Explanation
BACKGROUND: CIP No. 650768-100003, Third Avenue Relief Sewer Phase 3 is a Consent Order project and defined in the City of Columbus Department of Public Utilities Integrated Plan and 2015 Wet Weather Management Plan Update Report (September 2015). This project is the 3rd phase to accommodate the re-construction of Third Avenue and associated utilities as a result of the new Grandview Yard development.
Project will install approximately 3,100 linear feet of new 36-inch diameter sanitary sewers, 20 manholes, and approximately 720 linear feet of 6-inch sanitary house connection pipe along West Third Avenue between Northwest Boulevard (to the west) and Edgehill Road (to the east).
This project is needed to mitigate four existing DSR’s (110, 105, 151 and 154) in Third Avenue between Edgehill and Northwest Blvd. to a 10 year level of service. WIB occurrences in the project area will also be mitigated to 10 year level of service.
Planning Area: 42 - Fifth by Northwest
PROJECT TIMELINE: Contract work is required to be completed in a manner acceptable to the City within 365 days from the date that a Notice To Proceed (NTP) is given by the City.
PROCUREMENT INFORMATION: The Division advertised for competitive bids submission for the subject services on the City's Vendor Services website and in the City Bulletin in accordance with the overall provisions of Chapter 329 of the Columbus City Code. The Division of Sewerage and Drainage received three (3) bids on January 19, 2022 from the following:
|
NAME |
TAX ID |
DAX # |
City/State |
Status |
Expiration |
Bid Amount |
|
Kenmore Construction |
34-0802152 |
006456 |
Akron, OH |
MAJ |
06/08/2022 |
$4,761,826.70 |
|
Complete General Const. |
34-4366382 |
006056 |
Columbus, OH |
MAJ |
06/08/2023 |
$4,844,821.76 |
|
Elite Excavating Co. of Ohio |
20-1643186 |
001064 |
Ontario, OH |
MAJ |
01/05/2024 |
$5,789,029.50 |
|
|
|
|
|
|
|
|
Kenmore Construction Company was deemed the low responsive bidder in accordance with the overall provisions of Chapter 329 of the Columbus City Code.
EMERGENCY DESIGNATION is not requested at this time.
ECONOMIC / ENVIRONMENTAL IMPACT: Third Avenue Relief Sewer Phase 3 is a Consent Order project and defined in the City of Columbus Department of Public Utilities Integrated Plan and 2015 Wet Weather Management Plan Update Report (September 2015).
This project is the 3rd phase to accommodate the re-construction of Third Avenue and associated utilities as a result of the new Grandview Yard development.
Four existing DSR’s (110, 105, 151 and 154) in Third Avenue between Edgehill and Northwest Blvd. will be mitigated to a 10 year level of service. WIB occurrences in the project area will also be mitigated to 10 year level of service.
FISCAL IMPACT: This Ordinance authorizes the City Auditor to appropriate and transfer funds from the Sanitary Sewer Reserve Fund 6102 to the Ohio Water Development (OWDA) Loan Fund 6111 in order to fund the DOSD component of this project. This transaction is a temporary measure that is required until such time as the division is able to execute a loan with the OWDA Loan Fund and reimburse the Sanitary Sewer Reserve Fund. The loan is expected to be approved in March, 2022. A transfer of funds within the Streets and Highways General Obligation Bond Fund will be necessary.
A portion of the balance will be funded with Department of Public Service funding in an amount of up to $428,420.30. A transfer of funds within the Streets and Highways Bond Fund, Fund 7704, will be necessary as well as an amendment to the 2021 Capital Improvements Budget. Funds are appropriated.
Additionally $2,000.00 is necessary for Prevailing Wage Services from the Department of Public Service. The transfer and expenditure of $2,000.00 is needed from the Sanitary Sewer General Obligation Bond Fund 6109.
An amendment to the 2021 Capital Improvement Budget is also necessary to align the authority.
Title
To authorize the Director of Public Utilities to enter into a construction contract with Kenmore Construction Company for the Department of Sewerage and Drainage’s Third Avenue Relief Sewer Phase 3 Project and the Department of Public Service’s Pedestrian Safety Improvements Project; to authorize the appropriation and transfer of $4,333,406.40 from the Sanitary Sewer Reserve Fund to the Ohio Water Development (OWDA) Loan Fund; to authorize the appropriation and expenditure of $4,333,406.40 from the Ohio Water Development (OWDA) Loan Fund; to authorize the transfer and expenditure of $428,420.30 from the Streets and Highways Bond Fund, to authorize an the transfer and expenditure up to $2,000.00 for prevailing wage services to the Department of Public Services within the Sanitary General Obligations Voted Bonds Fund; and to amend the 2021 Capital Improvement Budget. ($4,763,826.70)
Body
WHEREAS, the Division of Sewerage and Drainage advertised for competitive bids for the Third Avenue Relief Sewer Phase 3 and the Pedestrian Safety Improvements Projects, and three (3) bids were received on January 26, 2022; and
WHEREAS, it was determined that Kenmore Construction Company should be awarded the project based on the results of the Bid Tabulation and Quality Factor Form evaluation; and
WHEREAS, it is necessary to authorize the Director of the Department of Public Utilities to execute a construction contract with Kenmore Construction Company and to encumber and expend funds to provide for prevailing wage services for the Division of Sewerage and Drainage’s Third Avenue Relief Sewer Phase 3 Project, CIP# 650768-100003, and the Department of Public Service’s Pedestrian Safety Improvements Project, CIP # 590105-100115; and
WHEREAS, it is necessary to both appropriate funds from the Sewer System Reserve Fund 6102 and to authorize the transfer of said funds to the OWDA Loan Fund 6111 in order to temporarily fund this expenditure until such time as the City receives loan proceeds for the above stated purpose and reimburses the Sewer System Reserve 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 construction of the Project described in this Ordinance (collectively, the “Project”); and
WHEREAS, it is necessary to authorize the transfer within and the expenditure of up to $428,420.30 from the Streets and Highways Bond Fund, Fund 7704; and
WHEREAS, it is necessary to authorize the transfer within and expenditure of up to $2,000.00 within the Sanitary G.O. Voted Bonds Fund 6109 for Prevailing Wage Services to the Department of Public Service; and
WHEREAS, it is necessary to authorize an amendment to the 2021 Capital Improvement Budget; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities, Division of Sewerage and Drainage, to authorize the Director to enter into a construction contract with Kenmore Construction Company in order to meet project deadlines and deliverables, for the preservation of the public health, peace, property, and safety; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Public Utilities is hereby authorized to enter into a construction contract with Kenmore Construction Company; for the Division of Sewerage and Drainage’s Third Avenue Relief Sewer Phase 3 Project, CIP# 650768-100003, and the Department of Public Service’s Pedestrian Safety Improvements Project, CIP # 590105-100115, in accordance with the terms and conditions as shown in the agreement on file in the office of the Division of Sewerage and Drainage; and to obtain the necessary prevailing wage services from the Department of Public Services up to a maximum amount of $2,000.00.
SECTION 2. That from the unappropriated monies in the Sanitary Sewer Reserve Fund 6102 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, 2022, the sum of $4,333,406.40 is appropriated in Fund 6102, per the account codes in the funding attachment to this ordinance.
SECTION 3. That the transfer of $4,333,406.40 or so much thereof as may be needed, is hereby authorized between the Sanitary Sewer Reserve Fund 6102 and OWDA Loan Fund 6111 per the accounting codes in the attachment to this ordinance.
SECTION 4. That the transfer $2,000.00 is hereby authorized in the Sanitary General Obligation Bond Fund 6109 per the accounting codes attached to this ordinance
SECTION 5. That the transfer of $428,420.30 is hereby authorized in the Streets and Highways Bond Fund 7704 per the accounting codes attached to this ordinance
SECTION 6. That the expenditure of $4,763,826.70, inclusive of $2,000.00 to the Department of Public Service for prevailing wage services, or so much thereof as may be needed, is hereby authorized per the accounting codes in the attachment to this ordinance.
SECTION 7. That the 2021 Capital Improvement Budget is amended as per the accounting codes as attached to this ordinance.
SECTION 8. That the said company, Kenmore Construction Company, shall perform the work to the satisfaction of the Director of Public Utilities, the Director of Public Service, and the Administrator of the Division of Sewerage and Drainage.
SECTION 9. That the City Auditor is hereby authorized 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 by monies from more than one source.
SECTION 10. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated and the City Auditor shall establish such accounting codes as necessary.
SECTION 11. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 12. 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 13. 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 (Section 3), and said funds are hereby deemed appropriated for such purposes.
SECTION 14. 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 $4,333,406.40 (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 6102, which is the fund from which the advance for costs of the Project will be made.
SECTION 15. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.