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HomeMy WebLinkAbout10 Increase Contract Amount for Inspection ServicesItem#CONSENTTo:BoardofDirectorsFrom:NeilKaufmanDate:November07,2018Subject:ConsiderationofIncreasingtheTotalAuthorizationforaContracttoPerformConstructionInspectionServices1.WHYTHISMATTERISBEFORETHEBOARDBoardactionisrequiredforexpendituresinexcessof$15,000.2.HISTORYInMarch2018,theWaterDepartmentissuedarequestforproposals(REP)toselectanoutsidefirmtoassistinperformingconstructioninspectionofdeveloperconstructedwatersystemfacilities.AsaresultofthisREPprocess,acontractwasexecutedwithConstructionMaterialsEngineers(CME)foron-callconstructioninspectionservicesinanamountnottoexceed$80,000.Aseparateworkorderiscreatedforeachdeveloperproject.Inspectionofdeveloperconstructedfacilitiesisbilledagainsttheappropriateworkorderandthecostsarepaidbythedeveloper.TheWaterDepartmentgeneratesanestimateofthelevelofinspectioneffortrequiredforagivenprojectandcollectsadepositforthosecostsatthetimethedevelopmentagreementissigned.Whenanoutsidefirmisusedtoperformtheconstructioninspectionofdeveloperconstructedprojects,thosecostsarebilledagainstthedepositcollectedfromthedeveloper.3.NEWINFORMATIONTherehasbeensignificantdeveloperactivitythissummerandCMEhasspenttimeinspectingwatersystemconstructionforthefollowingprojects:.BouldersCondominiums-PhaseIV;.CarsonRangeCourt,Miner’sTrailandSutter’sTrail.CHPEacilityrelocation.CoburnCrossing;.Railyard;.Safewaywaterpipelinerelocation;.TahoeTruckeeLumberrelocation;and.TruckeeElementarySchoolfireprotectionlooppipeline. ExpendituresthroughtheendofSeptembertotal$79,427.ExpendituresforthemonthofOctoberareestimatedat$4,000,withasimilaramountexpectedforNovember.Itisrecommendedthatthetotalcontractauthorizationbeincreasedfrom$80,000to$100,000tocovertheexpectedconstructioninspectionactivitiesthroughtheendof2018.4.FISCALIMPACTAsnotedabove,thecostsforinspectingdeveloperconstructedfacilitiesarebydevelopers.ThereisaminimalfinancialimpacttotheDistrictassociatedwithaccountingandcontractmanagement.5.RECOMMENDATIONAuthorizetheGeneralManagertoexecutethenecessaryagreementtoincreasethetotalauthorizationforthecontractwithConstructionMaterialsEngineersforon-callconstructioninspectionservicesfrom$80,000to$100,000./?ZMichaelD.HolleyGeneralManagerIWaterUtilityDirector