Consideration and Approval of Contract:  Approve the construction contract with Western Utilities Contractors, LLC, dba Overley’s in the amount of $1,359,657.00 for the Summit Water project.

1. Approve the construction contract with Western Utilities Contractors, LLC, dba Overley’s in the amount of $1,359,657.00 and a contract duration period of 200 calendar days;
2. Approve a contract allowance of $67,982.85, which is 5% of the lowest responsive bid;
3. Approve Change Order Authority to the City Manager in the amount of $135,965.70 which is 10% of the lowest responsive bid;
4. Authorize the City Manager to execute the necessary documents.

Award of the construction contract to Western Utilities Contractors, LLC, dba Overley’s, will authorize the construction of the Summit Water project in accordance with the approved public improvement plans prepared by Civil Design & Engineering (CD&E).

The general project scope includes demolition work, installation of 3,336 linear feet of new water main and associated water services, fire hydrants, and 11,110 square yards of new asphalt pavement. Please see the attached context and vicinity maps.

The project is funded by the Annual Waterline Replacement fund from the FY 2019-2020 authorized budget of $1,350,000 (Acct# 202-08-370-3435-0-4421) and $350,000 in additional FY 202-2021 funding (Acct# 202-08-370-3435-0-4421).

Council Goal - Transportation and Other Public Infrastructure
Deliver quality community assets and continue to advocate and implement a highly performing multi-modal transportation system.

Team Flagstaff Strategic Plan - Foster a Resilient and Economically Prosperous City
Deliver outstanding services through a healthy environment, resources, and infrastructure.

Regional Plan
Policy WR2.2 - Maintain and develop facilities to provide reliable, safe and cost-effective water, wastewater and reclaimed water services.

Council has previously approved the FY 2019-2020 Capital Improvement 5-Year Plan and authorized the FY 2019-2020 budget for this project in the amount of $1,350,000. The project’s FY 2020-2021 proposed funding is being requested in the upcoming FY 2020-2021 Capital Improvement 5-Year Plan which will be presented to Council.

• Approve the award for the construction contract as recommended. Approval will allow work on the project to move forward.
• Reject all bids. This action would delay the project.
  • If rejection occurs, possible options include;
  • Re-advertise the project and open new bids or
  • Suspend or cancel the project

The existing water system in this area ranges from 58 to more than 90 years old and has been identified as a high priority for replacement by the Water Services Annual Waterline Replacement program. The project will update the existing water mains, water services, and fire hydrants.


On April 2, 2020, the Purchasing Section posted an Invitation for Bids (IFB) solicitation for construction on the PlanetBids' website and advertised the IFB in the Arizona Daily Sun on April 5, and April 12, 2020. There were five (5) bids received and opened electronically on April 27, 2020. A summary of the bids received is identified in the Key Considerations section below. Western Utilities Contractors, LLC, dba Overley’s was determined to be the lowest responsive and responsible bidder.

On April 27, 2020, bids were received to construct the Summit Water project. The summary results are listed below.
Company                                                                             Bid
Engineer’s Estimate                                                       $1,656,165.00
Western Utilities Contractors, LLC, dba Overley’s         $1,359,657.00
Kinney Construction                                                       $1,363,808.00
Lincoln Constructors                                                       $1,399,164.00
Standard Construction                                                    $1,797,031.00
Sellers & Sons                                                                $1,830,732.00
Allowance at 5% of the low bid                                       $67,982.85

The contract allowance is established to address unanticipated items of work, unknown items of work and/or differing field conditions and with authorization will be included in the contract amount. The allowance is used only at the City’s discretion. See attached allowance justification form.

Change Order Authority establishes a dollar amount (10% of the contract amount) and provides the City Manager, on behalf of the Council, administrative authority to amend the contract amount in response to unforeseen costs that are more than the contracted amount.

The project will replace old waterlines (58-90+ years old), reducing failures and maintenance costs over time and provide the neighborhood with safe, consistent water delivery. New asphalt pavement will replace the existing pavement which is significantly past its service life.