Title
CHANGE ORDER NO. ONE TO CONTRACT K-1718-9: BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND SILVER STAR CONSTRUCTION CO, INC., DECREASING THE CONTRACT AMOUNT BY $199,470.04 FOR A REVISED CONTRACT AMOUNT OF $1,087,109.96 FOR THE 2016 URBAN ASPHALT PAVEMENT REPAIR BOND PROGRAM, FYE 2017 LOCATIONS; AND FINAL ACCEPTANCE OF THE PROJECT.
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BACKGROUND: In the Norman General Obligation Bond Election of April 2016, voters approved the Street Maintenance Bond Program. All bond projects are to be completed in five years under the approved program budget of $25,000,000. The 2016 Street Maintenance Bond Program includes four categories as follows:
• Urban Asphalt Street Rehabilitation
• Urban Concrete Street Rehabilitation
• Rural Road Rehabilitation
• Urban Street Reconstruction
Locations throughout Norman to be maintained were determined prior to the bond election using the City’s pavement management system. The pavement management system uses field data to numerically rate each street in Norman. The streets with the lowest ranking are priority to be maintained (resurfaced, concrete panels replaced, curb/gutter repaired, etc.). During each year of the 2016 Street Maintenance Bond Program, the streets that were identified for that year will be maintained. The FYE 2017 Urban Asphalt Street Rehabilitation Bond projects included 34 selected residential streets, in 11 different subdivisions located throughout the City of Norman.
DISCUSSION: The bid opening was conducted on July 20, 2017. On August 8, 2017, the City Council awarded the FYE 2017 Urban Asphalt Street Rehabilitation Bond Project to Silver Star Construction of Moore in the amount of $1,286,580.
On October 16, 2017 construction started on the FYE 2017 Urban Asphalt Street Maintenance Bond projects.
All work, including the rehabilitation of 34 selected residential streets, in 11 different subdivisions, was completed per the contract specifications. A final pay application of $54,355.52 was submitted by the contractor on November 16, 2018. The locations are funded in Urban Asphalt Pavement-Bond, Construction (account 050-9401-431.61-01; as projects BP0358, BP0359, and BP0360-BP0368).
The total work completed amounted to $1,087,109.96 leaving a balance of $199,470.04. This underrun of 15.5% is attributed to underruns of unit price bid items including; 1) asphalt deep patching, 2) edge milling, and 3) concrete curb and gutter. These neighborhood asphalt street rehabilitation projects are challenging to estimate quantities due to the unique conditions at each location.
RECOMMENDATION NO 1: Staff recommends approval of Change Order No. 1 (final) decreasing the contract by $199,470.04. If approved, the total contract amount with Silver Star Construction, Inc. of Moore will decrease to $1,087,109.96 from $1,286,580, a decrease of 15.50%. If approved, the fund balance for the 2016 Street Maintenance Bond Program will increase by $199,470.04
RECOMMENDATION NO 2: Staff recommends final acceptance of the 2016 Street Maintenance Bond Program, Urban Asphalt Street Rehabilitation Project, FYE 2017 locations, Contract K-1718-9, and further recommends that final payment in the amount of $54,355.52 be directed to Silver Star Construction of Moore, OK.