Title
Proposed Change Order No. 1
GLWA Contract No. PC-757
Rehabilitation of Rectangular Primary Clarifiers, Package “A”; Rehabilitation of Electrical/Mechanical Buildings and Pipe Gallery of Rectangular Primary Clarifiers, Package “B”; Replacement of Rake Arm Assembly for Circular Primary Clarifiers Nos. 15 and 16, Package “C”
CIP #211001 / BCE Score: N/A
Body
Agenda of: December 19, 2019
Item No: 2019-427
Amount: Original Contract $51,905,000.00
Change Order No. 1 0.00
Total Revised Contract $51,905,000.00
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: December 11, 2019
RE: Change Order No. 1
GLWA Contract No. PC-757
Rehabilitation of Rectangular Primary Clarifiers, Package “A”; Rehabilitation of Electrical/Mechanical Buildings and Pipe Gallery of Rectangular Primary Clarifiers, Package “B”; Replacement of Rake Arm Assembly for Circular Primary Clarifiers Nos. 15 and 16, Package “C”
Vendor: Tooles Contracting Group
Designer: Wade Trim and Benesch
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 amend the existing Contract-GLWA-PC-757, “Rehabilitation of Rectangular Primary Clarifiers, Package “A”; Rehabilitation of Electrical/Mechanical Buildings and Pipe Gallery of Rectangular Primary Clarifiers, Package “B”; Replacement of Rake Arm Assembly for Circular Primary Clarifiers Nos. 15 and 16, Package “C” with Tooles Contracting Group at an increased duration of 180 calendar days for a total contract duration of 1580 days, and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
On July 18, 2016, Great Lakes Water Authority awarded the Contract PC-757 to Tooles Contracting Group. This Contract is composed of three packages: A, B and C.
Package “A” is the rehabilitation of the twelve Rectangular Primary Clarifiers. Its scope includes removal of existing sludge and scum collection equipment inside the clarifiers and their replacement with new. This package also includes concrete and crack repairs inside the clarifiers.
Package “B” is the rehabilitation of the Electrical/Mechanical Buildings and Pipe Gallery of the Rectangular Primary Clarifiers. Its scope includes removal of exiting make up air units and replacement with new, demolition and replacement of 12 existing sludge pumps, installation of five new sump pumps as well as piping replacement serving: water, compressed air and natural gas.
Package “C” is the replacement of rake arm assemblies for Circular Primary Clarifiers Nos. 15 and 16. Its scope includes replacing the center drives, painting of maintenance bridges and new perimeter handrails.
The project experienced several delays preventing the project to be completed per the original contract schedule. On September 2019, GLWA hosted a negotiation meeting to establish new substantial and final completion dates. At the meeting, GLWA and the contractor agreed to a revised schedule and fee for the completion of the remaining items as outlined in this change order.
JUSTIFICATION
During the life of this Contract, several delays were experienced, and they are enumerated as follows:
Sludge Pump Design change: Early during the startup of replacement sludge pumps, it became apparent that the specified pump discharge head needed to be changed. GLWA revaluated the specified pump, and working closely with the manufacturer and contractor, developed a low-cost solution resulting in modified components to correct the pump output.
High water events/adverse weather/flooding of clarifiers: Due to the historic high Detroit River levels, plant discharge levels were multiple feet higher than expected. This high water would overtop and/or leak through weirs, thereby preventing work in the clarifiers.
Other delaying events: Labor strikes, documented labor shortage and discovery of lead contaminated paint on the Circular Clarifier No. 16.
The Contractor requested a 5-month time extension and $610,759.00 for General Conditions due to the above delays. GLWA and the Contractor discussed and negotiated the claim and agreed that a 180 calendar days’ time extension to Substantial and Final Completion dates is adequate to complete the Contract work. Further, the amount of the claim was negotiated to $185,000.00. This amount includes extended General Conditions for the time extension as well as a global settlement for all the outstanding Proposed Changes Orders (PCOs)/claims submitted by Tooles through September 24, 2019. The amount of $185,000 will be paid from the PC-757 provisionary allowance via Construction Change Directive-AE. Therefore, this Change Order No.1 is not requesting any additional money be added to the Contract amount.
PROJECT MANAGEMENT STATUS
Original Contract Time: 1,400 days
Proposed Change Order No. 1: 180 days
New Contract Time 1,580 days
New Date for Substantial Completion: May 15, 2020
New Date for Final Completion: November 14, 2020
PROJECT ESTIMATE
Original Contract Price: $51,905,000.00
Proposed Change Order No. 1: 0.00
New Date for Substantial Completion: May 15, 2020
New Date for Final Completion: November 14, 2020
New Contract Total: $51,905,000.00
FINANCIAL PLAN IMPACT
This proposed change order is for an extension of time only. Although the change order extends the final completion date further into FY2020, there is no substantive financial impact. The amount of planned spend moving from FY2020 into FY2021 is undeterminable at this time.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on December 11, 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.