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File #: 2026-129    Version: 1 Name:
Type: Resolution Status: New Business
File created: 3/27/2026 In control: Operations and Resources Committee
On agenda: 4/8/2026 Final action:
Title: Proposed Amendment No. 1 Contract No. 2003443/SCN-0000377 Study and Design Conveyance System CIP #260206/BCE Score: 57.60 / CIP #260510/BCE Score: 73.80
Sponsors: Navid Mehram
Indexes: Wastewater Operations
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Title

Proposed Amendment No. 1

Contract No. 2003443/SCN-0000377

Study and Design Conveyance System

CIP #260206/BCE Score: 57.60 / CIP #260510/BCE Score: 73.80

 

Body                     

Agenda of:                     April 22, 2026

Item No.:                     2026-129

Amount:                     Original Contract                                                               $7,348,888.00

                                          Proposed Amendment No. 1                          150,000.00

                                          Total Contract Amount                  $7,498,888.00

 

TO:                     The Honorable

                     Board of Directors

                     Great Lakes Water Authority

 

FROM:                     Suzanne R. Coffey, P.E.

                     Chief Executive Officer

                     Great Lakes Water Authority

 

DATE:                     March 27, 2026

 

RE:                     Proposed Amendment No. 1

                     Contract No.  2003443/SCN-0000377

                     Study and Design Conveyance System

                     Vendor:  FK Engineering Associates

                     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. 2003443/SCN-0000377, Proposed Amendment No. 1, “Study and Design Conveyance System” with FK Engineering Associates, for an increased cost of $150,000.00 for a total cost not to exceed $7,498,888.00 and an increased duration of 1,244 days for a total duration of 3,130 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote. 

BACKGROUND

GLWA Contract No. 2003443 was awarded to FK Engineering (FKE) in June 2021 to develop four (4) construction packages (“Priorities”):

• Priority No. 1 - Joy Road and Brush/Bates Sewer Rehabilitation

• Priority No. 2 - Outfalls Phase V (Detroit River Interceptor Outfalls) Rehabilitation

• Priority No. 3 - Outfalls Phase VI (Rouge River Outfalls) Rehabilitation

• Priority No. 4 - Seven Mile Sewer System Rehabilitation

Priorities Nos. 1 and 2 are complete. Priority No. 2 required an extended construction duration, which increased the need for construction administration and engineering support beyond the original scope. Priority No. 3 has been awarded but has not yet begun, and Priority No. 4 is planned for bid in early 2026. Through planning of these projects within the Capital Improvement Plan and the State Revolving Fund  loan applications delayed the construction start of Priority Nos. 3 and 4. As a result, construction for Priorities Nos. 3 and 4 is now expected to continue into late 2028, with warranty periods extending into late 2029, while the current design and construction assistance support Contract No. 2003443 end date is August 2026. The non-concurrent execution of the priorities has also resulted in the need for additional engineering support and construction administration for Priorities Nos. 3 and 4.

JUSTIFICATION

This time extension is required to complete construction for Priorities Nos. 3 and 4 and to complete warranty-period activities for Priorities Nos. 2, 3, and 4.

This increase in contract amount is necessary, as the remaining provisional allowance for Priority No. 4 is approximately $143,000 while the remaining work required is estimated at $193,000. The requested increase of $150,000 will cover this estimated $50,000 shortfall, as well as add $100,000 to partially replenish the provisional allowance to draw upon in the event that unforeseen conditions are encountered over the remaining duration of the project.  Any unused funds will be credited back to GLWA upon closeout.

Amendment No. 1 is necessary to maintain continuity of engineering services and ensure the successful completion and closeout of the remaining project phases.

 

PROJECT MANAGEMENT STATUS

Original Contract Time                                            1,886 days (06/07/2021 - 08/06/2026)

Proposed Amendment No.  1                       1,244 days (08/07/2026 - 12/31/2029)

New Contract Time                                                                 3,130 days (06/07/2021 - 12/31/2029)

 

PROJECT ESTIMATE

Original Contract Price                                           $7,348,888.00

Proposed Amendment No. 1                             150,000.00

New Contract Total                                                                $7,498,888.00

 

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 Worktags: PRJ-260206 & PRJ-260510

Estimated Cost by Year and Related Estimating Variance: See table below.

 Original Contract Price                                                                                     $7,348,888.00

Proposed Amendment No. 1                                                                     150,000.00

New Contract Total                                                                                                $7,498,888.00

Amended Financial Plan Estimate                                            7,348,888.00

Balance reserved for construction:                                           ($150,000.00)

The approval of this amendment creates a negative estimating variance of $150,000.00. This variance will be funded from capital reserves.

COMMITTEE REVIEW

This item was presented to the Operations and Resources Committee at its meeting on April 8, 2026.

SHARED SERVICES IMPACT

This item does not impact the shared services agreement between GLWA and DWSD.