Title
Resolution Authorizing Change Order in the Amount of $17,822,035 to Contract 2014-1160 with Garney Companies for Construction Manager At Risk Construction (CMAR) Phase Services for the T.Z. Osborne Water Reclamation Facility 56 Million Gallon per Day (MGD) Upgrade - Package III Project
Body
Department: Water Resources
Council District: 2
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Steven Drew, 373-7893
Contact 2 and Phone: Mike Borchers, 373-2494
PURPOSE:
In order to commence construction phase services using the Construction Manager at Risk (CMAR) project delivery method for the T.Z. Osborne Water Reclamation Facility (WRF) 56 MGD Upgrade - Package III Project, City Council approval of a change order with Garney Companies, the Construction Manager, is requested. As part of the preconstruction phase services, Garney Companies developed a Guaranteed Maximum Price (GMP) for the construction of the proposed improvements in the amount of $17,822,035.
BACKGROUND:
Contract 2014-1160 was approved by City Council on September 2, 2014 with Garney Companies in the amount of $444,506. The T.Z. Osborne WRF 56 MGD Upgrade - Package III Project provides for gravity filter improvements, chlorine contact chamber outfall and improvements, and electrical improvements at the T.Z. Osborne Water Reclamation Facility using the CMAR project delivery method. These improvements support the plant expansion for future regulatory compliance.
The Water Resources Department requested approval for CMAR Services for the T.Z. Osborne WRF 56 MGD Upgrade - Package III Project. The CMAR project delivery method was selected to provide an opportunity to engage the construction contractor during the design phase, who in turn, can provide value engineering and construction insight on complex portions of the proposed work. It also provides for a much more collaborative and open project delivery process with GMP development earlier in the project schedule as compared to Design-Bid-Build. The current construction schedule calls for the Notice to Proceed (NTP) to occur on December 7, 2015 with a construction time duration of 750 days.
This project will provide M/WBE participation through four Mentor/Protégé packages that will enhance the potential for future MWBE participation on similar projects. One Mentor Protégé package covers electrical upgrades, two cover chemical feed system improvements installations including yard piping and vaults, and the forth one covers construction management services. Additional MWBE participation will occur in some of the minor work packages. The total M/WBE utilization for the construction phase services are 7.9% MBE and 3.5% WBE.
BUDGET IMPACT:
Funding in the amount of $17,822,035 is budgeted in the Water Resources Capital Improvements Fund Bond Fund account 515-7056-05.6019. This funding will be made available from a portion of the bond anticipation notes issued in 2014 and a portion of the bond anticipation notes to be issued in the first quarter of 2016.
RECOMMENDATION / ACTION REQUESTED:
The Water Resources Department recommends approval of a Change Order to Contract Number 2014-1160 with Garney Companies, the Construction Manager for the TZO WRF Project, in the amount of $17,822,035.
COMMITTEE ACTION: This item was referred to Council by the General Government and Infrastructure Committees.