RECOMMENDATION from Director Houston Public Works for approval of Change Order No. 3 in the amount of $869,000.00 for Ground Water Well Rehabilitation at Various Sites - DISTRICTS A - PECK; B - JACKSON; C - KAMIN; F - THOMAS; G - TRAVIS and J - POLLARD

This item should only be considered after passage of Item 3 above

SUBJECT: Pass a motion approving Change Order No. 3 for Ground Water Well Rehabilitation Various Sites.

RECOMMENDATION: (SUMMARY) Pass a motion approving Change Order No. 3 for Ground Water Well Rehabilitation Various Sites.

PROJECT NOTICE/JUSTIFICATION:  This project is part of the City’s program to upgrade and rehabilitate ground water production facilities and is required to meet the area’s water demand and ensure compliance with the Texas Commission on Environmental Quality regulations.

LOCATION:  

CHANGE ORDER No. 3:   This work is required for the additional work described in Change Order No. 3.  The Contract documents call for the rehabilitation of ground water wells at various sites as designated by Drinking Water Operations. This rehabilitation scope includes the replacement of pumps and associated equipment. An active On-Call ground water well rehabilitation contract is required to ensure regulatory compliance, reduce strain on current operating ground water wells and supply necessary service to utility customers. This Contract was due to expire on September 24, 2021, however, it remains active until the final work order has been closed out. This scope of work is necessary to complete the execution of this project. The contract duration for this project is 420 calendar days.  The project was awarded to Alsay Incorporated with an original Contract Amount of $2,504,072.10.

The proposed Change Order No. 3 is in the amount of $869,000.00 or 34.70% above the original contract amount and extends the contract time by 117 days.  This will increase the original contract amount to $3,373,072.10, leaving the 5% contingency balance for completing the remaining work. 

M/WBE PARTICIPATION:  The M/WBE goal established for this contract is 11%. The original Contract approved by Ordinance No. 2020-0528 is in the amount of $2,504,072.10. The Contractor has been paid $2,046,193.61 (81.71%) to date. Of this amount, $236,021.74 (11.53%) has been paid to M/WBE sub-consultants to date. Assuming approval of Change Order No. 3, the contract amount will increase to $3,373,072.10.  The Office of Business Opportunity will continue to monitor this award.

FISCAL NOTE: No significant Fiscal Operating impact is anticipated as a result of this project.

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Carol Ellinger Haddock, P.E., Director

Houston Public Works

No additional funding required.

Original (previous) appropriation of $3,147,000.00 from Fund No. 8500 - Water and Sewer System Consolidated Construction fund.

Subsequent Additional Appropriation of $1,000,000.00 from Fund No. 8500 – Water and Sewer System Consolidated Construction fund.