HomeMy WebLinkAbout10 Sierra College change order Agenda Item # 10
Public Utility District
ACTION
To: Board of Directors
From: Neil Kaufman
Date: July 02, 2008
Subject: Sierra College Change Order
1. WHY THIS MATTER IS BEFORE THE BOARD
Board action is required for expenditures in excess of$15,000.
2. HISTORY
In April 2007, the Board gave approval to entering into an agreement with Sierra College
regarding the upsizing and construction of water system improvements associated with the
college's Truckee campus. The draft agreement presented to the Board showed a total
payment of $277,239 from the District to Sierra College. The Board approved a total
expenditure of up to $300,000, providing about $23,000 for contingencies.
In July 2007, a revised agreement for a total a payment of $310,983 from the District to Sierra
College was approved the Board. This new total was based upon a re-evaluation of the cost
allocation of upsizing a section of pipeline from 8-inch to 12-inch. In order to provide some
contingency, the Board approved a total expenditure of up to $330,000.
3. NEW INFORMATION
Construction of the pipeline along Donner Pass Road and through the college campus began
in May of 2007 and was completed in October 2007.
Also during the Summer of 2007, Sierra College spent significant time and effort in permitting
and re-design of the improvements in State Route 89 in order to satisfy Caltrans
requirements. Construction in State Route 89 began in September 2007 and was stopped in
late October for the Winter. During the construction of this work in the Fall of 2007, four
issues arose, impacting the cost of the work:
1) The District changed the configuration of the tie-in to the existing piping on the
west side of State Route 89;
2) An unmarked and unknown storm drain was encountered, requiring that the water
pipe be lowered to avoid a conflict;
3) The Caltrans inspector required the placement of slurry backfill that was not
originally shown on the drawings; and
4) Caltrans required the work to be performed at night.
These issues increased the cost to the District by $35,538.45.
Over the Winter of 2007/2008, the permit conditions with Caltrans were further clarified.
Based upon these revised permit conditions, Sierra College held discussions with its
contractors and a revised its construction costs. These revised construction costs were then
presented to the District. These revised costs were significantly higher than the costs
originally presented to the Board in 2007.
A. number of discussions and meetings were held between the District and Sierra College to
discuss this issue. Eventually, it was decided that the water pipeline would stop about 25 feet
south of the pedestrian bridge. The District would then construct a pipeline across SR 89 at a
later date (2009 or 2010) after Sierra College has completed its improvements. This revision
results in overall cost to the District of$348,710.
The contractor for Sierra College is currently constructing the improvements covered under
this agreement and the Water Department has been inspecting this construction. It has been
necessary to perform some rock excavation and blasting to install a portion of the water
facilities. That cost is not including in the $348,710. Some additional rock work may be
necessary before construction is complete. Therefore, authorization for an expenditure of up
to $380,000 is requested to provide a contingency to cover this rock excavation and other
unforeseen issues.
It is expected to cost about $25,000 to install the pipe across SR 89. That work will be
performed by a contractor retained directly by the District and would likely be included in a
future pipeline construction contract. This crossing will be presented to the Board in the
future, after plans and specifications have been prepared and the permits have been
obtained.
4. FISCAL IMPACT
The Board of Directors previously authorized an expenditure of up to $330,000. The revised
total cost is now expected to be $348,710. Authorization for an expenditure of up to $380,000
is requested to provide a contingency. The funding source for this work is Facility Fees.
5. RECOMMENDATION
1) Authorize a revision to the agreement between the District and Sierra College for a revised
payment from the District to Sierra College in an amount of$348,710.
2) Authorize an expenditure of up to$380,000 for the project.
3) Authorize the transfer of necessary funds from Water Facility Fees to the Water General
nd to pay for e ' provements.
Ed Taylor Michael D. Holley
Water Utility Manager General Manager