Title
Approval of Bid No. 26-37 East Rd 14” Water Transmission Line Project in the amount of $1,762,570.88
Recommended Action
I move that the Board of Public Utilities recommend the Award of Bid No. 26-37 for the East Rd 14” Water Transmission Line Project to NM Underground Utilities, Inc. with the base bid of $1,264,299.00, Bid Alternate A-1 in the amount of $309,425.00, and a 12% contingency in the amount of $188,846.88, for a Total Project Amount of $1,762,570.88, including NMGRT and forward to Council for approval.
Utilities Manager's Recommendation
The Utilities Manager recommends that the Board approve the motion as presented.
Body
The existing 14-inch steel transmission waterline along NM-502, installed in 1949, is approximately 6,700 feet long and has experienced increasing failures due to corrosion. This line is a critical component of Los Alamos’ water system, conveying high-volume supply from Otowi Well #4. When failures occur, up to half of the community’s water supply can be disrupted, impacting residents, commercial customers, the airport, and the wastewater treatment facility.
Due to its age, deteriorating condition, and high consequence of failure, including loss of fire protection across a large area. This pipeline is a top priority for replacement. Continued failures pose significant risks of extended outages, operational strain, and public safety concerns.
Replacement with a new 14-inch ductile iron pipeline will improve reliability, restore system resilience, and ensure consistent water service and fire protection for the community.
Alternatives
The existing 14-inch transmission line continues to deteriorate, increasing the likelihood of more frequent failures, extended outages, and reduced fire protection for a significant portion of the community. Delays in replacement may also result in the loss of the currently available 90% grant funding. Staff will continue to pursue this project to maintain system reliability and secure available funding.
Fiscal and Staff Impact
The project has been budgeted through Water Production in FY 2026 in the amount of $3,000,000.00 ($2,250,000 Grant / $250,000 Loan, $500k County Match). This is Loan/ Grant No. WPF-6584, dated January 23, 2026, and included as Attachment “B”.
Attachments
A - IFB 26-37 Construction Plans
B - Loan/Grant No. WPF-6584