Title
Proposed Amendment No. 1
Contract No. 2101475/SCN-0000439
CSO Facilities Improvements
CIP #270004/BCE Score: 79.40
Body
Agenda of: June 25, 2025
Item No.: 2025-195
Amount: Original Contract $8,621,187.00
Proposed Amendment No. 1 2,672,729.00
Total Contract Amount $11,293,916.00
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 5, 2025
RE: Contract No. 2101475/SCN-0000439
CSO Facilities Improvements
Vendor: CDM Smith Michigan, Inc.
Status: Amendment/Change Order
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. 2101475/SCN-0000439, Proposed Amendment No. 1, “CSO Facilities Improvements” with CDM Smith Michigan, Inc., with an increased cost of $2,672,729.00 for a total cost not to exceed $11,293,916.00 and an increased duration of 1,147 days for a total duration of 3,575 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. 2101475 “CSO Facilities Improvements” to CDM Smith Michigan, Inc. (Engineer). The Contract is an Engineering Design Services Agreement for improvements to the Oakwood and Leib facilities, including storm pump modifications and wet well flushing system modifications at Oakwood, screen rehabilitation and replacement at Leib, and complete replacement of the chemical feed systems at both facilities.
The improvements are needed in response to the wastewater masterplan’s planned projects which will more fully utilize these facilities up to their design capacities (maximizing existing infrastructure to control combined sewer overflow) by flow diversion. Two of these projects that will divert flow include the active construction project to divert flow from the Northwest Interceptor (NWI) to the Oakwood CSO Facility and the in-development engineering contract to divert flow from the Meldrum sewer to the Leib Screening and Disinfection Facility.
This project has been approved for funding by the Michigan Department of Environment, Great Lakes, and Energy (EGLE) from the State Revolving Fund.
JUSTIFICATION
The original design contract included construction administration support for approximately 3-1/2 years. The final design and construction phasing resulted in a 6-1/2 year construction window. The increase in time is a result of enhanced project phasing to maintain permit compliance, additional manufacturing time beyond original assumptions, and more complex construction requirements to maintain hydraulic capacity within the facility after the upgrades are complete.
The increase in costs is a result of the increased construction duration and more complex construction. The final costs are a result of negotiations, and it was confirmed that the staffing is in line with the original contract assumptions and reasonable staffing assumptions as needed to support the project through the end of construction.
PROJECT MANAGEMENT STATUS
Original Contract Time 2,428 days (09/16/2022 - 05/10/2029)
Proposed Amendment No. 1 1,147 days (05/11/2029 - 06/30/2032)
New Contract Time 3,575 days (09/16/2022 - 06/30/2032)
PROJECT ESTIMATE
Original Contract Price $8,621,187.00
Proposed Amendment No. 1 2,672,729.00
New Contract Total $11,293,916.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: 5421 - Wastewater Construction Fund
Cost Center: 880000 - Capital Improvement Program
Spend Category: Construction: Contractual Engineering Services
Project Worktag: PRJ-270004
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $8,621,187.00
Proposed Amendment No. 1 2,672,729.00
New Contract Total $11,293,916.00
Amended Financial Plan Estimate 8,700,000.00
Balance reserved for construction: ($2,593,916.00)
The award of this Contract to the vendor creates a negative estimating variance of $2,593,916.00. This variance will be funded from capital reserves.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on June 11, 2025.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.