HomeMy WebLinkAboutReg 2008-04-21 Item 4C - Final Acceptance - Southcenter Boulevard Water Main by RL Alia Company for $871,200 COUNCIL AGENDA SYNOPSIS
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ITEM INFORMATION
CAS NUMBER: 08-046 ORIGINAL AGENDA DATE: APRIL 21, 2008
AGENDAITEMTITLE Accept as complete Southcenter Blvd Water Main Project and release retainage.
CATEGORY Discussion Motion Resolution Ordinance P1 Bid Award Public Heanng Other
Mtg Date Mtg Date 04/21/08 Mtg Date Mtg Date Mtg Date Mtg Date Mtg Date:
SPONSOR Council Mayor Adm Svcs DCD Finance Fire Legal P&R Police PTY/
SPONSOR'S The contract with R.L. Alia Company is complete for the Southcenter Blvd Water Main
SUMMARY Replacement Project. Construction began April 10, 2007 and was completed on
November 13, 2007. Two change orders were issued, with Change Order No. 1 for
installing conduits (one was reimbursed by Time Warner Communications) and Change
Order No. 2 was for final settlement (approved by Council 2/19/08). This project is
ready for final acceptance and the total contract amount was $871,200.00.
REVIEWED BY COW Mtg. (l CA &P Cmte F &S Cmte Transportation Cmte
Utilities Cmte Arts Comm. Parks Comm. Planning Comm.
DA'Z'E: 04/07/08
RECOMMENDATIONS:
SPONSOR /ADMIN. Accept contract as complete and authorize release of retainage.
COASITITEE Unanimous approval; forward to Regular Consent Agenda.
COST IMPACT FUND SOURCE
EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
$871,200.00 $951,350.00
Fund Source: 401 Water (page 78, 79, and 83, 2007 CIP)
Comments: Additional 2007 funds from Interurban Ave S Project and Interurban Water Reuse Project.
MTG. DATE RECORD OF COUNCIL ACTION
04/21/08
MTG. DATE 1 ATTACHMENTS
04/21/08 Information Memo dated April 2, 2008
Notice of Completion of Public Works Contract 07 -054
Information Memo Change Order No. 2 dated February 6, 2008
Utilities Committee Meeting Minutes from April 7, 2008
INFORMATION MEMO
To: Mayor Haggerton
From: Public Works Director O
Date: April 2, 2008
Subject: Southcenter Boulevard Water Main
Project No. 98 -WT05, Contract 07 -054
Project Completion and Acceptance
ISSUE
Accept contract as complete and authorize release of retainage.
BACKGROUND
The Notice to Proceed for Contract No. 07 -054 with R.L. Alia Company of Renton was issued
April 10, 2007. This project became critical after the 2001 Nisqually Earthquake broke the
existing 12 -inch cast iron water main in the Green River Trail. The water main was repaired
but it was determined that the existing line needed to be upgraded to ductile iron pipe.
This contract was totally completed on November 13, 2007. Change Order No. 1 was issued
in the amount of $24,000 for installing one 4" conduit for Time Warner Communications
along with two 2" spare conduits for Tukwila. Time Warner reimbursed Tukwila for the cost
of the 4" conduit. Change Order No. 2 was issued as a final contract settlement in the amount
of $73,000.00, which caused the project to be over budget. Change Order No. 2 was approved
by City Council on February 19, 2008. The change orders, final payment, and all final
documentation have been processed and the project is ready for closeout. The contract costs
are as follows:
Contract Award Amount 703,000.00
Change Orders 97.000.00
Subtotal 800,000.00
Sales Tax (8.9%) 71,200.00
Total Contract Amount 871.200.00
RECOMMENDATION
It is recommended that this contract be forwarded to the Tukwila City Council on the
consent agenda for formal acceptance and authorize release of the retainage, subject to the
standard claim and Iien release procedures.
Attachments: Vicinity Map
Information Memo Change Order No. 2
Notice of Completion of Public Works Contract
PAPROJECFS\A- WT Projects198wt05 Southcenter Blvd1LNIFO MEMO Acceptance ALIA Setr Blvd Water Main.doc
State of Washington
Departmt f Revenue
f PO Box 4
RE VENUE Olympia WA 98504 -7474 Contractor's Registration No. I No.
g (UBI 600 149 378
Date 3 /20/08
NOTICE OF COMPLETION OF PUBLIC WORKS CONTRACT
From:
Naiie& Qf;Publrc Agency Z; 1 Department Use Only
City of Tukwila Assigned To
6200 Southcenter Boulevard
Tukwila, WA 98188
Date Assigned
Notice is hereby given relative to the completion of contract or project described below
Description of Contract Contract Number
Southcenter Boulevard Water Main (Proj. 98 -WT05) 07 -054
Contractor's Name Telephone Number
R.L. Alia Company 425- 226 -8100
Contractor's Address
107 Williams Avenue S, Renton, WA 98057
Date Work Commenced Date Work Completed Date Work Accepted
4/10/07 11/13/07 3/15/07
Surety or Bonding Company
Hartford Fire Insurance Company
Agent's Address
Parker Smith Feek Inc. 2233 112th Ave NE, Bellevue WA 98004
Contract Amount 703,000.00
Additions 97,000.00 Liquidated Damages 0.00
Reductions 0.00
Sub -Total 800,000.00 Amount Disbursed 831,200.00
Amount of Sales Tax Paid at 8.9 71,200.00 Amount Retained 40,000.00
(If various rates apply, please send a breakdown.)
TOTAL 871,200.00 TOTAL 871,200.00
ur Officer:=
Comments: 8.9 Signature
Finance Approval Type or Print Name Diane Jaber
Phone Number (206) 433 -1871
The Disbursing Officer must complete and mail THREE copies of this notice to the Department of Revenue,
PO Box 47474, Olympia, WA 98504 -7474, immediately after acceptance of the work done under this contract. NO
PAYMENT SHALL BE MADE FROM RETAINED FUNDS until receipt of Department's certificate, and then only in
accordance with said certificate.
To inquire about the availability of this document in an alternate format for the visually impaired, please call (360) 753 -3217. Teletype
(TTY) users please call (800) 451 -7985. You may also access tax information on our Internet home page at http: /dor.wa.gov.
REV 31 0020e (6- 27 -01)
INFORMATION MEMO
TO: Mayor Haggerton
FROM: Public Works Director
DATE: February 6, 2008
SUBJECT: Southcenter Boulevard Water Main Replacement Project
Project No. 98 -WTO5, Contract No. 07 -054
Change Order No. 2 Final Settlement Budget Shortfall
ISSUE
Approval of Change Order No. 2 brings total fmal project cost over budget.
BACKGROUND
R.L. Alia Company overran the contract time by approximately 100 days and was initially
assessed liquidated damages of over $100,000. Subsequently, R.L. Alia filed a protest and
provided additional documentation and details demonstrating that, in a lawsuit, they may be
able to show that the plans were not clear enough to allow the bidder to plan for all the
intricacies required to install the new water main across the Southcenter Boulevard Bridge
through existing knockouts and penetrations without significant extra labor, materials,
equipment and contract time.
Subsequently, the fmal settlement Change Order was negotiated in the amount of $73,000 to
compensate R.L. Alia Company for all additional direct labor, equipment and material costs.
The fmal total for the construction contract is estimated to be $871,200.
Due to the overruns in time, the base contract of $89,615 for construction management (CM)
was increased with Amendment 1 by $12,414 and Amendment 2 is pending at $6,771, for a
CM total of $108,800.
The attached closeout budget analysis shows that the expenditures exceed the budget amounts
by $49,035.
ANALYSIS
This fmal settlement Change Order is a fair and equitable complete compensation.
Furthermore, this settlement minimizes the risk of a protracted battle with a contractor and
eliminates potential litigation costs.
An upcoming agenda item for an interlocal agreement with King County Metro includes
savings of up to $110,000 for the City of Tukwila. King County will pay for the design and
construction if Tukwila agrees to pay for bidding and construction management. See page 81 of
the 2008 CIP for proposed savings.
RECOMMENDATION
Authorize the Mayor to sign Change Order No. 2 for $73,000 and approve using ending water
fund balance due to savings in the Interurban Water Reuse project to pay for project budget
shortfall.
Attachments: Closeout Budget Analysis
2008 CIP page 81
C \Temp \XPGrp\ tseVnfo Memo CO 2 2 -06-05 UC budget paper gLdoc
Utilities Committee Minutes Aoril 7.2008 Paoe 2
C. Southcenter Boulevard Water Main Proiect Completion and Acceptance
Staff is requesting full Council approval for formal contract acceptance and release of retainage to
R. L. Alia Company for the Southcenter Boulevard Water Main project.
1 The project ran over budget (see Utilities Committee minutes dated February 4, 2008). Additional
funding will be taken from the ending Water Fund balance. The Water Fund balance will experience a
cost saving of approximately $110,000 as a result of an interlocal agreement with King County Metro in
the Interurban Water Reuse project discussed above. UNANIMOUS APPROVAL. FORWARD TO
APRIL 21 CONSENT AGENDA.
D. South 129 Street Drainage Proiect Completion and Acceptance
Staff is requesting full Council approval for formal contract acceptance and release of retainage to
Brike Excavating Underground Utilities for the South l29 Street Drainage project.
The project consisted of removal of a drainage swale from private property located near the Codiga
Farms site. UNANIMOUS APPROVAL. FORWARD TO APRIL 21 CONSENT AGENDA.
III. MISCELLANEOUS
Staff reported that the Public Works Depac fnient will be audited by Washington Cities Insurance
Authonty this year. Jim Morrow would like to report out to the Committee after the audit is complete.
This past weekend, two separate water mains broke, both on private property. The City supplied parts
and labor for repair and will invoice accordingly.
Meeting adjourned at 5:45 p.m.
Next meeting: Monday, April 21, 2008 5:00 p.m. Conference Room No. 1.
tAA
�ummittee Chair Approval
Mi by KAM. Reviewed by GL.