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File #: 0057-2020    Version: 1
Type: Ordinance Status: Passed
File created: 1/2/2020 In control: Public Utilities Committee
On agenda: 2/3/2020 Final action: 2/5/2020
Title: To authorize the Director of Public Utilities to enter into a construction contract with BLD Services, LLC for the Lateral Lining - Clintonville 1 Blenheim/Glencoe; to authorize the appropriation and transfer of $5,922,539.70 from the Sanitary Sewer Reserve Fund to the Ohio Water Development (OWDA) Loan Fund; to authorize the appropriation and expenditure of $5,922,539.70 from the Ohio Water Development (OWDA) Loan Fund; and to authorize an expenditure up to $2,000.00 for prevailing wage services within the Sanitary General Obligations Voted Bonds Fund. ($5,924,539.70)
Attachments: 1. ORD. 0057-2020 Funding Template, 2. ORD 0057-2020 Subcontractor Utilization Form, 3. ORD. 0057-2020 Director's Legislation Information Sheet

Explanation

 

1.  BACKGROUND:  This legislation authorizes the Director of Public Utilities to enter into a construction contract with BLD Services, LLC for the Lateral Lining - Clintonville 1 Blenheim/Glencoe, CIP 650872-110173. This project consists of rehabilitation of approximately 875 sanitary laterals via Cured-In-Place-Pipe method.

 

Planning Area:  39 - Clintonville

 

This project has been approved for below market-rate loan financing through the Ohio Environmental Protection Agency’s Water Pollution Control Loan Fund (WPCLF) which is administered by the Ohio Water Development Authority (OWDA).  The loan award is expected in February 2020, an OWDA Loan Account number will be assigned.  Federal Davis-Bacon Wage Rates and Requirements will apply.

 

Funds in the amount of $2,000.00 will also be encumbered for prevailing wage services to the Department of Public Service.

 

2.  THE PROJECT TIMELINE: Contract work is required to be completed in a manner acceptable to the City within 580 days from the date that a Notice to Proceed (NTP) is given by the City.

3.  PROCUREMENT:   In accordance with the procedures set forth in the overall provisions of Columbus City Code, Section 329, Invitation for Bids were received December 11, 2019.  Three (3) competitive bids were received. The following bidders submitted bids.  Performance Pipeline was determined to be non-responsive as they were not Construction Pre-Qualified, nor registered with Columbus Vendor Services.

 

 

NAME

CC#/

Expiration

DAX #

City/State

Status

BLD Services, LLC

72-1512625

1/29/2021

019505

Kenner, LA

MAJ

Musson Brothers, Inc.

39-0880737

4/4/2020

025329

Waukesha, WI

MAJ

Performance Pipeline

Unknown

N/A

N/A

Ottawa, IL

Unknown

 

The selection process used the Bid Tab and Quality Factor Form evaluation process and the project was awarded to the lowest responsive, responsible and best bidder, BLD Services, LLC

 

Searches in the Excluded Party List System (Federal) and the Findings for Recovery list (State) produced no findings against BLD Services, LLC

 

4.  ECONOMIC/ENVIRONMENTAL IMPACT:  This project is a Consent Order project and is an improvement identified in the Integrated Plan and 2015 Waste Water Management Plan Update Report.  The project is needed to mitigate water in basement events and sanitary sewer overflows to the goal of a 10 year Level of Service (LOS).  Public meetings were conducted to solicit public input regarding the project, and descriptions of the work associated with this project were included on the City of Columbus website.

 

5.  FISCAL IMPACT: This Ordinance authorizes the City Auditor to appropriate and transfer funds from the Sanitary Sewer Reserve Fund to the Ohio Water Development (OWDA) Loan Fund in order to fund this proposed expenditure.  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 February 2020. 

 

Funding for Prevailing Wage Services ($2,000.00) to the Department of Public Service will come from the Sanitary G.O. Voted Bonds Fund 6109.

 

 

Title

 

To authorize the Director of Public Utilities to enter into a construction contract with BLD Services, LLC for the Lateral Lining - Clintonville 1 Blenheim/Glencoe; to authorize the appropriation and transfer of $5,922,539.70 from the Sanitary Sewer Reserve Fund to the Ohio Water Development (OWDA) Loan Fund; to authorize the appropriation and expenditure of $5,922,539.70 from the Ohio Water Development (OWDA) Loan Fund; and to authorize an expenditure up to $2,000.00 for prevailing wage services within the Sanitary General Obligations Voted Bonds Fund.  ($5,924,539.70)

 

 

Body

 

WHEREAS, it is necessary to authorize the Director of the Department of Public Utilities to award and execute a construction contract with BLD Services, LLC and to encumber and expend funds to provide for payment of prevailing wage services for the Division of Sewerage and Drainage’s Lateral Lining - Clintonville 1 Blenheim/Glencoe; 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 reimburse 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 for this Council to authorize an expenditure of up to $2,000.00 within the Sanitary G.O. Voted Bonds Fund 6109 for Prevailing Wage Services; and 

 

WHEREAS, it has become necessary in the usual daily operation of the Department of Public Utilities to authorize the Director to enter into a construction contract with BLD Services, LLC for the Lateral Lining - Clintonville 1 Blenheim/Glencoe CIP # 650725-100016 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 BLD Services, LLC, 2424 Tyler Street, Kenner, LA 70062; for the Lateral Lining - Clintonville 1 Blenheim/Glencoe 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, 2020, the sum of $5,922,539.70 is appropriated in Fund 6102, per the account codes in the funding attachment to this ordinance.

 

SECTION 3.  That the transfer of $5,922,539.70 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 expenditure of $5,924,539.70, 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 5.  That the said company, BLD Services, LLC, shall perform 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 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 7.  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 8.  That the City Auditor is authorized to establish proper project accounting numbers as appropriate.

 

SECTION 9.  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 10.  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 11.  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 $5,922,539.70 (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 12.  That this ordinance shall take effect and be in force from and after the earliest period allowed by law.