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  6.       
City Council Regular Meeting
Meeting Date: 08/09/2022  

BACKGROUND
The Corbett Elevated Storage Tank serves approximately 2,300 water connections (a population of approximately 5,800). The addition of the proposed 3.0 million gallon Corbett Ground Storage Tank will provide critical storage and redundancy at the Corbett Tank Site in order to provide water to customers on a daily basis and to a larger portion of the City in an emergency situation. 

The Corbett Tank Site is one of two SSLGC connection points which provide continual water flow to the southern water zone. In addition to the construction of a new ground storage tank, a pump station will be installed to feed the southern water zone through the existing elevated tank on site and to pump water to the Live Oak Tank Site. A generator will be added which will allow all of the pumps to operate during an electrical outage as experienced during the severe Winter Storm in Texas during February 12-19, 2021.

Bids for the Corbett Ground Storage Tank Project were opened on June 2, 2022.  Five bids were received.  Of the five bids, the lowest bid was from Pesado Construction Co., Inc.  Staff has reviewed the bids and supporting documentation and determined that the bid from Pesado Construction Co., Inc. is acceptable.
 
GOAL
To obtain authorization from Council to execute a contract with Pesado Construction Co, Inc. for $7,028,017.00 plus $702,801.70 (10% contingency) for a not to exceed amount of $7,730,818.70, for the Corbett Ground Storage Tank Project.  
 
COMMUNITY BENEFIT
The proposed 3.0 million gallon Corbett Ground Storage Tank will provide critical storage and redundancy at the Corbett Tank Site in order to provide water to customers on a daily basis and to a larger portion of the City in an emergency situation. 
SUMMARY OF RECOMMENDED ACTION
Authorize execution of the construction contract for the Corbett Ground Storage Tank Project with Pesado Construction Co, Inc. for $7,028,017.00 and a not to exceed amount of $7,730,818.70.
FISCAL IMPACT
The cost of the project shall not exceed $7,730,818.70. Funding is available from Water Capital Recovery Fees and Federal Community Project Funding (CPF) as approved in the Fiscal Year 2022 Omnibus legislation signed into law on March 15, 2022. The awarded CPF funding totals $3,500,000 and the balance of the contract value, $4,230,818.70, will be paid from Water Capital Recovery Fees.  As of June 30, 2022 the Water Capital Recovery Fund had $8.9 million available for this project.
 
RECOMMENDATION
Staff recommends Council approve Resolution 22-R-75 and authorize award of the contract for the Corbett Ground Storage Tank Project to Pesado Construction Co, Inc. for $7,028,017.00 and a not to exceed amount of $7,730,818.70.
Attachments
22-R-75
Site Plan
Bill Signing Letter
2022-004 Bid Log
Recommendation for Award
Pesado Construction Co, Inc.
Agreement

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