O-2004-2742 - Laserfiche WebLink

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. e REQUEST FOR CITY COUNCIL AGENDA ITEM Agenda Date Requested: May 24, 2004 Appropriation Source of Funds: Fund 038 Requested By: S. Gillett Account Number: 038-9892-884-1100 Department: Public Works Amount Budgeted: $1,452,519.00 ~ ~ . . . yy Amount Requested: $1,119,690 Exhibits: Ordinance Budgeted Item: YES Exhibits: Change Order # I Exhibits: SUMMARY & RECOMMENDATION On October 27, 2003, a contract was awarded to Vintage Contracting, Inc. in the amount of $1,000,176.00, for the construction of the Bay Area Blvd. Trunk sewer. A five percent (5%) contingency of $50,000 was also included. When the 'Project was awarded, the City had verbal agreement with the landowner for easement and right-of-way for the utilities, as well as the drainage and paving of Bay Area Blvd. Approval of the easement and right-of-way agreements was delayed due to the landowner's requests for revisions to the approved documents, as well as questions regarding the surveyor's descriptions of the legal descriptions. Approval was also delayed by the landowner's need for review and approval by the Texas Commission on Environmental Quality. These matters have recently been resolved, and we have signed documents. The Contractor was never given a notice to proceed, due to the delay in finalizing the needed easement and right-of-way. The Contractor has recently advised the city that, due to cost increases from suppliers and subcontractors, it could no longer honor the bid. They were requested to document and submit these increases, which totaled $119,514.00. The documentation was examined by the Engineer and the city, and found to be reasonable. Increases in the price ofPVC pipe (petroleum based), steel and labor costs constituted the bulk of the increase. Adequate funds are available for the increase. The Engineer has prepared Change Order #1, which changes the contract price from $1,000,176 to $1,119,690. It should be noted that second low bid was $1,112,611, or $7,079 less than the revised contract amount. It can be reasonably assumed that second low bidder would have similar cost increases. Action Reauired bv Council: Approve an ordinance authorizing the City Manager to execute Change Order #1 with Vintage Contracting, Inc. for the Construction of the Bay Area Boulevard Trunk Sewer Project increasing the contract price by $119,514.00. Date S-I?-tY) ,