Mayor and Council are asked to consider awarding a professional engineering services contract to Sanderson Stewart in the amount of $766,533.00 for design and construction administration services on Schedule 1 of the 2012 Water and Sanitary Sewer Replacement Projects.  The projects include approximately 6,900 feet of water main replacement on Montana Avenue between North 13th Street and North 31st Street and approximately 3,000 feet of water main replacement on South 27th Street between 5th Avenue South and State Avenue. Sanderson Stewart was selected based on City staff review of project proposals submitted by prequalified firms.  Other firms considered for the work were DOWL HKM and Morrison-Maierle, Inc.

The City replaces and upgrades its water and sanitary sewer utilities as part of an annual maintenance program.  As underground pipe approaches the end of its useful life, the City's maintenance costs increase.  Corroding pipe and leaking joints lead to water loss and reduced capacity.  Water main breaks can also cause property damage.

The City Council may:
•  Award the engineering contract to Sanderson Stewart; or
•  Do not award the engineering contract to Sanderson Stewart.

If the projects are not constructed, the City's water distribution system in these areas will continue to experience ongoing maintenance problems.

Funding for the projects has been approved by City Council in the CIP.  Funding is sufficient for the engineering design and construction administration portion which is now under consideration, as well as for the project construction planned for bidding in April 2012.

Staff recommends that Council award a professional engineering services contract for the design and construction administration portion of Schedule 1 of the 2012 Water and Sanitary Sewer Replacement Projects to Sanderson Stewart in the amount not to exceed $766,533.00.