Explanation
1. BACKGROUND:
A. Need. This legislation authorizes the Director of Public Utilities to enter into a construction contract with Kenny / Obayashi Joint Venture in connection with the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1; to authorize the appropriation and expenditure of $264,506,000.00 from the Ohio EPA Water Pollution Control Loan Fund (WPCLF); and to amend the 2010 Capital Improvements Budget for the Division of Sewerage and Drainage.
This OSIS Augmentation and Relief Sewer (OARS) project will design a 28,600 foot long large diamter conduit and screen structure to convey Combined Sewer flows from the vicinity of the Henry Street Regulator south to the vicinity of the Jackson Pike Wastewater Treatment Plant. This project is an essential component of the consent order between the City of Columbus and the State of Ohio to reduce the environmental impact of Combined Sewer Overflows (CSOs). The tunnel will intercept wet weather overlows that currently empty into the Scioto River and carry the flow instead to the Jackson Pike and Southerly Wastewater Treatment Plants. The work will include provision for the controlled storage and release of the Combined Sewer flows to pumping facilities and/or treatment facilities when all work is completed. This is the first phase of a two part project. Phase 2, which will include the shaft structures, will be bid in February 2011.
Original Contract (Phase 1) $264,506,000.00
Phase II (Estimate) $ 75,000,000.00
Estimated Total $339,506,000.00
Construction shall be completed in December 2014 to meet consent order requirement. Construction will begin when the notice to proceed issued.
B. Procurement Information: The Division advertised for competitive bid proposals on the City of Columbus's Vendor Services website and in the City Bulletin in accordance with the provisions of Section 329.14 of Columbus City Codes. The Division of Sewerage and Drainage opened the responding bids on April 28, 2010 from the following companies:
Name C.C. No. City/State MAJ/MBE/FBE
Kenny / Obayashi Joint Venture 26-2579073 Northbrook, Ill MAJ
TJDS Joint Venture (Traylor Brothers) No App Filed Evansville, Ind MAJ
Kiewit / McNally Joint Venture 27-2332603 Omaha, Neb. MAJ
These bids were reviewed and ranked utilizing the Bid Tab and Quality Factor Form evaluation process. After careful consideration, the committee recommended that Kenny / Obayashi Joint Venture be selected to provide the construction services for the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1 for which the Director of Public Utilities has concurred.
The Engineer's construction cost estimate was: $234,435,845.60
The Award is recommended to the lowest Responsive, Responsible, and Best Bidder.
.
C. Contract Compliance No.: 26-2579073 | Expires: 03/08/2012 | MAJ
D. Emergency Designation: Emergency designation is requested in order to comply with the consent order and meet the construction contract schedule requirements of the Ohio EPA.
2. FISCAL IMPACT:
This legislation authorizes the appropriation and expenditure of $264,506,000.00 from the Ohio EPA Water Pollution Control Loan Fund (WPCLF); and to amend the 2010 Capital Improvements Budget for the Division of Sewerage and Drainage.
Title
To authorize the Director of Public Utilities to enter into a construction contract with the Kenny / Obayashi Joint Venture, in connection with the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1; to authorize the appropriation and expenditure of $264,506,000.00 from the Ohio EPA Water Pollution Control Loan Fund (WPCLF); and to and to amend the 2010 Capital Improvements Budget for the Division of Sewerage and Drainage; and declare an emergency. ($264,506,000.00)
Body
WHEREAS, three competitive bids for construction of the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1, were received and opened on April 28, 2010 in the offices of the Director of Public Utilities; and
WHEREAS, the Division of Sewerage and Drainage engineering personnel have determined it necessary to enter into a construction contract with Kenny / Obayashi Joint Venture, in order to provide for construction of OSIS Augmentation & Relief Sewer (OARS) Project Phase 1; and
WHEREAS, the Ohio Water Development Authority (OWDA) approved an Ohio EPA WPCLF loan agreement with the City of Columbus on June 24, 2010, in the amount of $264,506,000.00 identified as OWDA Account Number 5671 to provide financing for the above listed project with eligible costs including the construction contract and contingency; and
WHEREAS, it is necessary to authorize the appropriation and expenditure of the proceeds from the aforementioned loan; and
WHEREAS, it is immediately necessary to amend the 2010 Capital Improvements Budget to provide sufficient authority for increasing a capital project account; and
WHEREAS, due to a consent order and the required construction contract schedule and requirements of the Ohio EPA, an emergency exist in the usual daily operations of the Division of Sewerage and Drainage, Department of Public Utilities, in that it is immediately necessary for this Council to authorize the Director of Public Utilities to enter into a construction contract with Kenny / Obayashi Joint Venture for the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1, at the earliest practical date for the immediate preservation of the public health, welfare, 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 be, and hereby is, authorized to enter into a contract with the Kenny / Obayashi Joint Venture, 2215 Sanders Road, Suite 400, Northbrook, Illinois 60062, for the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1 in accordance with the terms and conditions as shown on the contract on file in the office of the Division of Sewerage and Drainage.
SECTION 2. That the proceeds from the Ohio Water Development Authority Loan No. 5671, for the OSIS Augmentation & Relief Sewer (OARS) Project Phase 1; and funds from the unappropriated monies in Fund No. 666, the amount of $264,506,000.00 for the cost of the construction contract, is hereby appropriated to the Division of Sewerage and Drainage as follows:
Division 60-05 | Fund No. 666 | Project No. 650704-100001 | Object Level 6630 | OCA Code 667041 | $264,506,000.00
SECTION 3. That for the purpose of paying the cost of the Ohio Water Development Authority (OWDA) Fund Eligible Items within the aforementioned contract, the following expenditure, or as much thereof as may be needed, is hereby authorized as follows: Fund No. 666, Dept/Div. No. 60-05, Project: 650704-100001 | OCA Code 667041 | Object Level One 10 | Object Level Three 6630 | Amount $264,506,000.00.
SECTION 4. That the 2010 Capital Improvements Budget is hereby amended as follows:
Fund No. | Project No. | Project Name | Current Authority | Revised Authority | Change
666 | 650704-100001 | OSIS Augmentation & Relief Sewer (OARS) Project Phase 1 | $0 | $264,506,000.00 | (+$264,506,000.00)
SECTION 5. That said construction company, Kenny / Obayashi Joint Venture, shall conduct the work to the satisfaction of the Director of Public Utilities and the Administrator of the Division of Sewerage and Drainage.
SECTION 6. 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 7. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 8. 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 9. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure which shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.