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CHANGE ORDER NO. ONE TO CONTRACT K-1819-48: BY AND BETWEEN THE NORMAN UTILITIES AUTHORITY AND PM CONSTRUCTION & REHAB L.L.C., DECREASING THE CONTRACT AMOUNT BY $136,593.62 FOR A REVISED CONTRACT AMOUNT OF $1,211,907.38 FOR THE CONSTRUCTION OF THE FYE 2014 SEWER MAINTENANCE PROJECT, PHASE 2 AND FINAL ACCEPTANCE OF THE PROJECT.
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BACKGROUND: In 2001, the citizens of Norman approved a five dollar per month sewer maintenance fee providing for the systematic replacement of aged and deteriorating sewer collection lines. The sewer maintenance projects are rehabilitative in nature and are generally located in the backyards of Norman residences or alleyways in commercial areas. Since the initial project in 2003, 454,882 linear feet (86.2 miles) of sanitary sewer system piping has been replaced at an approximate construction cost of $30.3 million. The oldest piping in central Norman was replaced first with additional projects expanding outward from the downtown area.
The FYE14 Sewer Maintenance Project (WW0202) was bid in two phases due to budget constraints; the phases are illustrated in the attached location map,. The Phase 1 work consisted of 30,463 feet of sewer rehab and was complete in August 2017 at a cost of $2,124,371. Phase 1 was generally bounded by Robinson Street to the north, the Westwood Golf Course to the west, Denison Drive to the south, and Berry Road to the east.
Phase 2 is generally bounded by Iowa Street to the north, Sherry Avenue to the west, Main Street to the south, and Berry Road to the east. Phase 2 was expected to replace about 18,500 feet of sewer lines and rehabilitate or replace 90 manholes. The contractor will generally install high-density polyethylene (HDPE) sewer pipe with a minimum diameter of eight inches, primarily using the pipe-bursting technique.
The advertisement for bids was published in the Norman Transcript and five (5) bids were received on August 9, 2018. PM Construction & Rehab, LLC (PM Construction) was the low bidder at $1,348,501. On August 28, 2018, the Norman Utilities Authority (NUA) approved Contract K-1819-48 for $1,348,501 with PM Construction for construction of the FYE14 Sewer Maintenance Project, Phase 2.
DISCUSSION: The Phase 2 work began on September 17, 2018 and was to be complete by June 14, 2019. As with many sewer replacement projects, construction was difficult at times in confined spaces with many obstructions including homeowner improvements, fencing, swimming pools and extensive landscaping. Many residents were temporarily impacted until the sewer segment could be installed, tested and homes re-connected. The project included about 2,300 feet 18-inch sewer interceptor at depths between 12 and 20 feet; the open trench portion of this work was extremely difficult. One 400-foot long sewer segment was deleted as we were unable to acquire a homeowner easement. The work was complete on July 12, 2019 when the last road repair was finished. Minor cleanup activities continued after that date and these are now complete.
Proposed Final Change Order No. 1 will reconcile of “as-bid” to “as-built” quantities. As shown in the change order, the contract amount will decrease by a total of $136,593.62 for a final contract amount of $1,211,907.38. Attachment 1 of the change order quantifies the “as-bid” to “as-built” quantities for each bid item resulting in a net savings of about 10% with largest changes being:
• An overall reduction in open trench construction saving $47,245;
• An overall reduction of construction by pipe-bursting saving $33,027;
• Rehab or replacement of 12 fewer manholes saving $35,220;
• 277 service reconnections versus the estimate of 340 saving $22,750; and
• an increase of almost $6,000 for additional paving and sidewalk repairs.
RECOMMENDATION: It is recommended that the NUA approve Final Change Order No. 1 to Contract K-1819-48 with PM Construction & Rehab, LLC decreasing the contract amount by $136,593.62 for a final contract amount of $1,211,907.38. It is also recommended that the NUA accept the FYE14 Sewer Maintenance Project, Phase 2 and authorize final payment to PM Construction.