COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Jeremy Abbott, P.E., Assistant City Engineer
SUBJECT:Title
Award Bid for Havasu Riviera Street and Utility Improvements Project to Kinney Construction LLC
Body
FUNDING SOURCE:
General Fund
Refuse Fund
Irrigation and Drainage District
Wastewater Utility
PURPOSE:
Award Bid for Havasu Riviera Street and Utility Improvements Project in accordance with City Code Section 3.10.040. (Project No. PR2070)
BACKGROUND:
In October 2016, the City entered into a Development Agreement with Havasu Riviera, L.L.C., to provide public infrastructure and a roadway on land controlled by the City through a Recreation and Public Purpose Lease with the Bureau of Land Management. The infrastructure and roadway will provide service and access to the State Parks marina and amenities. The Developer, by the Development agreement, will reimburse the City for a portion of the construction costs. The mass grading of the roadway was completed last year, and on January 23, 2018, sealed bids were opened for the Street and Utility Improvement Project. Two bids were received as follows:
Kinney Construction LLC $4,838,061.82
Fann Contracting Inc. $4,961,148.00
The remaining budget for this Project is $3,220,750. The engineer’s estimate is $4,538,938.57. There are funds available in other projects due to cost savings or reduction in scopes that can be used to satisfy the $1,617,312 deficit.
COMMUNITY IMPACT:
This Project is part of a three-way partnership with a private developer, Arizona State Parks, and the City that proposes a new State Parks marina with amenities, public beaches, a new hotel, commercial and residential development. The economic benefit to the City is significant and the community will enjoy all of the amenities offered by the new marina.
FISCAL IMPACT:
Funding is available in the following projects:
$3,220,750 PR2070 Havasu Riviera Street and Utility Improvements
$1,136,557 WT7500/WT6020 2018 Water Main Replacement Design/Ranney Well
$295,445 SS3000 SCADA Upgrades
$96,000 PR2070 Unused Construction Management Funds
$89,310 FA1020 Field Improvements
ATTACHMENTS:
Bid Recommendation
Bid Tabulation
SUGGESTED MOTION:Recommended Action
I move to award the Bid for Havasu Riviera Street and Utility Improvement Project to Kinney Construction LLC.