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Home My WebLink About1998.04.21_OPWA AgendaPUBLIC NOTICE OF THE MEETING OF THE OWASSO PUBLIC WORKS AUTHORITY TYPE OF MEETING: Regular DATE: April 21, 1998 TIME: 7:00 p.m. PLACE: Council Chambers, Owasso Community Center Notice and Agenda filed in the office of the City Clerk and posted on the City Hall bulletin board at 4:00 p.m. on Friday, April 17, 1998. Marcia outwell, Authority Secretary AGENDA 1. Call to Order 2. Invocation Jim McElrath Director of Support Services 3. Flag Salute 4. Roll Call 5. Consideration and Appropriate Action Relating to a Request for Approval of the Consent Agenda. All matters listed under "Consent" are considered by the Trustees to be routine and will be enacted by one motion. Any Trustee may, however, remove an item from consent by request. A motion to adopt the Consent Agenda is non - debatable. A. Approval of the Minutes of April 7, 1998 Regular Meeting. Attachment #5 -A Owasso Public Works Authority April 21, 1998 Page 2 ' B. Approval of Claims. , Attachment #5 -B 6. Consideration and Appropriate Action Relating to the Award of a Contract for the Bulk Purchase of Low Density Polyethylene Yard /Lawn Waste Bags. ' Mr Roberts Attachment #6 Staff has completed the bidding process, reviewed the bids received, and will recommend a contract for 20,000 yard /lawn waste bags be awarded to XPEDX, Tulsa, OK, in the amount of $1854; and Trustee authorization for payment. 7. Consideration and Appropriate Action Relating to OPWA Resolution 98 -04, a Resolution Establishing Fees for the Connection of any Water or Wastewater Service Line or Main Line to the City's Water Distribution or Wastewater Collection System. , Mr Carr Attachment #7 The staff will recommend Trustee adoption of Resolution 98 -04, wherein the connection fee for wastewater service lines is increased from $375 to $400 and the connection fee for water service is increased from $350 to $400. Owasso Public Works Authority April 21, 1998 Page 3 8. Consideration and Appropriate Action Relating to the Award of a Contract for Water Service Installations, and Payment for Work Performed Under Such Contract. Mr Carr Attachment #8 Staff has completed the bidding process, reviewed the bids received, and will recommend Trustee approval of a contract for the installation of municipally -owned water meters to Cunningham Plumbing Co Inc, Tulsa, OK, and authorization for payments in accordance with the submitted bid schedule. 9. Report from OPWA Manager 10. Report from OPWA Attorney 11. Unfinished Business 12. New Business Owasso Public Works Authority April 21, 1998 Page 4 13. Adjournment OWASSO PUBLIC WORKS AUTHORITY MINUTES OF REGULAR MEETING Tuesday, April 7, 1998 The Owasso Public Works Authority met in regular session on Tuesday, April 7, 1998 in the Council Chambers at the Owasso Community Center per the Notice of Public Meeting and Agenda posted on the City Hall bulletin board at 4:00 p.m. on Friday, April 3, 1998. ITEM 1: CALL TO ORDER Chairman Barnhouse called the meeting to order at 7:35 p.m. ITEM 3: FLAG SALUTE The flag salute was given during the City Council meeting preceding this meeting. ITEM 3: ROLL CALL PRESENT Mary Lou Barnhouse, Chair Tracy Standridge, Vice Chair Mark Wilken, Trustee STAFF Rodney J Ray, City Manager Ronald D Cates, Authority Attorney Marcia Boutwell, Authority Secretary ABSENT Michael Helm, Trustee Denise Bode, Trustee ITEM 4: CONSIDERATION AND APPROPRIATE ACTION RELATING TO A REQUEST FOR APPROVAL OF THE CONSENT AGENDA A. Approval of the Minutes of March 17, 1998 Regular Meeting. B. Approval of Claims Mr Wilken moved, seconded by Dr Standridge, to approve the consent agenda. The consent agenda included minutes of the March 17, 1998 regular meeting, by reference made a part hereto. Item B on the consent agenda included the following claims: (1) OPWA Fund $94,097.62; (2) OPWA Capital Improvement Fund $108,526.96; (3) OPWA Sales Tax Fund $29,009.35; (4) Interfund Transfers $37,447.83; (5) Payroll #1 $28,506.59; (6) Payroll #2 $27,375.31. AYE: Wilken, Standridge, Barnhouse NAY: None Motion carried 3 -0. Owasso Public Works Authority ITEM 5: REPORT FROM OPWA MANAGER No report. ITEM 6: REPORT FROM OPWA ATTORNEY No report. ITEM 7: UNFINISHED BUSINESS None. ITEM 8: NEW BUSINESS None. ITEM 9: ADJOURNMENT Dr Standridge moved, seconded by Mr Wilken, to adjourn. AYE: Standridge, Wilken, Barnhouse NAY: None Motion carried 3 -0, and the meeting was adjourned at 7:36 p.m. Marcia Boutwell, Authority Secretary 2 April 7, 1998 Mary Lou Barnhouse, Chairperson CITY OF OWASSO OWASS O PUBLIC WORKS AUTHORITY B 4/17/98 65256 A/P CLAIMS REPORT APAPVR PAGE: PO # VENDOR DESCRIPTION AMOUNT PWA ADMINISTRATION 10 980036 RONALD D CATES RETAINER 110.00 700.00 982144 980036 RONALD D CATES LEGAL SERVICES 460.00 GO SYSTEMS 980221 AT&T WIRELESS SERVICES PHONE USE-CARR 26.85 REPAIR/MAINT SUPPLIES 980221 AT&T WIRELESS SERVICES PHONE USE-ROBERTS 12.45 1,900.51 982251 RADIO SHACK CELL PHONE CHARGER 12.99 982348 SUBURBAN OFFICE SUPPLY OFFICE SUPPLIES 10.50 982414 982414 SOUTHWESTERN BELL... TELE 3/98 PLEXAR 97.60 F` SCI 982415 PSO 3/98 USE 100.73 982418 OKLAHOMA NATURAL GAS 3/98 USE 46.36 WASTEWATER DEPARTMENT TOTAL ====> 1,467.48 980656 JTILITY BILLING UNIFORM CLEAN/RENT 92.40 980095 US POSTMASTER UTILITY BILL POSTAGE 1,500.0O 982151 MARK MEYER METER READER 253.80 982291 OSCAR MCLAURIN METER READER 182.10 982292 TYRONE DINKINS METER READER 346.80 982293 BRANDON HAMILTON METER READER 68.40 N� 982295 BRAD SPARKMAN METER READER 148.05 982296 RANDY ALEXANDER METER READER 172.20 DEPARTMENT TOTAL ====> 2,671.35 ER 9B0656 YALE UNIFORM RENTAL UNIFORM CLEAN/RENT 110.00 982144 VERDIGRIS VALLEY SOD FARM SOD-REPAIRS 60.00 982260 GO SYSTEMS FUEL 03/98 206.72 982262 WATER PRODUCTS INC REPAIR/MAINT SUPPLIES 38.25 °m 982263 WATER PRODUCTS INC REPAIR/MAINT SUPPLIES 1,900.51 982275 ARMY NAVY SURPLUS RAIN SUITS 90.49 982413 SOUTHWESTERN BELL TELE 3/98 NON-PLEXAR 63.00 _ 982414 SOUTHWESTERN BELL TELE 3/98 PLEXAR 50.76 982415 F` SCI 3/98 USE 278.27 DEPARTMENT TOTAL ====> 2,798.00 WASTEWATER TREATMENT PLANT 980656 YALE UNIFORM RENTAL UNIFORM CLEAN/RENT 92.40 CITY OF OWASSO OWASSO PUBLIC WORKS AUTHORITY 4/17/98 6:52:56 A/P CLAIMS REPORT APAPVR PAGE: 10 PO # VENDOR DESCRIPTION AMOUNT 982247 W W GRAINGER INC SEWAGE PUMP 102.08 982260 GO SYSTEMS FUEL 03/98 23.81 982414 SOUTHWESTERN BELL TELE 3/98 PLEXAR 46.76 982415 PSO 3/98 USE 4,516.40 982273 DEPARTMENT TOTAL ====> SUMP PUMP 367.60 4,781.45 WASTEWATER COLLECTION ______________________________ 980656 YALE UNIFORM RENTAL UNIFORM CLEAN/RENT 122.00 981817 WAYEST SAFETY, INC. SAFETY MONITOR FILTERS 448.26 982142 KIMBALL ACE HARDWARE MAINT/REPAIR SUPPLIES 178.86 982248 JONNY ON THE SPOT SEWER BACKUP/404 E 2ND 166.00 982251 RADIO SHACK METAL LOCATOR 77.96 982260 GO SYSTEMS FUEL 03/98 194.27 982273 W W GRAINGER INC SUMP PUMP 367.60 982275 ARMY NAVY SURPLUS RAIN SUITS 62.99 982279 WATER PRODUCTS INC MANHOLE REPAIR 96.00 982413 SOUTHWESTERN BELL TELE 3/98 NON-PLEXAR 319.07 982415 PSO 3/98 USE 634.94 DEPARTMENT TOTAL ====> 2,667.95 REFUSE COLLECTIONS ______________________________ 980656 YALE UNIFORM RENTAL UNIFORM CLEAN/RENT 133.80 982072 WASTE MANAGEMENT OF OKLA TIPPING FEES 03/98 4,989.72 982142 KIMBALL ACE HARDWARE MAINT/REPAIR SUPPLIES 15.99 982250 OWASSO GLASS REPLACE WINDSHIELD 252.70 982260 GO SYSTEMS FUEL 03/98 468.69 982260 GO SYSTEMS FUEL 03/98 66.76 982275 ARMY NAVY SURPLUS RAIN SUITS 19.99 982276 WOODS PORTABLE WELDING WELD LIFT GATE 300.00 982357 TREASURER PETTY CASH REIMB PETTY CASH 5.00 982357 TREASURER PETTY CASH LICENSE-MORADOS 70.00 _____________ DEPARTMENT TOTAL ====> 61322.65 RECYCLE CENTER ______________________________ 980656 YALE UNIFORM RENTAL UNIFORM CLEAN/RENT 18.40 982072 WASTE MANAGEMENT OF OKLA TIPPING FEES 03/98 957.61 982414 SOUTHWESTERN BELL TELE 3/98 PLEXAR 22.36 CITY OF OWASSO OPWA SALES TAX FUND 4/17/98 6:52:56 A/P CLAIMS REPORT APAPVR PAGE: PO # VENDOR DESCRIPTION AMOUNT ______________ _____________ REVENUE BONDS ______________________________ 980002 BANK ONE TRUST CO, NA 98 REVENUE BONDS 48,394.40 _____________ DEPARTMENT TOTAL ====> 48,394.40 _____________ FUND TOTAL ====> 48,394.40 _____________ GRAND TOTAL ====> 185,865.21 OWASSO PUBLIC WORKS AUTHORITY PAYROLL PAYMENT REPORT PAY PERIOD ENDING DATE 04/11/98 APPROVED: 04/21/98 Chairman Trustee Trustee OVERTIME TOTAL DEPARTMENT EXPENSES EXPENSES Arimitustraton $4,244:79 Utility Bilking 0.00 1,745.29 Water 310 49 3,789:88 Wastewater 5016 5,198 78 Wastewater collection 386 96 5,63122 Refuse 146.61 4 974.45 Recyc Center 1,499' S6 FUND TOTAL APPROVED: 04/21/98 Chairman Trustee Trustee MEMORANDUM TO: HONORABLE CHAIR AND TRUSTEES OWASSO PUBLIC WORKS AUTHORITY FROM: CHRIS ROBERTS a PUBLIC WORKS FIELD OPERATIONS SUPERVISOR SUBJECT: REQUEST FOR PURCHASE OF CLEAR PLASTIC YARDWASTE BAGS DATE: April 16, 1998 BACKGROUND: Mandatory yardwaste separation in Owasso was started as a pilot program in April 1990. The method used to collect the yardwaste has either been the use of a red 90 gallon polycart which is billed on the customer's refuse account at $6.50 per month or, for those customers generating lesser amounts of weekly yardwaste to utilize a 33 gallon clear polyethylene bag. As an alternative, citizens may deliver their yardwaste to the Recycle Center without incurring any charge. In the Spring 1992 the City began selling plastic yardwaste ba g s to its customers. Each of these bags holds 33 gallons, is made of a linear low density polyethylene and has "CITY OF OWASSO - YARDWASTE ONLY" imprinted on it. The use of a clear bag prompts the customers to utilize the bag exclusively for yardwaste disposal (any foreign materials would be visible from the outside) and the external lettering assures that the City has collected the curbside pick -up fee (cost is calculated and included in the charge for the bags). Currently the charge for each bag is $0.35. PROGRAM STATISTICS: Although the red yardwaste polycart program is considered an overall success, many customers still prefer using the yardwaste bags. The ratio has consistently been two customers utilizing the yardwaste bags to one customer with a red polycart. Information supplied by the yardwaste pick -up crew indicates that the customers who have chosen to continue using the bags generally have either very small (1 bag) or very large quantities (over 9 bags) of lawn clippings. It appears that these users of the service recognize that their monthly cost would be higher if they selected the polycarts. The City of Owasso mandatory yardwaste separation program collected over 800 tons of yardwaste in 1997. The removal of this tonnage related to a savings of $10,800.00 in landfill tipping fees. the maximum weekly participation (week of July 23rd) was 466 households, which equates to Page 2 Yardwaste Bags , approximately 10% of the Owasso residential refuse customer base. A maximum of 1,030 bags of yardwaste were collected at curbside by City personnel during the same week. In 1997 program participants average 300 households per week with approximately an equivalent of 2.7 bags of yardwaste each. Projections indicate Owasso citizens will use approximately 20,000 yardwaste bags during the 1998 collection season. NEED TO REPLENISH YARDWASTE BAG SUPPLY: The City of Owasso does not currently have a sufficient balance of bags on hand to complete the FY 97 -98 growing season and the beginning of the FY 98 -99 growing season. Staff has estimated that ' an additional 20,000 bags will need to be purchased to meet anticipated requirements. The City of Owasso last purchased 20,000 bags in April 1997. The supply was sufficient to complete ' the 1997 calendar year yardwaste collection season with a balance of approximately 10,000 bags. This balance is insufficient to take us through the 1998 collection season. As a result of this anticipated supply situation, specifications for the collection bags were sent to ' eleven (11) vendors. Sealed bids were received from two (2) vendors and were opened on March 25, 1998. ' The bids are tabulated below: Vendor 20,000 bas 40,000 bas 60,000 ba s Dyna -Pak Corp $2,562.56 $4,667.52 $6,864.00 Lawrenceburg, (12.8 cents (11.7 cents (11.4 cents Tennessee per bag) per bag) per bag) XPEDX $1,854.00 $3,640.00 $5,370.00 Tulsa, (9.3 cents (9.1 cents (9.0 cents Oklahoma per bag) per bag) per bag) Apparent low bidder is XPEDX. Since we have had no previous experience with this company, we requested a sample of their product. The bag was not clear, but you can see the contents through the bag. Staff believes the bags sufficiently meet specifications. Previously awarded bid was to Petoskey Plastics, Inc., out of Petoskey Michigan, in the amount of $2,499.00 (12.5 cents per bag). FUNDING SOURCE: The FY 97 -98 budget contains funds for yardwaste bags (line item 61 -541 -5222) in the amount of $2,750.00. Page 3 Yardwaste Bags RECOMMENDATION• Staff recommends Trustee approval of the purchase of 20,000 bags from XPEDX of Tulsa, Ok. for $1,854.00. ATTACHMENTS: 1. Bid Tabulation 2. Bid proposals 3. Specifications CITY OF OWASSO / OWASSO PUBLIC WORKS AUTHORITY 207 South Cedar PO Box 180 Owasso, Oklahoma 74055 (918) 272 -2251 BID DOCUMENTATION Opening Date: 3/25/98 Council /Trustee Approval: Item: Yard Waste Bags Number of Bids: 2 Bids Opened By: Marcia Boutwell Witness: Scott Holt Witness: Bidders Dyna Pak Corp, Lawrenceburg, TN XPEDX, Tulsa, OK Certification: Amount of Bid 20,000 40,000 60,000 $2562.56 $4667.52 $6864.00 $1854.00 $3640.00 $5370.00 I, Marcia Boutwell, City Clerk, do hereby certify that, to the best of my knowledge, this Bid Documentation is true and correct. Signature: _ " (SE,�L,) Date: BID PROPOSAL - SUBMITTAL PAGE YARD /LAWN WASTE BAGS FOR THE YARDWASTE SEPARATION PROGRAM BID AMOUNT FOR 20,000 BAGS ! - )'r7 G RTD AMOUNT FOR 40.000 BAGS _I • /0 (G BID AMOUNT FOR 60,000 BAGS � • 1 S / C� The following information must be completed for the bag that you are bidding: 1. Bag size in gallons: _3 2. Bag size in inches: 3 by O 3. Bag thickness is equal to n- 4. Puncture resistance equal to (P S 5. Bag tear factor equal to 550 6. Transfer draw tear equal to -790 7. Type of packaging for resale. 00 P fit' "Sew 8. Delivery time after order is placed: 3 - i tA) LS I hereby acknowledge that I have read the specifications and that I am legally bound by the statements on the Bid Proposal - Submittal Pages. Co pany Name By: S igna e Title Address Telephone BID OPENI NG: NVEDNESDAY, MARCH 25, 1998 @2:00 P.M. BID PROPOSAL - SUBMITTAL PAGE YARD /LAWN WASTE BAGS FOR THE YARDWASTE SEPARATION PROGRAM BID ANIOUNT FOR 20,000 BAGS � -� S 6 z 56 BID A1vIOUNT FOR 40,000 BAGS jq667, 5L BID AMOUNT FOR 60,000 BAGS 4 ( IK6 q . 0 6 The following information must be completed for the bag that you are bidding: 1. Bag size in gallons: 3 2. Bag size in inches: -3 4? by 40 3. Bag thickness is equal to 1 4, Puncture resistance equal to 5. Bag tear factor equal to 3 00 6. Transfer draw tear equal to 5 4 O 7. Type of packaging for resale: .S I e eLl e 8. Delivery time after order is placed: O da- U .! I hereby acknowledge that I have read the specifications and that I am legally bound by the statements on the Bid Proposal - Submittal Pages. 12 y AM Pal r G o r7 Company Name Signature UP Title I/2 Pe /2ovi IV 1, awrencP-6uv:, TAI3$u6 Address 'TO0 75g 3 9 9- Telephone BfD OPENPi i G: WEDNESDAY, MARCH 25, 1998 @2:00 P.M. SPECIFICATIONS The following are minimum specifications for bid on the yard /lawn waste bags: 1. The waste bag shall be a clear linear low density polyethylene. 2. The bag shall be a minimum of thirty -three (33) gallons in size and have a minimum configuration of 33" wide by 40" long. 3. The bag shall have a minimum thickness of 1.3 mils. 4. The bag shall have a minimum puncture resistance equal to 1.25 grams @ fifty percent (50 %). 5. The bag tear factor shall be a minimum of 300 grams. 6. The transfer draw tear shall be a minimum of 550 grams. 7. Each bag shall be printed with "CITY OF OWASSO - YARDWASTE ONLY ". The camera -ready artwork will be provided by the City of Owasso. Sample is attached. 8. The bags shall be in a ten (10) count package with wire ties. 9. Delivery time shall be given. 10. The bags shall be bid "FOB ". MEMORANDUM TO: FROM: SUBJECT: DATE: BACKGROUND: HONORABLE CHAIR AND TRUSTEES OWASSO PUBLIC WORKS AUTHORITY F. ROBERT CARR, JR., P.E. PUBLIC WORKS DIRECTOR TIMOTHY ROONEY ASSISTANT CITY MANAGER SHERRY BISHOP FINANCE DIRECTOR ADOPTION OF RESOLUTION ESTABLISHING WATER AND WASTEWATER CONNECTION FEES April 16, 1998 Water Connection Fee A water connection fee in the City of Owasso represents the cost of installation of a new water meter with associated costs for inspection of the installation and some administrative costs. Upon recent solicitation of bids for privatization of water meter installation, connection fees for water have been determined to need adjustment to reflect real costs based on actual bids. Fees in -place prior to the bids have not been revised or updated since being adopted in 1986. Wastewater Connection Fee A wastewater connection fee bears no relation to the cost of service to collect and treat sewage. The fee represents costs incurred to construct "excess capacity" in the collection system and treatment plant to handle future users. Unlike a water connection fee, there is absolutely no relationship to the actual cost of constructing a place of connection to the sewer system. The city has no actual cash 1 cost when a connection is made to the collection line. The entire cost of a wastewater connection is born by the builder or homeowner/business owner. The fee is simply an arbitrary amount established by the governing body. The fee is a recognized method of recapturing some of the cost of constructing excess capacity and has been used by cities for many years. There are valid arguments as to whether the fee should be utilized and at what level the fees should be set and there are differing methods of collecting the fee. Page 2 Water and Wastewater Connection Fees Some cities, like Owasso, collect the connection fee from the builder when a building permit is issued. In this instance, the cost is directly associated with the increased need for wastewater treatment or collection. Other cities often assess the charge when property is annexed into the city or at the time of platting. In either event, most cities utilize a connection fee to offset the past or future capital costs of building capacity for growth. WATER METER INSTALLATION COSTS: Because of increasing development in the Owasso area, field crews in the Public Works Department Water Distribution Division have been spending considerable time installing new water meters while needed preventive maintenance for the rest of the system largely has been unable to be accomplished. In addition, costs of materials and labor for new meter installations exceed the revenue generated from water connection fees. As a result, the department solicited bids to privatize meter installations from private companies and/or contractors to perform all the work and provide all materials (except for the meter) for new water meter installations (sizes 3/4" to 2 "). Bids were received on March 26, 1998 from 6 vendors. An average cost of construction for each meter size was calculated and the price of the appropriate size meter to be provided by the city was added. Analysis of installation costs of the low bid contractor (see Attachment 1) versus use of city ' forces (see Attachment 2 - meter installations using city personnel) is shown below: TABLE 1 ' COMPARISON OF CONTRACTOR VS. CITY INSTALLATION COSTS Meter installations by contractor will enable city personnel to focus work efforts on system preventive maintenance. In addition, contracting meter installations will allow the field crews to adjust to continual workload fluctuations without having to hire additional personnel. Requests for meter installations fluctuate largely based on residential building sales and tend to have peak construction times (normally spring and summer). The peak could be met by increasing personnel; however, these personnel may not be needed at other times of the year or in the future should building sales decrease. Contracted installations will enable fluctuations to be handled as needed. Based on the projected quantity of meters to be installed in FY 98 -99, $4415 in additional cost is projected if we use contract Projected Contractor City Meter Quantity Installations Installations Price Differential Size (FY98 -99) (including water (includes water meter provided by meter) City) 314" 350 $423 $422 $1 1" 10 $623 $515 $108 1 -1/2" 5 $1,430 $1,083 $347 2" 1 5 $1,599 $1,349 $250 Meter installations by contractor will enable city personnel to focus work efforts on system preventive maintenance. In addition, contracting meter installations will allow the field crews to adjust to continual workload fluctuations without having to hire additional personnel. Requests for meter installations fluctuate largely based on residential building sales and tend to have peak construction times (normally spring and summer). The peak could be met by increasing personnel; however, these personnel may not be needed at other times of the year or in the future should building sales decrease. Contracted installations will enable fluctuations to be handled as needed. Based on the projected quantity of meters to be installed in FY 98 -99, $4415 in additional cost is projected if we use contract IP Page 3 Water and Wastewater Connection Fees meter installations. As a result, staff recommends installation of meter sets by contractor. The following analysis of connection fees is predicated on costs associated with contractor installations. WATER CONNECTION FEE DETERMINATION: Water connection fees should reflect the cumulative total costs associated with providing service to the customer. The fee includes installation of the meter and reflects the cost of the contractor for the particular size meter required. Additional fees for inspection of the installation ($25) and administrative expenses ($50) are proposed as part of the total connection fee. A summary table of the materials/labor bids, additional fee and the corresponding existing connection fee is shown as follows: TABLE Z COMPARISON OF COST OF SERVICE AND CONNECTION FEE Service Connection Size Average Bid Price Meter Cost and Other Fees Total Cost of Service Existing Connection Fee Qposes 3/4" $343 $155 $498 $350 1" 484 214 698 350 -- 1 -1/2" 1,144 361 1,505 500 — 2 1,219 455 1,674 6503b= The proposed connection fee is compared with fees from other local communities later in this memorandum (see Table 3). WASTEWATER CONNECTION FEE DETERMINATION: In 1995, research of city records (i.e., minutes, resolutions, and ordinances) failed to produce documentation giving authority to the manner in which the Authority assessed wastewater connection fees and the amounts of those fees. At that time, the city charged three different rates dependent upon the location in the city collection system desiring a connection. OPWA Resolution No. 95 -05 was enacted on August 15, 1995 that established a wastewater connection fee in the amount of $375.00 for every connection to the collection system of the Owasso Public Works Authority. In order to provide time to complete the Wastewater Master Plan and develop an analytical approach to the level of fee, this rate was to expire on August 31, 1996. The plan was expected to be the basis for determining real costs of excess collection capacity and how that cost should be recovered. A detailed memorandum concerning this issue was prepared and included as an attachment to this memorandum (see Attachment 3). Page 4 Water and Wastewater Connection Fees The 1997 Wastewater Master Plan includes projections for infrastructure improvements for 5 -, 10 -, and 20 -year periods. For the purpose of connection fee calculations in this memorandum, the 10- year projects were included to determine "excess capacity" costs in the collection system. Based on the plan, a total of $17.5 million of improvements were identified. Of these projects, approximately 401/6 of the costs ($7 million) can be attributed to excess capacity or are growth related. The other 60% of costs are associated with relieving existing system inadequacies and connecting portions of the system. Over the same period, the population base is expected to increase approximately 10,000 persons, which corresponds to about 3,500 new residential connections to the system. As a result, a fee per residential connection of $2,000 would be needed, based solely on excess capacity calculations. However, it is important to note that the existing wastewater user rate structure (included on the monthly water billing) incorporates some fee for capital improvements that can be applied to the connection fee requirement. Therefore, in order to keep the wastewater connection fee relationally competitive with other surrounding municipalities and to keep from having a large incremental increase for future growth, a connection fee slightly higher than the previous fee is suggested. A proposed fee of $400 is recommended. COMPARISON OF CONNECTION FEES: Table 3 is a comparison of water and wastewater connection fees for communities in the Tulsa metropolitan area. The following connection fees are proposed for the city of Owasso: Water 3/4" $500 1" $700 1 -1/2" $1500 ' 2" $1675 Wastewater $400 RECOMMENDATION: Staff recommends Trustees adoption of Resolution 98 -04 establishing connection fees for connection to the water distribution system as well as the wastewater collection system of the Owasso Public Works Authority. ATTACHMENTS: 1. Bid Proposal - Cunningham Plumbing Co., Inc. 2. City Meter Installation Costs 3. Wastewater Connection Fee memorandum dated September 3, 1996 4. Fees for Water Taps /Sewer Taps compiled by city staff April 6, 1998 5. Resolution 98 -04 TABLE 3 Comparison of Other Municipal Water and Wastewater Connection Fees Water Connection Sizes Wastewater Total Combined Fees 3/4" 1" 1 -1/2" 2" 4" 6" >6" 3/4" V 1 -1/2" 2" Bixby $150 $182 all sizes - $150 $300 $332 $330 $410 $2068 $3102 $25 tap + $1325 $1435 $3093 $4127 Broken Arrow $1000 development fee Collinsville $500 $550 $1445 $1470 $250 > 4" - $250 +materials $750 $800 $1695 $1745 ($500+ ($500+ materials materials (estimated (estimated as $945)) as $970)) Jenks $507 $602 $1137 $200 $250 >6 "- $50 $707 $857 $1387 per inch + $315 connection charge Sand Springs $300 $425 $1509 $1742 all sizes -$150 $450 $575 $1559 $1892 Cost + Cost + materials materials and labor and labor - Tulsa $530 $775 $1320 $1420 various connection and excess capacity $530+ $775+ $1320+ $1420+ fees based on acreage wastewater wastewater wastewater wastewater also . New $500 $704 $15,, 1 lt1 ?S ', sizes - $400 $904 $1100 51900 $2075 Owasso - $350 $350 $500 $650 all sizes - $375 $725 $725 $875 $1025 existing BAD PROPOSAL - SAIBMITTAL PAGE BID SCHF-DULE NOTE: BIDS shall Port include sales tax. No. Item 1, 3/4" Service Setting - Short Service 2. 3/4" Service Setting - Long Service Unit Each Each Unit Price 350. 463.64 3. 3/4" Service Setting - Cross -over Service Each 330.00 4. 1" Service Setting - Short Service Each 427.40 5. 1" Service Setting - Long Service Each 540.80 6. 11A" Service Setting - Short Service Each 1091.36 7. lih" Service Setting - Long Service Each 1221.36 S. 2" Service Setting - Short Service Each 1161.42 9. 2" Service Setting - Long Service Each 1305.65 10. Pavement Sawcutting, Removal & Disposal S. Y. 110.84 11. Curb & Gutter Saweutting, Removal & Disposal L. F. 157.30 12. VA" Boring & Casing L. F. 14.09 13. 2" Boruo.g & Casing L. F. 14.71 14. 3" Boring & Casing L. F. 15.40 15. 4" Boring & Casing L. F. 20.55 I hereby acknowledge that I have read the specifications and that I am legally bound by the statements on the Bid Proposal - Submittal Pages. NNINGHAM PLUMBING CO. INC. Company Nance Signature �/ U President Title Address 2723 West 40th St. Tulsa, Oklahoma 74107 918- 446 -3730 Telephone BI-D OPENING: THURSDAY, MARCH 26, 1998 @ 2:00PNI COMPLETE AND ATTACH THE .NON - COLLUSION 131D A,FFTJ)AV'IT TO BID. METER INSTALLATION COSTS - 3/4' Materials Total Unit Installation Cfty Item Description Cost Costs 1 18' Meter Box w /cast iron lid w/Pro read hole 21.48 1 3/4' CTS Corporation Stop 9.33 1 314' Double Band Tapping Saddle 19.00 1 314' CTS x Dual Purpose Setter 28.75 2 3/4' Stainless Steel Inserts 1.38 1 314' x 518' Pro Read Neptune Water Meter 79.33 Service Line (101-17 0.80 Subtotal 160.07 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe CQ? $50 /hour) 100.00 TOTAL - Short $300.07 Additional for long service Bore (301-F) 240.00 Service Line (201-17 4.00 Subtotal 244.00 TOTAL - Long $544.07 METER INSTALLATION COSTS - 18 Materials Total Unit Installation O y Item Description Cost Costs 1 18' Meter Box w /cast iron lid w /Pro read hole 21.48 1 1 CTS Corporation Stop 14.30 1 1' Double Band Tapping Saddle 19.00 1 1' CTS x Dual Purpose Setter 55.65 2 1' Stainless Steel Inserts 1.50 1 1' Pro Read Neptune Water Meter 138.82 Service Line (10L17 2.70 Subtotal 253.45 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe @ $501hour) 100.00 Additional for long service Bore (30LF) Service Line (201-F) TOTAL - Short $393.45 240.00 4.00 Subtotal 244.00 TOTAL - Long $637.45 Page 2 METER INSTALLATION COSTS - 1 1/2' Materials METER INSTALLATION COSTS - 2' Materials Total Unit Installation Cfty_ Item Description Total Unit Installation Oty Item Description Cost Costs 1 246-W Galvanized Meter Can Complete 139.67 45.00 1 1 1/2' CTS Corporation Stop 50.00 1 1 1 1 12' Double Band Tapping Saddle 35.00 24 Adapter 1 1 112' CTS x Dual Purpose Setter 255.75 380.00 1 1 112' Brass Meter Flg Pack 21.50 2 1 112' Adapter 29.00 (2 hours -2 employees) 1 1 112' Pro Read Neptune Water Meter 286.00 100.00 Service Line (10LF) 4.50 Additional for long service Subtotal 821.42 Bore (301-F) Labor (2 hours -2 employees) 40.00 4.00 Equipment (Backhoe 0 $50/hour) 100.00 TOTAL - Long TOTAL - Short $961.42 Additional for lonq service Bore (301.F) 240.00 Service Line (201-F) 4.00 Subtotal 244.00 TOTAL - Long $1,205.42 METER INSTALLATION COSTS - 2' Materials Total Unit Installation Cfty_ Item Description Cost Costs 1 24.-W Galvanized Meter Can Complete 225.00 1 Z CTS Corporation Stop 64.45 1 Z Double Band Tapping Saddle 45.00 1 Z CTS x Dual Purpose Setter 280.53 1 Z Brass Meter Flg Pack 30.00 2 24 Adapter 53.00 1 2' Pro Read Neptune Water Meter 380.00 Service Line (10LF) 8.90 Subtotal 1086.88 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe @ $501hour) 100.00 TOTAL - Short $1,226.88 Additional for long service Bore (301-F) 240.00 Service Line (201-F) 4.00 Subtotal 244.00 TOTAL - Long $1,470.88 Note: Materials have increased 15% per year. 7/10/97 MEMORANDUM TO: F ROBERT CARR PUBLIC WORKS DIRECTOR FROM: RODNEY J RAY CITY MANAGER SUBJECT: WASTEWATER CONNECTION FEE DATE: September 3, 1996 In Augusf 1995, the OPWA adopted OPWA Resolution #95 -05 (attached). The resolution was adopted because the staff could find absolutely no documentation that provided authority for the imposition of a "wastewater connection fee ". Absent authority for the collection of the fee, the City Attorney advised that either, 1) the collection of that fee cease; or 2) proper authority be given. In drafting the resolution, Ms Bishop and I decided that a clear rational should be developed and a fee be subsequently based on that logic. However, as time was a critical factor if, in fact, the Authority was to avoid the loss of revenue, it was determined that the resolution would include an automatic "sunset" date of August 31, 1996. Obviously, no further work was accomplished on the issue. I have clearly overlooked the need to revisit the fee and review the charges. Clearly, also, the resolution providing the authority has expired. Therefore, it is important that a fee structure be developed providing for a wastewater connection fee, and that such fee be based on a rational foundation that includes equitable treatment for all parties. The purpose of this memorandum is to request that the Public Works Department take the leadership role in developing that fee structure and that a recommendation be presented to the Trustees no later than November 10, 1996. Support for the project may be solicited from Mr Cates (legal) and Ms Bishop (financial). If you have questions, please let me know. MEMORANDUM TO: THE HONORABLE CHAIR AND TRUSTEES OWASSO PUBLIC WORKS AUTHORITY FROM: RODNEY J RAY CITY MANAGER SUBJECT: WASTEWATER CONNECTION FEES DATE: August 9, 1995 BACKGROUND: A research of city records (minutes, resolutions, and ordinances) has failed to produce documentation that gives authority to the manner in which the OPWA assesses wastewater connection fees, and the amounts of those fees. Currently the city charges three different rates for a wastewater connection fee. Those rates are ,dependent upon the location of the home or business desiring a connection. For instance, if a connection is requested in the Double Oaks subdivision, the fee is set at $405.00; however, if a connection is requested in the Windsor Lake subdivision, the fee is $375.00. Additionally, if a connection is requested in the Bailey Ranch Estates subdivision, a fee of $250.00 is assessed. While there were reasons at one time for the disparity of rates, those reasons no longer exist and, therefore, the staff believes rates should be equalized. The purpose of this request is to provide the Council with a historical perspective and offer a short term solution to the problem of inequity in the city's wastewater connection fee. HISTORY: The history of wastewater connection fees in Owasso is not well documented and, because of development trends over the past ten years, there has obviously been little need for attention to those fees. However, due to new development trends and the expiration of certain legal requirements, there now appears to be a need to quickly review the fees and move to equalize them regardless of the location of the connection. It appears that sometime between 1977 and 1986, the city, without official OPWA action, changed the fees charged for a wastewater connection. Those changes were not documented in either the minutes or by resolution and increased the fees established by a 1977 resolution (the last official action of record). WASTEWATER CONNECTION FEES August 9, 1995 Page 2 Currently, wastewater connection fees west of U.S. 169 are set at $250.00, the same type fee for the subdivisions of Elm Creek, Three Lakes, Lakeridge, Double Oaks, Central Park, and Baptist Retirement Center is $405.00, while all other subdivisions east of U.S. 169 are set at $375.00. The reason for the $405.00 fee in the above mentioned subdivisions is that the additional money was to be used to retire a series of wastewater improvement bonds (Series A -B -C -D & E Bonds). Those bonds were issued by the OPWA as a method of encouraging development in the Elm Creek area. Last year the City Treasurer made the final payment to the bond holders and closed out the accounts used to escrow those payments. Thus, the additional fee of $30.00 per connection is not being used as originally intended. While there is clear documentation relating to how the Series A -E bonds would be paid, there is no record of OPWA action to actually authorize the collection of those fees. Evidently, the OPWA simply began collecting a larger fee based on the bond indenture requirements and ignored the legal requirement for such fees to be set by the Authority. Also not documented is the increase in the 1977 wastewater connection fee from $250.00 to $375.00 in all other subdivisions east of U.S. 169. Apparently, the city's management conferred with the Trustees and determined to increase the fees east of U.S. 169 to $375.00, but didn't take official action to adopt a resolution. It appears that the intent of the Trustees was to increase the connection fee for the developing area (east of 169) and leave the connection fee in the "old" town the same as had previously been charged. These differing levels of fees have been charged for more than ten years. The exact time of implementation of each fee has not been determined because of a lack of proper records and documentation. The current staff has continued to charge the fees previously established and, unfortunately, had not reviewed the authority for such rates until recently. This discussion is the result of that review. WHAT IS A WASTEWATER CONNECTION FEE: A wastewater connection fee is a form of a development impact fee. In other words, the connection fee bears no relation to the cost of the service to collect and treat sewage. It is, however, a fee generally charged by a city for the cost incurred to construct "excess capacity" in the collection system and treatment plant. For example, when the city constructed the existing plant in 1988, our existing need was for a plant that could treat approximately 800,000 gallons of sewage per day. But to have built an 800,000 gallon per day plant would have been shortsighted and not in the best interest of the city. Therefore, the city constructed a plant that would treat 1.56 million gallons per day. That meant that the city spent funds to provide "excess capacity" to handle future users. WASTEWATER CONNECTION FEES August 9, 1995 Page 3 , A wastewater "connection fee" is a recognized method of recapturing some of the cost of constructing excess capacity and has been used by cities for years. There are, however, valid ' arguments as to whether the fee should be utilized and at what level the fees should be set. Additionally, there are differing methods of collecting the fee. Some cities, like Owasso, collect the connection fee from the builder only when a building permit is issued so that the cost is directly associated with the increased need for wastewater treatment or collection. Other cities often assess the charge when property is annexed into the city or at the time of platting. But whatever the logistics, most cities utilize a wastewater connection fee to offset the past (or future) capital cost of building excess capacity. It should be noted that the wastewater connection fee has absolutely no relationship to the actual cost of building the wastewater connection. Unlike a water connection, the city has no actual cash cost when a home or business connects to a main wastewater line. The entire cost of a wastewater connection is born by the builder or homeowner/business owner. (Until recently, some of the cost was paid by the developer due to a requirement to make the connection when the main line was installed.) Therefore, the wastewater connection fee is not based on an actual cost, or cost of service, but, as mentioned above, simply an arbitrary amount established by the governing body. THE PROBLEM: The problem that is presented focuses on the inequity of the differing rates. Originally, the bond debt for Elm Creek development and the fact that all new development was occurring east of U.S. 169, justified the higher connection fees for that area. However, now that significant development is beginning to occur west of U.S. 169, the system's excess capacity is going to be used by all portions of the city as new citizens move into new subdivisions on the east, west and north. There appears to be no rationale for a fee that is $125.00 lower for the same service simply because of where the wastewater line is located. The depletion of excess capacity is no more significant on one side of the city than from another area. In addition to the "equal protection" concern, the city has agreements with the EPA that require uniform rates and charges throughout the wastewater system. The City Attorney has a concern relating to our non- compliance with that agreement. A LONG TERM APPROACH: The method of resolving the problem should be one that uses an analytical approach in identifying the philosophical and fiscal issues and then developing solutions to the identified IF problem(s). Since the city is in the process of developing a master plan for future wastewater collection needs, it appears logical that, once the plan is finalized, it should be the basis for determining the real cost of excess collection capacity and how (or if) that cost should be WASTEWATER CONNECTION FEES August 9, 1995 Page 4 recovered. Therefore, the long term solution is one that may take several months to develop and implement, but, when completed, will provide a formula based on solid data that should be fair and equally enforced. It should, however, be noted that while the master planning process will provide significant data for the collection system, the information relating to excess capacity for the treatment plant will not be addressed. That information will largely be derived from the engineering work currently being done for the plant expansion project. A SHORT TERM APPROACH: However, while the master plan is being developed, the city will begin issuing building permits in several subdivisions now in the final phase of construction. Most of those subdivisions are located west of U.S. 169 and, unless action is taken, builders in those subdivisions will pay $125.00 less than builders in the eastern portion of the community. A relatively simple short term solution is to adopt an OPWA resolution equalizing the wastewater connection fees at $375.00 for all areas of the city. Such action would be considered an interim measure and intended to be addressed during and after the wastewater collection system master plan is completed. RECONEgENDATION: The staff recommends Trustee approval of OPWA Resolution #95 -05, wherein all wastewater connection fees are set at an interim rate of $375.00 and establishing August 30, 1996 for the expiration of the resolution, thus requiring Trustee action to either continue the rates or adopt new connection fees based on a more comprehensive review of the issues relating to wastewater connection fees. ATTACHMENTS: 1. OPWA Resolution #95 -05 OWASSO PUBLIC WORKS AUTHORITY OPWA RESOLUTION NO 95 -05 A RESOLUTION OF THE TRUSTEES OF THE OWASSO PUBLIC WORKS AUTHORITY ESTABLISHING A WASTEWATER CONNECTION FEE AND PLACING AN EXPIRATION UPON THE APPLICABILITY OF SUCH WASTEWATER CONNECTION FEE. BE IT RESOLVED BY THE TRUSTEES OF THE OWASSO PUBLIC WORKS AUTHORITY THAT: SECTION ONE: There is hereby established a Wastewater Connection Fee in the amount of Three Hundred Seventy Five and N01100 Dollars ($375.00) for every connection to the Wastewater Collection System of the Owasso Public Works Authority. SECTION TWO: The Wastewater Connection Fee above set forth shall expire on the 31st day of August, 1996. ANAND ADOPTED this 15th day of August, 1995 by the Trustees of the Owasso "T'ptiuc w-ox kumonty. Char es L Burris, Chairperson Marcia Boutwe11, Trust S cretary APPROTO FORM: D Cates, Trust Attorney CITY OF OWASSO, OKLAHOMA RESOLUTION NO 95 -07 A RESOLUTION OF THE CITY COUNCIL OF THE CITY'OF OWASSO, OKLAHOMA APPROVING THE WASTEWATER CONNECTION FEE AS ESTABLISHED BY THE TRUSTEES OF THE OWASSO PUBLIC WORKS AUTHORITY, OWASSO, OKLAHOMA, PURSUANT TO RESOLUTION 95 -05. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OWASSO, OKLAHOMA that the Wastewater Connection Fee established by the Trustees of the Owasso Public Works Authority, Owasso, Oklahoma, pursuant to Resolution No 95 -05 be, and the same hereby is, approved. AND ADOPTED this 15th day of August, 1995 by the City Council of the C. Oklahoma. Charles L Burris, Mayor Marc Boutwell, Ci Clerk APPROVE6 0 FORM: D Cates, City Attorney FEES FOR WATER TAPS BIXBY 5/8" @ $150.00 1" @ $182.00 BROKEN ARROW 3/4" @ $330.00 1" @ $410.00 1.5" @ $2068.00 2" @ $3102.00 3" @ $5335.00 4" @ $6105.00 6" @ $8195.00 COLLINSVILLE 3/4" @ $500.00 1" @ $550.00 > 1" @ $500.00 (Plus Material) JENKS 3/4" @ $507.00 1" @ $602.00 2" @ $1137.00 > 2" @ Estimate of Cost SAND SPRINGS 3/4" @ $300.00 1" @ $425.00 > 1" @ Cost (Plus Materials & Labor) TULSA /CITY 3/4" @ $110.00 1" @ $150.00 1.5" @ $175.00 2" @ $200.00 >3" @ $500.00 (see attachment) FEES FOR SEWER TAPS BIXBY $150.00 BROKEN ARROW $25.00 /Tap $1000.00 Sewer System Dev Fee Per Residence. Fee for non- residential based on size of water meter /dwelling unit conversion formula. COLLINSVILLE 4" @ $250.00 >4" @ $250.00 (Plus material) JENKS 4" min @ $200.00 6" min @ $300.00 (all others @ $50.00 per inch, $315 fee for connection to sewer system) SAND SPRINGS $150.00 TULSA /CITY $25.00 inspection fee inside sewer district. $37.50 inspection fee outside city limits. $60.00 special connection tap fee if outside sewer district plus applicable excess capacity fees and bond fees. If lift station, fees may be required for use and relief. Fees may be as high as several thousand dollars per use of the sewer line. Fees assessed on a per acre basis. Fees for bond issue lines assessed on a per front foot basis. OWASSO PUBLIC WORKS AUTHORITY RESOLUTION NUMBER 98 -04 A RESOLUTION OF THE TRUSTEES OF THE OWASSO PUBLIC WORKS AUTHORITY ESTABLISHING CONNECTION FEES FOR CONNECTION TO THE WATER DISTRIBUTION SYSTEM AS WELL AS THE WASTE WATER COLLECTION SYSTEM OF THE OWASSO PUBLIC WORKS AUTHORITY BE IT RESOLVED BY THE TRUSTEES OF THE OWASSO PUBLIC WORKS AUTHORITY THAT: The connection fees for connection to the Owasso Public Works Authority Water Distribution System and Waste Water Collection System be and same hereby are set in the amounts as set forth on Exhibit "A" hereto such being made a part hereof. DATED this 21 st day of April, 1998, ATTEST: Marcia Boutwell, Secretary APPROVED AS TO FORM: Ronald D. Cates, City Attorney OWASSO PUBLIC WORKS AUTHORITY By: Mary Lou Barnhouse, Chairperson The following is the fee schedule for water and wastewater connections for the City of Owasso: Water 3/4" $500 1" $700 1 -1 /2" $1500 2" $1675 Due to the nature of installations, additional work and associated costs may be necessary to perform the installation. Should additional costs for such items as pavement saw cutting, removal and disposal; curb and gutter saw cutting, removal and disposal; and boring and casing be required, a separate charge will be determined based on the most current meter installation bid unit prices at the time of the request for installation. The separate charge will be invoiced by the City of Owasso. Wastewater $400 EXHIBIT "A" The following are connection fees for the City of Owasso: 611 Mr, 3/4" $500 1" $700 1 -1/2" $1500 2" $1675 Wastewater $400 MEMORANDUM TO: HONORABLE CHAIR AND TRUSTEES OWASSO PUBLIC WORKS AUTHORITY FROM: F. ROBERT CARR, J, P.E. PUBLIC WORKS DIRECTOR ISUBJECT: AWARD OF WATER SERVICE INSTALLATION CONTRACT IDATE: April 16, 1998 tBACKGROUND: Because of increasing development in the Owasso area, field crews in the Public Works Department Water Distribution Division have been spending considerable time installing new water meters while needed preventive maintenance for the rest of the system largely has been unable to be accomplished. In addition, costs of materials and labor for new meter installations exceed the revenue generated from water connection fees. As a result, the department solicited bids to privatize meter installations from private companies and/or contractors to perform all the work and provide all materials (except for the meter) for new water meter installations (sizes 3/4" to 2 "). DID PROPOSALS: A bid packet was prepared that included a detailed list of material specifications, construction installation procedures, and method for payment of services (see Attachment 1). Each of the companies submitting a bid were required to: - Possess a Plumbing Contractor license, - Employees are to be certified as Class "D" water operators or higher by the Oklahoma Department of Environmental Quality, - Provide a water service installation bond for the performance of the work in an annual amount of $10,000, - Carry appropriate levels of insurance, and - Possess at least two (2) years experience in similar types of installations. Installations of new meters are to be initiated by the City of Owasso. Requests for installation will be forwarded to the Contractor by Public Works Administration. Upon notification of a request, the Contractor is required to schedule the installation to be completed within ten (10) calendar days from the date of notification. (At the present time, requests for installation can take as long as 60 days based on the workload of the field crews.) Page 2 Water Meter Installation Contract ANALYSIS OF BIDS: Bids were received on March 26, 1998 from five (5) vendors. A comparison of bid unit prices and extension of quantities is presented in Table 1. Based on the bids received, the apparent low bidder is Cunningham Plumbing Co., Inc., Tulsa, Oklahoma. The second low bidder is identified as Owasso Water Meter & Backhoe with a total price differential of $333.70 higher than Cunningham Plumbing. Most of the anticipated installations will be for 3/4" meter sizes, however, and Cunningham Plumbing is $16,014 less than Owasso Water Meter. Evaluation of qualifications of Owasso Water Meter indicated that they presently are based at 5426 S. 108th E. Avenue (55th Street South and Mingo Road in Tulsa) and have been involved in meter installations in Tulsa for approximately 12 years. One of the owners indicated that the name "Owasso Water Meter and Backhoe" was used in the submittal since they would plan to open a small office in Owasso upon award of the contract in order to service the area. Cunningham Plumbing has been performing similar installations in the City of Tulsa for fifteen (15) years. Therefore, based on experience, location and costs, Cunningham Plumbing is considered to be the lowest and best qualified bidder for the contract. An average cost of construction for each meter size was calculated and the price of the appropriate size meter to be provided by the city was added. Analysis of installation costs of the low bid contractor (see Attachment 2) versus use of city forces (see Attachment 3 - meter installations using city personnel) is shown below: TABLE 2 COMPARISON OF CONTRACTOR VS. CITY INSTALLATION COSTS Meter installations by contractor will enable city personnel to focus work efforts on system preventive maintenance. In addition, contracting meter installations will allow the field crews to adjust to continual workload fluctuations without having to hire additional personnel. Requests for meter installations fluctuate largely based on residential building sales and tend to have peak construction times (normally spring and summer). The peak could be met by increasing personnel; however, these personnel may not be needed at other times of the year or in the future should building sales decrease. Projected Contractor City Meter Quantity Installations Installations Price Differential size (FY98 -99) (including water (includes water meter provided by meter) city) 3/4" 350 $423 $422 $1 1" 10 $623 $515 $108 1 -1/2" 5 $1,430 $1,083 $347 2" 5 $1,599 $1,349 $250 Meter installations by contractor will enable city personnel to focus work efforts on system preventive maintenance. In addition, contracting meter installations will allow the field crews to adjust to continual workload fluctuations without having to hire additional personnel. Requests for meter installations fluctuate largely based on residential building sales and tend to have peak construction times (normally spring and summer). The peak could be met by increasing personnel; however, these personnel may not be needed at other times of the year or in the future should building sales decrease. TABLE I BID SUBMITTAL SUMMARY Bid Item Units Quantities Cunningham Plumbing Five Star Plumbing Owasso Water Meter & Backhoe TAPCO of Tulsa Tulsa Utility Contractor Unit Price Total Unit Price Total Unit Price Total Unit Price Total Unit Price Total 170 $350.00 $59,500.00 $480.00 $81,600.00 $395.00 67,150.00 $405.00 68,850.00 $350.00 59,500.00 3/4" - Short each 3/4" - Long each 10 463.64 4,636.40 780.00 7,800.00 620.00 6,200.00 605.00 6,050.00 500.00 5,000.00 3/4" - Crossover each 170 330.00 56,100.00 370.00 62,900.00 770.00 130900.00 600.00 102,000.00 $120,236.40 incomplete $136,250.00 $205,800.00 $166,500.00 SUBTOTAL 427.40 2,137.00 420.00 2,100.00 505.00 2,525.00 500.00 2,500.00 1" -Short each 5 1" - Long each 5 540.80 2,704.00 695.00 3,475.00 755.00 3,775.00 650.00 3,250.00 1 -1 12" - Short each 3 1,091.36 3,274.08 895.00 2,685.00 950.00 2,850.00 1,500.00 4,500.00 1,200.00 3,600.00 1 -1/2" - Long each 2 1,221.36 2,442.72 1,195.00 2,390.00 1,050.00 2,100.00 1,900.00 3,800.00 1,450.00 2,900.00 2" - Short each 3 1,161.42 3,484.26 1,500.00 4,500.00 1,125.00 3,375.00 2,200.00 6,600.00 1,350.00 4,050.00 2" - Long each 2 1,305.65 2,611.30 2,500.00 5,000.00 1,250.00 2,500.00 2,900.00 5,800.00 1,600.00 3,200.00 Pavement Sy 50 110.84 5,542.00 125.00 61250.00 44.50 2,225.00 200.00 10,000.00 Curb & gutter LF 100 157.30 15,730.00 0.00 0.00 24.00 2,400.00 20.00 2,000.00 1 -1/2" boring/casing LF 400 14.09 5,636.00 14.00 5,600.00 17.50 7,000.00 15.00 6,000.00 2" boring/casing LF 100 14.71 1,471.00 14.00 1,400.00 20.00 2,000.00 15.00 1,500.00 3" boring/casing LF 50 15.40 770.00 15.00 750.00 25.00 1,250.00 25.00 1,250.00 4" boring/casing LF 50 20.55 1,027.50 15.00 750.00 35.00 1,750.00 25.00 1,250.00 TOTAL BID SUBMITTAL $167,066.30 $103,975.00 INCOMPLETE $ 167 ,400.00 $249,425.00 $208,000.00 Page 3 Water Meter Installation Contract Contracted installations will enable fluctuations to be handled as needed. Based on the projected quantity of meters to be installed in FY 98 -99, $4415 in additional cost is projected if we use contract meter installations. As a result, staff recommends installation of meter sets by contractor. The following analysis is predicated on costs associated with contractor installations and the establishment of the water connection fees to recover costs of the installation, inspection by city ' personnel and administrative expenses. A summary table of the materials/labor bids, additional fee and the corresponding existing connection fee is shown in Table 3. TABLE 3 COMPARISON OF COST OF SERVICE AND CONNECTION FEE , Service Connection Size Average Bid Price Meter Cost and Other Fees Total Cost of Service elaon 3/4" $343 $155 $498 5 Mawr 1" 484 214 698 -- 1 -1/2" 1,144 361 1,505 2 1219 455 1,674 FUNDING SOURCE: Funding for contracting installation of water meters is included in the FY97 -98 Water Division budget ' in various line items. A portion of the funds will be allocated from Operating Supplies (61 -520- 5220). Depending upon the number of contracted meter sets until the end of the fiscal year, remaining portions of required funds will be available by reallocation within the division line items. The FY98 -99 budget includes funds for contract services. RECOMMENDATION: I Staff recommends Trustees approval of the award of contract for 3/4" to 2" water service installations to Cunningham Plumbing Co., Inc., Tulsa, Oklahoma and authorize payments in accordance with the submitted bid schedule. ATTACHMENTS: 1. Contract Documents and Specifications 2. Bid Proposal - Cunningham Plumbing Co., Inc. 3. City Meter Installation Costs II CONTRACT DOCUMENTS AND BID SPECIFICATIONS FOR 3/4" TO 2" WATER SERVICE INSTALLATIONS MARCH 1998 CITY OF OWASSO OWASSO PUBLIC WORKS AUTHORITY OWASS09 OKLAHOMA CONTRACT DOCUMENTS AND BID SPECIFICATIONS 111615 3/4" TO 2" WATER SERVICE INSTALLATIONS CITY OF OWASSO OWASSO PUBLIC WORKS AUTHORITY OWASSO, OKLAHOMA Table of Contents Notice to Bidders Specifications Detail Drawing Bid Form Bid Affidavit Water Service Installation Bond Insurance Requirements Experience Summary Notice of Award NOTICE TO BIDDERS Sealed Bids will be received by the City of Owasso /Owasso Public Works Authority at the Owasso City Hall, Office of the City Clerk, 207 South Cedar, PO Box 180, Owasso, Oklahoma 74055 until 2:00 p.m. on the 19th day of March, 1998, and then at said City Hall publicly opened and read aloud. This will be for the furnishing of the following item: Installation of water service per specifications. Further information and specification packets can be obtained by contacting the City Clerk at Owasso City Hall during regular working hours. Envelopes containing bids must be marked to identify the item being bid. The City of Owasso /Owasso Public Works Authority expressly reserves the right to reject any and all bids. All bids will be considered irrevocable offers under conditions specified in the bid for a period of thirty (30) calendar days from and after the date herein for the opening of bids. Marcia Boutwell, City Clerk SPECIFICATIONS , FOR 3/4" TO 2" WATER SERVICE INSTALLATIONS A. GENERAL INFORMATION ' 1. The City of Owasso /Owasso Public Works Authority (hereinafter referred to as Owner) is accepting bids for water service installations within the water distribution system. Owner's water distribution system ranges in size from 4 inches to 12 inches in diameter. The water line materials consist of cast iron, transite, ductile iron and PVC. Road bores may be required to install water service. Generally, newer subdivisions (developed since 1990) will have service lines in place under the streets and will not require road bores. , B. WORK TO BE PERFORMED BY CONTRACTOR /COMPANY 1. Provide materials and install all service taps, corporation stops, service lines, water meter setters, fittings, stabilizer bars, water meter cans and lids. 2. Perform all roadway boring as needed. 3. Provide and install all casing pipe, blocking and end seals as needed. 4. Perform all excavation and backfilling as needed. 5. Install water meter provided by Owner. C. MATERIALS TO BE PROVIDED BY CITY OF OWASSO / OWASSO PUBLIC WORKS AUTHORITY. Owner shall provide the Neptune water meters to Contractor for installation. New meter size shall be determined by Owner. D. CONTRACT DURATION/PROJECTED NUMBER OF INSTALLATIONS. ' Owner anticipates award of this contract in April 1998. The term of contract shall be through the end of June 1999. Options for one -year renewal will be with the consent of both parties, for two (2) or more successive one -year periods. The contract may be extended for successive one (1) year terms if agreed to by both parties in writing not less than ninety (90) days prior to the expiration of the initial one (1) year term or any successive one (1) year term. Based on development history, it is anticipated that approximately 350 new meter installations will be required in calendar year 1998. WATER SERVICE INSTALLATION PAGE 2 E. QUALIFICATIONS OF CONTRACTOR op 1. Operator's Certifications 66 The Contractor shall possess a Plumbing Contractor's License and provide certification of this to Owner. All employees performing work under this contract shall be certified as a Class "D" water operator or higher by the Oklahoma Department of Environmental Quality (ODEQ). it ps 2. Water Service Installation Bond The Contractor shall provide to Owner a Water Service Installation Bond for the performance of work in this contract. The bond must be renewed annually and the corporate surety approved by Owner. The Contract shall complete and provide to Owner Attachment "A ", Water Service Installation Bond, for this project. Attachment "A" is provided as a part of these contract documents. 3. Insurance Requirements The Contractor shall carry the insurance listed in Attachment "B ", provided as a part of these contract documents, and provide certifications to Owner. 4. Previous Experience The Contractor shall possess at least two (2) years of experience in water service line and water main installation where other utilities were encountered during construction. A work history shall be provided by Contractor to Owner. As a minimum, Contractor shall provide a summary of previous projects, equipment currently being used, labor force and references with current telephone numbers, by completing Attachment "C", provided with these documents. F. PROCEDURE Installation requests for new service will be processed by Owner. Upon notification of a request, Contractor will be contacted. Installations will be scheduled to be completed within ten (10) calendar days from the date of notification. WATER SERVICE INSTALLATION PAGE 3 NEW WATER SERVICE LINE LNSTALLATION PART 1- GENERAL 1.1 Description This section covers the materials and installation of new water service connections for the City of Owasso /Owasso Public Works Authority, Owasso, Oklahoma. 1.2 Permits Where required, the Owner will obtain all permits to cross any roadway. Copies of the approved permits will be provided the Contractor and must be kept on site by the Contractor. 1.3 Construction Inspection All work under the approved and executed contract shall be inspected by the Owner before final payment will be approved. Contractor shall be responsible for notifying the City of Owasso Public Works Department before tapping of the main line and before backfilling the service line. 1.4 Safety Contractor's representatives shall abide by all local, state and federal safety regulations. Owner has the right to stop any construction where the Contractor is suspected of violating applicable regulations. PART 2 - MATERIALS 2.1 Taping Saddles Tapping saddles shall be Smith Blair Model 313 cast iron tapping saddles equipped with two zinc plated steel straps. 2.2 Corporation Stops The corporation stops shall be manufactured by Ford, Model F -1000. Sizes range from 3/4" - 2" and the ends shall be corporation threaded (CC) by copper tubing size (CTS). 2.3 Service Line Tees The 3/4" x 2" tees used on dual service line installation shall be Ford Model T444 -334 WATER SERVICE INSTALLATION PAGE 4 2.4 Service Line Service line 3/4" - 2" shall be CTS, SDR -9, Class 200 polyethylene service line. Service lines greater than 2" shall be Schedule 40, Class 200 PVC Pipe. 2.5 Compression Fittings Compression fittings shall be #50 Series Ford CTS insert stiffeners. ! 2.6 Meter Setter Water meter setter on 3/4" services shall be a Ford V72- 7W -41 -33 with a 7 inch rise. 1" services shall be equipped with Ford model V74- IOW -41 -44 with a 10 inch rise. Setter ends shall be dual purpose on the customer side and CTS on the service side. 1' /z" services shall be equipped with Ford VV7615WI166 with male adapter Ford model C84- 66 with 15" rise. 2" services shall be equipped with Ford VV7715WI177 with male adapter Ford model C84 -77 with 15" rise. Setters shall be equipped with a stabilizer bar. 2.7 Water Service Meter Water service meters 3/4" to 2" shall be Neptune Pro Read water meters. All meters shall be provided to the Contractor by the Owner unless otherwise directed by the Public Works Director in advance in writing. 1 2.8 Water Service Meter Can 2.81 Water service meters 3/4" to 1" constructed in non -paved areas shall be housed in 18" diameter x 18" deep Brooks polyethylene water meter cans. Meters in paved areas shall be housed in 18" diameter x 18" deep galvanized cans. All water service meters larger than 1" regardless of surface cover shall be located in 36" diameter x 18" deep galvanized cans. 2.82 All meter cans shall be equipped with non - locking cast iron lids and rings manufactured with a 1- 15/16" diameter Pro Read holes for use with wand reader. 2.9 Casing Pipe Casing under paved roadways housing the new water service line shall be SDR -35 PVC or SDR -7, Class 80 polyethylene piping. The casing diameter shall be double the diameter of the water service line. WATER SERVICE INSTALLATION PAGE 5 2.10 Bedding Material Where bedding material is required for the new water service line (As defined in Section 3.4), sand material conforming to the following graduation requirements shall be used: Sieve Mass Percent Passim 3/8 in 100 No. 4 95 -100 No. 16 45 -80 No. 50 10 -30 No. 100 2 -10 Screening material may be substituted for sand for bedding material as long as the material is comprised of 95 % rock chips smaller than 1/a ". Rock or crusher dust shall not be accepted as screening material. PART 3 - EXECUTION 3.1 Construction Sequence The construction of all new water service line shall begin at the connection of the new tapping sleeve with the new /existing main water lines. Construction shall proceed from the new tap to the setting of the new service meter and can. The new water service line shall not be opened for service until inspected and flushed with potable water. 3.2 Water Main Tappinp- Tapping machines shall drill through the corporation stop opening to allow for flow control. The machine shall be equipped with internal teeth or double slots, which will retain the cutting for removal from the pipe. 3.3 Trench Excavation 3.3.1 Trench excavation, regardless of the material encountered, shall be performed to the depths indicated on the Owner's standard detail drawings. 3.3.2 All waste material and excavated material not suitable for final backfill shall be removed and wasted off -site by Contractor. The Contractor shall designate to the Owner the proposed waste site prior to construction. After trenching is complete, Contractor shall remove all loose material from the trenches. Four (4) inches of sand bedding shall be placed in the bottom of trench and leveled uniformly. Contractor shall hand or mechanically tamp the bedding after placement. 3.5 Initial Backfill Contractor shall place sand around and over the pipe, working the sand so that the service line is rigid. Initial backfill shall be placed to a minimum of twelve (12) inches over the pipe. 3.6 Final Backfill 3.6.1 Suitable job excavated backfill free of excess moisture, debris, roots, organic materials, frozen materials, or stones having a maximum dimension of three (3) inches. 3.6.2 In areas where trench excavation material is unacceptable for backfill, the contractor shall provide sand backfill. 3.6.3 Backfill shall be placed over the water service line immediately after the meter ' is completed and inspected. 3.6.4 Grading will be performed to match existing ground contours. 1 11 WATER SERVICE INSTALLATION PAGE 6 3.3.3 The Contractor shall use equipment specifically designed for trenching to install all service lines. Backhoes or portable trenchers are acceptable. Under no circumstances will the Contractor be allowed to use machinery equipped with rock teeth to excavate near any existing water main. 3.3.4 Water shall not be allowed to accumulate in trenches during construction. Contractor shall provide adequate pumping equipment for trench dewatering and construct berms around the trenches to keep run -off water away from the construction. 3.3.5 Shoring shall be used on all trenches over five (5) feet in depth as measured from the top of the existing ground contour to the bottom of the trench regardless of the soil conditions. Sloping or benching the side slopes will be approved on a case -by -case basis by Owner. ' 3.4 Bedding After trenching is complete, Contractor shall remove all loose material from the trenches. Four (4) inches of sand bedding shall be placed in the bottom of trench and leveled uniformly. Contractor shall hand or mechanically tamp the bedding after placement. 3.5 Initial Backfill Contractor shall place sand around and over the pipe, working the sand so that the service line is rigid. Initial backfill shall be placed to a minimum of twelve (12) inches over the pipe. 3.6 Final Backfill 3.6.1 Suitable job excavated backfill free of excess moisture, debris, roots, organic materials, frozen materials, or stones having a maximum dimension of three (3) inches. 3.6.2 In areas where trench excavation material is unacceptable for backfill, the contractor shall provide sand backfill. 3.6.3 Backfill shall be placed over the water service line immediately after the meter ' is completed and inspected. 3.6.4 Grading will be performed to match existing ground contours. 1 11 WATER SERVICE INSTALLATION PAGE 7 3.7 Roadway Cut 3.7.1 The Contractor shall not cut roadways unless prior written approval has been obtained from Owner. 3.7.2 All pavement removal shall be made after Contractor has saw cut completely through the pavement for the entire width of the roadway. 3.7.3 All service lines installed in an open -cut roadway crossing shall be cased and then backfilled with screening material in lieu of sand. The trench line backfill shall be compacted in 6 -inch lifts to 95% standard proctor density. The top 6 inches of the trench shall be filled with compacted aggregate base before the pavement is restored. Pavement restoration shall be the responsibility of Owner. 3.8 Boring 3.8.1 The Contractor shall bore or punch underneath any paved roadway where the water main is on the opposite side of the road of the new service customer. 3.8.2 Bore pits shall be excavated behind the curb so that no damage occurs to the existing roadway. Where sidewalks are present, the bore and receiving pit shall be excavated between the sidewalk and the back of the curb. 3.8.3 Boring shall be performed with the use of machinery specially suited for roadway boring or punching. Auger drilling boring equipment shall be allowed as long as sufficient space is present. Hydraulic machines that either push casing or punch casing underneath roadways are allowed. 3.9 Casinizs 3.9.1 The service line material installed within a casing shall be held in position in the center of the casing using spacers. 3.9.2 Ends of the casing will be sealed to prevent the passage of water through the casing. 3.10 Testing /Connectiniz to Customer Line 3.10.1 Contractor shall flush the new water service installation for at least 5 minutes or until the water clears. The entire length of the line shall be inspected for leaks and repaired, if necessary. 3.10.2 No connection is to be made to the customer line until the entire service installation is inspected by Owner. I rWATER SERVICE INSTALLATION PAGE 8 3.11 Protection of Existing Utilities 3.11.1 The Contractor shall verify all existing utility locations before construction. 3.11.2 The Contractor shall immediately notify Owner and applicable utility company of any damages to existing facilities. 3.11.3 Repairs to the damaged utilities shall be made in accordance with the requirements of the utility owner at no cost to City of Owasso /Owasso Public Works Authority. 3.11.4 Contractor shall coordinate with Owner for any shut -off or connection to an active water main. Existing water service shall not be interrupted except as authorized in writing by Owner. 3.11.5 Valves on the existing water distribution are to be operated by City of Owasso /Owasso Public Works Authority personnel only. PART 4 - MEASUREMENT AND PAYMENT 4.1 Short Service Work items under this category include prospecting for the existing water main, excavating the water main, providing and installing the service tap and corporation stop, trenching for the service line, providing and installing up to 10 linear feet of service line, providing and installing water meter setters, providing and installing the stabilizer bar, installation of the water meter, flushing and testing the installation, installation of the water meter can, backfilling the excavations and grading the site to established ground elevation. Payment will be lump sum, contingent upon acceptance of the installation. 4.2 Long Service Work items in this category include all items included under short service, as well as trenching for the service line on each side of the roadway crossing, providing and installing an additional 40 linear feet of service line, excavation of bore and receiving pits, boring the required hole, providing and installing the casing underneath the roadway, placing the service line in the casing, providing and installing spacers on the service line, and providing and installing seals on the casing ends. Payment will be lump sum, contingent upon acceptance of the installation. GROUND LEVEL NOTE, DUAL SERVICES WILL DE PROVIDED USING 3/4' X V TEE (FORD MODEL T444 -334) MAIN LINE (AWWA C900, CLASS 150, DR18) THE TAP IS TO BE MADE AT A 45' ANGLE UNDISTURBED SOIL 1. SMITH & BLAIR C.I. TAPPING SADDLE (MODEL 313) W /BRASS STRAPS & NUTS 2, CORP ❑RATION STOP (FORD MODEL F -1000) CC BY CTS 3. POLYETHYLENE PIPE (CTS, SDR -9, CLASS 200). 3' SERVICE LINE SHALL BE SCHEDULE 40, CLASS 200 PVC. 4. CTS C❑MPRESSI ❑N FITTING ( #50 SERIES FORD CTS, INSERT STIFFENERS REQUIRED) 5.CTS BY DUAL PURPOSE SETTER A. 3/4' INSTALLATION - FORD V72- 7W- 41 -33, 7' RISE B. 1' INSTALLATION - FORD V74- 10W- 41 -44, 10' RISE C. 1 1/2' INSTALLATION - FORD VV7615W1166(C- 84 -66) WITH MALE ADAPTER, 15' RISE. D. 2' INSTALLATION - FORD VV771SW1177(C- 84 -77) WITH MALE ADAPTER, 15' RISE. 6, 3/4' TO 2' METER (NEPTUNE) - PROVIDED BY CITY 7. DUAL PURPOSE FITTING 8. CUSTOMER SERVICE 9. STABILIZER BAR 10. 3/4' AND 1' INSTALLATION - 18' BROOKS METER CAN 1 1/2' AND 2' INSTALLATION - 36' GALVANIZED CAN W/ CAST IRON LID AND RIM 11. FOR STREETS OR PARKING LOTS, ALL METER CANS SHALL BE GALVANIZED CAN W /CAST IR ❑N LID & RIM. NOTE: BIDS shall not include sales tax. IFNo. I Item Unit Unit price 1. 3/4" Service Setting - Short Service Each 350. 2. 3/4" Service Setting - Long Service Each 463.64 3, 3/4" Service Setting - Cross -over Service Each 330.00 4, 1" Service Setting - Short Service Each 427.40 5. 1" Service Se.tting - Long Service Each 540.80 6. 11h" Service Setting - Short Service Each 1091.36 7. 11h" Service Setting - Long Service Each 1221.36 8. 2" Service Setting - Short Service Each 1161.42 9. 2" Service Setting - Long Service Each 1305.65 10. Pavement Sawcutting, Removal & Disposal S.Y. 110.84 11. Curb & Gutter Sawcutting, Removal & Disposal L.F. 157.30 ` 12. 11h" Boring & Casing L.P. 14.09 I 13. 2" Boring & Casing L.F. 14.71 l4. 3" Boring & Casing LY. 15.40 15. 4" Boring & Casing I..r. 20.55 I hereby acknowledge that I have read the specifications and that I aria legally bound by the statements on the Bid Proposal - Submittal Pages. NNINGHAM PLUMBING CO. INC. Company Nat Signature President Title Address 2723 West 40th St. Tulsa, Oklahoma 74107 18-446-3730 Tel,;phone BID OPENING: THURSD^ MARCH 26, 1998 @ 2:00PAI COMPLETE AND ATTACH THE NON- COLLUSION BID AFFIAAVIT TO B.I.D. F_'. C15 STATE OF Oklahoma COUNTY OF Tulsa NON COLLUSION BID AFFIDAVIT ) ss Jim Cunningham , of lawful age, being first duly sworn, on oath says that (s)he is the agent authorized by the bidder to submit the attached bid. Affiant further states that the bidder has not been a part of any collusion among bidders in restraint of freedom of competition by agreement to bid at a fixed price or to refrain from bidding; or with State, County, or City officials or employees as to quantity, quality, or price in prospective contract, or any discussions between bidder and any State, County, or City official concerning exchange of money or other thing of value for special consideration in the letting of a contract. Name: Jim Cunningham (Cunningham Plumbing Cg . , Inc.) Spature Subscribed and sworn before me this 2or-1 day of D 1998. Nbtarv,- Public My Commission Expires: A NOTE: COMPLETE THIS AFFIDAVIT AND RETURN WITH BID PROPOSAL I ATTACHMENT "A11 WATER SF-RVICE INSTALL61MLKNZ CITY OF OWASSO/ OWASSO PI.JBI.IC WORKS AUTHURIZ'�' KNOW ALL MEN BY THESE PRESENTS: That we, CUNNINGHAM P-1-1-19RIN ; r-9 as C'rinc:ipt+l, and OLD REPUBLIC SURETY COMPANY as Surety, a WTSrnXS1M _ busintss in the State of Oklztlloma, are held and firmly bound unto the City of Owasso, a municipal corporati m, hereinafter referred to as "City and The. Owasso Public: Works Authority, a public crust, hereinafter referred to as "Authority ", In the full and just sum of Ten Thousand 2gllar1 ($10,000), for a period of one year, this payment of which, well and truly to be made, we, and each of us, bind ourselves, our heirs, executors, and assigns, themselves, and its successors and assigns, jointly and severally, firmly by these presents. Dated this ? 5 day of � MARCE - -- , 19 Q 2 - Now, the conditions of this obligation are such that whereas, said Principal has been retained by others to install water tap, casing conduit, service line, meter and meter enclosure in compliance with requirements and policies of the City and Authority under the City u-- dinartces, the Principal will faithfully comply in all respects with all said policies and requirements anC'. relevant provisions of the City and Authority, and said Principal stall promptly pay all charges or fees as required by the City and Authority. And further, said Principal shall install water service to the Ac-t;rority water distribution system in accordance with the requirements set forth in detail in the Standard Specifications for Eater Service Installations of the City of Owars ^. It is also agreed that the principal shall maintain each water service installation project thereunder in the sum set forth above against any failure due to workmanship or material for a period of one (1) year from the date of acceptance of ;he project by the City and Authority. It is further agreed that in the even: said Principal shall fail to maintain his workmanship and materials in a manner satisfactory to the Director of the Public Works Department of the City, hereinafter referred to as "Director ", for a period of one (.) year from the acceptance of said project by the Owasso Public Works Authority or the City of Owasso, or in the event the Principal shall fail to pay either his employees or for his materials, then this bond shall not terminate, and the director upon thirty (30) days notice to the Principal and the failure of the Principal upon the expiration of thirty (30) days to make or to pay the cost of all necessary repairs, or to pay his employees or for his materials, the Director shall have the discrepancies corrected in a proper manner at the expense of the Principal, Said Cost shall be computed by the Director, based on actual cost plus administrative expense, which shall include, but not be limited to, material, labor, fringe benefits, and administrative expense. And, if upon the expiration of said thirty (30) days notice, the necessary repairs have not been made or said amount ascertained has not been paid by the Principal or Surety herein, then said cost plus my expense incurred by the Authority or City or on its behalf to recover ,aid cost shall become due aiic a suit may be maintained w recover said amounts in any court or cum )ete.nt jurisdiction. And that amount shall be concluwivv up,)n the parties as the amount due on thi-: t and for the repairs and payments included therein, and that ttic cost shall be so determined from time to time during the life of this brand as conditions may require:. It is turther expressly agreed and undvr3tood by the parties hereto that no changes or alterations. and no deviations from the plan or mode of procedure herein fixed shill. have the effect of releasing the sureties. or any of them, from the obligations of this Bond. I (-TTLI ATTEST: Contractor (Principal) By: Tit....................... t,SEAL) OLD REPUBLIC SURETY COMPANY Surely APPROVED AS TO FORM: Attorney for the City of Owasso/ Owasso Public World Authority Attorney-in- (Acwmpany this Bond with a Nwer-of -Attorney) OLD REPUBLIC SURETY COMPANY POWER OF ATTORNEY KNOW ALL MEN BY THESE PRESENTS: That OLD REPUBLIC SURETY COMPANY, a Wisconsin stock insurance corporation, does make, constitute and appoint: GEORGE L. MILLER, OF TULSA, OK its true and lawful Attorney(s) -in -Fact, with full power and authority for and on behalf of the company as surety, to execute and deliver and affix the seal of the company thereto (if a seal is required), bonds, undertakings, recognizances or other written obligations in the nature thereof, (excluding: Criminal Bonds or recognizances, Supersedeas Bonds of any kind, Defendants Court Bonds in Judicial Proceedings, Community Administration Bonds, Contractors Bid, Performance, Payment and Completion Bonds, Motor Fuel Distributors Bonds, Consignee and Consignor Bonds, Bail Bonds, Bank Depository Bonds, Mortgage Deficiency Bonds, Mortgage Guaranty Bonds, Guaranties of Installment Paper and Note Guaranty Bonds); as follows: R ALL WRITTEN INSTRUMENTS IN AN AMOUNT NOT TO EXCEED AN AGGREGATE OF ONE HUNDRED THOUSAND DOLLARS($100,000) --- - - - - -- FOR ANY SINGLE OBLIGATION, REGARDLESS OF THE NUMBER OF INSTRUMENTS ISSUED FOR THE OBLIGATION. and to bind OLD REPUBLIC SURETY COMPANY thereby, and all of the acts of said Attorneys -in -Fact, pursuant to these presents, are ratified and confirmed. This appointment is made under and by authority of the board of directors at a special meeting held on February 18, 1982. This Power of Attorney is signed and sealed by facsimile under and by the authority of the following resolutions adopted by the board of directors of the OLD REPUBLIC SURETY COMPANY on February 18, 1982. RESOLVED that the president, any vice - president, or assistant vice - president in conjunction with the secretary or any assistant secretary, may appoint attorneys -in -fact or agents with authority as defined or limited in the instrument evidencing the appointment in each case, for and on behalf of the company to execute and deliver and affix the seal of the company to bonds, undertakings, recognizances, and suretyship obligations of all kinds; and said officers may remove an,i such attorney -in -fact or agent and revoke any power of attorney previously granted to such person. RESOLVED FURTHER that any bond, undertaking, recognizance, or suretyship obligation shall be valid and binding upon the Company (i) when signed by the president, any vice - president or assistant vice - president, and attested and sealed (if a seal be required) by any secretary or assistant secretary; or when signed by the president, any vice - president or assistant vice- presicert, secretary or assistant secretary, and countersigned and sealed (if a seal be required) by a duly authorized attorney -in -fact or agent; or (iii) when duly executed and sealed (if a seal be required) by one or more attorneys -in -fact or agents pursuant to and within the limits of the authority evidenced by the power of attorney issued by the company to such person or persons. RESOLVED FURTHER that the signature of any authorized officer and the seal of the company may be affixed by facsimile to any power of attorney or certification thereof authorizing the execution and delivery of any bond, undertaking, recognizance, or other suretyship obligations of the company; and such signature and seal when so used shall have the same force and effect as though manually affixed. IN WITNESS WHEREOF, OLD REPUBLIC SURETY COMPANY has caused these presents to be signed by its proper officer, and its corporate seal to be affixed this 1 6 T H day of T A N U A R Y Asst. Secretary STATE OF WISCONSIN, COUNTY OF WAUKESFfA — SS OLD REPUBLIC SURETY COMPANY President On this .6 T H_ day of_JANUARY , 19g3 . personally came before me, DONALD L. BOWEN and PATRICIA A. MORTAG to me known to be the individuals and officers of the OLD REPUBLIC SURETY COMPANY who executed the above instrument, and they each acknowledged the execution of the same, and being by me duly sworn, did severally depose and say; that they are the said officers of the corporation aforesaid, and that the seal affixed to the above instrument is the seal of the corporation, and that said corporate seal and their signatures as such officers were duly affixed and subscribed to the said instrument by the authority of the board of directors of said corporation. Si E, . :'HOTAq — Notary Public N °Ueuc,!y. d rE ._...�0 01/31/93 -� °.. WAS, :- My commission expires: CERTIFICATE I, the undersigned, assistant secretary of the OLD REPUBLIC SURETY COMPANY, a Wisconsin corporation, CERTIFY that the fore- going and attached power of attorney remains in full force and has not been revoked; and furthermore, that the Resolutions of the board of directors set forth in the Power of Attorney, are now in force. o SEAL i_ 087 -8757 MILLER, GEORGE L. & Signed and sealed at the City of Brc,:kfield, WI this C§ day of _, 19 l Assistant Secretary THIS DOCUMENT IS NOT VALID UNLESS PRINTED ON COLORED BACKGROUND AND IS MULTI - COLORED 03 26,,98 THU 10: PRODUCER ,Bryce Insurance P O Box 3142 Tulsa OX 74101 -3142 Donald B. Sands Phone No 919— .riAA -1 A9-3 FAX 918 582 1329 Cunningham Plumbing Ca P 0 Box 9491 Tulsa OK 74157 -0491 CE 001 nls CERTIFICATE IS ISSUED ASA MATTER OF lNFORMA3 ON6 /9E ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER, THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. COMPANIES AFFORDING COVERAGE COMPANY - 582 -1329 A Transcontinental Ins, Co. COMPANY B COMPANY C COMPANY D THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELO EXCLUSIONS AND COO W HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIO CERTIFICATE MAY ISSUED OR MAY P INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH TH S ERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. co LTR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE POLICY EXPIRATION GENERAL LIABILITY DATE (MWDDIYY) DATE (MM/DDIYY) LIMITS A X COMMERCIAL GENERAL LIABILITY CLAIMS MADE F7X OCCUR OWNER'S & CONTRACTOR'S PROT AUTOMOBILE LIABILITY _I ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON -pWNEO AUTOS GARAGE LIABILITY ANY AUTO i S106610493 GENERAL AGGREGATE 5 1,000,000 09/01/97 09/01/98 PRODUCTS•COMPIOPAGG 31,000 000 PERSONAL &ADVINJURY 31,000,000 EACH OCCURRENCE S 1,000,000 FIRE DAMAGE (Any one flre) 3 5 0 0 0 0 fP I MED EXP (Any one person) f 5 000 COMBINED SINGLE LIMIT g EXCESS LIABILITY UMBRELLA FORM OTHER THAN UMBRELLA FORM WORKERS CDMPENSATION AND EMPLOYER& LIABILITY A THE PROPRIETOR/ PARTNERSrgcECUTIVE n INCL WC300068626 OFFICERS ARE; R FXCL OPERA ITEMS BODILY INJURY (Per person) $ R f BODILY INJURY (Perseeld PROPERTY DAMAGE I S AUTO ONLY . EA ACCIDENT $ OTHER THAN AUTO ONLY: EACH ACCIDENT $ AGGREGATE S EACH OCCURRENCE $ AGGREGATE 3 CR EL EACH ACCIDENT $500,000 09/01/97 09/01/913 ELOISEASE.POUCVLIMrr $500,000 ELDISEASE -EA EMPLOYEE $500,000 CITOWA1 SHOULD ANY OF THE ABOVE DESCRIBED POLIVE6 BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL MAIL City Of Owasso 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, Owasso Public~ Works Authority SUCH NOTICE SHALL IMPOSE NDOaLIGATIONORLIABILITY 207 S Cedar OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES. Owasso OK 74055 ATTACHMENT "B" INSURANCE REQUIREMENTS FOR CERTIFIED WATER SERVICE INSTALLATION CONTRACTORS - PLUMBERS AND UTILITY CONTRACTORS The Contractor shall carry and keep in force policies of insurance in minimum amounts as set forth below or as required by the laws of the State of Oklahoma. The Contractor shall also furnish an Owner's Protective Policy, with the Owasso Public Works Authority and the City of Owasso as the named insured, issued by the same insurance company as the Contractor's liability insurance. The Contractor shall furnish certificates of such insurance which shall provide that such insurance will not be canceled by the insurer without first giving the City of Owasso /Owasso Public Works Authority thirty (30) days written notice of cancellation. In addition, renewal certificates must be provided to the City of Owasso /Owasso Public Works Authority within thirty (30) days of the start of the new policy period. The certificate holder with be the City of Owasso /Owasso Public Works Authority, 207 S Cedar, Owasso, Oklahoma 74055. Personal injury, each person $100,000 Personal injury, nal in'ur each accident 500,000 Personal damage, each occurrence 100,000 Property damage, aggregate 100,000 Employer's Liability and Worker's Compensation the amounts required by law. Automobiles and trucks (owned hired and non - owned) Personal injury, each p erson $100,000 Personal injury, each accident 500,000 Personal damage, each occurrence 100,000 The Contractor shall furnish certificates of such insurance which shall provide that such insurance will not be canceled by the insurer without first giving the City of Owasso /Owasso Public Works Authority thirty (30) days written notice of cancellation. In addition, renewal certificates must be provided to the City of Owasso /Owasso Public Works Authority within thirty (30) days of the start of the new policy period. The certificate holder with be the City of Owasso /Owasso Public Works Authority, 207 S Cedar, Owasso, Oklahoma 74055. THU 10:31 FAX 918 582 1329 Bryce Insurance P 0 Box 3142 Tulsa, OK 74101-3142 Phone - 918-584-1433 Fax: 918-582-1329 City Of Owasso Owasso Public Works Authority 207 S Cedar Owasso, OX 74055 MEMO 1c&bt f R77,- CUNNI-1 DA OCP Policy CGLS 03126198 09/01/97 09 /o 1/98 This is ' to advise an Owners Protective Pol*ic*'Y' Wi"t"h" the Owasso PUb*`1'Ic::-::- Works Authority and the City of Owasso as the named insured, will be issued as required. This is contingent upon the above contractor being the successful bidder. This policy will he written with the same Carrier that is Providing the contractor's general liability coverage, per the certificate of insurance which is enclosed. Dana Simmons ATTACHMENT "C" EXPERIENCE SUMMARY Previous Water Service Line/Water Main Installations: ' Fifteen (15) years of Water Tap Installation for the City of Tulsa. Equipment Presently Used (owned by the Contractor): -1- John Deere Backhoe -1- Ditch Witch Backhoe -1- 2300 Ditch Witch Trencher with Backhoe Present Labor Force: Fourteen (14) Employee Work Force, with four (4), Twenty (20) year Employees. References (Names /Addresses/Telephone Number): Bob Bryant : Retired City of Tulsa Employee (Water Works) 756 -8814 Deloris Smith Retired City of Tulsa Employee (Water Works) 428 -1028 Janet Brock: City of Tulsa Employee (Water Works) 596 -9456 Patty Parks: City of Tulsa Employee (Engineering) 596 -9244 SHER -MAR HOMES: Mark Williams 232 -8839 & David Brown 446 -5727 CONCEPT BUILDERS: Toby Powell 743 -4584 RENAISSANCE PROP: Kenny Jones 272 -2929 SOUTHERN BUILDERS & STEVE BROWN CO. Steve 584 -3226 M 0 COZORT CO. : M 0 Cozort 488 -0290 VROOMAN- CARPTENER HOMES: Jno. Vrooman & Forest Carpenter 583 -8256 PLUM HOMES: Leo Nave 455 -3939 TIMBER CARVER HOMES: Terri Gordon 272 -9415 - Tom Gabriel 258 -8713 HENRY DESIGNS: Dave Henry 743 -7785 NOTICE OF AWARD TO: Cunningham Plumbing Co. Inc 2723 West 40 St. Tulsa, Oklahoma 74107 Project Description: 3/4" to 2" Water Service Installations The City of Owasso /Owasso Public Works Authority has considered the BID submitted by you for the above described item in response to its invitation to bid. You are hereby notified that your BID has been accepted for the amounts submitted on the attached Bid Proposal - Submittal page. You are required to return an acknowledged copy of this NOTICE OF AWARD to the City of Owasso /Owasso Public Works Authority. Dated this day of , 1998. CITY OF OWASSO, OKLAHOMA OWASSO PUBLIC WORKS AUTHORITY Title: Contract Administrator ACCEPTANCE OF NOTICE Receipt of the above NOTICE OF AWARD is hereby acknowledged by this day of Title: METER INSTALLATION COSTS - 3/4' Materials Total Unit Installation Oty Item Description Cost Costs 1 18' Meter Box w /cast iron lid w/Pro read hole 21.48 1 3/4' CTS Corporation Stop 9.33 1 3/4' Double Band Tapping Saddle 19.00 1 3/4' CTS x Dual Purpose Setter 28.75 2 314' Stainless Steel Inserts 1.38 1 314' x 5/8' Pro Read Neptune Water Meter 79.33 Service Line (10L17 0.80 Subtotal 160.07 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe P $50 /hour) 100.00 TOTAL - Short $300.07 Additional for long service Bore (301-F) 240.00 Service Line (201-F) 4.00 Subtotal 244.00 TOTAL - Long $544.07 METER INSTALLATION COSTS - 1' Materials t. Total Unit Installation �O j_ Rem Description Cost Costs 1 18' Meter Box w /cast iron lid w /Pro read hole 21.48 ' 1 1' CTS Corporation Stop 14.30 1 1' Double Band Tapping Saddle 19.00 ' 1 1' CTS x Dual Purpose Setter 2 1' Stainless Steel Inserts 55.65 1.50 1 1' Pro Read Neptune Water Meter 138.82 Service Line (10LF) 2.70 ' Subtotal 253.45 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe @ $501hour) 100.00 TOTAL -Short $393.45 Additional for long service Bore (301-F) 240.00 Service Line (201-17 4.00 ' Subtotal 244.00 TOTAL - Long $637.45 METER INSTALLATION COSTS -1 1/2' Materials Page 2 Total Unit Installation Oty Item Description Cost Costs 1 24 *-W Galvanized Meter Can Complete 139.67 1 1 112' CTS Corporation Stop 50.00 1 1 1/2' Double Band Tapping Saddle 35.00 1 1 1/2' CTS x Dual Purpose Setter 255.75 1 1 1/2' Brass Meter Fig Pack 21.50 2 1 112' Adapter 29.00 1 1 1/2' Pro Read Neptune Water Meter 286.00 Service Line (10LF) 4.50 Subtotal 821.42 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe 0 $501hour) 100.00 TOTAL - Short $961.42 Additional for long service Bore (301-F) 240.00 Service Line (201-17) 4.00 Subtotal 244.00 TOTAL - Long $1,205.42 METER INSTALLATION COSTS - 2' Materials Total Unit Installation Cfty item Description Cost Costs 1 241-W Galvanized Meter Can Complete 225.00 1 Z CTS Corporation Stop 64.45 1 Z Double Band Tapping Saddle 45.00 1 2' CTS x Dual Purpose Setter 280.53 1 2 Brass Meter Fig Pack 30.00 2 Z Adapter 53.00 1 Z Pro Read Neptune Water Meter 380.00 Service Line (10LF) 8.90 Subtotal 1086.88 Labor (2 hours -2 employees) 40.00 Equipment (Backhoe Q $50/hour) 100.00 TOTAL - Short $1,226.88 Additional for long service Bore (301-F) 240.00 Service Line (201-F) 4.00 Subtotal 244.00 TOTAL - Long $1,470.88 Note: Materials have increased 15% per year. 7/10/97