City Council originally approved the Task Order for the Lookout Road Reconstruction project design on December 6th, 2023 with a not to exceed amount of $330,000.  As the design progressed and the project scope changed, multiple Task Order Amendments were approved (7/11/2023; 3/18/2025; and 4/1/2025) which increased the Not to Exceed amount to $571,000.  This Not to Exceed amount provided for approximately $23,125 of contingency.  The project design is nearly fully complete, but there are two design changes that need to occur in order to complete the project design.

The last two design changes have been encountered late in the project.  The first change is to upsize a portion of the new sewer main.  In doing a review of the 95% plans, it was determined that part of the new proposed sewer main (the western end portion) be upsized to a larger diameter than originally planned.  The upsize was deemed necessary in order to better accommodate future, anticipated flows in this main.  While this sounds like a simple modification to the plans, the larger diameter requires a pipe grade adjustment and the replacement effort needs to extend westward beyond the original project limits, triggering some design changes.  The second change involves shifting the alignment of Schertz Parkway at the Lookout Road intersection.  By shifting the alignment, the project avoids having to acquire Right-of-Way acquisition and the associated site and signage impacts to the Blue Bonnet Palace site (which is located in Selma).

The proposed design changes are expected to cost $35,000, which exceeds the available contingency amount.  Therefore, the not to exceed amount needs to be increased in order to accommodate the needed additional design costs.  The proposed Task Order Amendment proposes using some of the existing contingency to fund the increased costs and still provide for a nominal amount of contingency in order to fully complete the project design.  This is why the proposed increase in the not to exceed amount is less than the expected increase in design cost (a $29,000 increase versus a $35,000 increase). Once these design changes are completed, the project plans will be complete and the bid package can be assembled for the project.

Approval of a Task Order Amendment to cover design changes related to the Schertz Parkway alignment shift at the Lookout Road intersection and upsizing part of the new sewer main to complete the project design and bid package for the Lookout Road Reconstruction project.

Reconstruction of Lookout Road will provide a more robust pavement section capable of supporting the traffic loading on the street.  The Schertz Parkway/Lookout Road intersection will be signalized to improve operational efficiencies and reduce congestion at the intersection.  Replacement of the sewer main will provide more sewer capacity in the area to better serve existing development and future development.

Staff recommends approval of a Task Order Amendment to increase the not to exceed amount to allow for additional design services for the Lookout Road Reconstruction Project.

The Schertz Economic Development Corporation (EDC) is funding this project.  The EDC previously authorized up to $771,000 for the project design.  With the proposed Task Order Amendment, the not to exceed amount will increase by $29,000 to $600,000, which is below the amount authorized by the EDC.  The proposed amendment would move $29,000 of funding from the construction budget to the professional services budget, leaving the total project budget the same.  Any unused design funds will later be transferred back to the construction budget once the project has been bid and the actual construction costs are known.

Approve Resolution 26-R-119