Title
Resolution Authorizing Change Order in the Amount of $671,056 to Contract No. 2011-038A with Garney Companies, Inc. for the T. Z. Osborne Water Reclamation Facility Expansion Project - Package 2
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: Elijah Williams, 373-4632
PURPOSE:
Water Resources is requesting a contract change order to the T. Z. Osborne Water Reclamation Facility (WRF) Package 2 Contract 2011-038A in order to construct filter and chlorine contact chamber piping modifications resulting from value engineering efforts tied to the T.Z. Osborne WRF 56 MGD Upgrade - Package 3 Project. In order to provide the required infrastructure and meet construction contract timelines specified for package 3, approval for a contract change order is requested.
BACKGROUND:
Contract 2011-038A was approved by City Council on January 6, 2015. The contract was awarded to Garney Companies, Inc. in the amount of $26,640,000. The contract called for mechanical and electrical improvements to the existing primary treatment process as well as the installation of new clarifiers. Change Order 1 in the amount of $431,853 was approved by City Council on June 6, 2015 and was required to comply with additional NC Department of Environment and Natural Resources (NCDENR) requirements for stream buffer/wetland impacts and sediment erosion control.
As part of the budget negotiation process for Package 3 which was approved by City Council on November 10, 2015, Garney proposed value engineering options and constructability methods to provide cost savings and improve project timelines for the TZO Package 3 construction contract. The proposed bypass pumping system previously specified by the engineer to support filter modifications can be eliminated through the construction of additional wastewater flow structures and interconnecting piping. In making these changes, the facility can capitalize on increased treatment operation flexibility and improved long term serviceability. Other modifications included in this change order include the relocation of storm sewer infrastructure and effluent filter backwash drain and overflow lines.
Due to the time constraints for constructing these changes without adversely impacting the schedule for Package 3, and taking into consideration the trades (large and medium diameter pipe crews, and concrete form/placement crews) that will be utilized, opportunities for M/WBE firms are only available on the supply of material for the construction of the work. Cinda Corporation will provide steel for the project and their contribution represents 4.5% of the change order amount. The M/WBE Office reviewed the change order and concurred with the opportunities for participation.
BUDGET IMPACT:
Funds in the amount of $671,056 are budgeted in the Water Resources Capital Projects Bond Fund account 515-7056-03.6019 A15095. 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 and requests that City Council adopt a resolution authorizing change order 2 to contract 2011-038A for $671,056.
COMMITTEE ACTION: This item was referred to Council by the General Government and Infrastructure Committees.