Title
Proposed Change Order No. 2
Contract No. 2101878-1
Construction Agreement for the HAZMAT Building Rehabilitation
CIP #260901/BCE Score: 52.1
Body
Agenda of: June 26, 2024
Item No.: 2024-216
Amount: Original Contract $2,932,000.00
Change Order No. 1 0.00
Proposed Change Order No. 2 176,250.00
Revised Contract $3,108,250.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: June 14, 2024
RE: Proposed Change Order No. 2
Contract No. 2101878-1
Construction Agreement for the HAZMAT Building Rehabilitation
Vendor: LaSalle Construction Services, Inc
Designer: Wade Trim
MOTION
Upon recommendation of Navid Mehram, Chief Operating Officer - Wastewater, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 2101878-1, Proposed Change Order No. 2, "Construction Agreement for the HAZMAT Building Rehabilitation" with LaSalle Construction Services, Inc, at an increased cost of $176,250.00 for a total cost not to exceed $3,108,250.00 with no increase in duration for a total duration of 548 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
GLWA awarded LaSalle Construction Services, Inc. (Contractor) the construction agreement for the HAZMAT Building Rehabilitation. The purpose of this contract is to do a comprehensive renovation of the existing HAZMAT facility including the expansion of the equipment bay, building envelope upgrades, complete interior renovations, site upgrades, and the demolition of the guard shack. Change Order No. 1 revised the contract end date to November 27, 2024, and although work is progressing, there is additional work that the building department has required that requires additional funds within the contract to complete.
JUSTIFICATION
The original provisionary allowance amount for this contract was $200,000.00 and is completely exhausted. This Change Order No. 2 requests an additional not to exceed $176,250.00 to the contract to undertake the following issues:
A. Adding oil/water separator per City inspector requirements: $18,171.59
B. Increase in asphalt pavement replacement for asphalt area adjacent to the work area found in poor condition: $18,710.37.
C. During the course of the project, there have been several concurrent delays that contributed to the overall delay of the project. The contractor “LaSalle” has submitted a request for $106,250 for additional general conditions cost. The project team is assessing the claim through a delayed impact analysis. The results will be discussed and negotiated with LaSalle. Not to exceed $106,250 is requested to resolve this claim. An additional $33,118.04 is requested to ensure availability of provisionary allowance to address any unforeseen conditions until the completion of the project. All unused amounts will be credited back to GLWA via the final change order.
PROJECT MANAGEMENT STATUS
Original Contract Time 366 days (05/30/2023-05/29/2024)
Change Order No. 1 182 days (05/30/2024-11/27/2024)
Proposed Change Order No. 2 0 days (05/30/2023-11/27/2024)
New Contract Time 548 days (05/30/2023-11/27/2024)
PROJECT ESTIMATE
Original Contact Price $2,932,000.00
Change Order No. 1 0.00
Proposed Change Order No. 2 176,250.00
New Contract Total $3,108,250.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Sewer Construction Fund
Cost Center: Wastewater
Expense Type: Construction (5421-892211.000-616900-260901)
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $2,932,000.00
Change Order No. 1: 0.00
Proposed Change Order No. 2: 176,250.00
New Contract Total: $3,108,250.00
Amended Financial Plan Estimate: $2,932,000.00
Estimating Variance: ($176,250.00)
If approved, Proposed Change Order No. 2, a negative estimated variance of ($176,250.00) is created. This variance will be funded from Capital Reserves.
COMMITTEE REVIEW
This item was presented directly to the full Board at its meeting on June 26, 2024.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.