 |
AGENDA ITEM REVIEW FORM |
7.B.
Regular City Council Meeting
- Meeting Date:
- 10/14/2026
- Department Head:
- Tomas Sanchez
- Submitted By:
- Oscar Barnett, Project Manager, Engineering
Action Requested:
Motion
ITEM:
Discussion and possible action on any and all matters regarding the award of a construction contract to TF Contracting Services, LLC, for the Well Site #4 Water Storage Tank Rehabilitation Project. (Tomas Sanchez, City Engineer)
SUMMARY:
The Engineering Department is seeking Mayor and Council approval to accept and award a construction contract to TF Contracting Services, LLC for the San Luis Well Site #4 Water Storage Tanks Rehabilitation Project.
Well Site 4 is located at 927 PPEP Drive, San Luis, AZ 85349. The facility consists of a welded-steel potable water storage tank with a capacity of 500,000 gallons. The improvements include, but are not limited to, the structural rehabilitation of the existing potable water storage tank, replacement of the existing roof system with a new steel roof structure and upgraded ventilation system, interior abrasive blasting and recoating of the potable water storage tank, rehabilitation of selected site piping and appurtenances, recoating of the treatment system backwash tank, and all associated work necessary to reliable operational status, extend asset life, and ensure regulatory and safety compliance.
City staff conducted a formal bidding process for the construction of the Well Site #4 Water Storage Tank Rehabilitation Project, which had a budget of $1,000,000.00. Bids were received on September 3, 2026, from two (2) qualified contractors: TF Contracting Services LLC, and Pittsburgh Tank & Tower Co. Inc. Both bids exceeded the established project budget, with TF Contracting Services, LLC submitting the lowest responsive and responsible bid in the amount of $1,262,326.90.
Staff is requesting the City Council's approval to award the construction contract to TF Contracting Services, LLC for the Well Site #4 Water Storage Tank Rehabilitation Project in the amount of 1,262,326.90 and authorize staff to proceed with the contract execution. Staff further recommends that the City Council approve Change Order No. 1, negotiated with TF Contracting Services, LLC, with a scope and cost reduction, resulting in a revised contract amount of $869,971.72.
This purchase falls under the bidding provisions of our City of San Luis Procurement Code 3.05.030, 3.05.040, and 3.05.050.
Well Site 4 is located at 927 PPEP Drive, San Luis, AZ 85349. The facility consists of a welded-steel potable water storage tank with a capacity of 500,000 gallons. The improvements include, but are not limited to, the structural rehabilitation of the existing potable water storage tank, replacement of the existing roof system with a new steel roof structure and upgraded ventilation system, interior abrasive blasting and recoating of the potable water storage tank, rehabilitation of selected site piping and appurtenances, recoating of the treatment system backwash tank, and all associated work necessary to reliable operational status, extend asset life, and ensure regulatory and safety compliance.
City staff conducted a formal bidding process for the construction of the Well Site #4 Water Storage Tank Rehabilitation Project, which had a budget of $1,000,000.00. Bids were received on September 3, 2026, from two (2) qualified contractors: TF Contracting Services LLC, and Pittsburgh Tank & Tower Co. Inc. Both bids exceeded the established project budget, with TF Contracting Services, LLC submitting the lowest responsive and responsible bid in the amount of $1,262,326.90.
Staff is requesting the City Council's approval to award the construction contract to TF Contracting Services, LLC for the Well Site #4 Water Storage Tank Rehabilitation Project in the amount of 1,262,326.90 and authorize staff to proceed with the contract execution. Staff further recommends that the City Council approve Change Order No. 1, negotiated with TF Contracting Services, LLC, with a scope and cost reduction, resulting in a revised contract amount of $869,971.72.
This purchase falls under the bidding provisions of our City of San Luis Procurement Code 3.05.030, 3.05.040, and 3.05.050.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO AWARD A CONTRACT TO TF CONTRACTING SERVICES, LLC FOR THE CONSTRUCTION OF THE CITY OF SAN LUIS WELL SITE 4 WATER STORAGE TANK REHABILITATION PROJECT IN THE AMOUNT OF $1,262,326.90, AND TO APPROVE CHANGE ORDER NO. 1, AS PRESENTED.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- Yes
- CITY/STATE/FEDERAL FUNDS:
- City
- TOTAL:
- $869,971.72
- BUDGETED AMOUNT:
- $1,000,000.00
- AVAILABLE AMOUNT TO TRANSFER:
- N/A
- ACCT NAME & GL#/REMAINING BALANCE BEFORE PURCHASE:
- CAPITAL OUTLAY - CIP - 300-302-90015/$2,906,874.63
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
Staff worked with the contractor to achieve a cost reduction of $392,355.18 through scope adjustments, with a new total amount of $869,971.72. The project is anticipated to have a construction duration of 5 months.
Account ID 300-302-90015
Project No.: 2026053
Account ID 300-302-90015
Project No.: 2026053
Attachments
- Bid Advertisement Yuma Sun
- Bid Advertisement Bajo El Sol
- Bid Documents
- Bid Tabulation
- Contract
- Change Order No. 1