On April 3, 2012, Gila County entered into a contract with Carson Construction Co., Inc. for the roadway improvement and waterline upgrade of Pine Creek Canyon Road. The contract was issued through the County's formal bid process. Gila County requested proposals for this work and signed a contract with the lowest qualified bidder, Carson Construction Co., Inc.
The contract was issued in the amount of $1,443,880.21. Included in the $1,443,880.21 contract amount is $283,590.53 for the Pine Strawberry Water Improvement District (PSWID) waterline upgrade. PSWID wanted to upgrade their waterlines in the area and add fire hydrants to help protect the residents in case of fire. Gila County entered into an Intergovernmental Agreement (IGA) with PSWID on February 7, 2012, that stated PSWID would pay for the waterline improvements and Gila County would bid and administer the PSWID work, as part of the overall Pine Creek Road Reconstruction project. PSWID submitted payment to Public Works on May 1, 2012, per the terms of the IGA.
The low waterline bid of $283,590.53, was from Carson Construction Co., Inc., but was in excess of the budgeted amount for the waterline. PSWID worked with Carson Construction Co., Inc. to change the type of pipe used for the waterline, resulting in a savings of $60,000, for a new total PSWID waterline improvement amount of $223,590.53. Amendment No. 1 was executed on April 3, 2012, reducing the Carson Construction Co., Inc. contract amount by $60,000, for a new total contract amount of $1,383,880.21.
The project is now complete and Carson Construction Co., Inc. has submitted a final pay application. Pay Application No. 8 includes a cost overrun of 2.98% which equates to an additional $41,296.97. The overrun is due to changes made during construction or due to additional work requested during construction. A Change Order Detail cost analysis is attached. The final contract amount is now $1,425,177.18. Additionally, there is a balance of $8,783.30 in the waterline fund that needs to be returned to PSWID, per the IGA dated February 7, 2012.
The following documents are attached to this Agenda Quick item; Gila County Request for Invitation for Bids-Pine Creek Canyon Road Reconstruction Project-Bid Call 111311-1; Gila County Contract No. 111311-1 with Carson Construction Co., Inc.; Intergovernmental Agreement with Pine Strawberry Water Improvement District; a copy of Amendment No. 1 with Carson Construction Co., Inc.; Amendment No. 2 with Carson Construction Co., Inc. for the total cost overrun; Recap of Charges and Payments for Road Waterline; Carson Construction Co., Inc. Pay Application No. 8; Change Order Detail; and a copy of executed Change Orders #1 through #23.
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It is in the best interest of everyone involved to approve Amendment No. 2 with Carson Construction Co., Inc., in the amount of $41,296.97 to Contract No. 111311-1 to pay the Contractor and return $8,783.30 to the Pine Strawberry Water Improvement District per the terms of the Intergovernmental Agreement with Pine Strawberry Water Improvement District. |
| The Gila County Public Works Director recommends approval of Amendment No. 2 to Contract No. 111311-1 with Carson Construction Co., Inc., to increase the contract by $41,296.97 for a final total contract amount of $1,425,177.18, for the work performed on the Pine Creek Canyon Road Reconstruction project, and to release funds in the amount of $8,783.30 to the Pine Strawberry Water Improvement District. |
Information/Discussion/Action to approve Amendment No. 2 to Contract No. 111311-1 between Gila County and Carson Construction Co., Inc. to increase the contract amount by $41,296.97 for cost overruns, for a total contract amount of $1,425,177.18 for work performed on the Pine Creek Canyon Road Reconstruction Project, and to release funds to the Pine Strawberry Water Improvement District in the amount of $8,783.30.
(Steve Sanders) |