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CHANGE ORDER NO. ONE TO CONTRACT K-1819-127: BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND PARATHON CONSTRUCTION L.L.C., INC., DECREASING THE CONTRACT AMOUNT BY $66,559 FOR A REVISED CONTRACT AMOUNT OF $293,821 FOR THE STREET MAINTENANCE BOND RECONSTRUCTION PROJECT FROM THE 2700 BLOCK OF WALNUT ROAD TO IMHOFF ROAD 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 Roads 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 reconstruction projects included in the 2016 GOB Election:
• 2017 Lahoma Street - Gray Street to Nebraska Street
• 2018 Lahoma Street - 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
Walnut Road is located in an established residential neighborhood. The roadway was constructed of concrete pavement with curb and gutter. The concrete pavement was in bad shape and the substructure had failed in several locations along the 0.25 lane-mile stretch of the roadway. The reconstruction project involved removal of the existing pavement and curb and gutter, stabilizing the subgrade and placing new concrete pavement and ADA-compliant driveways.
On April 23, 2019, City Council awarded the Street Maintenance Bond Reconstruction Project - Walnut Road from S 2700 Block to Imhoff Road Contract K-1819-127 to Parathon Construction, LLC of Edmond, Oklahoma in the amount of $360,380.
DISCUSSION: Construction projects are awarded to the lowest 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, several items were not needed or the cost was significantly lower, including undercut, aggregate base, high early strength concrete, sidewalk concrete, sidewalks, and water meter installation. The project underruns result in a project cost decrease of $66,559.
This Final Change Order No. 1 addresses quantity changes, resulting in a decrease of $66,559, decreasing the total contract amount from $360,380 to $293,821 or 18.5%. The Engineer’s Estimate for the project was $436,191; the final project costs were 32.6% below the Engineer’s Estimate.
RECOMMENDATION No. 1: Staff recommends that Change Order No. 1 decreasing Contract K-1819-127 by $66,559 be approved.
RECOMMENDATION No. 2: Staff further recommends final acceptance of the Street Maintenance Bond Reconstruction Project - Walnut Road from S 2700 Block to Imhoff Road (Contract K-1819-127), and final payment in the amount of $28,429. Funds will be paid from the Bond Projects Road Reconstruction Fund (Account Org 50593385, Object 46101; project BP0413).