REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Travis Hopkins, Acting City Manager
VIA: Chau Vu, Director of Public Works
PREPARED BY: Lili Hernandez, PE, Principal Civil Engineer
Subject:
title
Accept the lowest responsive and responsible bid and authorize execution of a construction contract with Vortex Services, LLC dba Sancon Technologies in the amount of $1,599,942.70 for the Fiscal Year 23/24 Sewer Lining Project, CC-1777; and Approve an appropriation of $525,000 from the Sewer Service Fund
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Statement of Issue:
On April 10, 2025, bids were received electronically for the Fiscal Year 23/24 Sewer Lining Project. City Council action is requested to award the construction contract for $1,599,942.70 to Vortex Services, LLC dba Sancon Technologies, the lowest responsive and responsible bidder.
Financial Impact:
Total funds for the project, including contingency and supplemental expenses, are estimated at $1,900,000. Currently, $1,375,000 is available in the Sewer Fund Account (51189024.82600). Staff requests an additional $525,000 appropriation from the Sewer Service Fund (511).
Recommended Action:
recommendation
A) Accept the lowest responsive and responsible bid submitted by Vortex Services, LLC dba Sancon Technologies in the amount of $1,599,942.70; and
B) Authorize the Mayor and City Clerk to execute a construction contract in a form approved by the City Attorney; and
C) Appropriate $525,000 from the Sewer Service Fund (511) to Account 51189024.82600.
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Alternative Action(s):
Reject bid or provide staff with alternative action.
Analysis:
The Engineering and Utilities Divisions identified the need to rehabilitate existing sewer pipes based on maintenance history and video inspection. The project includes lining approximately 23,500 lineal feet of aged sewer main lines identified as the priority segments for this project. The locations would benefit from lining as the existing pipes have either calcium deposits from groundwater seepage through minor cracks and joints, or have joints impacted by tree roots from adjacent mature trees located on parkways. These calcium deposits and roots restrict sewage flow and will be removed prior to lining for improved efficiency. Lining of the pipes is a trenchless operation performed by inserting a cured-in-place liner inside the existing pipe to form a replacement pipe. This is an important, efficient, and cost-effective method for rehabilitating sewer main lines, helping to restore and maintain proper service while preventing sanitary sewer overflows. The project also includes rehabilitation of 86 manholes to further enhance system reliability.
Bids were advertised electronically beginning on March 17, 2025 through April 10, 2025. Only one bid was received, which was from Vortex Services, LLC dba Sancon Technologies. Sancon (now operating as Vortex Services) has successfully completed the City’s Annual Sewer Lining Project for the past four years through the City’s open competitive bidding process. As a locally based contractor in Huntington Beach, their proximity reduces mobilization costs and contributes to their strong familiarity with the City’s sewer infrastructure, resulting in consistently competitive bids. Their submitted bid of $1,599,942.70 is approximately $200,000 below the Engineer’s Estimate of $1,800,000.
Staff recommends awarding a contract to Vortex Services, LLC dba Sancon Technologies in the amount of $1,599,942.70. The total project cost is estimated to be $1,900,000, which includes the construction contract, a 10% construction contingency, and material testing and inspection.
Environmental Status:
This action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly.
Strategic Plan Goal:
Goal 6 - Infrastructure Investment, Strategy C - Conduct an assessment of all City facilities to determine priorities for upgrades and repairs, implementation and financial priority.
Attachment(s):
1. City Funded Construction Contract
2. Location Map
3. PowerPoint Presentation