Consideration and Approval of Contract:  Third Amendment to the Construction Manager at Risk (CMAR) Construction Services Agreement with Eagle Mountain Construction, Inc. to add Phase 2 - GMP 2 (Wedge Utilities) to the Spruce Wash Flood Mitigation Suite of Projects.
 

1. Approve the Third Amendment to the CMAR Construction Services Agreement with Eagle Mountain Construction, Inc. to add GMP 2 - Phase 2 to the Spruce Wash Flood Mitigation Suite of Projects which will add Phase 2 - GMP 2 to the Guaranteed Maximum Price (GMP) in the amount of $310,116.40 for a new contract total of $13,838,023.46; and
2. Authorize the City Manager to execute the necessary documents.

Staff recommends approval of third Amendment to the CMAR Construction Services Agreement No. 2023-60 (Agreement), with Eagle Mountain Construction, Inc. (EMC), for the Spruce Wash Flood Mitigation Suite of Projects (the Suite).  The Third Amendment would add Phase 2 to increase the amount for GMP No. 2 (Wedge Utilities) by $310,116.40.  The funds budgeted by the City Council for this portion of the Suite (Wedge Utilities) was $3,098,145.34. With this increase, the new total for the Wedge Utility portion will be $3,408,261.74.  Approval of this Third Amendment will authorize construction of water and sewer infrastructure within the Spruce Wash project area; specifically, in the intersections of Grandview Drive and Paradise Road with Linda Vista Drive.
 
EMC submitted a cost for the Wedge Utilities portion which was included in GMP No. 2, approved in March 2024. Water Services made a request to extended and upgrade the aging water and sewer infrastructure within the project limits of GMP 2.  EMC revised their cost for the added infrastructure, the work for the Wedge Utilities involves pavement demolition, trenching and excavation in Linda Vista Drive for installation of the storm drain system (approved as Amendment One, GMP No. 2). This Third Amendment is to authorize replacement of that aging infrastructure within the work zone of the storm drain improvements in GMP No.2. It would be disruptive, challenging and more costly to replace this infrastructure in the future.

The Third Amendment will be funded by Proposition 441 Funds under the GO Capital Project Fund from the 2024/25 fiscal year in the amount of $310,116.40, Account Number 410-08-385-3570-3, The Wedge Utilities. There will be funds transferred from Water Services to help with the increase. Water Service will redirect funding from Drinking Water - Reserve for Improvements program for $201,876 from FY25 and Wastewater - Reserve for Improvements program for $46,807 from FY25 to fund this amendment.     
 
The total project budget for The Wedge Utilities:

Project	FY24 & FY25	FY26	Account
The Wedge Utilities	$4,548,161	5,201,585	410-08-385-3570-3

• Council previously approved the ballot language for the November 2022 voter approved Proposition 441 Wildfire, Flood, and Wastewater Infrastructure Bond, which dedicated $26 million towards flood mitigation projects.
• Council previously approved this Agreement with EMC for the Suite of Projects for GMP#1 on July 3, 2023.
• Council previously approved Amendment One with EMC for the Suite of Projects for GMP#2 on March 5, 2024.
• Council previously approved Amendment Two with EMC for the Suite of Projects for GMP#3 on July 3, 2024.

1. Approve the Third Amendment as recommended. Approval will allow work to move forward; or,
2. Reject approval of the award as recommended. This action would delay the Project.
   1. If rejection occurs, possible options include:
      1. Ask staff to re-evaluate the recommendation; or
      2. Suspend or cancel the project completely.

The Spruce Wash Flood Mitigation Suite of Projects is funded by the November 2022 voter approved Proposition 441 Wildfire, Flood, and Wastewater Infrastructure Bond, which dedicated $26 million towards flood mitigation projects.
 
GMP#1 is $2,906,383.00 plus an Owners Contingency of $50,000.00 for a Total Contract Price of $2,956,383.00. GMP#1 is for the construction of the utilities portion of the Grandview Project and the clearing portion of the Wedge Project.
 
GMP#2 is $7,429,149.06 plus an approximate 2.5% Owners Contingency of $185,000.00. GMP#2 is for the utility relocation in the Linda Vista to Cedar Channel and construction of the Wedge Utilities, Grandview Street Improvements and Linda Vista Crossing.
 
This GMP#3 is $2,907,375.00 plus an approximate 2.0% Owners Contingency of $50,000.00.
The Total Contract Price including Amendment One and this Amendment Two and owner’s contingency is now $13,527,907.06.
 
The contract duration is 1,025 days with an anticipated completion date of June 26, 2026.
  

Action	Date Approved	Description	Amount
Agreement	7/3/2023	GMP#1: Grandview Utilities & Wedge Clearing	$2,956,383.00
Amendment One	3/5/2024	GMP#2: Grandview Roadway, Linda Vista Crossing, Linda Vista to Cedar Channel Ph 1, Wedge Utilities	$7,614,149.06
Amendment Two	7/3/2024	GMP#3: Linda Vista to Cedar Channel Ph 2	$2,957,375.00
APPROVED TO DATE			$13,527,907.06
Amendment Three	8/26/2024	Wedge Water & Sewer Utilities	$310,116.40
TOTAL CONTRACT			$13,838,023.46

 

Safe & Healthy Community: Ensure the built environment is safe through the use of consistent standards, rules & regulations, & land use practices.
Sustainable, Innovative Infrastructure: Deliver outstanding services to residents through a healthy, well maintained infrastructure system.

Goal WR.5: Manage watersheds and stormwater to address flooding concerns, water quality, environmental protections, and rainwater harvesting.
Goal T.21: Improve transportation safety and efficiency for all modes.

IR-2: Ensure equity, accessibility, and inclusion across all City of Flagstaff Parks and Recreation facilities, helping all members of the Flagstaff community to meet their health and wellness needs.
WS-1: Improve water infrastructure and expand water reuse.

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