To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Mark Marlowe, P.E., Director of Castle Rock Water
Matt Benak, P.E., Water Resources Manager
Lauren Moore, Water Resources project Manager
Title
Resolution Waiving Formal Written Bidding Requirements on the Basis of a Sole Source and Approving an Equipment and Services Acquisition Agreement with Hydro Resources - Rocky Mountain Inc. for Pumping Equipment and Installation for Wells CR-234, CR-235, & CR-236 [Open space north of Plum Creek Water Purification Facility]
Body
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Executive Summary
The purpose of this memorandum is to request Town Council approval of a Resolution (see Attachment A) approving a sole source (Exhibit 1) and a construction contract (Exhibit 2) with Hydro Resources - Rocky Mountain, Inc. (Hydro). The agreement covers the installation of pumping equipment for Wells CR-234, CR-235, and CR-236 located in the East Plum Creek Open Space (EPCOS) north of the Plum Creek Water Purification Facility (PCWPF). Attachment B is a map of the well locations. The wells will add new water capacity from the Denver Basin aquifers. The contract is for the installation of pumping equipment with the capability of pumping groundwater from three aquifers, one Arapahoe Aquifer well, one Denver Aquifer well, and one Dawson Aquifer well that will supply raw water to PCWPF or the Meadows Water Treatment Plant. The Meadows Water Treatment Plant is currently water short so this will provide a much-needed raw water supply of an estimated 0.86 million gallons per day (MGD). Additionally, the Arapahoe and Denver Wells are designed to allow for Aquifer Storage and Recovery (ASR) capabilities in the future. These wells are being funded by growth-related fees as they are needed to keep pace with growth. Castle Rock Water’s (CRW) goal is to have these three wells available for the 2024 irrigation season although equipment acquisition could present a challenge to his goal with key equipment (specifically, variable frequency drives) currently 40 weeks out.
Because there were limited well drilling companies available in the area and a large amount of demand for their services, Castle Rock Water sole sourced the drilling of CR-234, CR-235 and CR-236 to Hydro in 2022. The drilling, completion and testing with Hydro of the three wells was approved under Resolution 2022-115. Hydro completed the drilling on budget and on schedule. Since Hydro drilled the wells, Castle Rock Water recommends sole sourcing the equipping of the wells to Hydro as it would not make sense to try and bring a new contractor onto the site at this point in the project.
Staff recommends approving a construction contract based on the qualified bid from Hydro Resources - Rocky Mountain Inc. in the amount of $1,199,082.00. In addition, Castle Rock Water staff request a 10% Town-managed contingency in the amount of $119,908.20 for a total authorization of $1,318,990.20. The Construction Contract is included as Exhibit 2 to the Resolution. The total estimated cost of the project including this proposed contract is $8,294,605.00.
Staff Recommendation
Staff recommends Council approval of the construction contract between the Town of Castle Rock and Hydro Resources - Rocky Mountain, Inc. for the pumping equipment and installation for Wells CR-234, CR-235, and CR-236 in the amount of $1,199,082.00 plus a 10% Town managed contingency of $119,908.20 for a total authorization of $1,318,990.20.
Proposed Motion
“I move to approve the Resolution as introduced by title.”
Alternative Motions
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).
“I move to continue this item to the Town Council meeting on _____ date to allow additional time to (list information needed).”
Attachments
Staff Report
Attachment A: Resolution
Exhibit 1: Sole Source
Exhibit 2: Construction Contract
Attachment B: Location Map