Title
Consider/Discuss/Act on a Resolution Authorizing the City Manager to Execute a Change Order with Camino Construction, LP for the Construction of the Substandard Utility Replacement and Street Rehabilitation North of Virginia Street (CO1706) and Aerial Wastewater Crossing Improvements - Erwin Avenue (WW2245) Projects
Summary
COUNCIL GOAL: Operational Excellence
(2B: Balance available resources to accommodate the growth and maintenance needs of the city)
MEETING DATE: February 18, 2020
DEPARTMENT: Development Services / Engineering
CONTACT: Nick Ataie, PE, Engineering CIP Manager
Aniswarie Kanamazina, PE, CIP Project Manager
RECOMMENDED CITY COUNCIL ACTION:
• Approval of Resolution.
ITEM SUMMARY:
• This Resolution authorizes the City Manager to execute a change order with Camino Construction, LP for the construction of the Substandard Utility Replacement and Street Rehabilitation North of Virginia Street (CO1706) and Aerial Wastewater Crossing Improvements - Erwin Avenue (WW2245) Projects, for an increase in the not to exceed amount from $4,735,000 to a total aggregate contract amount, inclusive of any additional change orders, not to exceed $4,835,000.
BACKGROUND INFORMATION:
• Camino Construction, LP was approved by council on July 17, 2018 to enter into a contract for the construction of the Substandard Utility Replacement and Street Rehabilitation North of Virginia Street (CO1706) and Aerial Wastewater Crossing Improvements - Erwin Avenue (WW2245) Project.
• The original council resolution authorizing the construction contract with Camino Construction LP established a “not to exceed” contract amount, inclusive of any necessary change orders, of $4,735,000 which accounted for approximately 10% over the actual contract amount.
• As typical on contracts executed by the Engineering Department, this “not to exceed” amount is estimated and budgeted for to account for any necessary minor contract changes that may occur during the development or construction phases of a project.
• In the event that actual contract changes exceed the established “not to exceed” aggregate contract amount, council approval is required prior to execution by the City Manager.
• CIP Projects CO1706 and WW2245 generally include replacement of aging infrastructure (water, wastewater, and streets) at various locations as shown on the attached project location map. Construction of these improvements are approximately 95% complete as of February 2020.
• During the course of construction, the Engineering Department has authorized Camino Construction to perform additional improvements (within the previously authorized “not to exceed” aggregate contract amount) in the project areas, including:
o Expanded limits of water main and/or wastewater main replacements based on unforeseen field conditions.
o Expanded limits of street paving, sidewalk, and/or driveway approach replacements to better improve general street condition and walkability.
• In order to ensure that the remaining work necessary is completed under this construction contract, and to prevent the need for future improvements to be made by either the Public Works Department or Engineering Department, approval of a change order with Camino Construction LP is required which would exceed the current council-authorized contract “not to exceed” amount.
• Staff recommends council approval of a resolution authorizing the City Manager to execute a change order with Camino Construction LP and increasing the previously established not-to-exceed contract amount, inclusive of any necessary change orders, from $4,735,000 to $4,835,000 (an increase of $100,000).
• As with all capital projects, any construction contingency amounts not required are able to be captured as project budget excess to be allocated to future capital projects.
FINANCIAL SUMMARY:
• This Resolution authorizes an increase in the not to exceed amount for the current construction contract with Camino Construction, LP by $100,000, for a new not to exceed amount of $4,835,000.
• The $100,000 increase in the not to exceed amount will be split 50/50 between Street Construction Fund and Utility Construction Fund.
• With the approval of this item, $1,519.26 will remain in the project (CO1706).
BOARD OR COMMISSION RECOMMENDATION:
• N/A