Title
Proposed Amendment No. 2
Contract No. 2000970
Rehabilitation of Screened Final Effluent (SFE) Pump Station
CIP #216008/BCE Score: 63.2
Body
Agenda of: January 24, 2024
Item No.: 2024-007
Amount: Original Contract $3,399,730.00
Amendment No.1 488,611.00
Proposed Amendment No. 2 0.00
Total Contract Amount $3,888,341.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: January 5, 2024
RE: Proposed Amendment No. 2
Contract No. 2000970
Rehabilitation of Screened Final Effluent (SFE) Pump Station
Vendor: NORESCO LLC
MOTION
Upon recommendation of Navid Mehram, Chief Operating Officer - Wastewater Operating Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 2000970, Proposed Amendment No. 2, “Rehabilitation of Screened Final Effluent (SFE) Pump Station” with NORESCO LLC, with no increase in cost for a total cost not to exceed $3,888,341.00 and an increased duration of 223 days for a total duration of 1,275 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
GLWA awarded Contract No. 2000970 “Rehabilitation of Screened Final Effluent (SFE) Pump Station” to NORESCO LLC (Design/Build Contractor), with a start work date of April 5, 2021. The Contract is a progressive design build broken into two phases. The first phase (current activities) includes alternative evaluations, basis of design report, 30% design, 60% design and finally a lump sum price and cost savings. The second phase will include completing design, construction, startup, commissioning, training, measurement/verification, and guaranteed savings (future amendment, anticipated later in 2024).
JUSTIFICATION
The scope of the Phase 1 work was increased in Amendment No. 1 which included, but was not limited to the following:
• Increase redundancy of the disinfection system by adding a sodium hypochlorite feed connection from the hypo building to the chlorine carrier water junction chamber.
• Increase resiliency by providing backup water for both the intermediate and high-pressure secondary water supplies.
• Determine the risks of using SFE for chlorine carrier water vs. costs to treat.
• Conduct field surveys of the Water Resource Recovery Facility (WRRF) to identify opportunities for water reduction and conservation.
• Redesign new SFE pump station to include future (uninstalled) capacity and increase access to equipment.
Upon submittal of the draft 60% design documents, additional time was required to review the benefits and impacts of the expanded design effort. Additionally, time was spent reviewing the escalated Opinion of Probable Construction Cost (OPCC) for the project. There is now an agreement between the parties on what will be included in the final 60% design submittal and the scope of the work and approach to establishing the Guaranteed Max Price (GMP) and subsequent lump sum pricing for the project. The time required to achieve consensus on the scope of the project resulted in the requested increase in the contract duration, with no increase in cost of work.
PROJECT MANAGEMENT STATUS
Original Contract Time 1,052 Days (04/05/2021 - 02/20/2024)
Amendment No. 1 0 Days
Proposed Amendment No. 2 223 Days (02/21/2024 - 09/30/2024)
New Contract Time 1,275 Days (04/05/2021 - 09/30/2024)
PROJECT ESTIMATE
Original Contact Price $3,399,730.00
Amendment No. 1 488,611.00
Proposed Amendment No. 2 0.00
New Contract Total $3,888,341.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Wastewater Construction Bond
Cost Center: Sewer Water
Expense Type: Design Build (5421-892211.000-616900-216008)
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $3,399,730.00
Amendment No. 1 488,611.00
Amendment No. 2 0.00
Contract Total $3,888,341.00
Amended Financial Plan Estimate $58,300,000.00
Balance reserved for construction: $57,911,659.00
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on January 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.