Title
Proposed Change Order No. 3
Contract No. 2101878-1/SCN-0000057
HAZMAT Building Rehabilitation
CIP #260901/ BCE Score: 52.1
Body
Agenda of: November 21, 2024
Item No.: 2024-386
Amount: Original Contract: $2,932,000.00
Change Order No. 1 0.00
Change Order No. 2 176,250.00
Proposed Change Order No. 3 0.00
Total Contract Amount: $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: October 30, 2024
RE: Proposed Change Order No. 3
Contract No. 2101878-1/SCN-0000057
HAZMAT Building Rehabilitation
Vendor: LaSalle Construction Services, 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. 2101878-1/SCN-0000057, Proposed Change Order No. 3, “HAZMAT Building Rehabilitation” with LaSalle Construction Services, Inc., with no increase in cost for a total cost not to exceed $3,108,250.00 and an increased duration of 93 days for a total duration of 641 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
On May 30, 2023, GLWA awarded LaSalle Construction Services, Inc. (LaSalle) “Construction Agreement for the HAZMAT Building Rehabilitation” Contract No. 2101878-1. The Notice to Proceed date was May 30, 2023. The purpose of this contract is to complete a comprehensive renovation of the existing HAZMAT facility including the expansion of the existing apparatus bay, building envelope upgrades, complete interior renovations, site upgrades, and demolishing the guard shack as per the design drawings and specifications issued with the contract. The contract expiration date was previously extended through Change Order No. 1 until November 27, 2024, without a change to the Substantial Completion or Final Completion milestones of March 29, 2024, and May 29, 2024, respectively. Currently, the project has achieved a certificate of occupancy from the City of Detroit building inspector. As of October 2, 2024, Substantial Completion has not yet been achieved. It is anticipated that Substantial Completion will be achieved by the end of October 2024.
JUSTIFICATION
Based on the current rate of progress, the project will not achieve the Final Completion by November 27, 2024. The extended contract time (without changing the Substantial and Final Completion milestone dates) is required for the contractor to complete the punch-list items and contract closeout documentation (Asset Turnover forms, As-Built Drawings, Warranties, Unconditional Waivers, and Consent for Surety).
PROJECT MANAGEMENT STATUS
Original Contract Time: 366 days (05/30/23 - 05/29/24)
Change Order No. 1 182 days (05/30/24 - 11/27/24)
Change Order No. 2 0 days
Proposed Change Order No. 3 93 days (11/28/24 - 02/28/25)
New Contract Time: 641 days (05/30/23 - 02/28/25)
PROJECT ESTIMATE
Original Contract Price: $2,932,000.00
Change Order No. 1 0.00
Change Order No. 2 176,250.00
Proposed Change Order No. 3 0.00
New Contract Total: $3,108,250.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Construction Bond 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
Change Order No. 2 176,250.00
Proposed Change Order No. 3 0.00
New Contract Total 3,108,250.00
Amended Financial Plan Estimate $2,932,000.00
Estimating Variance ($176,250.00)
This proposed change order is for an extension of time only, and there is no substantive financial impact.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on November 13, 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.