File #: 23-5392    Version: 1 Name: Resolution – A Resolution Authorizing a Change Order and Providing Additional Funds for the Lone Star 30-Inch Water Line with Blue Star Utilities, LLC for an Amount Not to Exceed $84,637.11 (Utility Fund)
Type: Resolution Status: Passed
File created: 5/26/2023 In control: City Council
On agenda: 6/5/2023 Final action: 6/5/2023
Title: Resolution - A Resolution Authorizing a Change Order and Providing Additional Funds for the Lone Star 30-Inch Water Line with Blue Star Utilities, LLC for an Amount Not to Exceed $84,637.11 (Utility Fund)
Sponsors: Raymond Coffman
Attachments: 1. Resolution, 2. Change Order Breakdown, 3. Map

Title

Resolution - A Resolution Authorizing a Change Order and Providing Additional Funds for the Lone Star 30-Inch Water Line with Blue Star Utilities, LLC for an Amount Not to Exceed $84,637.11 (Utility Fund)

 

Requested Action

Consider the Resolution authorizing a Change Order and providing additional funds for the Lone Star 30-Inch Water Line with Blue Star Utilities, LLC for an amount not to exceed $84,637.11 (Utility Fund)

 

Recommendation

The Engineering Staff recommends approval of the Resolution.

 

Description/History

The 30-Inch Water Transmission Main Crossing Highway 287 and Along Lone Star Road was awarded to Blue Star Utilities, LLC on October 10, 2022, for an amount not to exceed $3,437,620.80.  The project includes constructing a 30-inch bar-wrapped concrete cylinder water transmission main across Highway 287 and along Lone Star Road and is a portion of Project 14 as shown in the Water Master Plan. To accommodate a request for increased water service to the city’s major wholesale water customer, JCSUD, the project is being incentivized for early completion. A total of 39 calendar days were added to the project due to the fabrication of parts needed to accommodate the 30-inch meter and flow control valve. The maximum incentive will be issued if the project is substantially complete before June 8, 2023, for an amount not to exceed 5% of the contract price. It is anticipated that the project will be substantially complete by June 8th.

 

Justification

The contract award amount was exceeded due to changes associated with the addition of a 30-inch meter and flow control valve as well as unexpected repairs to irrigation and the addition of outlets at valve locations. See attached Change Order Tabulation for a complete breakdown of all items and their associated costs. These changes represent a sum of $256,518.15, which is 7.5% of the original contract. The amount includes the 5% contingency of $171,881.04 previously approved with the Council Award for the project. It also includes an adjustment to the 5% maximum incentive based on the newly revised contract price in the amount of $12,215.15.

 

The Director of Engineering Services will be in attendance at the meeting to answer Council’s questions regarding the proposed contract modification and funding.  A resolution is attached for Council’s consideration.

 

Funding Source

The funding source will be the Utility Fund.

 

Prepared By

Trace Hilton, Project Engineer

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