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CHANGE ORDER NO.ONE TO CONTRACT K-1920-2: BY AND BETWEEN THE NORMAN UTILITIES AUTHORITY AND H&H PLUMBING & UTILITIES, INC., INCREASING THE CONTRACT AMOUNT BY $25,303.86 FOR A REVISED CONTRACT AMOUNT OF $1,444,763.86 AND EXTENDING THE CONTRACT TIME BY 30 CALENDAR DAYS TO INSTALL A REPLACEMENT WATER LINE INTO REAVES PARK AND TO RECTIFY QUANTITIES FOR THE REQUIRED OPEN-CUT CROSSING OF JENKINS AVENUE.
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BACKGROUND: On January 24, 2017, the Norman Utilities Authority (NUA) approved Contract K-1617-93 authorizing Poe and Associates to proceed with survey, design, and construction management services for the Segment D water line project as recommended by the 2003 Water Master Plan to install a water transmission main from Lindsey Street and Chautauqua Avenue to Highway 9 and Jenkins Avenue. The initial phase was previously installed along Chautauqua Avenue from Lindsey Street to Timberdell Road.
This project is installing approximately 4,800 feet of 24-inch water line along the south side of Timberdell Road and then along the east side of Jenkins Ave within Reaves Park to the south side of Constitution Avenue. The existing 12-inch ductile iron pipe within Reaves Park will be abandoned and services will be transferred over to the new main. The future installation along Jenkins Avenue down to Highway 9 will be done by a future construction project.
Additionally, the recommended portfolio for the 2060 Strategic Water Supply Plan recommended a future non-potable irrigation system from the Water Reclamation Facility to irrigate Reaves Park to reduce the demand on the water system. This project is also installing 2,000 feet of the 16-inch non-potable (reclaimed) water line parallel to the proposed 24-inch potable water line.
DESCRIPTION: Proposed Change Order No. 1 to this project will allow the installation of an 8-inch water line into Reaves Park to replace the existing 8-inch water line installed in the 1940s to maintain service to the existing Park Maintenance Facility and to provide service for the upcoming improvements to Reaves Park. The replacement of this line at this time will eliminate the cost associated with reconnection of this line near Jenkins Avenue as it currently exists and will minimize restoration costs associated with the installation of the line by completing the installation prior to the Reaves Park project.
Additionally, this change order will rectify quantities necessary for the open cut installation of the 24-inch water line across Jenkins Avenue. Based on utility information obtained during the design phase, Jenkins Avenue was proposed to be bored under to minimize the impact to citizens and to avoid existing utilities. However, during construction, utility verification completed by the contractor determined that the proposed bore would not work and that the best option would be to open cut Jenkins Avenue. To minimize impacts to citizens and traffic, prices were negotiated with the contractor and the work was completed immediately from January 6 to January 10, 2020. This expedited work allowed for the crossing to be completed prior to the majority of University of Oklahoma students returning to campus and prior to the start of the Spring 2020 semester.
As shown in the change order, the overall project cost will increase by $25,303.86 to $1,444,763.86 or approximately 1.78 percent over the original contract amount. This increase includes both amending existing bid item quantities and creating new pay items for new items of work. The following summarizes the proposed costs associated with Change Order No. 1:
Original Contract Amount: $1,419,460
Amended Pay Items - ($48,566.14) - 3.42%
New Pay Items - $73,870 - 5.20%
Proposed Contract Amount - $1,444,763.86 - +1.78%
The State Competitive Bidding Act allows processing of change orders up to 10 percent of the original contract amount which would be $141,946 for this particular project. However, increases or decreases to existing unit price bid items would not be included. The new pay items proposed by this change order equate to an increase of 5.2 percent above the original contract price which would still be less than the 10 percent limit. The contract time is also proposed to be increased by 30 calendar days for the additional work to be completed.
Funding for Change Order No. 1, if approved, would be through Segment D 24” Phase IV project. Water Distribution System Projects, Construction (account 31993360-46101; project WA0239) has an unencumbered balance of $1,325,825.51.
RECOMMENDATION: Staff recommends the NUA approve Change Order No. 1 to Contract K-1920-2 with H&H Plumbing & Utilities, Inc., increasing the contract amount by $25,303.86 for a revised contract amount of $1,444,763.86 and extending the contract time by 30 calendar days.