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The City of Little Canada is pursuing a similar project on their water tower and we will <br />,: coordinate projects to have one of the towers as emergency backup during the projects. The best <br />. way to assure the coordination is to use the same project team. <br />, POLICY OBJECTIVE <br />. The City operates and maintains a water system to provide a continuous supply of safe drinking <br />water to its residents. This requires significant capital investments in the system to ensure <br />continuous operation while maximizing the life of the assets. <br />FINANCIAL IMPACTS <br />We received two proposals for this wark including 5 year maintenance of the coating system. <br />Both proposers have experience in these projects and propose similar rehabilitation programs. <br />The proposals are as follows: <br />SEH Design Build- 5 Year Program $694,500 ($605,000 first year cost) <br />� 5 Year equal installment cost- $745,000 ($149,000 per year) <br />Utility Service Group- 5 Year Program $706,990 ($141,398 equal installments per year) <br />The cost for this project is proposed to be funded from the Water Utility Enterprise Fund. This <br />project was included in the 2014 Capital Improvement Program. The SEH proposal includes and <br />�� � additional scope item of an exterior wash down in year 5 of the contract. The added value of this <br />. item is approximately $25,000. Staff is recommending the $694,500 proposal from SEH Design <br />�. Build. The Finance Director has provided financial analysis of the proposals and concurs with <br />: this recommendation. <br />(, STAFF RECOMMENDATION <br />. Staff recommends award of a contract to SEH Design Build for the rehabilitation, recoating, and <br />� maintenance of the Fairview Avenue 1.5 million gallon water tower for a total of $694,500. We <br />feel the local presence of SEH and the excellent references of this team would provide the <br />greatest assurance of a successful project. <br />REQUESTED COUNCIL ACTION <br />,: Motion to authorize the City Manager to enter into a 5 year maintenance contract with SEH <br />� Design Build for the rehabilitation, recoating, and maintenance of the Fairview Avenue 1.5 <br />E�� million gallon water tower in the amount of $694,500. <br />Prepared by: Duane Schwartz, Public Works Director <br />Attachments: A: <br />Page 2 of 2 <br />