Title
Proposed Amendment No. 1
Contract No. 1901767
Newburg Road Booster Pumping Station Improvements
CIP #132015 / BCE Score: 58.9
Body
Agenda of: April 24, 2024
Item No.: 2024-146
Amount: Original Contract $3,503,413.00
Proposed Amendment No. 1 485,000.00
Total Contract Amount $3,988,413.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: March 27, 2024
RE: Proposed Amendment No. 1
Contract No. 1901767
Newburg Road Booster Pumping Station Improvements
Vendor: Brown and Caldwell, LLC
MOTION
Upon recommendation of Cheryl Porter, Chief Operating Officer - Water and Field Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 1901767, Proposed Amendment No. 1, “Newburg Road Booster Pumping Station Improvements” with Brown and Caldwell, LLC, at an increased cost of $485,000.00 for a total cost not to exceed $3,988,413.00 and an increased duration of 1,651 days for a total duration of 3,469 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
GLWA Contract No. 1901767 is a consulting engineering services contract providing design, construction administration, and resident project representation (RPR) services related to capital improvements at the Newburg Road Booster Pump Station (Newburg Station) located in Livonia. The Newburg Station was constructed in the mid-1960s and the station’s pumping units, process mechanical, building mechanical, electrical distribution, and electrical switchgear are original to the station. The water system demands of its service area exceed the firm capacity of the station. The Newburg Station takes on additional importance in the transmission system as the 14 Mile Road Transmission Main Loop Project (CIP #122013) will require that the Newburg Station pump flows to the Haggerty Station reservoir through the new transmission main between 8 Mile and 14 Mile Roads. Furthermore, the station’s isolation valves, pumping units and electrical switchgear have exceeded their useful service life and require replacement. As a result, a new station is needed to reliably meet current and long-term system demands. Three alternatives were evaluated, they are:
1. Construct the new station at the existing site.
2. Acquire land adjacent to the existing site, expand the site to include the acquired land, and construct the new station.
3. Acquire a new lot on the opposite side of 8 Mile Road and construct the new station on this property.
Alternative three (3) has been chosen, land is acquired, and the conceptual design for the new station is near completion. This project has been on hold for several years due to prolonged property acquisition process, GLWA CIP budget re-alignment, and GLWA projects re-evaluation needs, and is now re-starting. Also, the original contract did not account for the procurement phase time, Operations and Maintenance (O&M) engineering services and did not account for anticipated supply chain and labor availability. This proposed Amendment No. 1 is to amend the original Engineering Services contract to cover all these issues at an additional contract cost of $485,000.00 and contract extension of 1,651 days.
JUSTIFICATION
The existing station is beyond rehabilitation and does not have firm capacity to meet the current system demands of its service area. Construction of a new station with sufficient capacity will allow GLWA to meet the current and future service area demands, as well as reduce the long-term O&M costs associated with servicing older equipment.
PROJECT MANAGEMENT STATUS
Original Contract Time 1,818 days (02/05/2020 - 01/27/2025)
Proposed Amendment No. 1 1,651 days (01/28/2025 - 08/05/2029)
New Contract Time 3,469 days (02/05/2020 - 08/05/2029)
PROJECT ESTIMATE
Original Contract Price $3,503,413.00
Proposed Amendment No. 1 485,000.00
New Contract Total $3,988,413.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Water Construction Fund
Cost Center: Water Field Engineering
Expense Type: Construction (5519-882411.000-617950-132015)
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $ 3,503,413.00
Proposed Amendment No. 1 485,000.00
New Contract Total 3,988,413.00
Amended Financial Plan Estimate 3,503,000.00
Estimating Variance ($ 485,413.00)
The award of this amendment provides a negative variance of $485,413.00. A budget amendment will be processed to transfer funds from capital reserves.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on April 10, 2024. The Operations and Resources Committee unanimously recommended that the GLWA Board adopt the resolution as presented.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.