2. Award Bid - Electrical Generators and Transfer SwitchesCity
Kali*spell
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Post Office Box. 1997, Kalispell, Montana 59903-1997 - Telephone (406)758-7720, Fax (406)758-7831
REPORT TO: Mayor and City Council
FROM: James C. Hansz, P.E., Director of Public works
SUBJECT: Bid Award Recommendation — Sewage Lift Station Electrical Generators
MEETING- DATE: June 18, 2007
BACKGROUND: The current Sewer Operations budget includes a project to replace generators
at sewage lift stations in order to maintain operations and critical severer services when there are
interruptions of the regular power supply from. Flathead Electric. The need for these facilities
was identified in the 2002 Facility Plan and included in the Capital Improvement Plan. Prior to
developing the current: project a review of current needs was completed. This review showed an
additional generator requirement and this was included in the current project increasing the
number of generators from two to three.
A project design was prepared and let to bid. Four bids were received and opened on June
7, 2007. Two bids were found to be non -responsive because of failure to include the required bid
bond and/or failure to include the required Montana contractor's registration number. Bid details
are included in the attached bid analysis. Two of the four bidders were determined to be
responsive:
Interstate Power Systems (Missoula) $126,827.00
Nelson Electric (Bigfork) $180,230.00
Upon review, the bid from. Interstate Power Systems for three generators and associated
equipment is fair and reasonable. The difference between the original project estimate of $72,000
and the current bid is $54,827. This amount is available within the current budget due to savings
on another project. The replacement of the Force main from Fairway Boulevard was budgeted at
$701,360. ,Actual project costs were $612,951, a difference of $88,409. This amount is adequate
to cover the cost of the required third generator without amendment of the budget.
RECOMMENDATION: Staff recommends award of the 2007 Sewage Lift Station Electrical
Generator project to Interstate Power Systems based on their low bid of $126,827.00.
June 18, 2007 Bid Award Recommendation Lift Staton Generators.doc
ACTION REQUESTED: A T CITE COUNCIL MEETING OF JUNE 18, A MOTION TO
A WARD THE BID FOR SEWA GE LIFT STA TION ELECTRICAL GENERA TORS TO
INTERS TA TE POWER SESTE1lIS OF MIS'SOULA, MONTANA.
FISCA-L EFFECTS: Expenditure of funds totaling $126,827.00 from the sever fund.
ALTERNATIVES: As suggested by the City Council
Respectfully submitted,
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James . Hansz, P.E� ames . Patric
D rector of Public Works 1OtyF�i ineer Ci Mana er
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Attachment: Bid Recommdndation
June 18, 2007 Bid Award Recommendation Lift Staton Cenerators.doc
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City of Kali*spell Public Works Departmen
Post Office Box 1997 Kalispell,
Montana 59903-1997 - Telp hon��e 406758-77207 Fax 406758-7531
MEMORANDUM
June 12, 2007
To: James C. Hansz, P.E., Director of Public Works/City Engineer
From: Paul E. Burnham, P.E., Civil Engineer
Subject.- Electrical Generators and Transfer Switches Bid Tabulation
Bids were received and opened at 2:30 p.m. on June 7, 2007 for the referenced project. The City
received four bids on this project, as noted below.
Interstate Power Systems, Inc.
5561 Expre s sway
Missoula, MT 59808
Montana Contractor's Registration No.: 150936
Date of Qualification to Do Business: July 1956
Amount Bid: $1 26,827
Nelson Electric, Inc.
7545 Highway 35
Big Fork, MT 59911
Montana Contractor's Registration No.: U 1102
Date of Qualification to Do Business: October 1, 1990
Amount Bid: $180,230
Tommaron (dba Power Solutions)
205 Husky Lane
Burlington, WY 82411
Montana Contractor's Registration No.: NO NUMBER SUBMITTED
Date of Qualification to Do Business: December 15, 2006
Amount Bid: $13 5,43 2
Western States Equipment Company
PO BOX 38
Boise, ID 83 707
Montana Contractor's Registration No.: NO NUMBER SUBMITTED
Date of Qualification to Do Business: 1957
Amount Bid: $75,23 8 (NO BID BOND SUBMITTED)
Two of the bids do not appear to qualify for consideration: Tommaron does not currently have a
Montana Contractor's Registration Number. western States did not provide a Montana
Contractor's Registration Number nor a Bid Bond.
Interstate Power Systems, Inc. appears to be the lowest responsible bidder, with a bid price of
$126,827. Frank Castles met with Interstate Power Systems, Inc. on Friday June Whand asked me
to submit this recommendation.
The current project is budgeted as Line Item 955 Back Up Generators for $72,000 in the current
budget.
The original project included the replacement of two generators (Fairway Boulevard and Village
Greens), and was budgeted in 2002. The current project, as bid, includes the two replacement
generators at Fairway and Village Greens and an additional generator for the Willows Sewage
Pumping Station. The Willows Sewage Pumping Station does not currently have a generator.
The bid from Interstate Power Systems ($126,827) appears to represent a fair price for the current
project scope; generator costs have increased by 20% since 2002 (Engineering News Record
indicates a Construction Cost Index of 1.2 in 2007 versus 1.0 in 2002), and one generator was
added to the project.
The current bid is $54,827 over the budgeted amount ($126,827 - $72,000). One source for
additional budget to cover this difference is the remaining budget from the recent Fairway
Boulevard Lift Station force Main Replacement. That project was originally budget at $701,360.
The final cost for the project was $612,951, leaving $88,409. This is more than adequate to cover
the cost differential for the current generator project.
Therefore, I recommend that Interstate Power Systems, Inc. be awarded the contract for the
Electrical Generators and Transfer Switches Project.