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Bid Award - FY2022 Short Water Line Extension Program Phase D
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INFORMATION CONTACT:
John Shutak, Union County Water, Engineering Director, 704-283-3651
ACTION REQUESTED:
1) Reject non-responsible bid from Dickerson, Inc., 2) award the construction agreement to Richard D. Suggs Construction Co. in the amount of $3,116,338.05; 3) authorize the County Manager to a) negotiate and execute agreements with Richard D. Suggs Construction Co. and LaBella Associates, P.C. substantially consistent with this agenda item, b) exercise any renewal or extension term options set forth in the agreements, and c) terminate the agreements if deemed in the best interest of the County, each in the County Manager’s discretion; and 4) adopt the Resolution Providing Notice of the FY2022 Short Water Line Extension Program Phase D Project Construction.
PRIOR BOARD ACTIONS:
1) August 16, 2021, Regular Meeting, Agenda Item # 40 - Approved the ranking criteria, cost share, and application period for the Short Water Line Extension Program.
2) February 7, 2022, Regular Meeting, Agenda Item # 22-011 - Approved the FY2022 Short Water Line Extension Program applicant selections.
3) April 4, 2022, Regular Meeting, Agenda Item # 22-178 - Approved the selection of two additional projects for the FY2022 Short Water Line Extension Program.
4) September 6, 2022, Regular Meeting, Agenda Item # 22-531 - Approved moving forward with the selected FY2022 Short Water Line Extension Program selected projects based on applicants’ fee payments.
5) August 14, 2023, Regular Meeting, Agenda Item # 23-491 - Approved Task Order 2020-01 with Labella Associates, P.C. for Engineering and Design Services for the FY2022 Short Water Line Extension Program Phase D
BACKGROUND:
The Short Water Line Extension Program, as adopted by the Board of County Commissioners (BOCC), provides for the extension of water lines to serve and provide an environmental benefit to qualifying applicants in Union County. The FY2022 Short Water Line Extension Program projects have been divided into four Phases (A - D). Phase D consists of one project with approximately 3.4 miles of water lines serving 21 applicants on Doctor Blair Road.
The BOCC previously approved Labella Associates, P.C. Task Order 2020-01 for engineering design services on August 14, 2023, in the amount of $295,067.00.
On January 30, 2025, Union County Procurement Division received and opened seven (7) bids for the project. All bids were reviewed by the engineer to confirm the lowest responsive, responsible (qualified) bidder in accordance with N.C.G.S 143-129(b) and Article 19.04 of the Instruction to Bidders. N.C.G.S 143-129(b) gives the governing body the authority to reject any proposals when in the best interest of the governing body and requires that the contract be awarded to the lowest responsible bidder, taking into consideration quality, performance, and the time specified for the work. Article 19.04 of the Instruction to Bidders, which was part of the bid documents, states “In evaluating whether a Bidder is responsible, Owner will consider the qualifications of the Bidder and may consider the qualifications and experience of Subcontractors and Suppliers proposed for those portions of the Work for which the identity of Subcontractors and Suppliers must be submitted as provided in the Bidding Documents.”. The engineer’s review determined that the apparent low bidder at the time of the bid opening, Dickerson, Inc., with a bid amount of $2,717,585.40, did not have the requisite experience and qualifications to perform the project as they have no experience with this type of water line construction; therefore, Dickerson, Inc. was determined to not meet the responsibility standard for this particular project as required by N.C.G.S. § 143-129 and Article 19 of the Instructions to Bidders. Therefore, it is recommended that the Board officially reject the bid.
The remaining six (6) bids were certified by the engineer per the attached award recommendation letter and bid tabulation with the bids ranging from $3,116,338.05 to $5,528,077.80. Based on the engineer’s review and Procurement Division approval of the bids, staff recommend that the project be awarded to the lowest responsive, responsible bidder, Richard D. Suggs Construction Co., in the amount of $3,116,338.05.
To support the construction of the project, construction administration services are required to ensure the project is constructed to meet the requirements set forth in the project plans and specifications. The scope of service in the attached LaBella Task Order 8682-1 has been reviewed by UCW engineering staff and is appropriate for the project. These services are to be provided on a not-to-exceed basis in the amount of $108,133.00.
FINANCIAL IMPACT:
Funding is available within the adopted Short Water Line Extensions Program for the FY2022 Short Water Line Extension Phase D project to support the construction contract amount of $3,116,338.05 with Richard D. Suggs Construction Co. and the construction administration engineering services described in Labella Associates, P.C. Task Order 8682-1 in the amount of $108,133.00.