Title
Proposed Change Order No. 2
Contract No. 1903312
14 Mile Transmission Loop Project - Phase I
CIP# 122013 / BCE Score: 58.4
Body
Agenda of: September 22, 2021
Item No.: 2021-354
Amount: Original Contract $5,978,000.00
Change Order No. 1 0.00
Proposed Change Order No. 2 191,652.44
Total Revised Contract $6,169,652.44
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Interim Chief Executive Officer
Great Lakes Water Authority
DATE: September 1, 2021
RE: Proposed Change Order No. 2
Contract No. 1903312
14 Mile Transmission Loop Project - Phase I
Vendor: Major Cement Company
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 Interim Chief Executive Officer (ICEO) to enter into Contract No. Contract No. 1903312 Proposed Change Order No. 2 “14 Mile Transmission Loop Project - Phase I” with Major Cement Company, at an increased cost of $191,652.44 for a total cost not to exceed $6,169,652.44, and no increase in duration for a total contract duration of 735 days; and authorizes the ICEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The 14 Mile Transmission Main that currently serves West Bloomfield Township, Farmington Hills, Commerce Township, Novi, Walled Lake, and Wixom is a single feed transmission system. If a disruption to service were to occur on this transmission main, many of the users along this main would experience a complete loss of pressure and flow. This project would provide a transmission main loop to the 14 Mile system to increase redundancy on this branch of the system. Completion of the 14 Mile Road Transmission Loop will eliminate a single feed to over 250,000 people. The construction work for the 14 Mile Transmission Loop Project is being executed in two phases.
Phase I, Contract No. 1903312, is under construction and involves installing approximately one mile of 24-inch diameter transmission main along 14 Mile Road between M-5 and Decker Road, associated gate valves, blow-offs and air valves, additional tie-ins to master meters WA-01, NV-04, and CM-01, and replacement of existing valve NV-04. To date, all of the new 24-inch water transmission main has been installed, and the majority of the valves are installed. The remaining work principally includes valve vault construction, tie-ins to master meters, final roadwork, and site restoration. Contact No. 1903312 was awarded to Major Cement Company on May 27, 2020, and the notice to proceed was August 10, 2020. The contract’s substantial and final completion dates are currently April 15, 2022, and August 15, 2022, respectively. Change Order No. 1 was approved by the GLWA Board of Directors meeting held on July 28, 2021. Change Order No. 1 was a time-only change order that extended the contract completion dates because the contractor was delayed due to leaking valves, and inability to isolate the water main for tie-in.
Proposed Change Order No. 2 would compensate the contractor for additional work related to the relocation of approximately 480 linear feet of 8-inch diameter water main due to differing site conditions. Existing buried utilities, including the existing 8-inch water main, were located using as-built drawings, field survey and MISS DIG utility location services during the predesign phase of the project. The existing 8-inch water main was indicated as being well outside the limits of work on this project; however, this 8-inch water main was encountered during excavation operations for the new 24-inch diameter transmission main. The additional work associated with this change involves removing and disposing the existing asbestos-cement 8-inch water main, installing new 8-inch ductile iron water main, and the associated site restoration work.
JUSTIFICATION
The additional work associated with this proposed Change Order No. 2 is due to a differing site condition. Relocation of the existing 8-inch water main is significantly less costly to remove the conflict with the new 24-inch water transmission main versus realigning the new 24-inch transmission main. Conducting this additional work will allow the project to proceed to completion.
PROJECT MANAGEMENT STATUS
Original Contract Time 424 days
Change Order No. 1 311 days
Proposed Change Order No. 2 0 days
Total Contract Time 735 days
PROJECT ESTIMATE
Original Contract Price $5,978,000.00
Change Order No. 1 0.00
Proposed Change Order No. 2 191,652.44
New Contract Total $6,169,652.44
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Water Construction Fund
Cost Center: Water Field Engineering
Expense Type: Construction (5519-882411.000-616900-122013)
Estimated Cost by Year and Related Estimating Variance: See table below.
Original Contract Price $5,978,000.00
Change Order No. 1 0.00
Proposed Change Order No. 2 191,652.44
New Contract Total 6,169,652.44
Amended Financial Plan Estimate 5,978,000.00
Estimating Variance ($191,652.44)
A budget amendment will be prepared to fund the negative estimating variance from capital reserves associated with this Proposed Change Order No. 2.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on September 8, 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.