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#6 Award of contract C2009-9 (landfill scale replacement)DEPARTMENT OF PUBLIC WORKS MEMORANDUM April 17, 2009 TO: City Council FROM: Mike Payne, Engineering Manager SUBJECT: Award of Bid Schedule “C” – 2009 Contract 2009-9, Landfill Scale Replacement Summary The City Council considered award of Bids for Public Works Bid Schedule “C” – 2009 at the April 13, 2009 Council Meeting. At that time, staff recommended postponing action on Contract 2009-9, Landfill Scale Replacement due to concerns raised by Fairbanks Scale, who was not the low bidder. Attached is a memo from Larry Buetzer, Assistant Engineering Manager, responding to concerns raised by Fairbanks Scale. Recommendation Following Review by the Council, the Engineering Division recommends awarding contract 2009-9, Landfill Scale Replacement to the low bidder and express our intent to include $90,000 in the 2009 Note. Suggested Motion Move to award contract 2009-9, Landfill Scale Replacement to the low bidder and express our intent to include $90,000 in the 2009 Note. Background This project replaces the existing scale at the landfill which is 25 years old and has reached the end of its useful life. Funding for this project will be included in the proposed 2009 Note Issue ($90,000) which covers the scale replacement contract and miscellaneous materials furnished by the City. We opened four (4) bids for this project with United Scale and Engineering providing the low bid. The Engineering Division is recommending award of the contract to United Scale and Engineering of Madison, Wisconsin, in the amount of $76,602. This includes the base bid and the alternate bid to upgrade from a 10-foot wide to an 11-foot wide scale system. Attachment cc: Eric Levitt Jacob J. Winzenz j:\agenda review\approved agenda items\2009\4-27-2009\contract c2009-9 (landfill scale) memo.doc ENGINEERING DIVISION MEMORANDUM 15 April 2009 TO: Mike Payne, Engineering Manager FROM: Larry Buetzer, Assistant Engineering Manager SUBJECT: RESPONSE TO FAIRBANKS SCALE E-MAIL CONCERNING CONTRACT 2009-9, LANDFILL TRUCK SCALE I have read the e-mail sent by Don Klister, the sales representative for Fairbanks Scale, concerning the low bid of United Scale & Engineering Corporation. The City appreciated the assistance of Fairbanks Scale in preparing the bid plans and specifications for the project. Fairbanks is correct, their equipment has been in use for 25 years at the Landfill as a pit-type scale. I was the Engineer for that project. At that time, I recommended a pit-type scale over a pitless-type scale because pitless scales were in their infancy and I felt had some improvements to the design necessary for a good, functioning system. The Fairbanks pit-type system has served us well, but improvements in the pitless type scale make that a more cost effective and user friendly system today. The City’s system of prequalifying contractors, and in this case prequalifying equipment suppliers, provided for approving the four bidders who used three different equipment suppliers, including Fairbanks, BTEK and Rice Lake. Following is a summary of bid prices: Item United Gilbank Fairbanks Klobucar Base Bid $77,802 $80,075 $98,488 $103,785 Equipment Supplier BTEK Rice Lake Fairbanks Fairbanks Alternate Bid Add $1,071 $1,515 $867 *$1,785 11-Ft. Wide Scale Service Agreement $1,500 $3,000 $3,000 $4,250 Cost of Removing of $11,000 $11,000 $14,055 $21,600 Existing Scale *Klobucar used the Rice Lake price for the alternate bid. A review of the bids indicates the Rice Lake scale supplied by Cream City and used by Gilbank was very competitive and is receiving no scrutiny from Fairbanks Scale. During the prequalification process, the City contacted two installations of the BTEK system, including RESPONSE TO FAIRBANKS SCALE E-MAIL CONCERNING CONTRACT 2009-9, LANDFILL TRUCK SCALE 15 APRIL 2009 – PAGE 2. Janesville Recycling, across the street from the Landfill, and Mandt Sandfill from Oregon. Both had acceptable comments about the BTEK system and the installation. I personally had several conversations with Mr. Klister of Fairbanks and indicated the need to prequalify at least three equipment suppliers to get competitive prices for the City. Typically, when the City purchases equipment, three competitive prices are required. In this case, the standards were adjusted from the original Fairbanks to allow three equipment suppliers to propose within the bid process. That is why the equipment suppliers were also part of the prequalification process. The specifications stated all contractors would be notified three days prior to bid of the approved equipment suppliers. That notification was made on Friday, March 20, which was three working days prior to the bid on March 25. In addition, an addendum was issued to all prospective bidders on Monday, March 23, which is two days before the bid and is the City’s standard for issuing addendums prior to bid. All bidders, including Fairbanks, acknowledged receipt of that addendum by fax. Section 11.4, New Scale Installation in the specifications, provides the following language: “Attached at the end of this Division 11 are standard specifications for this manufacturer’s (Fairbanks) scale system. The City will consider other systems of equal quality, but must be approved prior to bidding through the prequalification process.” In addition, the next paragraph states, “The following specifications in this Division 11.4 will take precedence over any of the standard specifications for the Fairbanks Scale system”. This language was included to allow inclusion of other scale systems which I considered equal to or acceptable in order to get three competitive equipment suppliers. Please note one supplier was not approved for inclusion of their equipment as part of this bid process. In response to some specific concerns of Fairbanks, the first issue is cover plates. The original bid did not allow cover plates, but it was my understanding only two suppliers could provide side access; Rice Lake and Fairbanks. In order to get three competitive prices, the BTEK system was allowed but only with stainless steel panels, not regular steel. The addendum included this change to this specification to allow top access panels but only of stainless steel construction. The stainless steel plates will not be in contact with the mild steel since the BTEK scale has a two-coat epoxy primer and one-coat urethane finish coat, plus a silicone sealer at all joints. BTEK has a 10-year warranty on the weigh bridge, more than the 5-year offered by other manufacturers. The BTEK system does allow access from one side of the scale for underneath cleaning. The other side will be set flush to a new retaining wall with a seal so the ability of debris, ice and snow to get under this scale will be less than the Fairbanks system. The underneath of the scale can be satisfactorily cleaned from the one side. J:\Agenda Review\Approved Agenda Items\2009\4-27-2009\Contract C2009-9 (Landfill Scale) Attach.doc RESPONSE TO FAIRBANKS SCALE E-MAIL CONCERNING CONTRACT 2009-9, LANDFILL TRUCK SCALE 15 APRIL 2009 – PAGE 3. The Fairbanks contention of the BTEK scale abutting the existing scale pit side wall is not accurate. The City is requiring shop drawing submittal for review and approval prior to ordering materials, which again is our standard procedure. Once those shop drawings are submitted, it will be confirmed the BTEK system will be against a new retaining wall, not the existing wall of the former scale pit. The Fairbanks contention of the BTEK scale having the most steel plates is not totally accurate. Again, shop drawing review will confirm their submittal will include only cover plates over the load cells, not the entire length of the scale, which is often their standard and is the design used in the installation at Janesville Recycling. It is my understanding the amount of steel area upon this deck will be limited to load cells only. The comment by Fairbanks Scale that, “United Scale (BTEK) has the ability to provide these items in their scale offering but have chosen not to do so”, is not true and will be confirmed during the shop drawing review process. The shop drawing review will require these items or a design of acceptable quality and insure an adequate scale system is installed to provide long-term service. Fairbanks and BTEK have rocker arm load cell design. Fairbanks uses inert gas as a drying agent. BTEK uses a desicant material. Both are effective and both have the same industry standard rating of IP68. Fairbanks has load cells hard wired to the electric connector wires. If a load cell or wiring is damaged, both must be replaced. BTEK has a threaded seal of glass and metal, very good, and a damaged load cell can be replaced without replacing cable, and vice versa, an advantage. Fairbanks has an analog signal from the load cells and uses four moisture-sensitive circuit boards to convert to a digital signal. The BTEK scale has one non-moisture sensitive card, so three less components, which is a simpler, more reliable system, and their load cells read directly in a digital format. The last issue is with the concrete deck. It is true the original spec required a 10” thick deck, which is the Fairbanks standard. The BTEK standard is 8 inches thick and by addendum, the design was changed to allow an 8” thick deck. Two inches of concrete over the I-beams is the minimum cover for outdoor installation. This will be confirmed and adhered to during construction. A close inspection at that time will insure the 2” minimum. All scale decks are designed to be flat, as are the approaches, which is a State requirement. Fairbanks and BTEK slightly crown their decks to promote surface water runoff. The shop drawing review process also requires a submittal of the manufacturer’s deck and wall design showing reinforcing steel. That will be reviewed for approval and acceptance. City inspection will insure proper construction. J:\Agenda Review\Approved Agenda Items\2009\4-27-2009\Contract C2009-9 (Landfill Scale) Attach.doc RESPONSE TO FAIRBANKS SCALE E-MAIL CONCERNING CONTRACT 2009-9, LANDFILL TRUCK SCALE 15 APRIL 2009 – PAGE 4. In summary, I feel everything has been done in conformance with the prequalification process and specifications as bid, and the City has paid particular attention to getting three competitive bids from the three best equipment suppliers on the market. I expect to fully review and make United Scale adhere to the standards set forth in the specification for equipment supplied and its installation. The BTEK system is a very good system. The bid included an extended 5-year service agreement on the scale and United Scale had a better offer for service at $300.00/year as compared to the $600.00/year bid by Fairbanks. With this concern from a competitor in the market, delaying award of Contract 2009-9, Landfill Scale Replacement, for two weeks to respond to questions from Fairbanks Scale is appropriate. LB:sja cc: Eric Levitt, City Manager Jay Winzenz, Director of Administrative Services J:\Agenda Review\Approved Agenda Items\2009\4-27-2009\Contract C2009-9 (Landfill Scale) Attach.doc