CC MEETING: July 2, 2024
DATE: June 19, 2024
TO: Erin Rinehart, City Manager
FROM: Jonathan Wheat, P.E., Director of Engineering
Marc Guy, Assistant City Manager
Title
Consider Authorizing The City Manager To Execute Change Order No. 3 With KIK Underground, LLC For Additional Work As Part Of The Northland Estates Paving And Utility Improvements Project In An Amount Not To Exceed $68,174.30, Increasing The Total Project Contract To An Amount Not To Exceed $5,389,047.34.
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BACKGROUND:
During the rain events in late May and early June 2024, a slope failure occurred in the drainage channel located east of McCoy Road and south of the Northland Estates neighborhood. The Northland Estates contractor, KIK Underground, LLC, is still mobilized and can quickly complete the repairs.
The City Council awarded a contract on June 20, 2023, to KIK Underground in the amount of $5,266,909.50. The scope of the project is to replace streets, alleys, sidewalks, water and sanitary sewer lines and storm drainage pipe throughout the Northland Estates neighborhood. Change order no. 1, in the amount of $3,114.54, was approved administratively on July 28, 2023. Change order no. 2, in the amount of $50,849.00, was approved by City Council on April 2, 2024, for additional waterlines, channel improvements and tree removal.
Change order no. 3 is in the amount of $68,174.30, and will cover the following items:
- Install 6” concrete channel riprap
- Remove and replace channel riprap/wall
- Repair and restore the channel embankment
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- The duration of construction will increase by 30 days to a total of 330 calendar days.
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- FINANCIAL IMPLICATIONS:
- KIK Underground submitted a proposal to the City to accomplish the scope of the change order in an amount not to exceed $68,174.30. The revised contract amount will be $5,389,047.34, an increase of 2.3% from the original contract amount of $5,266,909.50. Funding is available in the Drainage Consolidated Fund.
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- IMPACT ON COMMUNITY SUSTAINABILITY:
- This project will support the City Council’s strategic objectives and vision of building a community that families and businesses want to call home by:
- Sustaining quality of life - Improvements in the subdivision should improve the appearance of the neighborhood and encourage residents to provide better upkeep of their properties.
- Sustaining day-to-day operations - The replacement of substandard infrastructure should reduce the need for non-scheduled or emergency repairs.
STAFF RECOMMENDATION/ACTION DESIRED:
Staff recommends that City Council authorize the City Manager to execute change order no. 3 with KIK Underground, LLC for the Northland Estates Paving and Utility Improvements Project in the amount of $68,174.30, increasing the total project contract to an amount not to exceed $5,389,047.34.