Star Service was awarded a contract to replace dewatering well pumps at the Wastewater Treatment Plant. The contract was for $128,400.00. After beginning the project, Star Service noted that the contract had failed to identify one additional well that should have been included in the project. The cost of the additional pump and installation was determined to be $15,000.00. It was also discovered that check valves were worn and in need of replacement, which was not originally anticipated. It was determined that the cost of the check valve replacement is $10,000.00. It was also determined that the as-built drawings used in the bid documents were incorrect, which resulted in the need for some additional piping in several of the wells. The cost for the additional pipe is $2,250.00.  The contract time is also being extended by 60 days to allow completion of all of the work.

The Council may:

• Approve Change Order #1; or
   
• Not approve Change Order #1.

 The cost for Change Order #1 will be:

• Additional pump and installation	$ 15,000.00
• 10 Check valves and installation	$ 10,000.00
• Piping to match existing well depths	$   2,250.00
Total Cost	$27,250.00

Original Contract Amount        Change Order Amount        % Increase to Contract
            $128,400                             $27,250.00                               21.2%

There are sufficient funds in the Wastewater Budget to cover these additional costs.