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THE CITY OF 8 �z „ CITY COUNCIL AGENDA REPORT PLEASANTON. November 16, 2021 Engineering TITLE: APPROVE PLANS AND SPECIFICATIONS, REVIEW BIDS, AND AWARD A CONSTRUCTION CONTRACT TO DPI, INC. IN THE AMOUNT OF $735,777 FOR THE ANNUAL WATER DISTRIBUTION SYSTEM IMPROVEMENT PROJECT, CIP NO. 22183 SUMMARY This project replaces water pipeline in three locations where it crosses stormwater drainage channels: Owens Drive at Chabot Canal, Owens Drive at Tassajara Creek, and Gibraltar Drive at Chabot Canal. The existing pipelines were originally constructed in the 1980s and have had numerous repairs in recent years and now require replacement. In addition to replacing the pipelines, the work includes the installation of seismic fittings, isolation valves and other improvements to protect the new pipeline from damage caused by differential movement, resulting from ground settlement and/or seismic activity which occurs between the culvert crossing and adjacent roadway. The project also includes piping and valving upgrades at the Turnout No. 2 connection on Hopyard Road. Bids were received on October 26, 2021, and staff recommends award of the construction contract to the lowest responsible bidder, DPI, Inc., in the amount of $735,777 for the Annual Water Distribution System Improvements Project, CIP No. 22183. RECOMMENDATION 1. Approve plans and specifications review the bids and award the construction contract for the project to DPI, Inc. of Livermore, CA, for the low bid amount of $735,777. 2. Authorize the City Manager to enter into the project contract. 3. Authorize the Director of Engineering to approve and execute contract change order(s) for a contingency amount not -to -exceed $110,367 (approximately 15 percent of the contract) for unforeseen yet necessary related work. 4. Create a new Capital Improvement Project called Lemoine Bypass Pipeline Project, CIP No. 22199, and authorize the transfer of the remaining balance of $141,245 to the newly created CIP No. 22199 FINANCIAL STATEMENT Project funding totals $1 million with an anticipated total expenditure of $858,755, including the $735,777 award and $122,367 for the construction contingency and testing services. Staff recommends creation of the Lemoine Bypass Pipeline Project, CIP No. 22199, and transferring the fund balance of $141,245 to the newly created CIP.