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HomeMy WebLinkAboutPR 24880: RATIFY AND AUTHORIZE PAYMENTS FOR THE EMERGENCY SEWER REPAIR AT 3800 JIMMY JOHNSON BLVD City of ort rotor TeAas INTEROFFICE MEMORANDUM Date: April 1, 2026 To: The Honorable Mayor and City Council Through: Ronald Burton, CPM, City Manager From: Calvin Matthews, P.E.,Water Utilities Director RE: PR No. 24880—Ratify and Authorize Payments for the Emergency Sewer Repair at 3800 Jimmy Johnson Blvd. Introduction: The intent of this Agenda Item is for the City Council to ratify the repairs and authorize the payments to SETEX Construction Corp. of Beaumont,Texas,for the emergency sewer repair at 3800 Jimmy Johnson Blvd in the total amount of$588,284.46. Background: A sanitary sewer manhole at 3800 Jimmy Johnson Boulevard collapsed, resulting in a sewer overflow that posed an immediate threat to public health and safety. The incident was reported to the Texas Commission on Environmental Quality(TCEQ) and required immediate corrective action. Upon further inspection, it was determined that two (2) connected 10-inch clay sanitary sewer lines had also collapsed, causing upstream backups and expanding the scope of the emergency. These failures were not visible during the initial assessment. The affected infrastructure is located approximately fifteen(15)feet below grade,requiring specialized construction methods, including pipe bursting,to minimize disruption to traffic along Jimmy Johnson Boulevard. On October 2, 2025, the City issued an Emergency Memo authorizing SETEX Construction Corporation ("SETEX") to proceed with repairs for an estimated amount of $300,000.00. SETEX's initial proposal totaled $293,284.46 and included repair of three (3) manholes, replacement of 10-inch and 12-inch sewer lines,bypass pumping, and surface restoration. During construction, unforeseen subsurface conditions and additional infrastructure failures were encountered, resulting in expanded work and project delays. Due to the urgent need to eliminate ongoing sewage impacts affecting 9th Avenue, 3800 Jimmy Johnson Boulevard, and Honeywood Trail, SETEX continued work without interruption. "Remember,we are here to serve the Citizens of Port Arthur" On March 16, 2026, SETEX submitted a request for an additional $295,000.00 to cover costs associated with the unforeseen conditions and necessary additional work. SETEX has since completed all repairs and submitted pay applications totaling$588,284.46, which includes both the original scope and the additional work performed. Legal Authority The emergency procurement of these services without competitive bidding is authorized under Section 252.022(a)(1) of the Texas Local Government Code, which permits expenditures necessary to address a public calamity, and Section 252.022(a)(2), which permits expenditures necessary to preserve or protect public health and safety. Budget Impact: The total budgetary impact is$588,284.46,and funding is available in CIP Account 405-40-000- 8516-00-00-000, Project No. WS0032.0TH Recommendation: It is recommended that the City Council approve PR No. 24880, ratifying and authorizing the payments totaling $588,284.46 for the emergency sewer repairs as discussed/outlined above. "Remember,we are here to serve the Citizens of Port Arthur" PR No. 24880 4/1/26 cm- tnr RESOLUTION NO. A RESOLUTION RATIFYING EMERGENCY SEWER REPAIRS AT 3800 JIMMY JOHNSON BOULEVARD AND AUTHORIZING PAYMENT TO SETEX CONSTRUCTION CORPORATION IN THE TOTAL AMOUNT OF $588,284.46, WITH FUNDING FROM CIP ACCOUNT NO. 405-40-000- 8516-00-00-000, PROJECT NO. WS0032.OTH WHEREAS,the collapse of a manhole located at 3800 Jimmy Johnson Boulevard resulted in a sanitary sewer overflow, creating an immediate threat to public health, safety, and property; and WHEREAS, the incident was reported to the Texas Commission on Environmental Quality(TCEQ) and required immediate corrective action; and WHEREAS, subsequent inspection revealed that, in addition to the collapsed manhole, two (2) connected 10-inch clay sanitary sewer lines had also failed, causing upstream backups and necessitating additional emergency repairs not visible during the initial assessment; and WHEREAS, on October 2, 2025, the City issued an Emergency Memo authorizing SETEX Construction Corporation ("SETEX") to perform emergency repairs in an estimated amount of$300,000.00, based on SETEX's proposal of$293,284.46 for the repair of three (3) manholes, replacement of 10-inch and 12-inch sewer lines via pipe bursting,bypass pumping, and surface restoration, attached hereto as Exhibit "A"; and WHEREAS, due to the depth of the sewer infrastructure (approximately fifteen(15) feet) and the necessity to minimize disruption to traffic along Jimmy Johnson Boulevard, specialized construction methods were required; and WHEREAS, during the course of construction, unforeseen subsurface conditions, additional infrastructure failures, and urgent service impacts affecting 9th Avenue, 3800 Jimmy Johnson Boulevard, and Honeywood Trail necessitated expanded work and caused project delays; and WHEREAS, on March 16, 2026, SETEX submitted a request for additional compensation in the amount of$295,000.00 to address such unforeseen conditions and complete the emergency work, attached as Exhibit "B"; and WHEREAS, SETEX completed all necessary repairs on an expedited basis to mitigate ongoing public health risks associated with potential citizen exposure to sanitary sewer overflows within the affected zone; and PR No. 24880 4/1/26 cm- tnr WHEREAS, SETEX has submitted pay applications totaling $588,284.46, representing $293,284.46 for the original scope and $295,000.00 for additional work, attached as Exhibit"C"; and WHEREAS, the City Council finds that the procurement of these services without competitive bidding is authorized pursuant to Section 252.022(a)(1) of the Texas Local Government Code due to a public calamity requiring immediate expenditure to protect public health and property,and pursuant to Section 252.022(a)(2)to preserve and protect the public health and safety of the City's residents; and WHEREAS, funding for this expenditure is available in CIP Account No. 405-40-000- 8516-00-00-000, Project No. WS0032.0TH. NOW THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR, TEXAS: THAT,the facts and opinions in the preamble are true and correct, and THAT, the City Council hereby ratifies the work and authorizes the payments to SETEX Construction Corporation of Beaumont, Texas, for the emergency sewer repair at 3800 Jimmy Johnson Boulevard, and THAT, the City Council hereby authorizes payment to SETEX Construction Corporation in the total amount of$588,284.46, as reflected in Exhibit"C," and THAT, funding for said payment shall be provided from CIP Account No. 405-40-000- 8516-00-00-000, Project No. WS0032.OTH, and THAT, a copy of the caption of this Resolution shall be spread upon the Minutes of the Meeting of the City Council. READ, ADOPTED, AND APPROVED this day of , 2026 at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: AYES:Mayor Councilmembers: .NOES: Charlotte M. Moses Mayor PR No. 24880 4/1/26 cm Page 3 of 3 APPROVED AS TO FORM: Roxann Pais Cotroneo City Attorney APPROVED FOR ADMINISTRATION: Ronald Burton City Manag -Cz A- LA Suhail Kanwar, P.E. Director of Public Services Ca yin Matthews, P.E. Water Utilities Director APPROVED AS TO THE AVAILABILITY OF FUNDS: Lynn yn) Boswell, A CGFO Finance Director ` r ) IA1 Clifton . Williams Jr. CPPB Purchasing Manager Exhibit "A" (Emergency Memo) Ctn'uj ,• ort rthu� INTEROFFICE MEMORANDUM Date: October 2, 2025 To: The Honorable Mayor and City Council Through: Ronald Burton, CPM,City Manager From: Calvin Matthews, P.E.,Director of Utilities RE: Emergency Repair of 10" Sewer lines and the manhole at 3800 Jimmy Johnson Blvd. The manhole on 3800 Jimmy Johnson Blvd collapsed and overflowed. The situation was reported to TCEQ. The city staff and contractor were mobilized immediately to fix the infrastructure. After cleaning the line and manhole, the contractor found that two of the connected 10"clay sanitary sewer lines had also collapsed,which caused the sewer backup to the upstream. The sewer line is approximately 15 feet deep. This would also lead to a failure of the Jimmy Johnson Blvd.,causing public health and safety issues. The sewer lines need to be pipe-bursting to keep the traffic flow on Jimmy Johnson Blvd.The manhole needs to be excavated and replaced; however, until it is excavated, the full extent of the problem remains unknown. Based on the existing situation, the estimated expenditure for the repair is approximately$300,000.00,which includes the installation of three manholes,one 10-inch sewer pipe replacement, and one 12-inch sewer pipe replacement, as per SETEX Construction. I,Ronald Burton,hereby ap• eve this emergency repair. 41111)...F. err\tit Ron Burton, CP City Manager "Remember,we are here to serve the Citizens of Port Arthur" [ tEN tx001H IM CINISIRUrpay "Strength in Construction" Proposal Letter LA License#70090 Matling Address 10/2/2025 C? Sor 20673 Seiiurriont 77720-0676 Jess Liao City of Port Arthur Water Utility Engineer O ..09) 342-313: 4444 4th Street ▪ (409)y42-2274 Port Arthur, TX 77641 • setel:gsere.,co.no`ru,^.L!on corn Project: Emergency Sanitary Sewer Pipe Burst Sete ccn;::!•:!,en corn Scope: Pipe Burst 2851f 10"/5751f 12" per.erc`C,Qnr,actrn.g Ms. Liao, The pipe bursting for the Emergency 3800 Jimmy Johnson BLVD Sewer Replacement pricing ..Luis. u' on il•77;''t.Ie.mer,t -- as follows: This scope includes: • Install of fiberglass manholes. • Pipe bursting • Bypass Pumping Item rate quantity total ;;`,;r? '• "" '= ' ''' Pipe Burst 10" $ 401.10 285 $ 114,313.50 Man Hole $ 9,375.98 2 $ 18,751.96 /'7�!:1,)! Pipe Burst 12" (300'Max per run) $ 257.20 575 $ 147,890.00 Man Hole $ 12,329.00 1 $ 12,329.00 inausir'0,' Total $ 293,284.46 *This Proposal excludes Asbestos Abatement. If unable to bury in place, any Asbestos containing material is to be disposed of as property of the City of Port Arthur. Please advise if this proposal requires any additional scope. /!,;, ;,e Kind Regards, Coroorate yet Derick Robinson Edoca1'or Project Manager 'er or n-un Ale, I Corr A,nhti,. Established 1990 Exhibit "B" (Emergency Memo Increase) iEm 51ETEX soot IN CONSTRI00# "Strength in Construction" 3/16/2026 LA License#70090 Jess Liao 114aiiing Address. City of Port Arthur P.O. BoY 20673 Water Utility Engineer Beaumont, Texas 77720-0678 4444 4th Street Port Arthur, TX 77641 O (409)342-8 t8 t Project: Emergency Memo Increase $ ((409)542-2274 Scope: Emergency Pipe Bursting and MH Install setex( setexconstruction.corn Ms. Liao, setexcanstruction.corn We are pleased to inform you that the sewer system connecting Honeywood Trail and 9th General Contracting Avenue by way of Jimmy Johnson Boulevard is now operational. Construction Management As you are aware, there were many unforeseen issues and delays that occurred during the 3800 Jimmy Johnson Project. Due to the urgent need to correct the sewage Design-Build problems affecting 9th Avenue, 3800 Jimmy Johnson Boulevard, and Honeywood Trail, SETEX expedited the process as quickly as possible to eliminate the exposure of City of Port job Order Contracting Arthur residents to sewage spilling into the street. We are sending this letter to document that overage costs beyond the emergency Facilities Maintenance memo amount of$300,000.00 (performed without profit) have been incurred in the amount of Commercial $247,000.00 and continue to rise. Due to the nature of the work at the entrances to First Church of God (3800 Jimmy Industrial Johnson Blvd), we are currently in the process of restoring the site to its original condition. Therefore, we respectfully request that the emergency memo be amended to reflect, at Government minimum, an additional $295,000.00 to cover the overage costs incurred during this emergency project. Healthcare Kind Regards, infrastructure pg,cz Corporate Derick Robinson Education Project Manager Performing Arts Historical Beaumont Nacogdoches Port Arthur Established 1990 Exhibit "C" (Payment Applications) w y N r C ,r, w d, 4.'0 0 In w . 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