Loading...
HomeMy WebLinkAbout6 Northshore Donner Lake Services Agenda Item # t0 Memorandum To: Board of Directors From: Neil Kaufman Date: October 11, 2004 Subject: Change Order No. 2 for the Installation of Services for the North Shore of Donner Lake—Contract B Project 1. Why this matter is before the board: Approval from the Board of Directors is necessary to issue a Change Order to a construution contract. 2. History: The Board previously awarded the installation of Services for the North Shore of Donner Lake- Contract B project to Hansen Brothers Enterprises (HBE). On August 18, the Board approved Change Order No. 1 for this Contract. That Change Order covered the construction of about site piping and conduit at the Red Mountain Tank site at a cost of $171,778. On September 9, a bid opening was held for construction of the new Red Mountain storage tank. No bids were received. At the September 15 Board meeting, Staff was then directed to negotiate a contract for demolition of the existing tank only, with the understanding that construction of the new tank would be rebid. 3. New information: I am requesting a Change Order to the Contract for issues covered under seven general items that will cover all of the outstanding issues encountered from the start of the project to October 1, 2004. Item 1: The basis for issuing Change Order No. 1 involved timing and construction sequencing of the planned improvements at the Red Mountain Tank site. It was hoped to have the site piping and conduit work performed prior to construction of the new tank. However, once the bid opening for the tank construction was held and the District did not receive any Bids, it was necessary to reconsider the entire project. Considering that the tank would not be constructed until 2005, it was possible to postpone construction of the site piping and conduit work until 2005. This postponement would allow time for the preparation of Bid Documents so that new competitive bids could be solicited for the piping work. Page 1 HBE was then informed that the work covered under Change Order No. 1 would be canceled and the change order would be rescinded. This results in a $171,778 credit to the District. HBE informed me that some pipe material had already been purchased for the site piping and could not be returned. I notified HBE that the District would pay for the material and take possession of it, since it would be installed in 2005 anyway. Item 2: As described under Item 1, the District owes HBE for pipe purchased for the Red Mountain Tank site before Change Order No. 1 was canceled. This results in a $3,600.73 payment to HBE. Item 3: Rock requiring removal under the rock excavation clause was encountered at a few locations and HBE is due $3,403.51 for this rock removal work. Item 4: There were a few locations where old deteriorated pipelines were leaking to the extent that it was necessary to repair them before installation of the new pipeline could continue. At these locations, the District directed HBE to excavate the old pipe and perform repairs. HBE is due $1,500.97 for this work. Item 5: Unmarked and/or mismarked utilities were encountered at a few locations. HBE is due $3,253.37 associated with repair of these utilities. Item 6: On Moraine Road, it decided that installation of a 12" valve would be beneficial. This valve was shown on the Contract Documents and was not included in the Bid Schedule. The District provided the valve to HBE Unmarked and/or mismarked utilities were encountered at a few locations. HBE is due $1,506.52 associated with repair of these utilities. Item 7: While performing the installation of new service laterals and meter boxes, occasionally a customer will complain about low pressure after installation of the new piping. Almost always, this low pressure is the result of some dirt or debris that made its way into the customer's lateral and then partially clogged a valve downstream. Normally, flushing out the customer line will solve the problem. The presence of dirt or debris in the lateral is considered the fault of the contractor and it is his responsibility to solve the problem. At one residence, flushing did not solve the problem of low pressure. Three HBE employees spent almost and entire day performing various flushing and investigations until a partially closed valve was located in the house's crawlspace. This valve was stuck in a position of about 3/4 closed. The new meter box for this property has a pressure reducing valve in it and the reduced pressure together with the mostly closed valve resulted in low pressure for the customer. HBE was able to remove the valve and splice in a jumper. The presence of this mostly closed valve is not the fault of HBE and I believe that HBE should be compensated for the time spent addressing this problem. That amount is $1,218.04 Page 2 4. Recommendation: I recommend that the Board authorize Contract Change Order No. 2, in the amount of a $157,294.66 credit to the District from Hansen Brothers. Attachments: Change Order Form Page 3 ��` iill�i I UI I 11 IM I I I� - ' �, I F.E � ' ": Change Order v Public Utility��` Di � p INSTALLATION OF SERVICES FOR THE NORTH SHORE OF Contract Name: DONNER LAKE — CONTRACT B Contract Change Order No: 2 Orig. Contract Amt. $ 998,458.00 Days NA Date: October 12, 2004 Prev. Apprd Changes$ 171,778.00 Days NA Contractor: Hansen Brothers Enterprises This Change$ - 157,294.66 Days NA Revised Contract Amt. $ 1,012,941.34 Days NA This Change Order covers changes to the subject Contract as described herein. The Contractor shall construct, furnish equipment and materials, and perform all work as necessary or required to complete the Change Order Items for a lump sum price agreed upon between the Contractor and District. Increase in (Decrease) Contract Time Contract in Contract Extension Description of Changes Amount $ Amount $ (days) 1) Rescission of Change Order No. 1 $171,778.00 NA 2) Payment for Pipe for Red Mountain Tank site $3,600,73 NA 3) Rock Excavation $3,403.51 NA 4) Repair Leaking Water Pipes $1,500.97 NA 5) Unmarked/Mismarked Utilities $3,253.57 NA 6) Install 12" Valve Provided by PUD $1,506.52 NA. 7) Customer Valve Repair $1,218.04 NA Totals $14,483.34 Net change in contract amount (increase or decrease) $157,294.66 The amount of the Contract will be decreased by the sum of $157,294.66 and the Contract Time shall not be extended. The undersigned Contractor approves the foregoing Change Order as to the changes, if any, in the contract price specified for each item including any and all supervision costs and other miscellaneous costs relating to the change in work, and as to the extension of time allowed, if any, for completion of the entire work on account of said Change Order. The Contractor agrees to furnish all labor and materials and perform all other necessary work, inclusive of the directly or indirectly related to the approved time extension, required to complete the Change order items. This document will become a supplement of the contract and all provisions will apply hereto. It is understood that the Change Order shall be effective when approved by the District. Accepted: /Contractor Date: (Signature) Approved: /District Date: (Signature)