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2. Bid Award - Upper and Lower Water Zones Interconnect201 ]"Avenue East, P.O. Box 1997, Kalispell, SIT 59903 --Phone {406}758-7720 — Fax (406)755-783I www.kalispell.com REPORT TO: Mayor and City Council FROM: Paul E. Burnham, P.E., City Engineer SUBJECT: Award. Bid —Upper and Lower water Zones Interconnect COUNCIL MEETING DATE: April 18, 2011 BACKGROUND: The upper and lower water pressure zones are currently connected through a series of booster pumps. This allows the lower -zone sources to supply water to the upper zone. There is currently no connection to allow the upper zone to supply the lower zone. This project will create a connection between the upper and lower zones through an automated pressure reducing valve station. This connection provides a redundant water supply in the lower pressure zone and increases the available water supply during high -demand periods such as peak summer flows and fire flows. Three bids were received for this project on March 30, 2011. The attached bid tabulation details the bids. Based on the review of rids and bidder qualifications Public works Department staff recommends award of the contract to the low bidder, LHC, Inc of Kalispell, MT, based on their low bid of $22,765. ACTION REQUESTED: AT CITY COUNCIL MEETING OF APRIL 1 S, 2011, MOTION TO AWARD THE BID FOR THE UPPER AND LOWER WATER ZONES INTERCONNECT TO LHC, INC. OF KALISPELL, MT. FISCAL EFFECTS: Total expenditure of $22,765, from the 2010/2011 water operations Fund. The current budget includes $30,000.00 for this project ALTERNATIVES: As suggested by the City Council Paul E. Burnham, P.E. City Engineer Attachment: Bid Analysis c Jane Howington City Manager Post office Box 1997, Kalispell, Montana 59943-1997 -- Telephone (406) 758--7720, Fax (406) 758-7831 MEMORANDUM April 4, 2011 To: Paul E. Burnham, P.E., City Engineer From: Mark Crowley, Construction Manager,'" �� Subject: Pressure Relief Valve Project -Connecting the Lower Zone nd the Upper Zone at Meridian Road and Three Mile Dr. Bids were received and opened at 5:00 p.m. on March 30, 2011 for the referenced project. The City received three bids for this project, as noted below. LHC, Inc., Kalispell, Montana Amount Bid: $2Z765.00 Martel Construction, Bigfork, Montana Amount Bid: $29,000.00 Nelcon Construction, Kalispell, Montana Amount Bid. $305295-00 LHC, Inc. appears to be the lowest responsible bidder, with a bid price of $22,765.00. LHC has successfully completed numerous projects for the City of Kalispell. The Water Operations Fund has $30,000 budgeted for this project in the 2010-2011 fiscal year. I recommend that LHC, Inc. be awarded the contract for the PRV Project at the next City Council meeting, April 18, 2011.