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9.A.
City Council Meeting - FINAL
Meeting Date:
10/03/2017
From:
Justin Emerick, Project Manager, Water Services

Information

TITLE:

Cancellation of Contract: Rio de Flag Water Reclamation Plant UV System Replacement Construction Contract

STAFF RECOMMENDED ACTION:

Approve cancellation of the construction contract between the City and Felix Construction for the Rio de Flag Water Reclamation Plant (WRP) UV System Replacement.

Executive Summary:

A construction contract was approved by Council on November 15, 2016 for the UV Disinfection System Replacement Project at the Rio de Flag WRP. It was determined that the specifications posted with the bid had errors that needed to be corrected.  The contractor (Felix Construction) and the City agreed to nullify the contract, pending Council approval, and address those errors with the design engineer.

Financial Impact:

There is no financial impact associated with this contract cancellation. No monies were paid to Felix Construction under this contract. The project will be re-advertised and a new solicitation for proposals will follow.  This project is budgeted in Account # 203-08-375-3319-0-4421 (FY 2015) in the amount of $1,400,000.00 dollars, and budgeted funds have been carried forward into the FY2017.  To date, $169,611 have been spent on engineering fees and the access door construction, leaving $1,230,389.00 remaining in the project fund balance.

Policy Impact:

There is no policy impact for this action.

Connection to Council Goal, Regional Plan and/or Team Flagstaff Strategic Plan:

Has There Been Previous Council Decision on This:

Yes, Council approved this contract on November 15, 2016.

Options and Alternatives:

  • Approve the cancellation of this contract
  • Do not approve the cancellation of this project

Background and History:

A contract was approved by Council on November 15, 2016 for the UV Disinfection System Replacement Project at the Rio de Flag WRP.  It was determined that the specifications that were bid had errors that needed to be corrected.  The contractor and the City agreed to nullify the contract and address those errors with the design engineer. We have tasked the design engineer with modifying the specifications to better represent the requirements of the project.

Key Considerations:

Key considerations include a delay to the project installation. This equipment installation is delayed until the plans and specifications can be modified and rebid. Water Services has obtained necessary replacement parts as a backup to compensate for any equipment failure that may occur during the delay in installing new UV system equipment.