The request of staff for the City Council is to review the attached Construction Services recommendation memorandum and to consider approval the rejection of the attached bid for the 2023 As-Needed Misc. Pipeline Construction ITB23-006 from Rowland Inc.  

As City Council is aware, the purpose of this type of agreement is to secure construction services and pricing for utility projects that are time sensitive in nature, emergency related, or when utility conflicts are discovered during other construction projects performed by the City, State, and County.  Securing construction services and pricing allows staff to eliminate two to three months typically spent on the bidding phase and reduce costs associated with the bid process.  Projects that have been completed utilizing this type of agreement are the sanitary sewer pipeline replacement on Main Street, the Rec. and Aquatic Center Watermain Relocation project, and the US Hwy 19 Continuous Right-Hand Turn project.  As Council may recall, the 2019 As-Needed Misc. Pipeline Construction Project agreement has expired. This agreement proved to be an efficient tool in managing these types of construction projects. Construction Services reviewed the 2019 agreement and made changes to improve proficiencies and advertised the ITB23-006 on December 7, 2022.  One competitive bid was opened on January 12, 2023.  The bid submitted was in the amount of $33,655,185.49 or 400% to 500% higher than current utility contract pricing.