Adopt Resolution 19-089 Approving Change Orders 1 and 2 for Riverdale Drive Trunk Utility Improvements, Improvement Project 18-14.

Purpose:
The purpose of this case is to adopt Resolution 19-089 approving Change Orders 1 and 2 for Riverdale Drive Trunk Utility Improvements, Improvement Project 18-14.

Background:
This project extends 18-inch polyvinylchloride (PVC) trunk sanitary sewer and 12-inch ductile iron pipe (DIP) trunk watermain from existing utility stubs in the intersection of Armstrong Boulevard and Riverdale Drive approximately 2,600 feet west along the south side of Riverdale Drive to roughly the intersection of Llama Street and Riverdale Drive.
 
The trunk utility improvements will initially serve the new Lazydays RV maintenance facility in the southeast quadrant of Riverdale Drive and Llama Street.  A condition of Plat approval was that the maintenance facility connect to City sewer and water since it is located within the City’s Metropolitan Urban Service Area (MUSA).  The maintenance facility is under construction and is planned to open for business in May of 2019.
 
Since the trunk utilities needed to be installed and operational by May, Lazydays RV paid their engineer, Civil Site Group, to develop plans for constructing the trunk utility improvements as City Improvement Project #18-14.  On December 11, 2018, the City Council approved the plans and specifications and authorized advertising for bids.  Ads for bids were published in the Anoka Union Herald and in Finance and Commerce on Friday, December 14, and again on Friday, December 21, 2018, and were posted on-line on QuestCDN.
 
Bids were originally planned to be received on January 15, 2019, and presented to the City Council for award on January 22, 2019.  In early January, one or more bidders requested utility locates.  As locates started to appear in the field, it was discovered that several private utilities had installed facilities in the same alignment as the proposed trunk utilities, though the City and Anoka County, who owns the property the private utilities were installed on, had no record of this work.  Because the trunk utilities were proposed to be constructed in the winter, impacts to private utilities would be problematic as the ground surrounding the private utilities would be frozen making them impossible to relocate without thawing the ground first, increasing the construction schedule and costs.
 
An addendum was therefore issued to move the bid opening to February 5, 2019, allowing time for Staff to work with Civil Site Group to revise the plans after realigning the trunk utilities to avoid impacts to private utilities as much as practical.  Though this added three weeks to the bid schedule, the revised design allowed for quicker construction.  It also provided significant cost savings by preventing the need to remove and replace hundreds of feet of 10-foot wide bituminous trail on the west end of the project along Lazydays RV’s maintenance facility site.
 
On February 5, 2019, a total of eleven bids were received, opened, checked for errors and omissions, and tabulated.  All bids were found to comply with the advertisement for bids.
 
On February 12, 2019, the City Council accepted the bid of Kuechle Underground, Inc. in the amount of $607,144.11 and authorized the Mayor and City Administrator to enter into a construction contract with Kuechle Underground.

Construction began in mid-March.  As work progressed, the contractor approached the intersection of Riverdale Drive and Armstrong Boulevard while installing sanitary sewer and discovered that the pay items in the plans and specifications had not been revised after utilities were realigned to account for higher ground elevations and the resulting increased fill depths over the top of the sanitary sewer.  Per the plans, sanitary sewer construction was to be paid by 2 foot bury depth increments, with the greatest bury depth listed as 14 to 16 feet.  During construction it was observed that 200 linear feet of sewer would be installed where the bury depth would range between 16 and 20 feet, requiring a new pay item.  In addition, realigning the utilities required the removal of additional trees.  This work is covered in Change Order 1.
 
As work progressed further, an existing 27 inch storm sewer line was found to be running nearly parallel between the new trunk utilities, which was slightly different from what the plans showed.  This required 150 feet of the 27 inch storm sewer to be salvaged (removed but saved) while the new utilities were installed at a lower elevation, then installed again after the trunk utilities were constructed.  This work is covered in Change Order 2.
 
Construction will be complete April 5, 2019.  Testing of utilities will be completed within 30 days.

No notifications are required.

Observations:
Copies of Change Orders 1 and 2 are attached with the Contractors signatures accepting the change orders, and the City Engineer’s signatures recommending approval of the change orders.  The work covered by these Change Orders has already been completed in order to stay on schedule.  A 2 day extension is also included with Change Order 1.
 
If plans had been modified to add pay items for 16 to 20 foot depth sanitary sewer bury, the additional tree removals, and the new 27 inch storm sewer salvage and install pay item, bid prices would have reflected these items increasing construction costs accordingly.

Alternatives:
Alternative #1 – Motion to adopt Resolution 19-089 approving Change Orders 1 and 2 for Riverdale Drive Trunk Utility Improvements, Improvement Project 18-14.

Payment for the work covered by Change Order 1 and 2 will be paid for through the sewer and water enterprise funds, similar to the rest of the work completed with this project.

City staff recommends Alternative #1.  

Adopt Resolution 19-089 approving Change Orders 1 and 2 for Riverdale Drive Trunk Utility Improvements, Improvement Project 18-14.