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HomeMy WebLinkAbout04-09-18 City Commission Packet Materials - C7. PSA with Summit Utility Services for Locating Services Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: John Alston, Water Sewer Operations Superintendent Craig Woolard, Director of Public Works SUBJECT: Authorize the City Manager to sign the Professional Services Agreement with Summit Utility Services for Locating Services. MEETING DATE: April 9, 2018 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to sign the Professional Services Agreement with Summit Utility Services. BACKGROUND: State Law requires all utility owners to locate and mark underground infrastructure within two business days of a locate request. The City of Bozeman Water Department and Streets/Signs and Signals Departments currently locate all water, sewer, stormwater, signals, lights and wellheads within the City. Locate requests require significant staff resources. Routine and preventative maintenance tasks throughout the City have been deferred because of the high volume, variable nature, and statutory deadlines of locate requests. Late last year, Public Works staff investigated the potential for contracting locate services. Other utilities that utilize contracted locate services were consulted to determine best practices. And the capacity of the contracting community was evaluated. In February, Public Works prepared a request for proposals for all locate services. Two responsive proposals were received. Summit Utility Services submitted the low bid for unit costs for utility locates. Summit has been in business 7 years and is currently locating for Centurylink in Montana, North Dakota, and Idaho. The City will be charged a unit price for each locate requests. Costs vary on the type of locate. Based on the projected volume of locate requests, the estimated yearly costs will be $157,761 for Water/Sewer, $11,680 for Storm water, and $17,000 for Streets/Signs and Signals. Public Works has held two positions vacant in anticipation of contracting out locate services. Those vacancy savings will be used to cover contract costs in the current fiscal year. Contract costs have been included in the next fiscal year budget. UNRESOLVED ISSUES: None ALTERNATIVES: Reject contract and continue to use City staff for locates. FISCAL EFFECTS: Current fiscal year expenses for this contract are within the allocated budget. Anticipated expenses for FY19 have been included in the Public Works Divisions budgets. 106 Attachments: Professional Services Agreement Exhibit A: Summit Utility Services, LLC RFP Submittal Report compiled on: 3/29/2018 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124