necessary.
Section 4. That $143,700.00 is hereby appropriated for the NW Alum Creek Sanitary Renovations project within the Voted Sanitary Sewer Bond Fund as follows:
Fund 664| Div. 60-05| Project 650726-100000| OCA Code 664726 | Object Level Three 6630 | $143,700
Section 5. That the 2008 Capital Improvements Budget Ordinance No. 0690-2008 is hereby amended as follows, to create and provide sufficient budget authority for the execution of the cost agreement increase stated herein:
Transfer of Authority for Sanitary:
Proj. No. | Proj. Name | Current Authority | Revised Authority | (Change)
650352-100000 | SWWTP New Headworks | $4,502,000 | $4,423,300 | (-$78,700)
650726-100000 | NW Alum Creek Sanitary Renovation | $65,000 | $143,700 | (+$78,700)
Section 6. That the expenditure of $143,700.00, or as much thereof as may be needed, is hereby authorized from the Voted Sanitary Sewer Bond Fund:
Fund 664 | Div. 60-05 | Proj. 650726-100000 | NW Alum Creek Sanitary Renovations | OCA Code 664726 | Object Level Three 6630 | $143,700.00
Section 7. That upon obtaining other funds for the purpose of funding sanitary sewer system capital improvement work, the City Auditor is hereby authorized to repay the Sanitary Sewer Reserve Fund the amount transferred above, and said funds are hereby deemed appropriated for such purposes.
Section 8. That the City intends that this Ordinance constitute an "official intent" for purposes of Section 1.150-2(e) of the Treasury Regulations, and that the City reasonably expects to reimburse itself for certain Original Expenditures incurred with respect to the Project from the proceeds of obligations to be issued by the City in a principal amount currently estimated to be $143,700.00 (the "Obligations").
The City intends to make a reimbursement allocation on its books for the Original Expenditures not later than eighteen months following the later to occur of the date of the Original Expenditure to be reimbursed or the date the Project for which such Original Expenditures were made is "placed in service" within the meaning of Treasury Regulations Section 1.150-2(c). Upon the issuance of the Obligations, the proceeds of such Obligations shall be used to reimburse Sanitary/Sewer Reserve Fund 654, which is the fund from which the advance for costs of the Project will be made.
Section 9. That the City Auditor is hereby authorized and directed to transfer any unencumbered balance in the project account to the unallocated balance within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies are no longer required for said project; except that no transfer shall be made from a project account by monies from more than one source.
Section 10. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
Section 11. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this Ordinance.
Section 12. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.