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Item 1.F.
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| City Council Regular | |
| Date: | 11/25/2024 |
| Title: | W.O. 19-12, West End Reservoir Project, GC/CM Contract Change Order No. 2, BBWA Raw Water Delivery |
| Presented by: | Debi Meling |
| Department: | Public Works |
| Presentation: | No |
| Legal Review: | Not Applicable |
| Project Number: | N/A |
RECOMMENDATION
Staff recommends that the City Council approve Change Order No. 2 to the Standard Agreement and General Conditions Between Owner and General Contractor/Construction Manager (Construction Contract) with Dick Anderson Construction, Inc. for the W.O. 19-12: West End Reservoir Project in the amount of $13,553,020.76.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
On December 11, 2023, City Council approved a Construction Contract with DAC for the West End Reservoir Project in the amount of $153,211.35. This initial contract Guaranteed Maximum Price (GMP) allowed the Project Team to begin dewatering the reservoir site through rental of temporary pumping equipment and purchase of permanent dewatering equipment.
Change Order No. 1 for the procurement of an electrical equipment substation for the Raw Water Pump Station (RWPS) for a GMP of $408,352.64 was approved by City Council on August 26, 2024. Early procurement of this equipment ahead of construction was necessary to maintain overall project schedule due to the 40-week lead time in delivering the project site.
Change Order No. 2 now under consideration is for the construction of the BBWA Raw Water Delivery (RWD) Facilities for a GMP amount of $13,553,020.76. Work includes construction of a BBWA Unloader Structure, Screen Structure, Diversion Channel, Raw Water Pump Station (RWPS), and a Canyon Creek Diversion Structure. Approximately 750 feet of 60-inch piping will be installed to connect these facilities, and about 1900 feet of both 36 and 42-inch pipe will be installed from the RWPS to the West End Water Treatment Plant (WEWTP) along with all necessary gravel access roads. This GMP does not include the majority of electrical facilities and equipment installation.
In order to be ready for summer 2026 WEWTP start-up activities, construction of these RWD facilities needs to begin in 2024. Dick Anderson Construction (DAC) submitted this GMP based on HDR Engineering’s 60% GMP (Civil, Structural & Process) Drawings and Specifications, and pricing is based on DAC’s self-performance of the work. As design progresses toward final completion, value engineering of the project may result in cost savings. When 100% Design Plans and Specifications are complete, DAC will solicit competitive bids to install electrical and other work disciplines to ensure the City receives the best project construction value. The project team will assemble a future change order to add the electrical work and possibly adjust other work discipline pricing downward based on comparison of bids to DAC’s self-performed pricing.
Change Order No. 1 for the procurement of an electrical equipment substation for the Raw Water Pump Station (RWPS) for a GMP of $408,352.64 was approved by City Council on August 26, 2024. Early procurement of this equipment ahead of construction was necessary to maintain overall project schedule due to the 40-week lead time in delivering the project site.
Change Order No. 2 now under consideration is for the construction of the BBWA Raw Water Delivery (RWD) Facilities for a GMP amount of $13,553,020.76. Work includes construction of a BBWA Unloader Structure, Screen Structure, Diversion Channel, Raw Water Pump Station (RWPS), and a Canyon Creek Diversion Structure. Approximately 750 feet of 60-inch piping will be installed to connect these facilities, and about 1900 feet of both 36 and 42-inch pipe will be installed from the RWPS to the West End Water Treatment Plant (WEWTP) along with all necessary gravel access roads. This GMP does not include the majority of electrical facilities and equipment installation.
In order to be ready for summer 2026 WEWTP start-up activities, construction of these RWD facilities needs to begin in 2024. Dick Anderson Construction (DAC) submitted this GMP based on HDR Engineering’s 60% GMP (Civil, Structural & Process) Drawings and Specifications, and pricing is based on DAC’s self-performance of the work. As design progresses toward final completion, value engineering of the project may result in cost savings. When 100% Design Plans and Specifications are complete, DAC will solicit competitive bids to install electrical and other work disciplines to ensure the City receives the best project construction value. The project team will assemble a future change order to add the electrical work and possibly adjust other work discipline pricing downward based on comparison of bids to DAC’s self-performed pricing.
ALTERNATIVES
City Council may:
- Approve Change Order No. 2 to the Standard Agreement and General Conditions Between Owner and General Contractor/Construction Manager (Construction Contract) with Dick Anderson Construction, Inc., or,
- Not approve Change Order No. 2. If Council does not approve this change order, the schedule for start-up of the West End Water Treatment plant is at risk of delay.
FISCAL EFFECTS
The W.O. 19-12: West End Reservoir Project was budgeted in FY25 using Water Funds in the amount of $72,878,045. Considering previously encumbered funds of $2,122,887.10, Change Order No. 1 in August in the amount of $408,352.64 and this change order in the amount of $13,553,020.76, there is $56,793,784.50 remaining in the budget. Remaining funds will be used for engineering and reservoir construction.