Title
Proposed Change Order No. 2
Contract No. 1803621
Wick Road 48-Inch Water Transmission Main
CIP# 122006 / BCE Score: 54.2
Body
Agenda of: September 1, 2021
Item No.: 2021-319
Amount: Original Contract $20,962,361.00
Change Order No. 1 1,217,151.00
Proposed Change Order No. 2 549,032.40
Total Revised Contract $22,728,544.40
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: August 4, 2021
RE: Proposed Change Order No. 2
Contract No. 1803621
Wick Road 48-Inch Water Transmission Main
Vendor: Ric-Man Construction, Inc.
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. 1803621 Proposed Change Order No. 2 “Wick Road 48-Inch Water Transmission Main” with Ric-Man Construction, Inc., with an increased cost of $549,032.40 for a total cost not to exceed $22,728,544.40 with an increased duration of 160 days for a total duration of 1,024 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. 1803621, Wick Road 48-inch Water Transmission Main, involves constructing approximately 17,000 linear feet of 48-inch diameter water transmission main parallel to an existing transmission main to provide redundancy between GLWA’s Wick Road and Ypsilanti Pumping Stations. The contract was awarded to Ric-Man Construction Inc., and the notice to proceed issued on August 26, 2019. As of June 2021, about 16,000 linear feet of the contract’s 17,000 linear feet of the 48-inch transmission main has been installed. Remaining work consists of installing 280 feet of transmission main beneath the CSX railroad and installing interconnects between the existing and new transmission mains, including the associated gate valves.
JUSTIFICATION
The current contract specifies removing roughly 70 linear feet of existing 48-inch water main near the Wick Road Pumping Station. After removal, the contractor will install a new 42-inch double-disc gate valve that will give GLWA the ability to isolate the parallel water mains feeding the Ypsilanti Pumping Station. Upon field verification of the existing 48-inch main scheduled for removal, it was discovered that the main was not restrained in this area. For GLWA to obtain a restraint pipeline system at the new 48-inch gate valve, roughly 300 linear feet of additional existing water main needs to be removed and replaced, including road restoration which is required to facilitate the additional pipe restraint. By restraining this section of pipe upstream and downstream of the 48-inch gate valve, GLWA is provided greater system resiliency at this isolation point in a closed valve situation, mitigating future safety concerns for workers when this main is isolated for maintenance and future replacement. The substantial completion date is being extended due to the system constraints during the high demand season and the contractor’s inability to complete the final interconnections at three locations. The completion of the final connections will begin at the low demand season followed by final site restoration. Therefore, this proposed change order requests that the final completion date be extended to June 15, 2022.
PROJECT MANAGEMENT STATUS
Original Contract Time 730 days
Change Order No. 1 134 days
Proposed Change Order No. 2 160 days
New Contract Time 1,024 days
PROJECT ESTIMATE
Original Contract Price $ 20,962,361.00
Change Order No. 1 1,217,151.00
Proposed Change Order No. 2 549,032.40
New Contract Total $ 22,728,544.40
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Water Construction Bond
Cost Center: Field Engineering
Expense Type: Construction (5519-882411.000-616900-122006)
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $20,962,361.00
Change Order No. 1 1,217,151.00
Proposed Change Order No. 2 549,032.40
New Contract Total 22,728,544.40
Amended Financial Plan Estimate 22,179,512.00
Estimating Variance ($ 549,032.40)
The award of this change order to the vendor creates a negative estimating variance of $549,032.40. This variance will be funded from capital reserves.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on August 11, 2021. 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.