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Authorize competitive solicitation and contract with lowest responsive and responsible bidder for construction of the Interstate Operations Building Renovation Project at an estimated cost of $3,160,000
The City of Portland ordains:
Section 1. The Council finds:
- Portland Water Bureau’s Interstate Operations Building was constructed in 1992 to provide office and laboratory space for the Water Bureau Operations group.
- The building is over 30 years old and many building components need to be replaced.
- The Interstate Operations Building Renovation Project (Project) will make needed repairs to the Water Quality Lab’s mechanical systems, replace the original roof membrane, repair and replace failing windows, and repair the building’s brick façade.
- The Project’s design is focused on reducing energy costs and creating a safer and more reliable workplace for Portland Water Bureau staff and improvements in temperature controls for the Water Quality Lab.
- The current cost estimate for construction based on the 60% design is $3,160,000. Funding has been requested for construction of the Project in the amount of $2,615,000 in fiscal year (FY) 2024–25 Budget and $545,000 in the FY 2025–26 Budget.
NOW, THEREFORE, the Council directs:
- The Chief Procurement Officer is authorized to conduct a competitive solicitation for the lowest responsive and responsible bidder for the construction of the Interstate Operations Building Renovation Project in accordance with Chapter 5.34 of the Portland City Code.
- Upon the Council’s acceptance of the Chief Procurement Officer’s Report to Council recommending the lowest responsive and responsible bidder, the Chief Procurement Officer is authorized to execute a contract, provided the contract has been approved as to form by the City Attorney’s Office.
- The Mayor and Auditor are hereby authorized to draw and deliver checks chargeable to the Water Fund when demand is presented and approved by the proper authorities.
Official Record (Efiles)
An ordinance when passed by the Council shall be signed by the Auditor. It shall be carefully filed and preserved
in the custody of the Auditor (City Charter Chapter 2 Article 1 Section 2-122)
Passed by Council
Auditor of the City of Portland
Simone Rede
Impact Statement
Purpose of Proposed Legislation and Background Information
Portland Water Bureau’s Interstate Operations Building was constructed in 1992 to provide office and laboratory space for some of the bureau’s most critical operations. The building is over 30 years old, and many building components need to be replaced.
When Interstate Operations Building Renovation Project (Project) is complete, the building will use less energy, be safer for staff, address temperature control issues in the lab and extend the life of the asset.
The purpose of this Ordinance is to authorize the City Procurement Office to bid and award a contract for the construction of the Project.
Financial and Budgetary Impacts
The current cost estimate for construction based on the 60% design is $3,160,000. Funding has been requested for construction of the Project in the amount of $2,615,000 in fiscal year (FY) 2024–25 Budget and $545,000 in the FY 2025–26 Budget.
The total Project estimate is $3,694,000, which includes project management and design, construction management, inspection, permit fees, contingency, and the construction contract. Based on the guidelines detailed in the Project Estimate Confidence Level Rating Index, the confidence level is medium. The proposed legislation will not create, eliminate, or re-classify any positions now or in the future.
Community Impacts and Community Involvement
The Project is not expected to impact the community and no public involvement is planned. The work will remain within the footprint of the existing Operations Building, which is on the Water Bureau’s Interstate Campus in the Eliot neighborhood of North Portland.
The Project will provide job and business opportunities for the contracting and construction community.
Additional building insulation and more energy efficient mechanical systems will reduce carbon emissions, improving City livability.
100% Renewable Goal
An Energy Trust of Oregon Technical Analysis Study estimated that the completed Project will reduce the building’s electricity use by as much as 26% and natural gas by 57%. This does not account for the additional insulation being added on the roof, which will result in additional energy cost savings.
This action will decrease the City’s total energy use. This action has no impact on the City’s renewable energy use.
Financial and budget analysis
Analysis provided by City Budget Office
The design stage for the project is 60% and the bureau estimates that the project authorized in the ordinance will cost $3.16 million. The overall cost estimates for the project have medium confidence. The bureau has enough resources to support the project as projected.