Title
Proposed Change Order No. 2
GLWA-CS-200
Resident Project Representative and O&M Services
Body
Agenda of: October 31, 2019
Item No.: 2019-366
Amount: Original Contract $ 889,785.00
Change Order No. 1 1,056,609.00
Proposed Change Order No. 2 200,000.00
Total Contract Amount $2,146,394.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: October 2, 2019
RE: Proposed Change Order No. 2
Contract No. GLWA-CS-200
Resident Project Representative and O&M Services
Vendor: CDM Smith
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. GLWA-CS-200 Change Order No. 2 “Resident Project Representative and O&M Services” with CDM Smith, at an increased cost of $200,000.00 for a total cost not to exceed $2,146,394.00, and an increased duration of 231 days for a total contract duration of 1,102 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
Contract No. GLWA-CS-200 is a professional engineering services contract involving construction administration, resident project representative (RPR), and operation and maintenance (O&M) manual updating services for the Springwells Water Treatment Plant (WTP) 1958 Filter Rehabilitation and Auxiliary Facilities Improvements Project. The CS-200 contract expires on November 12, 2019. The associated construction contract is Contract No. SP-563 between GLWA and the Walsh Construction Group. Construction work remaining under Contract No. SP-563 principally includes process control system startup, testing and commissioning, and completion of miscellaneous improvements such as laboratory renovation, locker room renovation, painting, and grating installation. The engineering services consultant under Contract No. CS-200 is needed to continue its oversight of the remaining construction work, in particular the process control system startup, testing and commissioning.
JUSTIFICATION
GLWA substantially changed the scope of the construction work as related to the process control system improvements during construction of the project. Under a separate engineering services contract (Contract No. CS-108), GLWA determined that there were necessary and critical upgrades required to its plant process control systems. The benefits of these upgrades include increased process control network reliability and redundancy. Implementation of the process control system improvements has taken longer than anticipated to complete. The process control system hardware installation work, and most of the software configuration and testing are now complete. Completion of the remaining work of the contract is expected to be in April 2020. The additional engineering services under CS-200 requested under this Change Order No. 2 are needed to continue to provide construction quality assurance and quality control during completion of this project.
PROJECT MANAGEMENT STATUS
Original Contract Length 450 days
Change Order No. 1 421 days
Proposed Change Order No. 2: 231 days
New Contract Length: 1,102 days
PROJECT ESTIMATE
Original Contract Price $ 889,785.00
Change Order No. 1 1,056,609.00
Proposed Change Order No. 2 200,000.00
New Contract Total $ 2,146,394.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Water Construction Bond
Cost Center: Water Engineering
Expense Type: Construction (5519-882111.000-617950-114001)
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $ 889,785.00
Change Order No. 1 1,056,609.00
Current Contract Total 1,946,394.00
Proposed Change Order No. 2 200,000.00
New Contract Total 2,146,394.00
Amended Financial Plan Estimate 1,946,394.00
Negative Estimating Variance $ (200,000.00)
The award of this change order to the vendor creates a negative estimating variance of $200,000.00. This variance will be funded from capital reserves.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on October 9, 2019. 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.