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Agenda No. 5.
 
CITY COUNCIL MEMORANDUM
 
City Council Meeting: November 17, 2026
Department: Engineering
Subject: Resolution 26-R-127 – Authorizing a new Not-To-Exceed amount for the Construction Contract with Blackrock Construction for the IH 35 NEX Project (Senior Engineer Eric Schulze)

BACKGROUND

Due to conflicts with the Texas Department of Transportation’s (TxDOT) proposed IH 35NEX Project, the City of Schertz is relocating existing sewer mains that have been identified to be in conflict.  Blackrock Construction was selected as the contractor and has completed the majority of the sewer relocations.

During the course of construction, Blackrock has needed to perform additional subsurface utility surveys (SUE).  Some of the existing fiber, gas, telephone, and power utilities either have facilities at depths not identified accurately in the SUE data provided by TxDOT or have not yet been relocated as part of the highway project.  There has also been a design change approved by staff and TxDOT to alter a crossing of IH 35 to avoid previously unidentified conflicts with both the existing and proposed utilities.  This design change increased necessary materials and also changed the method Blackrock must use to perform the bore and install the casing.

The original contract with Blackrock was in the amount of $1,787,074 with a not to exceed amount of $2,000,000 as approved by council resolution 25-R-151.  To date, three change orders within the originally approved not to exceed amount have been approved by staff and city management and have allowed construction to progress in order to meet timeframes set by TxDOT.  A summary of the contract amounts plus change orders is:
 
Authorized NTE  $  2,000,000.00
Initial Contract Amount  $  1,787,074.00
Change Order 1 - additional SUE location 1  $          8,646.34
Change Order 2 - additional SUE location 2  $          8,646.34
Change Order 3 - revise bore 2 alignment  $      194,654.98
Revised Contract Amount  $  1,999,021.66
Change Order 4 - additional cost of revised bore alignment  $        39,052.50
Revised Contract Amount  $  2,038,074.16
Proposed Amended NTE  $  2,100,000.00

 

GOAL

To obtain authorization from Council to approve Change Order 4 in the amount of $39,052.50 and increase the not to exceed contract amount to $2,100,000.00.
 

COMMUNITY BENEFIT

The utility relocation is necessary to avoid conflicts with TxDOT’s proposed improvements along the IH 35NEX corridor and maintain sewer service to this area of the city.
 

SUMMARY OF RECOMMENDED ACTION

Staff recommends authorization of Change Order 4 with Blackrock Construction for $39,052.50 and the establishment of a new not to exceed amount of $2,100,000.

FISCAL IMPACT

The construction cost of the project shall not exceed $2,100,000.  Sewer Reserves will provide the initial funding of the construction efforts, but this will be reimbursed by TxDOT due to this being an interstate highway project.

RECOMMENDATION

Approve Resolution 26-R-127.

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