Recommendation
Staff recommends the Mayor and Council Award "Verizon Fiber to the Premises (FTTP) Constructability Plan Review and Construction Inspection Services" to CTI Consultants, Inc via the Master Order Contract #8-08 (Category F) for a total not to exceed $120,000 to provide engineering plan review and construction inspection services for the citywide project.

Discussion
Verizon desires to install a new fiber optic cable network throughout the City of Rockville. This project is known as FTTP. Verizon will eventually offer telephone, high speed Internet, and cable television services collectively known as FiOS (Fiber Optic Service). The FTTP Project Agreement which was presented earlier provides the terms and conditions under which Verizon would use the City's rights-of-way, and obtain Public Works permits, including associated fees.

Negotiations with Verizon reached a significant impasse due to the current Public Works Utility Permit fee schedule. The City negotiators proposed an alternate fee structure that would recover all City costs. As part of the Verizon FTTP Project Agreement, the City will utilize the services of a consultant to provide constructability plan review and construction inspection for the project. Verizon will pay for all costs associated with this contract. Verizon will provide funds in advance of work being completed. Work will be suspended in the event that Verizon does not provide adequate funds.

CTI Consultants, Inc.'s unit price cost proposal is in the best interest of the City and is detailed below:

Description	Estimated Quantities	Unit	Unit Price	Estimated Unit Total
Constructability Plan Review	86	Permits	$332.56	$28,600
Inspector	1,760	Hours	$36.00	$63,360
Engineer Support	80	Hours	$95.00	$7,600
		Estimated Contract Totals		$99,560

While this proposal does not exceed $100,000, based upon the estimated number of permits and hours in the proposal, staff is requesting a higher authorization. The requested amount, not to exceed $120,000, is due to the likelihood that actual inspection hours and number of permits may exceed the estimates in the proposal. Verizon provided information for which this work was estimated. However, Verizon will determine the exact number of permit requests and has scheduling control over their contractors and staff to determine the length of construction inspection required.

Mayor and Council History
This is the first time this item has been brought before the Mayor and Council. This item follows the Mayor and Council approval of the Verizon FTTP Project Agreement and Fee Resolution adoption for the Department of Public Works Utility Permit fees.

Procurement Information
At its October 22, 2008 meeting, the Mayor and Council awarded RFP #8-08 to various firms for architectural and engineering services in the aggregate amount not to exceed $1,000,000 through June 30, 2008 with the option to extend for four additional one-year periods. Consistent with that contract award, any individual task that exceeds $100,000 is to be presented to the Mayor and Council for approval prior to the Purchasing Department issuing an award (i.e. Purchase Order).

Staff issued a Request for Task Order Proposal according to contract #8-08 to all three contractors under Group F - Geotechnical Engineering and Construction Support Services. A pre-proposal conference was completed on April 30, 2008. Cost Proposals were received on May 9, 2008 as follows:

Contractor	Location	Amount
CTI Consultants, Inc.	Rockville, Maryland	$99,560
Century Engineering	Hunt Valley, Maryland	$115,740
Specialized Engineering	Ijamsville, Maryland	$409,680

Fiscal Impact
No appropriated funds will be used for this contract award. Verizon will pay the City for all costs associated with this contract. Verizon will provide funds in advance of work being completed in a draw-down (liability) account. The City may take action, up to and including, suspension of Verizon permits if adequate funds are not available.

Next Steps
Purchasing to issue a contract to CTI Consultants, Inc. in the amount of $99,560 via Master Order Contract #8-08.

Department Head:



Craig Simoneau, P.E.; , Director of Public Works
Approved on: 06/04/2008

City Manager:

Scott Ullery, City Manager
Approved on: 06/04/2008