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Water meter tender costs on track
June 25, 2012.
Water meter tender
costs on track
The tenders
for the purchase and installation of district-wide water
meters have come in under the budget estimate, which is good
news, says Councillor Mike Cardiff.
“There were one or two doubters with non-technical backgrounds who said ‘yeah right’ when Council first said the installation work could be done for $8 million or less. Well, the tender bids are now in and I’m very happy to say the combined totals are well within the budget estimate.
“I’m especially pleased that a local company is recommended for the northern contract and a New Zealand-wide company in the running for the southern contract intends to use local contractors.”
A report going to Council on Thursday (June 28) recommends local company Thomas Plumbing Ltd is awarded the northern installation contract for the tendered price of $2.280 million. A contingency of $430,000 will take this to $2.710 million. Thomas Plumbing is locally based and is currently carrying out building services installations for the Coastlands Aquatic Centre and the Civic Building upgrade project.
The other bidder for the northern contract was Land Matters Ltd.
The June 28 report recommends the southern contract be awarded to Downer. Their bid is for $2.083 million. A contingency of $395,000 will take this to $2.475 million. The other bidders for the southern contract were Land Matters Ltd, Mills Albert Ltd, Thomas Plumbing Ltd and City Care Ltd.
Downer is the incumbent reticulation maintenance contractor for Horowhenua District Council and says it will initially use resources from its existing Horowhenua team but will hire local Kapiti contract plumbers as the contract progresses.
Six suppliers of approved materials were approached to provide quotes for meters, manifolds and meter boxes to be purchased by Council for the project on the basis that any contract award would be provisional on a decision by Council on the implementation of district-wide water meters.
The June 28 report says the two preferred suppliers are Deeco Services Ltd of Petone (for the water meters) and Acuflo Industries Ltd of Levin (for the brass manifolds and AMB300 boxes) for a combined cost of $2 million.
The report shows the three contracts will total $7.885 million. This includes the contingency elements for the northern and southern contracts plus anticipated project management costs of $700,000. The project estimate in the Long Term Plan 2012-2014 (after incorporating CPI increases) is $8.185 million.
The report indicates the work on the northern and southern contracts will both start in August with work on the northern contract finishing in October 2013 and the southern contract finishing in December 2013.
A trial period will then follow with residents receiving two “dummy” statements during that period so they can gauge their water use and take corrective actions if required. Billing under the new system will not begin until July 1, 2014.
A formal Council decision on the tender bids is expected on June 28.
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