SUBJECT: Adopt an Ordinance approving Additional Appropriation for Change Order No. 3 to improve Almeda Sims Wastewater Treatment Plant and Sludge Processing Facility Improvements - Package 3; LEM Construction Company Inc., WBS No. R-000298-0008-4.
RECOMMENDATION: (Summary) Adopt an Ordinance approving Additional Appropriation of $603,372.56 for the Almeda Sims Wastewater Treatment Plant and Sludge Processing Facility Improvements – Package 3.
PROJECT NOTICE/JUSTIFICATION: This project is part of the City’s ongoing program to make improvements to the existing facilities at Almeda Sims Wastewater Treatment Plan & Sludge Processing Facility.
DESCRIPTION/SCOPE: The project consisted of structural, mechanical, and electrical improvements to the Almeda Sims Wastewater Treatment Plant and Sludge Processing Facilities. LJA Engineering, Inc. designed the project with 590 calendar days allowed for construction. The project was awarded to LEM Construction Company, Inc. with an original Contract Amount of $8,774,000.00.
LOCATION: The project area is located at 12319 1/2 Almeda Road, Key Map Grid 572L.
ADDITIONAL APPROPRIATION: An approval is requested for an additional appropriation of $518,758.56 in excess of the original contract value and extension of 81 days of contract time, for additional work described in Change Order No. 3 to replace the corroded and leaking 16 inch diameter sludge piping for the clarifiers. The deteriorated pipe condition was discovered during the performance of the contract work and the replacement of the piping is required to allow proper treatment and bring the facility into TCEQ compliance. In addition, the appropriation of $84,614.00 is required for IDS Engineering Group’s supplemental construction management services under the previously approved Contract. This scope of work is necessary to complete the execution of this project due to unforeseen site conditions.
The requested appropriation will cover the additional work identified in Change Order No. 3 and leave the 5% contingency balance for the completion of remaining contract work.
HIRE HOUSTON FIRST: The proposed contract requires compliance with the City’s ‘Hire Houston First’ ordinance that promotes economic opportunity for Houston business and supports job creation. In this case, the proposed contractor meets the requirements of Hire Houston First.
PAY OR PLAY PROGRAM: The proposed contract requires compliance with the City’s ‘Pay or Play’ ordinance regarding health benefits for employees of City contractors. In this case, the contractor provides health benefits to eligible employees in compliance with City policy.
MBE/SBE PARTICIPATION: The MBE/SBE goal established for this project was 18%. The original Contract approved by Ordinance No. 2013-0559 is in the amount of $8,774,000.00. Assuming approval of the Change Order No. 3 and the previously approved change orders, the Contract amount will increase to $9,292,758.56. According to Office of Business Opportunity, to date the Contractor has achieved a MBE/SBE performance goal of 15.45%. The Contractor is anticipating achieving their goal of 18%.