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File #: 2020-190    Version: 1 Name:
Type: Resolution Status: Passed
File created: 6/1/2020 In control: Board of Directors
On agenda: 6/24/2020 Final action: 6/24/2020
Title: Proposed Amendment No. 3 GLWA-PS-074 Oversight of Construction Contractors for Water and Wastewater Treatment CIP# N/A
Sponsors: Cheryl Porter, Grant Gartrell
Indexes: Water Operations


Proposed Amendment No. 3


Oversight of Construction Contractors for Water and Wastewater Treatment                      




Agenda of:                     June 24, 2020

Item No.:                     2020-190

Amount:                     Original Contract                                                               $300,000.00

                                          Amendment No. 1                                                                   80,000.00

                                          Amendment No. 2                                                                 130,000.00

                                          Proposed Amendment No. 3                       390,000.00

                                          Total Revised Contract                                          $900,000.00                     


TO:                                          The Honorable

                                          Board of Directors

                                          Great Lakes Water Authority


FROM:                     Sue F. McCormick

                                          Chief Executive Officer

                                          Great Lakes Water Authority


DATE:                     June 3, 2020


RE:                                          Proposed Amendment No. 3

                                          Contract No. GLWA-PS-074

                                          Oversight of Construction Contractors for Water and Wastewater


                                          Vendor:  Hugh Connolly




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 GLWA-PS-074 Proposed Amendment No. 3 “Oversight of Construction Contractors for Water and Wastewater Treatment” with Hugh Connolly, at an increased cost of $390,000.00 for a total cost not to exceed $900,000.00, and an increased duration of 3 years for a total duration of 7 years; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote. 


Contract No. PS-074 is a personal services contract that is used to supplement the construction inspection personnel within GLWA’s Water Engineering and Water Operations Administration groups. This contract is principally used to oversee the sludge removal and disposal contract work that is conducted routinely at the Northeast, Southwest and Springwells Water Treatment Plants, as well as sludge removal work at the Lake Huron Water Plant. This contract is also used to oversee and document construction work performed on various capital improvement program projects. The initial term of the contract commenced on July 18, 2016 and has been extended twice to the current contract end date of July 1, 2020. The contract amount is based on an hourly billing rate of $65.00 per hour, which has not changed since the inception of the contract. The hourly billing rate will remain at $65.00 per hour.


The personal services provided under Contract No. PS-074 are needed to supplement existing staff levels for construction inspection on GLWA Water Engineering projects. All budgeted positions within the Water Engineering group are filled. The experience and effectiveness of the PS-074 personal services contractor is also vital to GLWA’s oversight of the sludge removal and disposal services contractor that works at the Northeast, Southwest and Springwells Water Treatment Plants. No in-house personnel are available to staff this essential function.


Original Contract Time                                           2 years

Amendment No. 1                                                               1 year                     

Amendment No. 2                                                                                    1 year

Proposed Amendment No. 3                     3 years                                                                

New Contract Time                                                                                    7 years


Original Contract Price                                           $300,000.00

Amendment No. 1                                                                    80,000.00

Amendment No. 2                                                                 130,000.00

Proposed Amendment No. 3                       390,000.00

New Contract Total                                                                $900,000.00


Summary: The proposed contract with Hugh Connolly encompasses Operations & Maintenance expense only.  The FY 2021 budget and five-year financial plan was based on the previous contract period.  The value of the contract is within the current financial plan in total.  Sufficient funds will be provided in the Operations & Maintenance (O&M) financial plan for this contract related to contractual professional services.

Funding Source:  Operations & Maintenance (O&M) Budget  

Cost Center(s):  Water Engineering…………….Water Operations cost center 882111

Expense Type(s): Contractual Professional Services (617903) 

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

Fiscal Year                                                                                                                                                                         Amount


FY 2017 Budget                                                                                                                      $150,000

FY 2018 Budget                         150,000

FY 2019 Budget                           80,000

FY 2020 Budget                         130,000

FY 2021 Budget                         130,000

FY 2022 Financial Plan                         130,000

FY 2023 Financial Plan                                                                                                             130,000

                     Financial Plan Forecast                                                       $900,000


           Proposed Contract Amount                                                                            $900,000

Variance (positive/ (negative))                                                                                                $(0) 


The award of this contract provides a variance of $0 ($900,000 financial plan forecast less $900,000 proposed contract amount).  Contractual services are dependent on several factors such as, delays in estimated start and end dates, environmental constraints, and other unforeseen circumstances that can cause the expenses to fluctuate from fiscal year to fiscal year.




This item was presented to the Operations and Resources Committee at its meeting on June 10, 2020. The Operations and Resources Committee unanimously recommended that the GLWA Board adopt the resolution as presented.


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