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CHANGE ORDER NO. SIX TO CONTRACT K-1516-80: BY AND BETWEEN THE NORMAN UTILITIES AUTHORITY AND CENTRAL CONTRACTING SERVICES, INC. INCREASING THE CONTRACT AMOUNT BY $76,126.54 FOR A REVISED CONTRACT AMOUNT OF $3,437,546.54 AND ADDING 59 CALENDAR DAYS TO THE CONTRACT FOR THE BERRY ROAD WATER LINE REPLACEMENT PROJECT, PHASE 3, FINAL ACCEPTANCE OF THE PROJECT, AND BUDGET TRANSFERS BETWEEN PROJECT ACCOUNTS.
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BACKGROUND: The Berry Waterline Replacement project (WA0305) was expected to include about 11,000 linear feet (LF) of 16-inch waterline along the west side of Berry Road from Robinson to Lindsey and approximately 3,000 LF of 24-inch waterline east along Lindsey from Berry to Chautauqua.
On May 10, 2011, the NUA approved Amendment No. 1 to Contract K-0910-61 in the amount of $172,000 authorizing Poe & Associates (Poe) to perform surveying, design and limited construction management services for the Berry Waterline Replacement project.
On March 10, 2015, the NUA approved Contract K-1415-70 in the amount of $1,334,675 with Central Contracting Services, Inc. for the construction of the Berry Road Waterline Replacement, Phase 1. The Phase 1 project included the 24-inch line along Lindsey from Berry to Chautauqua. The Phase 1 construction was complete on August 24, 2015 at a cost of $1,334,675.
On September 22, 2015, the NUA approved Contract K-1516-43 with McKee Utility Contractors, Inc. in the amount of $1,206,023.50 for the construction of the Berry Road Waterline Replacement, Phase 2. The Phase 2 project included the 16-inch waterline from just north of Lindsey to just north of Main Street. On January 26, 2016, the NUA and the City of Norman (City) approved Amendment No. 1 including the City of Norman as a party to the contract and also approved Change Order No. 1 (CO#1) to include road repairs to the western lane of Berry Road. CO#1 increased the contract amount by $410,205 for a revised contract amount of $1,616,228.50. The Phase 2 construction was complete on April 22, 2016 at a cost of $1,849,427.21.
Berry Road Waterline Phase 3 Construction Phase:
Contract K-1516-80 with Central Contracting Services, Inc. (Central) for the construction of the Berry Road Waterline Replacement, Phase 3 was approved February 23, 2016 by the NUA and the City of Norman. The Phase 3 construction included about 5,300 LF of 16-inch waterline from Main Street to Robinson Street and replacement of the westernmost driving lane of Berry Road. The NUA share of the project was $1,248,745 while the City of Norman share was $221,935 for a total amount of $1,470,680. The project began May 2, 2016 and was to be complete October 29, 2016. Central also replaced the 16-inch waterline owned by OU under separate contract.
Since that time, five change orders to the contract with Central have been approved as follows:
• Change Order No. 1 (CO#1) approved May 10, 2016 authorized installation of about 1,800 feet of 16-inch waterline along the south side of Main Street between Berry Road and Flood Avenue at a cost of $296,350. CO#1 also extended the contract time through January 27, 2017. The NUA share increased to $1,545,095 while the City of Norman share remained at $221,935 for a total of $1,767,030.
• CO#2 approved October 25, 2016 authorized installation of an additional 1,200 feet of 16-inch waterline along Main Street between Flood Avenue and Park Drive at a cost of $226,360. CO#2 also extended the contract time through February 26, 2017. The NUA share increased to $1,771,455 while the City of Norman share remained at $221,935 for a total of $1,993,390. Note that the southern lane of Main Street was also replaced in conjunction with concrete panel replacements on Main between Berry Road and Park Drive (Contract K-1516-112 approved by Council on April 26, 2016).
• CO#3 was approved on February 28, 2017 authorizing installation of an additional 1,900 feet of 16-inch waterline along the north side of Main Street between Park Drive and the railroad in preparation for the Main Street Streetscape Project at a cost of $524,300. CO#3 also extended the contract time through May 18, 2017. The NUA funded CO#3 in its entirety and was to be reimbursed by the City for 50% of the waterline improvements at a later date. CO#3 increased the NUA share to $2,295,755. At that time; the City of Norman share remained at $221,935, for a total of $2,517,690.
• CO#4 was approved on March 21, 2017 authorizing nine (9) additional 6-inch PVC fire line connections for future use as part of the Main Street Streetscape project at a cost of $66,495. CO#4 also extended the contract time through May 24, 2017. The NUA funded CO#4 in its entirety and was to be reimbursed by the City for 50% of the of the waterline improvements at a later date. CO#4 increased the NUA share to $2,362,250 while, at that time, the City of Norman share remained at $221,935, for a total of $2,584,185.
• CO#5 was approved on May 11, 2017 authorizing installation of about 3,000 feet of 24-inch PVC water line and replacement of the westernmost driving lane of Chautauqua Avenue between Lindsey Street and Timberdell Road at a cost of $777,235. The cost of the driving lane was shared three ways between City of Norman, the University of Oklahoma, and the NUA. CO#5 increased the contract by $777,235 to $3,361,420 and extended the contract time through August 16, 2017. The NUA share of CO#5 was $677,235 while the City of Norman share was $100,000 for a revised City total of $321,935.
DISCUSSION: Proposed Change Order #6 will increase the contract amount by $76,126.54 and will reconcile “as-bid” or estimated unit price bid quantities to “as-built” or ‘as-constructed’ quantities; it will also extend the contract time by fifty-nine (59) calendar days for a final completion date of October 14, 2017. The net effect of CO#6 is a 2.3% increase to the contract amount. A detailed itemization of the cost changes are shown on Attachment 1 to the change order. A brief description of the more major changes under each section of work follows:
1. Waterline and Roadway Improvements between Main and Robinson on Berry Road: The cost of the original work increased by $25,814.05 due mainly to the need to install additional waterline fittings to avoid underground utilities and additional concrete placement for street and sidewalk repairs. The increase is about 2.3% of than original contract amount.
2. Waterline Improvements between Berry and Flood on Main Street: The cost of this work decreased by $22,319 due mainly to the need to install less concrete for sidewalk and curb and gutter repairs. This is about 7.5% less than the estimated amount for CO#1.
3. Waterline Improvements between Flood and Park on Main Street: The cost of this work increased by $3,797 due mainly to the need to install “fast track” concrete at the intersection of Flood and Main to expedite re-opening of the intersection. This is about 1.7% more than the estimated amount for CO#2.
4. Waterline Improvements between Park Drive and the railroad in preparation for the Main Street Streetscape Project: The cost of this work decreased by $480 due mainly to fewer street repairs but more night-time work required to minimize street closures and expedite construction. This is about 0.1% less than the estimated amount for CO#3.
5. Fire Line Improvements between Park Drive and the railroad in preparation for the Main Street Streetscape Project: The cost of this work increased by $8,553.80 due mainly to additional night-time work and the need to install ten rather than nine fire line connections. This is about 12.9% more than the estimated amount for CO#4.
6. Waterline and Roadway Improvements between Lindsey and Timberdell on Chautauqua Avenue: The cost of this work increased by $60,760.69 due mainly to:
a. installing an additional 250 feet of 8-inch waterline west on Timberdell;
b. purchasing 360 feet of remaining 24-inch water pipe for future use;
c. the need to install additional concrete for street repairs near Timberdell Road;
d. the need to install additional concrete to improve drainage at the intersection of Normandie Drive.
This is about 7.8% more than the estimated amount for CO#5.
The Phase 3 Berry Road Waterline Replacement, as amended by five previous change orders, was substantially complete and operational on October 14, 2017. Final cleanup of the work has been proceeding since that time. The NUA and Public Works staffs recommend that the Norman Utilities Authority and the City of Norman accept the construction of the Phase 3 Berry Road Waterline Replacement, as amended, and authorize final payment in the amount of $80,543.82 to the construction contractor.
As noted in the background information above, the NUA initially funded 100% of CO#3 ($523,820) and CO#4 ($75,048.80) for the Main Street Streetscape Project work which is currently underway. The final cost of these change orders is $598,868.80. The agreement between the two departments was that each would fund 50% of the work; thus, the City share of the Main Street Enhancement work is $299,434.40. The remaining water related items in the Main Street Streetscape Project is $50,456; thus, the City’s share owed to NUA is reduced $25,228 to $274,206.40. Thus, it is now necessary to transfer a total of $274,206 as shown below:
• $33,534 from Main Street Streetscape Utility Account 050-9300-431.67-01, TR0047 into Berry Road Waterline Replacement Construction Account 031-9521-462.61-01, WA0305; and
• $240,672 from Main Street Streetscape Construction Account 050-9300-431.61-01, TR0047 into Berry Road Waterline Replacement Construction Account 031-9521-462.61-01, WA0305.
Additionally, as detailed in Attachment 1, the City share of the original Berry Road work decreased $2,989.25 while the city share of the Chautauqua improvements increased $16,912.48. This, combined with City funding of the CO#2 paving work to re-open Flood/Main intersection in a timely manner ($22,670), results in a net increase of $36,593.23. Thus, it is now necessary to transfer a total of $36,593 as shown below:
• $24,000 from Overton Drive: 300 Block Construction Account 050-9718-431.61-01, SC0503 into Berry Road Waterline Replacement account 031-9521-462.61-01, WA0305; and
• $12,593 from Westchester Avenue: Main Street to South Side Construction Account 050-9718-431.61-01, SC0504 into Berry Road Waterline Replacement Construction Account 031-9521-462.61-01, WA0305.
Lastly, in December 2017, the NUA provided funding totaling $378,466 to City/ODOT for the NUA share of upgrading the existing 12-inch waterline to 16-inch diameter on the Main Street Streetscape Project. Ultimately, the waterline construction was funded separately by the NUA. Thus, it is now necessary to transfer $378,466 from the Main Street Streetscape Utility Account 050-9300-431.67-01, TR0047 into the Gray/Main Waterline Replacement Construction Account 031-9521-462.61-01, WA0202.
The Fiscal Year Ending (FYE) 2017 budget in the Phase 3 Berry Road Waterline Replacement Construction Account (031-9521-462.61-01, WA0305) has an unencumbered balance of $0. Upon completion of the transfers noted above, the Phase 3 Berry Road Waterline Replacement Construction Account balance of $310,799 will be sufficient to fund CO#6 in the amount of $76,126.54.
RECOMMENDATION: It is recommended that the NUA and City Council approve Change Order No. 6 to Contract K-1516-80 with Central Contracting Services, Inc. increasing the contract amount by $76,126.54 to $3,437,546.54, approving a fifty nine (59) calendar day time extension, accepting the Berry Road Waterline, Phase 3 project and authorizing final payment in the amount of $80,543.82 to the contractor. It is also recommended that the following transfers be made to reimburse the Water Fund:
• $33,534 from Main Street Streetscape, Utility (account 050-9300-431.67-01; project TR0047) into Berry Road Waterline Replacement, Construction (account 031-9521-462.61-01; project WA0305);
• $240,672 from Main Street Streetscape, Construction (account 050-9300-431.61-01; project TR0047) into Berry Road Waterline Replacement, Construction (account 031-9521-462.61-01; project WA0305);
• $24,000 from Overton Drive: 300 Block, Construction (Account 050-9718-431.61-01; project SC0503) into Berry Road Waterline Replacement, Construction (account 031-9521-462.61-01; project WA0305);
• $12,593 from Westchester Avenue: Main Street to South Side, Construction (account 050-9718-431.61-01; project SC0504) into Berry Road Waterline Replacement, Construction (account 031-9521-462.61-01; project WA0305); and
• $378,466 from Main Street Streetscape, Utility (account 050-9300-431.67-01; project TR0047) into Gray/Main Waterline Replacement, Construction (account 031-9521-462.61-01; project WA0202).