Title
Contract No. 1901767
Newburgh Road Booster Pumping Station Improvements
Body
Agenda of: October 31, 2019
Item No.: 2019-363
Amount: $3,503,413.00
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: Contract No. 1901767
Newburgh Road Booster Pumping Station Improvements
Vendor: Brown and Caldwell, LLC
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. 1901767 “Newburgh Road Booster Pumping Station Improvements” with Brown and Caldwell, LLC, at a cost not to exceed $3,503,413.00 for a duration of 1,818 days; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
GLWA’s Newburgh Road Booster Pumping Station (Newburgh Station), located in Livonia, Michigan, boosts water pressure through a 42-inch water transmission main to serve the City of Farmington Hills, City of Livonia, City of Novi, City of Northville, and Northville Township. The Newburgh Station was constructed in the mid-1960s and the station’s pumping units, process mechanical, building mechanical, electrical distribution, and electrical switchgear are original to the station. The water system demands of its service area exceed the firm capacity of the station. The Newburgh Station takes on additional importance in the transmission system as the 14-Mile Road Transmission Main Loop Project (CIP #122013) will require that the Newburgh Station pump flows to the Haggerty Station reservoir through the new transmission main. Furthermore, the station’s isolation valves, pumping units and electrical switchgear have exceeded their useful service life and require replacement. As a result, a new station is needed to reliably meet current and long-term system demands. The three alternatives for a new station will be evaluated including:
1. Construct the new station at the existing site.
2. Acquire land adjacent to the existing site, expand the site to include the acquired land, and construct the new station.
3. Acquire a new lot on the opposite side of 8-Mile Road and construct the new station on this property.
Once the preferred alternative is selected by GLWA, the consultant’s scope of services also includes project management, detailed design, construction administration, and resident project representation (RPR) services related to implementation of the selected alternative. The approved FY2020-2024 Capital Improvement Plan (CIP) designated the Newburgh Booster Pumping Station Improvements Project for design-build delivery method, but due to complex design coordination issues required between the Newburgh Pumping Station Improvements Project and the 14 Mile Road Transmission Main Loop Project, the Newburgh Station Booster Pumping Station project delivery method had to be modified to design-bid-build. GLWA will enter into a separate contract with a construction contractor to build the project.
JUSTIFICATION
The existing station is beyond rehabilitation and does not have firm capacity to meet the current system demands of its service area. Construction of a new station with sufficient capacity will allow GLWA to meet the current and future service area demands.
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this contract.
Funding Source: Water Construction Bond
Cost Center: Water Engineering
Expense Type: Construction (5519-882411.000-617950-132015)
Estimated Cost by Year and Related Estimating Variance: See table below.
Fiscal Year
FY 2020 Budget $ 0.00
FY 2021 Budget 591,000.00
FY 2022 Budget 2,366,000.00
FY 2023 Budget 2,366,000.00
FY 2024 Budget 2,366,000.00
FY 2025 Budget 4,311,000.00
Financial Plan Estimate $12,000,000.00
Proposed Contract Award 3,503,413.00
As the proposed booster pumping station project was included in the approved 2020 - 2024 Capital Improvement Plan as Design-Build Project delivery and the delivery of this project has been changed to Design-Bid-Build delivery, no estimating variance has been identified. The proposed contract award for design and related services of $3,503,413.00 is within the $12,000,000.00 design-build plan as shown in the table above. It is important to note that construction estimates for this project have increased with updates being reflected in the FY 2021 - 2025 CIP Plan.
A budget amendment will be necessary to be processed for the current year planned spend in the amount of $464,862.00, which will be funded from capital reserves.
SAVINGS, COST OPTIMIZATION, AND REVENUE ENHANCEMENT IMPACT
Cost savings are not determinable at the time of award.
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.