HomeMy WebLinkAbout2023-02-06 J01E_10 Gas Blanket Bid Contract Amend 2_InfraSourceAGENDA ITEM:
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: February 6th, 2023.
AGENDA ITEM:Consideration of approval of a resolution approving Amendment No. 2 to City
of Waukee Blanket Contract 2021-2022 [InfraSource Construction, LLC]
FORMAT:Resolution
SYNOPSIS INCLUDING PRO & CON: This is a two-year contract extension for gas services
related to construction of gas mains for new subdivisions, repairs of gas utility facilities and/or
relocation of existing gas facilities for road construction projects. The larger than expected increase
for this next season is due to inflationary pressures of fuel, labor, equipment repair and rental.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS: This extension has an 11.5%
increase to unit prices for the first year and a 4% increase for the second year. The City will have the
options to continue the contract or not for calendar year 2024.
COMMISSION/BOARD/COMMITTEE COMMENT:
STAFF REVIEW AND COMMENT:
RECOMMENDATION: Approve the resolution.
ATTACHMENTS: I. Contract Extension Proposal.
II. Inflationary Pressures 2022/23 Explanation.
PREPARED BY:Beth Richardson
REVIEWED BY:Tim Royer TLR
PUBLIC NOTICE INFORMATION –
NAME OF PUBLICATION:
DATE OF PUBLICATION:
J1E10
THE CITY OF WAUKEE, IOWA
RESOLUTION 2023-
APPROVING AMENDMENT NO. 2 TO THE CITY OF WAUKEE BLANKET
CONTRACT 2021-2022 [INFRASOURCE CONSTRUCTION, LLC]
IN THE NAME AND BY THE AUTHORITY OF THE CITY OF WAUKEE, IOWA
WHEREAS, the City of Waukee, Iowa is a duly organized municipality within Dallas County;
AND,
WHEREAS, the City of Waukee entered into an agreement with Infrasource for gas main
installation, steel gas main replacement, large service line installation and gas main repair during
the construction phase of new subdivision within the City on February 1, 2021 (RES#2021-044);
AND,
WHEREAS, the City and Infrasource Construction desire to extend the gas service contract for
an additional two-years; AND,
WHEREAS, in addition to the extension of the contract, the amendment reflects an increase for
the next season due to inflationary pressures of fuel, labor, equipment repair, and rental; AND,
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Waukee that the
Amendment No. 2 to City of Waukee Blanket Bid Contract 2021-2022 [InfraSource
Construction, LLC] is hereby approved.
Passed by the City Council of the City of Waukee, Iowa, and approved this the 6th day of
February, 2023.
____________________________
Courtney Clarke, Mayor
Attest:
___________________________________
Rebecca D. Schuett, City Clerk
RESULTS OF VOTE: AYE NAY ABSENT ABSTAIN
Anna Bergman Pierce
R. Charles Bottenberg
Chris Crone
Larry R. Lyon
Ben Sinclair
___________________________________________________________________________________
430 W Pioneers Blvd
Lincoln, NE 68522
402-806-6803
InfraSource Construction, LLC
City of Waukee, IA
Inflationary Pressures - 2022/2023
Labor
Average annual increase for labor of 3.5% (foreman, operators, laborers, fusers, etc.)
Fuel
IFS has seen increases in fuel of 43% over the past year ($4.51/gal in 2022 vs $3.15/gal in 2021)
Fuel Surcharges
IFS has been subject to fuel surcharges from OTR carriers for delivery of equipment and
aggregates.
Fleet Repair and Maintenance
IFS has seen increases in repair parts and maintenance labor costs of 25% over the past year. In
addition, when equipment is in for repairs, it requires another rental charge to replace the
vehicle being repaired. Due to lack of availability of parts, this may take several weeks.
Fleet Rental
IFS equipment rental rates increased 8% in 2022 vs 2021