Title
Proposed Change Order No. 2
Contract No. PC-795
Pump Station No. 2 Pumping Improvements
Vendor: Tooles Contracting Group, LLC
Body
Agenda of: June 22, 2022
Item No.: 2022-206
Amount: Original Contract $3,275,000.00
Change Order No.1 (303.980.00)
Proposed Change Order No. 2 0.00
Total Revised Contract $2,971,020.00
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: May 27, 2022
RE: Proposed Change Order No. 2
Contract No. PC-795
Pump Station No. 2 Pumping Improvements
Vendor: Tooles Contracting Group, LLC
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 Interim Chief Executive Officer (ICEO) to enter into Contract No. PC-795, Proposed Change Order No. 2, "Pump Station No. 2 Pumping Improvements" with Tooles Contracting Group, for no increase in cost, for a total cost not to exceed $2,971,020.00 and an increased duration of 730 days for a total contract duration of 2,499 days; and authorizes the ICEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
On October 17, 2016, Great Lakes Water Authority (GLWA) awarded Contract No. PC-795 “Pump Station No. 2 Pumping Improvements” to Tooles Contracting Group to rehabilitate Pump No. 11 and Pump No. 14 at the Pump Station No. 2 to increase the long-term rated capacity, operational efficiency, and reliability of the Main Lift Pumps at the Water Resource Recovery Facility (WRRF). The scope of work includes providing new suction piping and elbow for pumps 11 and 14, a redesign of the impeller for both pumps, and the replacement of existing magnetic flowmeters to record accurate flow associated with these pumps. The original required substantial and final completion dates of the project were May 15, 2019, and June 20, 2019, respectively.
Pump No.11 installed by the Contractor did not meet all the performance requirements of the Contract. After a detailed review of the performance test data and evaluation/analysis of Motor No. 11 by a third-party Subject Matter Expert, GLWA decided to accept Pump No. 11 with a credit amount of $303,980.00. Change Order No.1 was approved on December 17, 2020, for a credit amount of $303,980.00 for not meeting the contract specified performance requirements for flow, drift, and horsepower for Pump No. 11 and 14. Change Order No.1 adjustment assumed that Pump No.14 would perform at the same level as Pump No.11 or better. Change Order No.1 also extended the contract’s substantial and final completion dates to May 15, 2021, and August 20, 2021, respectively.
The Contractor completed the installation of Pump No.14 and conducted 10 days of testing and submitted the test data for GLWA’s review and approval around May 2021. GLWA and its Consultant (Arcadis) reviewed the submitted test data and determined that the pump did not meet the contract specified performance criteria as revised by executed Change Order No.1. Based on the performance observed GLWA issued a defective work notice to the contractor. The contractor has agreed to provide a new impeller for Pump No. 14. The contractor has started the new Computational Fluid Dynamics (CFD) modeling and plans to fabricate the new impeller based on this modeling and the new impeller is expected to be delivered to the WRRF in November 2022.
JUSTIFICATION
The contractor was not able to meet the revised substantial and final completion requirements based on the executed Change Order No.1 because of the Pump No.14 performance issues. The contractor is expected to complete the fabrication of the new impeller and deliver the new impeller to the site around November 2022 and complete the installation by end of December. Upon completion of the installation, a 10-day performance test and review/analysis of the performance test report may take about 5 months from the installation date based on previous experience.
Since the revised contract’s substantial and final completion dates are expired, this proposed change order requests to extend the substantial completion time and final completion time by 730 calendar days to May 15, 2023, and August 20, 2023, respectively.
Tooles/Flowserve has agreed to correct the performance issues associated with Pump No. 14 at no cost to GLWA per Article 13.2, Correction of Work, of the Contract.
PROJECT MANAGEMENT STATUS
Original Contract Time 977 days (10/17/16-6/20/19)
Change Order No.1 792 days (6/20/19-8/20/21)
Proposed Change Order No. 2 730 days (8/20/21-8/20/23)
New Contract Time 2,499 days (10/17/16-8/20/23)
PROJECT ESTIMATE
Original Contact Price $3,275,000.00
Change Order No. 1 (303,980.00)
Proposed Change Order No. 2 0.00
New Contract Price $2,971,020.00
FINANCIAL PLAN IMPACT
Summary: Sufficient funds are provided in the financial plan for this project.
Funding Source: Construction Bond Fund
Cost Center: Wastewater
Expense Type: Construction (5421-892211.000-616900-211002)
Capital Improvement Plan: The CIP budget for CIP No. 211002 is $3,275,000.00. PC-795 original contract value is $3,275,000.00. This proposed Change Order No. 2 extends the contract’s substantial and final completion time by 730 days each at no change in contract value. Therefore, this proposed Change Order has no budget impact to the capital improvement plan.
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on June 8, 2022. 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.