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HomeMy WebLinkAboutMinutes_GTEC_05.18.2011Minutes of the Meeting of Georgetown Transportation Enhancement Corporation and the Governing Body of the City of Georgetown, Texas Wednesday, May 18, 2011 The Georgetown Transportation Enhancement Corporation of the City of Georgetown, Texas, met on Wednesday, May 18, 2011. Board Members Present: Gabe Sansing - President, Tommy Gonzalez, Kevin Kelly, Richard Anderson, Paul E. Brandenburg - General Manager Board Members Absent: Matthew Painter, Micki Rundell, Dale Ross, Ray Armour Staff Present: Jim Briggs, Jana Kern, Ed Polasek, Bill Dryden, Trina Bickford, Vickie Graff, Lorie Lankford, Mark Sokolow OTHERS PRESENT: Susan Merriman & Chuck Glace - CHASCO Constructors, Duane McGlauflin - DNT Construction, David Patrick - KPA. Minutes Regular Meeting Mr. Gabe Sansing called the regular GTEC Board meeting to order on Wednesday, May 18, 2011 at 2:07 PM. Board may, at any time, recess the Regular Session to convene in Executive Session at the request of the President, a Board Member, the City Manager in his capacity as General Manager of the GTEC Corporation , the Assistant City Manager, or legal counsel for any purpose authorized by the Open Meetings Act, Texas Government Code Chapter 551, and are subject to action in the Regular Session that follows. I. STAFF BOARD COMMENTS/QUESTIONS: (This is a short informational time regarding items where specific actions are not requested or needed) A. Introduction of visitors. B. Industry/CAMPO/TxDOT Updates: Lakeway Bridge will be going out to bid on the next State bid cycle. CAMPO now has a call out for STP-MM projects that just came out this week for about $79M for road and bicycle/pedestrian projects. C. Project Progress Reports D. Monthly Financial Report II. LEGISLATIVE REGULAR AGENDA: (This is for specific action items considered by the Board – greater than $50,000 in value) E. Consideration and possible approval of the minutes from the regular meeting held April 20, 2011 -- Paul Brandenburg Discussion: None Action: Motion by Gonzalez seconded by Sansing to approve minutes as presented. Approved 4-0-3 (Matthew Painter, Dale Ross, & Ray Armour absent) F. Consideration and possible action to appoint Board Officers consistent with Section 3.02 of the GTEC Bylaws -- Gabe Sansing Discussion: Sansing state that since this is his last meeting, he requested that this item be placed on the agenda. I would like to nominate Ray Armour to be the next GTEC Board President. Armour has been on this board since 2007 and has a working knowledge of the current projects. And just for the record, I new that Armour would not be present today and him if it would be alright to nominate him and he agreed. Action: Motion by Sansing, seconded by Anderson to appoint Ray Armour as President Approved 4-0-3 (Painter, Ross, & Armour absent) Sansing asked the Board if they wanted to elect the Vice President and Secretary now or wait until the June Meeting. The Board members, that were presented, decided to wait until June. G. Consideration and possible action to award a Construction Contract for Road - way and Drainage Construction of Southeast Arterial One from Maple Street to SH 130. -- Ed Polasek Discussion: Briggs wanted to clarify to the Board that at the last GTEC Board meeting an unexpected item came up at the last minute. It had not been communicated, and it was something that impacted the costs through the project budget that staff had to investigate it was relocation of utilities within the right of way so the contract would be cleared to move forward with the project. We now have good numbers and I feel comfortable to move forward. GTAB did consider t his item. They did consider a lot of the issues associated with the entities that had bid the project. GTAB did make a recommendation to City Council that DNT be awarded the contract for construction of this project. Polasek stated that shortly before the April GTEC meeting, Atmos Energy, which has an easement and a gas transmission line across both the proposed Southwestern Blvd & SE 1 alignments, presented a cost estimate of $1.46M for relocating it transmission line. That amount was totally unexpected. Consequently, the item was pulled from the agenda to allow staff time evaluate the finical impact to the overall project budget. Staff entered into discussions with Atmos Energy to determine what costs could be eliminated or reduced; the revised estimate has been reduced by $500K. Staff has completed an Overall Project Budget worksheet of all remaining/outstanding expected costs showing that there is enough money in the propose budget for this project. Staff has received and reviewed the bids for completeness and the apparent low bidder is DNT Construction, LLC with a bid amount of $6,286,850.00; it is also the engineers recommendation. There is a big difference between the low bidder and the seconded low bidder. This is primarily due to the limestone base, evacuation and compact fill portions of the contract scope. However, the evaluation of DNT work history completing similar projects with similar type of compact fill and excavation have been favorable in our reviews of their references. Staff has consulted with City of Georgetown Legal Department, asking if DNT Construction did meet the City's bidding requirements and is a legally qualified bidder. DNT Construction has not be disqualified as far as staff is aware, so staff is recomm ending DNT Construction for this project. Sansing asked David Patrick, of KPA, to explain to the GTEC Board why KPA is recommending DNT for this project. Patrick stated that there were 115 bid items in this bid. Out of that there were four bid items that separates the low bidder from the second low bidder. With the difference being $800K that did make us a little nervous. Patrick did spend a tremendous amount of time reviewing the bids. Patrick did meet with DNT. At that meeti ng they reviewed DNT's plan, ask why they were so low on these items so we could fully understand how they were going to execute their plan. All of the references, that were listed in there document, were called. Everyone of them were favorable. KPA w ent above and beyond that contacting references that did not have listed, including several projects that DNT is doing for Williamson County at the present time. Spoke with four individuals with Williamson County, including Joe England, again all of the responses were favorable. Also spoke with the people that were involved with the Wolf Ranch Parkway - DNT was a subcontractor to the General Contractor, again favorable comments. Researched DNT through TxDOT, found out that DNT is an approved through TxDOT to do work up to $30M. What that means is if TxDOT has a $30M job they could award it to DNT with not questions asked. Patrick also stated that he has been to their office in Round Rock, Texas and reviewed what equipment that have. KPA has done a lot of due diligence reviewing DNT and we have only received positive responses concerning DNT. Sansing asked Mark Sokolow - City of Georgetown Attorney to give a brief overview of his findings. Sokolow stated that in the contract documents it talks about five year experience as a business is required under the current contract name. It also states that changes in the company name during the experience period are acceptable if the continuity of the company structure can be demonstrated. In the qualification statement DNT referred to the experience that they had with Rodman. Rodman has filed for bankruptcy in January 2011. Some of the companies involved in the Rodman bankruptcy are A Greater Austin Development and J. D. Ramming. DNT has told us that they are able to use subcontractors A Greater Austin Development and J.D. Ramming and in a UCC lien search indicates that DNT has been able to get financing from RDO Equipment, General Electric Capital Corp. and Deere Credit for equipment that they have obtained. DNT is also bonded. Susan Merriman - Secretary Treasurer of CHASCO Constructors informed the Board on some of the jobs that CHASCO has done for the City. Stated that on March 23, 2011the City of Georgetown opened five sealed bids for the construction of Southeast Arterial 1 Phase 1. The low bid in the amount of $6,286,850.00 was submitted by DNT Construction. The second lowest bid at $7,091,193.00 was submitted by CHASCO. CHASCO is here today to challenge the bid submitted by DNT Construction. Since the projects listed as DNT experience, were actually constructed by Rodman, LLC entity, the assets and resources of the entire consolidated Rodman LLC organization would have to be available to perform this work. Fo r a successor to be able to use this Rodman LLC experience as their own experience, it would be necessary for the successor to acquire Rodman LLC in their entirety. That did not happen. DNT merely carved out a specific geographic portion of Rodman LLC o perations, namely the Central Texas portion. There was lengthy discussion on DNT's years of experience. Duane McGlauflin - DNT Construction, LLC gave an overview of the 30 year work experience that he has. Worked for JC Evans, Rodman and started my own company DNT Construction. McGlauflin stated that he has done a lot of large projects moving dirt. For SE 1 project, we analyzed the hauls and how we are going to do the hauls. We went and found a piece of equipment that would move 36 yards per trip compared to 12 yards per trip. This will be a big cost savings. DNT staff has spent a lot of time analyzing the numbers. We met with the City of Georgetown staff providing schedules and explaining how we budgeted this project etc. so their comfort level would be satisfied. DNT provided a ton of references that support the fact that we can do what we say we can do. DNT has 100% performance bond by a AAA Bonding company. Action: Motion by Gonzalez, seconded by Anderson to awarded a construction contr act to DNT Construction, LLC for the SE 1 Phase 1 from Maple Street to SH 130 project. Barring legal advice otherwise. Approved 3-1-3 (Sansing against, Painter, Ross, & Armour absent) H. Consideration and possible action of approval for Task Order No. TCI 11 -002 with Terracon Consultants, Inc, of Austin, Texas, for professional Services related to Construction Materials Testing for Southeast Arterial One Project in an amou nt not to exceed $300,000.00 – Bill Dryden/Ed Polasek Discussion: Dryden stated that this task order is for the required material testing for the SE 1 Phase 1 project. The only pays for passing tests. If the test fails the contractor will be requ ired to pay for that test. The total amount of this task order is for $300,000.00 (79% or $237,000.00 will be funded by GTEC, 21% or $63,000.00 will be funded by GTAB). Action: Motion by Gonzalez, seconded by Kelly to approve Task Order TCI 11 -002 for an amount not to exceed $300,000.00 Approved 4-0-3 (Painter, Ross, & Armour absent) Adjourn Motion by Anderson, seconded by Kelly to adjourn meeting. Approved 4-0-3 (Painter, Ross, & Armour absent) Adjournment The meeting was adjourned at 03:10 PM. Approved : Attest: _______________________ ________________________ Gabe Sansing - President Ray Armour - Secretary