Title
Consider a memorandum/resolution authorizing the approval of Change Order #2 for the Gilmer Street Road and Pedestrian Improvements Project, in the amount of $905,195.23.
Body
DATE: January 7, 2025
TO: Kent Cagle, City Manager
FROM: Andrew Zagars, P.E., City Engineer
SUBJECT: Authorize the approval of Change Order #2 for the Gilmer Street Road and Pedestrian Improvements Project, in the amount of $905,195.23
BACKGROUND AND FINDINGS:
This project was included in the Street Reconstruction Certificate of Obligation (CO) Bond in Fiscal Year (FY) 2022 as a result of the previous pavement management program that prioritized the streets needing to be replaced.
The project includes reconstruction of Gilmer Street between Veterans Memorial Blvd and Rancier Road and will include full replacement of the roadway, curb and gutter, and sidewalk. The project also includes new street trees, street lighting, and drainage improvements.
On November 7, 2023, the City Council awarded the construction contract to TTG Utilities Inc., in the amount of $4,004,004.00.
Construction of the project north of 761st Tank Battalion Avenue encountered several unforeseen items that have slowed the construction. Water and sewer services started to be encountered at a higher elevation that conflicted with the roadway thickness. The City issued Change Order No. 1 to address the services. As the project proceeded an unknown 4-inch old water main was discovered, of which the city has no record. The water main was found to be in conflict with the project and was connected to many of the water services along the project. The main was limited on isolation valves so any work that was done resulted in a large area of water shutdowns. It was also discovered during construction that a portion of the sanitary sewer main between Elm Drive and Fergus Street needed to be replaced due to damage. This change order will replace the 4-inch main with a new 6-inch water main with additional valves as needed for isolation. The portion of the sanitary sewer that is damaged will also be replaced.
City staff and the engineering consultant, KSA Engineers, have negotiated the design and amount of the change order with TTG Utilities, in the amount of $905,195.23. The review of the proposal has been found to be consistent and acceptable.
THE ALTERNATIVES CONSIDERED:
N/A
Which alternative is recommended? Why?
N/A
CONFORMITY TO CITY POLICY:
The item conforms to all State and City policies.
FINANCIAL IMPACT:
What is the amount of the revenue/expenditure in the current fiscal year? For future years?
The total cost of Change Order #2 for the Gilmer Street Road and Pedestrian Improvements Project is $905,195.23.
Is this a one-time or recurring revenue/expenditure?
This is a one-time expenditure.
Is this revenue/expenditure budgeted?
Yes, $905,196 is available in the Water and Sewer Capital Improvement Fund in Construction account 350-56201-900-400-922026.
If not, where will the money come from?
N/A
Is there a sufficient amount in the budgeted line-item for this revenue/expenditure?
Yes
RECOMMENDATION:
Staff recommends that the City Council approve, and authorize the City Manager, or designee, to execute Change Order #2 for the Gilmer Street Road and Pedestrian Improvements, in the amount of $905,195.23.
DEPARTMENTAL CLEARANCES:
Development Services
Finance
Legal
ATTACHED SUPPORTING DOCUMENTS:
Proposal
Change Order
Presentation