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CHANGE ORDER NO. ONE TO CONTRACT K-1718-88: BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA AND RDNJ, L.L.C. DBA A-TECH PAVING OF EDMOND, OKLAHOMA, DECREASING THE CONTRACT AMOUNT BY $42,851.49 FOR A REVISED CONTRACT AMOUNT OF $334,545.51 FOR THE LAHOMA AVENUE FROM NEBRASKA STREET TO HUGHBERT STREET RECONSTRUCTION CONTRACT, AND FINAL ACCEPTANCE OF THE PROJECT.
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BACKGROUND: In the Norman General Obligation Bond Election of 2016, voters approved the Street Maintenance Bond Program, a 5-year, 4-phase program to address maintenance needs on neighborhood streets. The four categories include (1) Urban Asphalt Streets Rehabilitation, (2) Urban Concrete Streets Rehabilitation, (3) Urban Streets Reconstruction and (4) Rural Road Rehabilitation. Prior to the election, the City provided a list of all streets included in the program based upon the pavement condition data from the City’s current Pavement Management System. The following is the list of Urban Street Reconstruction projects included in the 2016 GOB Election:
2017 - Lahoma Avenue - Gray Street to Nebraska Street
2018 - Lahoma Avenue - Nebraska Street to Hughbert Street
2019 - Walnut Road - South 2700 Block to Imhoff Road
2020 - McCall Drive - Chautauqua Avenue to Pickard Avenue
2021 - Pickard Street - Kansas Street to Acres Street
Lahoma Street from Nebraska Street to Hughbert Street is located in the central part of Norman. The area around the project is established residential housing. The roadway was constructed of asphalt pavement with no curb and gutter. The roadway was originally constructed in the early 1940’s when housing for the U.S. Navy airbase was established. The stormwater drained through ditches on either side of the roadway. The City’s goal was to provide residents with a new driving surface, curbs and guttering, and improved drainage systems. Specific improvements for this project include:
• 1,370 feet of new two-lane roadway;
• 2,700 curb and gutter throughout;
• Stormwater improvements including curb hoods and inlets
On March 14, 2017, City Council approved Contract K-1617-100 with Garver Engineering, providing for preparation of final plans and specifications for the roadway improvements of Lahoma Avenue from Nebraska Street to Hughbert Street, in the amount of $102,100.
On February 27, 2018, City Council awarded the Lahoma Avenue from Nebraska Street to Hughbert Street Reconstruction Contract K-1718-88 to the lowest bidder, RDNJ, LLC doing business as A-Tech Paving of Edmond, Oklahoma in the amount of $377,397.
DISCUSSION: Construction projects are awarded to the lowest cost 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 used. On this project, a few bid items were not needed or the cost was significantly lower, including temporary silt fence; temporary sediment filter; solid slab sodding; stabilized subgrade; Traffic Bound Surface Course Type E Asphalt; Superpave Type S4 Asphalt; cold milling pavement; valve boxes adjusted to grade; meter boxes adjusted to grade; fire hydrant resetting; 18” reinforced concrete storm sewer pipe; and removal of concrete drives. Due to the project underruns, Change Order No. 1 will result in a project cost decrease.
In addition to the project underruns, the contractor is providing the City a credit in lieu of liquidated damages for slow progress on the project, which also contributed to the refund.
This Final Change Order No. 1 addresses quantity changes and liquidated damages. Change Order No. 1 results in a decrease of $42,851.49, decreasing the total contract amount from $377,397 to $334,545.51 or 11.4%.
RECOMMENDATION No. 1: Staff recommends that Change Order No. 1 decreasing Contract K-1718-88 by $42,851.49 be approved.
RECOMMENDATION No. 2: Staff further recommends final acceptance of the Lahoma Avenue from Nebraska Street to Hughbert Street Reconstruction Project Contract K-1718-88, and final payment in the amount of $12,222.48. Funds will be paid from the Lahoma Avenue from Nebraska Street to Hughbert Street Reconstruction Project, Construction (account 050-9385-431.61-01, project BP0378).