Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Authorizing The Appropriate City Officials To Execute the Attached Contract Between A To Z Metal Fabrication, Inc. and the City of Hollywood In Order To Renew The Contract For Construction Services Related To The Water Treatment Plant Spiractor Repairs In The Amount Of $220,010.00; And Approving An Amendment To The Fiscal Year 2017 Capital Improvement Program, As More Specifically Set Forth In The Attached Exhibit “A” (City Project No. 16-4106).
Body
Staff Recommends: Approval of the attached Resolution
Explanation:
On July 6, 2016, the City Commission adopted Resolution No. R-2016-206 canceling Bid No. 16-4106 and approving an agreement with A to Z Metal Fabrication, Inc. for construction services related to the Water Treatment Plant Spiractor repairs in the amount of $175,010.00.
The agreement provided for an initial term of six (6) months for the repair of three (3) Spiractors, with three (3) renewal terms of six (6) months each, at the option of the City, for the repair of three Spiractors during each renewal term if funding becomes available.
On September 7, 2016, the City Commission passed and adopted Resolution No. R-2016-267 which exempted A to Z Metal Fabrication, Inc. from the payment and performance bonds requirement in accordance with Section 255.05, Florida Statutes, as the agreement did not exceed $200,000.00.
On March 1, 2017, the City Commission passed and adopted Resolution No. R-2017-057, which authorized the issuance of a purchase order to renew the agreement with the Contractor for the repair of 3 additional spiractors in an amount not to exceed $175,000.00. As the total amount of the contract will exceed now exceed $570,000.00 (initial contract plus two renewals), the contractor will be required to provide payment and performance bonds.
Due to extensive additional deficiencies in the next three (3) Spiractors, staff needs to increase the project contingency by $45,000.00 for a total of $70,000.00 in contingency in order to properly addressed these deficiencies.
The Administration recommends that the City Commission approve the second renewal of this agreement for three (3) additional Spiractors and authorize the appropriate City Officials to execute the attached agreement with A to Z Metal Fabrication, Inc. for construction services related to the Water Treatment Plant Spiractor Repairs in the amount of $220,010.00.
A portion of the funding for the Spiractor repairs was included in the FY 2017 Capital Improvements Program that was approved via Resolution R-2016-285 and additional funds were made available by adoption of R-2016-291 which continued the appropriation for previously approved capital projects from FY2016 to FY2017 and these funds are available in account number 42.4000.75392.536.005224.
It is necessary to amend the approved Fiscal Year 2017 Capital Improvement Program as set forth in Exhibit A.
Although the renewal terms as recommended above would be six (6) months, the actual estimated construction time for the repair of three Spiractors is one hundred twenty (120) calendar days from the date of issuance of the Purchase Order.
Recommended for inclusion on the agenda by:
Dr. Wazir A. Ishmael, City Manager
Gus Zambrano, ACM, Sustainable Development
George R. Keller, Jr., ACM/Interim Director, Finance & Administration
Steve Joseph, Director, Public Utilities
Paul Bassar, Director, Director of Procurement & Contract Compliance