Fiscal Note
The proposed resolution authorizes a one-year non-competitive service contract with up to four additional one-year extensions with Capitol Underground, Inc. for water main leak repair and excavation services not to exceed $500,000 annually. The nature of this contract is to provide for increased Water Utility infrastructure repairs and services. Based on the classification of these repairs, some repairs such as minor water main leaks will be classified under the operating budget while larger repairs such as extensive water main projects will be classified under the capital budget. Funding for this contract is available in the current 2024 Water Utility Adopted Operating Budget in Purchased Services and Capital Budget (programs/projects to be determined based on necessary work). The Water Utility and Finance will continue to monitor the Water Utility's Operating and Capital Budgets over the duration of the contract. No additional appropriation is required.
Title
Authorizing a non-competitive selection contract with Capitol Underground, Inc. for water main leak repair and excavation services
Body
WHEREAS, Madison Water Utility’s (MWU) infrastructure and service areas continue to grow, in tandem with projected increases in capital investments over the coming years; and
WHEREAS, to best ensure service resiliency for certain operations, MWU has been exploring opportunities to partner with local qualified contractors in certain instances; and
WHEREAS, in February 2024, MWU assembled and issued a Request for Bids (RFB) document to solicit interest and pricing for contractor services to perform water main leak repair and excavation. Bids were due in March 2024, however no acceptable bids were received through that process; and
WHEREAS, because Madison General Ordinance (MGO) 4.26 allows for the City to enter into negotiated contracts when no acceptable bids are received after formal advertising, MWU proceeded to reach out again to local contractors for interest in services outlined in the RFB. Through this process, Capitol Underground, Inc. emerged as the recommended option through a combination of their water construction experience, understanding of scope, negotiated pricing, and local presence; and,
WHEREAS, MGO 4.26 requires Common Council approval of service contracts if the contractor was not selected through a competitive selection process, and the reasons for selecting this contractor are set forth above and in the attached Noncompetitive Selection Request Form.
NOW, THEREFORE, BE IT HEREBY RESOLVED that the Mayor and City Clerk are authorized to execute a service contract with Capitol Underground, Inc. for water main leak repair and excavation work for a one-year term with options to renew for up to four additional one-year terms, as outlined in the attached contract draft and in a format approved by the City Attorney.
BE IT FURTHER RESOLVED that the Designee of the Finance Director is authorized to execute contracts for the optional renewal periods.