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HomeMy WebLinkAbout6.h. Approve Change Order 4 with Eureka Construction for Improvements on Bonaire Path East, City Project 2018-03I:\City Clerk\Agenda Items\Approved Items\6.h. Approve Change Order 4 with Eureka Construction for Improvements on Bonaire Path East, City Project 2018-03.docx EXECUTIVE SUMMARY City Council Regular Meeting: July 5, 2022 AGENDA ITEM: Approve Change Order 4 with Eureka Construction for Improvements on Bonaire Path East, City Project 2018-03 AGENDA SECTION: Consent PREPARED BY: Brian Erickson, PE, City Engineer AGENDA NO. 6.h. ATTACHMENTS: None APPROVED BY: LJM RECOMMENDED ACTION: Motion to approve a change order with Eureka Construction for the improvements on Bonaire Path East, City Project 2018-03. BACKGROUND On May 7, 2019, City Council approved awarding a contract to Eureka Construction for street and utility improvements on Bonaire Path East, City Project 2018-03. That contract also included improvements in the Union Pacific Railroad (UPRR) right of way in order to facilitate the establishment of a quiet zone at this crossing. Since the City of Rosemount was able to obtain $1,000,000 in state bond funding for the railroad work, that portion was provided as a bid alternate to capture roadway costs directly related to that scope. Originally UPRR had ensured the necessary agreements, design and construction could be completed to allow for this work to progress in a timely manner in 2019. However, substantial delays and an inability to get any response from UPRR resulted this work being delayed until 2022. The rail crossing and signal work was completed several weeks ago, however roadway work directly abutting the rail crossing must be completed by the City’s contractor. Eureka Construction is currently scheduling the final work in both the railroad right of way as well as the rest of the corridor. Since UPRR’s delay were substantial Eureka has requested a change in the unit pricing for some of the remaining work items, most notably to pavement mixes, and the extended use of traffic control devices and barricades to protect the traveling public during the nearly three-year delay. The estimated additional cost is $152,720. The Bonaire Path Improvements design began in early 2018 and progressed through final design by early 2019. Upon award Eureka Construction began work on the road and utilities and was able to progress rapidly. During this time, staff began to experience challenges in contacting UPRR. Unfortunately, that pattern continued through 2019 and 2020. Ultimately, an agreement for installation of gate arms and new crossing material was approved with UPRR on April 20, 2021. Due to the long lead time for some of the materials UPRR was not able to complete their work until spring of 2022. Due UPRR’s delays and the need for the new crossing material to be in place prior to paving, Eureka was unable to complete the surface work in the railroad right of way. This work included paving, curb and gutter, center median and delineators. The heavy-duty concrete barriers were required to remain in place for nearly 3 years longer than anticipated because the road alignment shifted slightly. The utility work was performed via a separate UPRR permit and thus work was completed in 2019. 2 As a result of these delay the unit prices for the remaining items of work has increased since 2019. The items include asphalt, concrete, pavement marking, and restoration. This project had three previous minor change order totaling $35,357.57. The following table shows the current project status. As shown the requested change is an increase of approximately 8.5% resulting in a total increase of 10.5% to the awarded project. This amount is roughly in line with inflationary cost increases particularly this construction season. As with all unit price contracts, the final cost of the project will be based on actual quantities for each item. At this time staff is projecting the project to be slightly under the total project cost shown above by approximately $26,000. This results in a final construction cost approximately 9% above the awarded amount. RECOMMENDATION Staff recommends Council approve Change Order 4 to the contract with Eureka Construction for improvement of Bonaire Path East, City Project 2018-03. Item Amount Percent of Base + Schedule A Base Bid 1,630,369.54$ Schedule A (UPRR ROW)163,946.50$ Change Order 1 10,500.81$ 0.59% Change Order 2 15,583.11$ 0.87% Change Order 3 9,273.65$ 0.52% Change Order 4 (requested)152,719.74$ 8.51% Total Project Cost 1,982,393.35$ 10.48%