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E2. Well Development Bid RecommendationCITY OF KALISPELL MEMORANDUM To: Doug Russell, City Manager From: Susie Turner, PE, Director of Public Works Re: Well Development Bid Recommendations for the Upper Zone Wells and North Main Well Project Meeting Date: February 7, 2022 BACKGROUND: The City of Kalispell has received sealed unit price bids for the well development phases for the Upper Zone Wells and North Main Well Projects. Well development is the first phase for completion of new well and pump facilities to provide source water for the Public Water Supply. The construction includes well drilling, casing and screen installation, and aquifer testing for a water rights application. BIDDING RESULTS: Bids were received and opened on January 27, 2022. One responsive bid was received from O'Keefe Drilling Company, Inc of Butte, MT. Below is a summary of bid amounts for each bid schedule. Schedule 1 is for the well development of the 2,100 gpm North Main Well (replacement of Noffsinger Spring Source), Schedule 2 is the well development of the 1,800 gpm well located on Kalispell's Utility Lot 3 adjacent to Four Mile Drive, and Schedule 3 is the well development of the 500 gpm well located adjacent to the future upper zone elevated tower on Kalispell's Utility Lot 2. SCHEDULE 1 BID SCHEDULE 2 BID SCHEDULE 3 BID Engineer's Est. Dec 2021 $521,950.00 $352,300.00 $216,525.00 O'Keefe Drilling Company $776,225.00 6,350.0 $200,200.00 The contractor's cost to complete all three schedules exceeds the engineers December 2021 cost estimate by $302,000. O'Keefe Drilling Company is considered a responsible bidder and met the experience and technical qualifications required to complete the project. In consideration of the current bidding environment and necessity to complete the City's well projects in a timely manner, Public Works recommends awarding the bids to O'Keefe Drilling Company of Butte, MT. FISCAL EFFECTS: FY 22 North Main Well Project (Schedule 1) funding allocation totals $2,034,916, as shown in the Water Operations Fund line items (5210-447-430550-925 and -355). The line items have a current balance of $1,996,850. Due to bid amounts exceeding the well development project costs and the continual cost increase anticipated for the construction of the well facility and piping, line item — 925 should be administratively amended with an increase of $600,000 in the FY 22 Budget. FY 22 1MG Elevated Storage Tank and Wells Project (Schedule 2 & 3) funding allocations for design and well development totals $1,556,986, as shown in the Water Operations Fund line item 5210-447-430550-954 and Water System Impact Fees line item 5211-477-430555-954. The line items have a current balance of $1,347,691. 201 1' Avenue E Phone (406)758-7720 PO BOX 1997 Public Works Department Fax (406)758-7831 Kalispell, MT 59903 1 1 www.kalispell.com CITY OF KALISPELL ACTION REQUESTED: Motion to award Bid Schedules 1, 2, and 3 to O'Keefe Drilling Company, Inc. for the well development construction for the Upper Zone Wells and North Main Well Projects. ALTERNATIVES: As suggested and approved by the City Council. ATTACHMENTS: Engineer of Record Bid Analysis and Recommendation. 2 1 P a g e Mkk eROBERT PECCIA & ASSOCIATES 2/2/2022 HELENA, MT Susie Turner, PE KALISPELL, MT Public Works Director - City of Kalispell BOZEMAN, MT sturner e,kalispell.com 406-758-7720 (office) VIA E-MAIL RE: Recommendation of Award Kalispell Wells Project Kalispell, MT RPA Project #21721.000 Susie: The City of Kalispell received and publicly opened bids at 2:00 p.m. on January 27th, 2022, for the Kalispell Wells Project, at the City Hall Council Chambers in Kalispell, Montana. Only one (1) bid was received from O'Keefe Drilling Company, Inc. of Butte, MT. O'Keefe Drilling submitted bids for Schedule 1 — North Main Well, Schedule 2 — Utility Lot 3 Well and Schedule 3 — Utility Lot 2 Well. The total bid, for all three (3) Schedules, was $1,392,775 and 27.7% higher than the Engineer's Estimate of $1,090,775. No bid irregularities were found in the bid. The apparent low bidder for the project is O'Keefe Drilling Company, Inc. of Butte, MT, with a bid of $1,392,775. O'Keefe Drilling provided the following information with their bid: 1. Bid Bond, in the amount of 10% 2. Section 00400 — Contractor Experience and References, Completed 3. Certificate of Contractor Registration, Registration No. 24241 Attached are the Certified Bid Tabulations and copies of items 1 & 2 listed above. It is recommended that the City of Kalispell accept O'Keefe Drilling Company's bid and award them Schedules 1, 2 & 3, as submitted, in the amount of $1,392,775, if within available budgets. Per the project schedule, we will want to request the Council approval for award on Monday, February 7th, 2022. Kalispell P.O. Box 5100 Thanks, and please let me know if you have any questions. 102 Cooperative Way Suite 300 Kalispell, MT 59903 Respectfully, Tele: 406.752.5025 Fax: 406.752, 5024 www.rpa-hin.com Susie Turner, PE 2/2/2022 Page 2 of 2 Ryan E. Mitchell, PE, PLS Senior Project Manager Attachments Certified Bid Tabulations Bid Bond Contractor Experience and References SUMMARY OF BIDS KALISPELL WELLS PROJECT KALISPELL, MT ' c , Bd opening Dale I T.— I L... ti— Thursday, January 27. 2022 @ z,o6 PM City Hell, Kalispell, Montana (via 4uestCDN) Acknnwled ed Addendum No. 1 $ 2 Bid Bond MT Contractors Re istratian Na. SCHEDULE 1 BID I SCHEDULE 2 BID SCHEDULE 3 BID TOTAL SfD ALL SCHLUULES A rent Low Uidder En Inaara Estimate NIA NIA NIA $521,950.00 $352,300,00 $216,525.01) $1.090,775.00 O'Keefe Drilling YES YES 24241 $776,225.00 $416,350.00 $200,200.00 $1.392.775.00 X SUMMARY OF BIDS KALISPELL WELLS PROJECT KALISPELL, MT Robert Peccia & Associates, Inc. WAS 102 Coopera[Fve Way, Suite 300 ' Kalispell ' Montana ' (406) 752-5025 Engineer's Estirnate ee e Drilling Unit Price Total Price Unit Price Total Price Item Unit No. 0 antity Unit Description (Figures) {Figures) (Figures) {Fqures) Schedule 1 - North Main Well 1.1 1.0 LS Mobilization, Bonding and Submittals (10%) $46.500.00 $46,500,00 $70,000.00 $70,000.00 1.2 800.0 Cu Yd Excavation $12.OD $9,600.00 $70.00 $56,000.00 1.3 400.0 Cu Yd Embankment $24.OD $9,600.00 $48.00 $19,200.00 1.4 400.0 Cu Yd Haul Off of Excess Excavation $18.00 $7,200.00 $30.00 $12,000.00 1.5 245.0 Ln Ft Water Main - 6" PVC Irrigation Line (T Deep) $60.00 $14,700.00 $105.00 $25.725.00 1.6 1.0 LS Provide & Install Mud Tanks $18,000.00 $18,000,00 $78,000.00 $78,000.00 1.7 100.0 Ln Ft Provide, Install, Grout and Remove Surface Casing - 24" OD Steel $425.00 $42,500.00 $505.00 $50,500.00 1.8 475.0 Ln Ft Provide and Install Well Casing - 20" OD Steel $400.00 $190,000MO $420.00 $199,WO.00 1.9 30.0 Ln Ft Provide and Install Telescoping SS Wire Wrapped Well Screen w/K-packer - 20" Stainiess Steel $545.00 $16,350.00 $660.00 $19.800.00 1.10 40.0 HR Perform Well Development - 2.100 qpm $425.00 $17,000.00 $450.00 $18.00D.00 1.11 1.0 LS Conduct Pump Testing - 2,100 gprn (includes rental of generator and pump) $140,000.00 $140,000,00 $215.000.00 $215,000.00 1.12 1.0 LS Perform Piumbness and Alignment Test $3,000.00 $3,000.00 $4.000.00 $4.000.00 1.13 1.0 LS Well Disinfection and Provide and Install Vented WaterTightWell Cap - 20" $6,000.00 $6,000.00 $6,500.00 $6.500.00 1.14 1.0 LS Well Video Inspection $1,500.00 $1,500.00 $2.000.00 $2.00D.00 SUBTOTAL SCHEDULE 1 = $521,950.00 $776,225.00 Schedule 2 - Utility Lot 3 Well 2.1 1.0 LS Mobilization, Bonding and Submittals (10%) $32,000.00 $32,000,00 $37,850.00 $37,850.00 2.2 1.0 LS Provide Mud Pits $16.000.00 $18,000.00 $17.000.00 $17,000.00 2.3 100.0 Ln Ft Provide, Install, Grout and Remove Surface Casing - 20' OD Steel $300.00 $30,000.00 $455.00 $45.500.00 2.A 450.0 Ln Ft Provide and Install Well Casing - 16" 00 Steel $245.00 $110,250.00 $330.00 $148.500.00 2.5 30.0 Ln Ft Provide and Install Telescoping SS Wire Wrapped Well Screen wlK-packer- 16" Stainless Steel $505.00 $15,150.00 $600.00 $18,000.00 2.6 40.0 HR Perform Well Development - 1.800 qpm $425.00 $17,000 00 $450.00 $18.000.00 2.7 1.0 LS Conduct Pump Testinq - 1.800 qpm {includes rental of generator and pump) $120.000.00 $120,000.00 $120,000.DO $120.000.00 2.8 1.0 LS Perform Piombness and Alignment Test $3.000.00 $3,000.00 $4,000.00 $4,000.00 2.9 1.0 LS Well Disinfection and Provide and install Vented Water -Tight Well Cap - 16" $5,400.00 $5.400,00 $5.500.00 $5.500.00 2.10 1.0 LS Well Video Inspection $1.500.00 $1,500.00 $2.000.00 $2.000.00 SUBTOTAL SCHEDULE 2 = $352,300.00 $416,350.00 Schedule 3 - Utility Lot 2 Well 3.1 1.0 LS Mobilization, Bonding and Submittals (10%) $19.700.00 $19,700.00 $18,200.00 $18.200.00 3.2 1.0 LS Provide Mud Pits $1B4O00.00 $18,000.00 $15,000.00 $15,000.00 3.3 100.0 Ln Ft Provide, Install, Grout and Remove Surface Casing -12' D❑ Steel $135.00 $13.500.00 $135.00 $13.500.00 3A 700.0 Ln Ft Provide and Install Well Casing - 8" OD Steel $102.75 $71,925.00 $95.00 $59.500.00 3.5 30.0 Ln Ft Provide and Install Telescoping SS Wire Wrapped Well Screen wlK-packer - a" Stainless Steel $390.00 $11.700.00 $350.00 $10,500.00 3.6 40.0 HR Perform Well Development - 500 qpm $425.00 $17,000.00 $450.00 $18.000.00 3.7 1.0 LS Conduct Pump Testing - 500 qpm (includes rental of generator and pump) 355.000.00 $56.00000 $55.000,00 $55,000.00 3.8 1.0 LS Perform Plumbness and Alignment Test $3.000.00 $3,000.00 $3,000.00 $3,000.00 3.9 1.0 LS Well Disinfection and Provide and Install Vented Water -Tight Well Cap - 8" $5.200.00 $5,200.0D $5,500.00 $5,500.00 3.10 1.0 LS Well Video Inspection $1.500.00 $1,500.00 $2,000.00 $2.000.00 SUBTOTAL SCHEDULE 3 = $216,525.00 $200,200.00 TOTAL BID OF ALL SCHEDULES: $1,090,775.00 $1,392,775.00 1) No bid irregularities found. 0ONTAN-9 X �TC E. 392 E5 /DNS !, TRUE TABULATION OF BIDS RECEIVED`l V� Robert Peccia & Associates Today's Date: Janaury 27. 2022 PREPARED BY RPA 202022 Page 2 BID BOND (PENAL SUM FORM) Bidder Surety Name: O'Keefe Drilling Company, Inc. Name: North American Specialty insurance Company Address (principal place of business): Address (principal place of business): P.O. Box 3810 1200 Main Street, Suite 800 Butte, MT 59702 Kansas City, MO 64105 Owner Bid Name: City of Kalispell Project (name and location): Address (principolplace of business): Kalispell Wells Project 201 1st Ave East Kalispell, MT 59903 Bid Due Date: January 27, 2022 Bond Penal Sum: 10% Ten Percent of Amount Bid Date of Bond: January 25, 2022 Surety and Bidder, intending to be legally bound hereby, subject to the terms set forth in this Bid Bond, do each cause this Bid Bond to be duty executed by an authorized officer, agent, or representative. Bidder Surety O'Keefe Drilling.Qorn any, Inc. North American Specialty Insurance Comp i narhe of Bidder (Full formal name of Surety) (corporate seam wi By: =(A(L/9/ff) By: i n tore ignature) (Attach Power of Attorney �iiigrrHi i Name: Name: Kyle Hager (Printed typed (Printed or typed) Title: Title: Attorney -In -Fact } PJ.Attest: Attest: (i ature) igna ure) II Name: ,r� i` z'Zo iAc, Name: ,� z i �t,J: tinted or typed) (Printed or type ) Title: /'i'1,An.+^&tf::A � Title: % !Votes: (1) Note: Addresses are to be used for giving any required notice. (2) Provide execution by any additional parties, such as joint venturers, if necessary. E!CDC° C-430, Bid Bond (Penal Sum Form}, Copyright© 2018 National Society of Professional Engineers, American Council of Engineering Companies, and American Society of Civil Engineers. All rights reserved. Page 1 of 2 Bidder and Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors, and assigns to pay to Owner upon default of Bidder the penal sum set forth on the face of this Bond. Payment of the penal sum is the extent of Bidder's and Surety's liability. Recovery of such penal sum under the terms of this Bond will be Owner's sole and exclusive remedy upon default of Bidder. 2. Default of Bidder occurs upon the failure of Bidder to deliver within the time required by the Bidding Documents (or any extension thereof agreed to in writing by Owner) the executed Agreement required by the Bidding Documents and any performance and payment bonds required by the Bidding Documents. 3. This obligation will be null and void if: 3.1. Owner accepts Bidder's Bid and Bidder delivers within the time required by the Bidding Documents (or any extension thereof agreed to in writing by Owner) the executed Agreement required by the Bidding Documents and any performance and payment bonds required by the Bidding Documents, or 3.2. All Bids are rejected by Owner, or 3.3. Owner fails to issue a Notice of Award to Bidder within the time specified in the Bidding Documents (or any extension thereof agreed to in writing by Bidder and, if applicable, consented to by Surety when required by Paragraph 5 hereof). 4. Payment under this Bond will be due and payable upon default of Bidder and within 30 calendar days after receipt by Bidder and Surety of written notice of default from Owner, which notice will be given with reasonable promptness, identifying this Bond and the Project and including a statement of the amount due. Surety waives notice of any and all defenses based on or arising out of any time extension to issue Notice of Award agreed to in writing by Owner and Bidder, provided thatthe total time for issuing Notice of Award including extensions does not in the aggregate exceed 120 days from the Bid due date without Surety's written consent. 6. No suit or action will be commenced under this Bond prior to 30 calendar days after the notice of default required in Paragraph 4 above is received by Bidder and Surety, and in no case later than one year after the Bid due date. 7. Any suit or action under this Bond will be commenced only in a court of competent jurisdiction located in the state in which the Project is located. 8. Notices required hereunder must be in writing and sent to Bidder and Surety at their respective addresses shown on the face of this Bond. Such notices may be sent by personal delivery, commercial courier, or by United States Postal Service registered or certified mail, return receipt requested, postage pre -paid, and will be deemed to be effective upon receipt by the party concerned. 9. Surety shall cause to be attached to this Bond a current and effective Power of Attorney evidencing the authority of the officer, agent, or representative who executed this Bond on behalf of Surety to execute, seal, and deliver such Bond and bind the Surety thereby. 10. This Bond is intended to conform to all applicable statutory requirements. Any applicable requirement of any applicable statute that has been omitted from this Bond will be deemed to be included herein as if set forth at length. If any provision of this Bond conflicts with any applicable statute, then the provision of said statute governs and the remainder of this Bond that is not in conflict therewith continues in full force and effect. 11. The term "Bid" as used herein includes a Bid, offer, or proposal as applicable. EJCDC® C-430, Bid Bond (Penal Sum Form). Copyrightm 2018 National Society of Professional Engineers, American Council of Engineering Companies, and American Society of Civil Engineers. All rights reserved. Page 2 of 2 SWISS RE CORPORATE SOLUTIONS NORTH AMERICAN SPECIALTY INSURANCE COMPANY WASHINGTON INTERNATIONAL INSURANCE COMPANY GENERAL POWER OF ATTORNEY KNOW ALL MEN BY THESE PRESENTS, THAT North American Specialty Insurance Company, a corporation duly organized and existing under laws of the State of Ncw Hampshire, and having its principal office in the City of Overland Park, Kansas, and Washington International Insurance Company, a corporation organized and existing under the laws of the State of New Hampshire and having its principal office in the City of Overland Park, Kansas, each does hereby make, constitute and appoint: K Je llal ,,er Principal: O'Keefe Drilling Company, Inc, Bond Number: Bid Bond Obligee: Cite of Kalispell Bond Amount: See Boni Form Bond Description; Kalispell 1Vells Project Its true and lawful Attorney -in -Fact, to make, execute, seal and deliver, for and on its behalf and as its act and deed, bonds or other writings obligatory in the nature of a bond on behalf of each of said Companies, as surety, on contracts of suretyship as are or may be required or permitted by law, regulation, contract or otherwise, provided that no bond or undertaking or contract or suretyship executed under (his authority shall exceed the amount of: FIFTY MILLION ($50,000,000.00) DOLLARS This Power of Attorney is granted and is sinned by facsimile under and by the authority of the following Resolutions adopted by the Boards of Directors of both North American Specialty Insurance Company and Washington International Insurance Company at meetings duly called and held on the 9th of May, 2012: "RESOLVED, that any two of the Presidents, any Managing Director, any Senior Vice President, any Vice President, any Assistant Vice President, the Secretary or any Assistant Secretary be, and each or any of them hereby is authorized to execute a Power of Attorney qualifying the attorney named in the given Power of Attorney to execute on behalf of the Company bonds, undertakings and all contracts of surety, and that each or any of them hereby is authorized to attest to the execution of any such Power of Attorney and to attach therein the seal of the Company; and it is FURTHER RESOLVED, that the signature of such officers and the seal of the Company may be affixed to any such Power of Attorney or to any certificate relating thereto by facsimile, and any such Power of Attorney or certificate bearing such facsimile signatures or facsimile seal shall be binding upon the Company when so affixed and in the future with regard to any bond, undertaking or contract of surety to which it is attached." .71 L' iWoiq". eBy rFl"GpflPOq,�TSG cA fi Steven P. Anderson, Scniur Visr Prs�ident of Washington International Insuranre Company ��++; SEAL ? Sal lL _n; &Senior vice rresldme orNorlh AmerlCan Specialty Insurance Company s6? =ct w7� 79T3 \Qrvo SJ" an§ F B b1�K ar. to, senior cer nsl enlo as m�ton ntsmaUona neunncc �mpany r� q�r & Srnior Fier President of Norfh American Specialty Insurance Company IN WITNESS WHEREOF, North American Specialty Insurance Company and Washington International Insurance Company have caused their official seals to be hereunto affixed, and these presents to be signed by their authorized officers this 141h day of December , 20 21 . North American Specialty Insurance Company Washington Intcrnatioaal Insurance Company State of Illinois County of Cook ss: On this I4th day of December , 20 21 , before me, a Notary Public personally appeared Steven P. Anderson , Senior Vice President of Washington international Insurance Company and Senior Vice President of North American Specialty Insurance Company and Michael A. Ito , Senior Vice President of Washington International Insurance Company and Senior Vice President of North American Specialty insurance Company, personally known to me, who being by me duly sworn, acknowledged that they signed the above Power of Attorney as officers of and acknowledged said instrument to be the voluntary act and deed of their respective companies. OrnOrr IInt a. SE H AI Ctal I NaN., ppl.p, {ICI\pt Y�ay., MY Co al.r 7L. ran Yasmin A. Patel, Notary I, Jeffrey Goldberg , the duly elected Assistant Secretary of North American Specialty Insurance Company and Washington International Insurance Company, do hereby certify that the above and foregoing is a true and correct copy of a Power of Attorney given by said North American Specialty Insurance Company and Washington International Insurance Company, which is still in full force and effect. IN WITNESS WHEREOF, I have set my hand and affixed the seals of the Companies this 25th day of January r 2022 Jeffrey Goldberg, Vice President & Assistant Secretary or Washington International Insurance Company & North American specialty Insurance Company 9 �EZ 1 " -. Recent Project References Firm: Ross Point Water District Nov-21 Contact Person: Dan Selden Telephone: 208-661-5800 Owner: Ross Point Water District Project Name: Foxtail Well and Post Falls Well Location: Post Falls, ID Description: 24" Surface seal to 60', setting 20" to 350' Length: July 2021-Nov 2021 Amount: $385,450.00 Firm: Welch Comer Oct-21 Contact Person: Steve Cordes Telephone: 208-664-9382 Owner: Spokane County Water District Project Name: Helena No . Location: Spokane, WA Description: Drilling 30" surface seal, drilling 24" to 350' and setting 20" casing Length: August 2021 - Oct 2021 Amount: $328,115.70 Firm: Welch Comer Sep-21 Contact Person: Steve Cordes Telephone: 208-664-9382 Owner: Whitworth Water District Project Name: 2C Well Location: Spokane, WA Description: Drilling 30" surface seal to 90', drilling 24" to 220' and setting 20" casing Length: 6/1/2021 - Sept 2021 Amount: $328,115.70 Owner: United Crown Pump May-21 Contact Person: Rich Agueros Telephone: 208-772-7867 Project Name: 8" Supply Well Location: Coeur D'Alene Description: Drilling 12" surface seal to 65', drilled 10" to 690' and set 8" casing Length: 4/26/2021-5/14/2021 Amount: $94,805.69 Firm: SA Engineers Mar-21 Contact Person: Ryan Christensen Telephone: 208-760-0309 Owner: Falls Water Company Project Name: Falls Water Company Well 11 Location: Idaho Falls, ID Description: Drilling a 16" well to 455' with a 20" surface seal to 261' Length: November 20th 2020 till March 1st, 2021 Amount: $234,375.00