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CHANGE ORDER NO. ONE TO CONTRACT K-1617-80: BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND CENTRAL CONTRACTING SERVICES, INC., INCREASING THE CONTRACT AMOUNT BY $6,175 FOR A REVISED CONTRACT AMOUNT OF $83,293 FOR THE 12TH AVENUE S.E. WATER LINE RELOCATION PROJECT BETWEEN CEDAR LANE AND HIGHWAY 9 AND FINAL ACCEPTANCE OF THE PROJECT.
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BACKGROUND: On August 28, 2012, the citizens of Norman voted in favor of a General Obligation Bond Issue to finance the local share of eight transportation/stormwater improvement projects. One of the eight 2012 bond projects is the 12th Avenue SE Widening Project. Please see the attached location map showing the project boundaries.
On December 11, 2012, the Norman City Council approved Programming Resolution R-1213-78 requesting federal funds for the 12th Avenue S.E. Widening Project. This resolution states the City’s commitment to adhere to the terms and conditions of a federally funded project including engineering design, acquisition of all necessary rights-of-way and relocation of utilities and encroachments at 100% the City’s cost. In return, the Association of Central Oklahoma Governments (ACOG), through the Oklahoma Department of Transportation (ODOT), agrees to provide 80% of the cost for the administration and construction of the project, with the matching (20%) share from the City of Norman.
On April 9, 2013, City Council approved engineering services in Contract K-1213-161 with Tetra Tech Inc. in the amount of $249,646 for the design of the 12th Avenue SE Widening Project, which involves the construction of a new four-lane roadway that will include five-foot bike lanes on each side of the road. The project will also include improvements at the intersection of SH-9 and 12th Avenue SE, extension of bike lanes north to Oak Tree Avenue and the addition of a left turn lane into the Campus Crest Apartments.
On March 11, 2014, City Council approved Amendment No. 1 in the amount of $24,420 for additional engineering services to Contract K-1213-161, with Tetra Tech Inc. This amendment provided additional intersection analysis and design at SH-9, to accommodate the added traffic generated by two new apartment complexes on 12th Avenue SE between SH-9 and Cedar Lane Road; as well as anticipated future development in the surrounding area.
On April 14, 2015, City Council approved Amendment No. 2 in the amount of $37,830 for additional engineering services to Contract K-1213-161 with Tetra Tech Inc., which added water line relocation plans to the design scope of the project.
On December 13, 2016, City Council awarded the Water Line Relocation Construction contract to the low bidder, Central Contracting of Norman, Oklahoma, in the amount of $77,118.
On February 14, 2017, City Council approved Resolution R-1617-67 making the 12th Avenue SE Widening Project limits a Recoupment District.
On April 11, 2017, City Council accepted six of the seven project easements and payments authorized, where appropriate, and the filing directed thereof. The one remaining easement was going through the eminent domain process.
Proposed improvements for the 12th Avenue S.E. Widening Project include:
1. Widening 12th Avenue S.E. from Cedar Lane Road to State Highway 9 from two lanes to four lanes
2. Addition of five-foot on-street bike lanes
3. Intersection improvements at 12th Avenue SE/Campus Crest Drive and 12th Avenue SE/State Highway 9
4. Continuous sidewalks on both sides
5. Stormwater improvements
DISCUSSION: Roadway construction projects are awarded to the lowest responsible bidder. Contractor bids are determined using plan quantities multiplied by the contractor’s unit prices for all bid items of the contract. The total of all of these costs represents the contractor’s bid. During construction, each quantity is verified in the field and the contractor is to be reimbursed based on the actual quantity. During construction, it was discovered that one bid item, Sidewalk, was inadvertently omitted from the original bid proposal. The unit price for the new bid item was negotiated with the contractor before doing the work. A small quantity of existing sidewalk had to be replaced on the east side of 12th Avenue SE between State Highway 9 and Oak Tree Avenue. This Final Change Order No. 1 adjusts the contract to reflect the new sidewalk bid item cost. All other plan quantities were measured in the field and determined to be correct. Change Order No. 1 results in an increase of $6,175, increasing the total contract amount from $77,118 to $83,293, which is an 8.0% increase.
Based on the recent combined Construction and Construction Management estimate of just under $2.9 million dollars, the City’s portion of these costs are estimated to be $709,000 with the federal portion at $2,191,000. Current project account balances total approximately $539,000. After an upcoming transfer of $296,000 in Deferral or Development Fees is made into the project account, there will be a new balance of approximately $835,000. After the ODOT payment is made, approximately $126,000 is available to pay this $6,175 water line change order and potential overruns on the upcoming widening project.
RECOMMENDATION NO. 1: Staff recommends that Change Order No. 1, increasing Contract K-1617-80 by $6,175 be approved.
RECOMMENDATION NO. 2: Staff further recommends final acceptance of the 12th Avenue SE Water Line Project Contract K-1617-80, and final payment in the amount of $10,030.90. Funds will be paid from the 12th Avenue SE Widening Project, Utility Relocation (account 050-9552-431.67-01; project BP0191).