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ADOPT A RESOLUTION TO AUTHORIZE CONTRACT CHANGE ORDER NO. 3 WITH SORACCO INC FOR ON-CALL UTILITY REPAIR SERVICES FOR CITYWIDE WASTEWATER COLLECTION AND WATER DISTRIBUTION SYSTEMS
recommended action
RECOMMENDATION
It is recommended that the City Council adopt a resolution to authorize Contract Change Order (CCO) No. 3 with Soracco, Inc. for additional Municipal Utilities Department Wastewater Collection and Water Distribution System services in the amount of $1,200,000 for a total contract amount not-to-exceed $8,230,000.
It is further recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this resolution.
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Summary
The Municipal Utilities Department (MUD) staff maintain, inspect, and repair sewer collection and water distribution systems throughout the City. The regular maintenance program is required to safely transport wastewater for treatment at facilities owned and operated by the City and to distribute drinking water to customers in the City water service area. To respond in a timely manner to larger scale and emergency repair projects, MUD negotiated Contract Change Order No.3 (CCO No. 3) to expand the current contract with Soracco Inc., Lodi, CA, for on-call utility repair services to include water distribution systems, and sanitary sewer pipelines larger than 24” in diameter.
If approved, this action will add water distribution systems and emergency sanitary sewer collection system large pipeline repairs to the scope of work (Exhibit 1 to the Resolution) with Soracco, Inc., of Lodi, CA for a total contract amount of $8,230,000. The contract (No. 423000017) is presently in year three (3) of a five (5) year-term.
DISCUSSION
Background
The MUD operates and maintains the wastewater collection and water distribution systems throughout the City. The MUD contracted with Soracco Inc. for on-call utility repair services for wastewater collection systems with pipelines smaller than 24” in diameter. These contracted services allows staff to respond to large-scale collection systems repairs in a safe and timely manner.
In June 2022, by Resolution 2022-06-21-1205, the City Council awarded a contract to Soracco, Inc. in the not-to-exceed amount of $6,300,000. In June 2023, the City increased the contract not-to-exceed amount to $7,030,000. The contract is presently in year three (3) of a five (5) year-term.
Present Situation
The MUD Water Operations and Distribution division requires on-call utility repair services for emergency and large-scale repair work on throughout the water distribution system. Additionally, the MUD Collections division requires emergency on-call utility repair services for sanitary sewer pipelines larger than 24” in diameter.
Staff negotiated CCO No. 3 with Soracco, Inc. to adjust the scope of work to include on-call repair services for water distribution systems and emergency repair services for sanitary sewer pipelines larger than 24” in diameter.
If approved by the City Council, CCO No. 3 will adjust the contract scope of work to include the additional services needed in the amount of $1,200,000 for a total contract amount not-to-exceed $8,230,000.
FINANCIAL SUMMARY
There are sufficient funds available in the Water Distribution and the Sanitary Sewer System Emergency Project (UW24018) accounts to approve CCO No. 3 in the amount of $1,200,000 for a total contract amount not-to-exceed $8,230,000.
This action has no impact on the General Fund or any other unrestricted funds.