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HomeMy WebLinkAboutResolution - 2012-R0457 - Change Order To Contract - Archer Western Contractors Ltd.- Plant Digesters - 11_29_2012Resolution No. 2012-RO457 November 29, 2012 Item No. 5.9 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock is hereby authorized and directed to execute for and on behalf of the City of Lubbock, Change Order No. 2 to that certain Contract No. 9835 by and between the City of Lubbock and Archer Western Contractors Ltd., for the Southeast Water Reclamation Plant Digesters 8 and 9 Improvements Project, and related documents. Said Change Order No. 2 is attached hereto and incorporated in this resolution as if fully set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on November 29, 2012 GLE OB TSON, MAYOR I ATTEST: Pebec a Garza, City Secreta APPROVED AS TO CONTENT: B Aia, �& arsha eed, P.E., Chief Operating O ficer APPROVED AS TO FORM: Chad Weaver, Assistant City Attorney vw:ccdocs/RES.Chg0rd#2-Archer Western Contractors, Ltd. November 12, 2012 City of Lubbock, TX Capital Project Project Cost Detail November 29, 2012 Capital Project Number: 92177 Capital Project Name: SEWRP Improvements Phase III Solids Handling Encumbered/Expended Carollo Engineers PC - Solids Engineering Study $ Carollo Engineers PC - Digester 8 & 9 Design City of Lubbock Staff Time as of 11 / 12/ 12 Bid Cost Carollo Engineers PC - Amendment No. 1 Archer Western Contractors, Ltd. Construction Contract Change Order No. 1 with Archer Wester Contractors Agenda Item September 13, 2012 Change Order No. 2 with Archer Western Contractors Encumbered/Expended To Date Estimated Costs for Remaining Appropriation Remaining Appropriation Total Appropriation Budget 685,210 948,000 44,046 3,776 1,299,229 13,886,000 162,829 608,633 17,637,723 712,277 $ 18,350,000 CITY OF LUBBOCK CHANGE ORDER Change Order #: 2 Contractor: Archer Western Contractors, LTD Date: November 9, 2012 BID/ITB/RFP #: RFP #11-9835-MA Contract #: 92177 Project Name: Southeast Water Reclamation Plant Digesters 8 and 9 Improvements Project "Change Order" means a written order to a Contractor executed by the Owner in accordance with the contract authorizing an addition to, deletion from, or adjustment or revision of the requirements of the contract documents, or an adjustment to the compensation payable to Contractor, or to the time for performance of the contract and completion of the Project, or a combination thereof, which does not alter the nature of the thing to be constructed and is an integral part of the project objective All work that biters the nature of the thin to to be constructed or that is not an integral part of the oroiect objective must be let out for public bid. Description of change (alteration, deviation, addition, or deletion) caused by conditions encountered during construction not covered by the specifications and drawings of the project (attach additional pages ifnemsary): Per attached backup material this Change Order #2 includes the following items: Item 1) Time Delays Resulting from Phase I Shut Down Requests at no cost and 15 additional days. Item 2) Assist City with Sludge Flood Clean Up at a cost of $25,557.65 and 5 additional days. Item 3) Additional Sludge Removal at Digester 8 at a cost of $583,075.19 and 45 additional days. Where the Change Order is negotiated, the Change Order must be fully documented and itemized as to costs, including material quantities, material costs, taxes, insurance, employee benefits, other related costs, profit and overhead. Where certain unit prices are contained in the initial contract, no deviations are allowed in computing negotiated change order costs. ITEMIZED COSTS MUST BE FULLY DOCUMENTED AND ATTACHED TO THIS FORM. ITEM DESCRIPTION AMOUNT A. ORIGINAL CONTRACT VALUE: $13,886,000 B. AMOUNT OF THIS CHANGE ORDER: Cmated approval required ijover S25.000 $608,632.84 C. PERCENT OF CONTRACT VALUE THIS CHANGE ORDER (B/A): 4.38% D. AMOUNT OF PREVIOUS CHANGE ORDERS: $162,828.86 E. TOTAL AMOUNT OF ALL CHANGE ORDERS (B+D): $771,461.70 F. PERCENT OF CONTRACT OF ALL CHANGE ORDERS (E/A): 25%Maximum 5.56% G. NEW CONTRACT AMOUNT (A+E): $14,657,461.70 It is mutually agreed that the above dollar amount and the time extension, as applicable, as set forth in this Change Order constitutes full compensation to the Contractor for all costs, expenses and damages to the Contractor, whether direct, consequential or otherwise, in anyway incident to, or arising out of or resulting directly or indirectly; from the work performed or modified by the Contractor under this Change Order. This ChangS Order is not valid without the following signatures Wease sign In order and return 3 orhdnals with Contract Cover Sheet to Purchasing and CongractAfanagement Deaartment): rrP W2, tt/2o/z (1)CO RACTOR ate (2)PROJECTkRCHITECT/ENGINEER Date Approved as to Conte Ap (3)(PWNER'S R�F�SEWrjkTIVE �/ D (4) TrIY A It /�„ (5) CAPITAL P OJECTS MANAGER Date (AC Change Orders over 5,000 C ct Cover Sheet and the following signatures: CTTYOFL , 1' /%,4�i�1 �.d.. (7) � yy ' �' r Hate (S) CiT�EeCe,RETARY Cou Date: /Z" 7 ! Agenda item #: � , l it «�Z M Da� MANAGER Date AM17- 7— PWC-045 (Rev 01I08) CITY OF LUBBOCK CHANGE ORDER Change (Eder #: 2 Contractor: Archer Western Contractors, LTD Date: November 9, 2012 BID/ITB/RFP #: RFP #11-9835-MA Contract #: 92177 Project Name: Southeast Water Reclamation Plant Digesters 8 and 9 improvements Project "Change Order" means a written order to a Contractor executed by the Owner in accordance with the contract authorizing an addition to, deletion from, or adjustment or revision of the requirements of the contract documents, or an adjustment to the compensation payable to Contractor, or to the time for performance of the contract and completion of the Project, or a combination thereof, which does not alter the nature of the thing to be constructed and is an integral part of the project objective All work that alters the nature of the thin to o be constructed or that is not wi integ awl part of the proiect objective must be let out for public bid. Description of change (alteration, deviation, addition, or deletion) caused by conditions encountered during construction not covered by the specifications and drawings of the project (aaach additional pages ifnecessary): Per attached backup material this Change Order #2 includes the following items: Item 1) Time Delays Resulting from Phase I Shut Down Requests at no cost and 15 additional days. Item 2) Assist City with Sludge Flood Ciean Up at a cost of $25,557.65 and 5 additional days. Item 3) Additional Sludge Removal at Digester 8 at a cost of $583,075.19 and 45 additional days. Where the Change Order is negotiated, the Change Order roust be fully documented and itemized as to costs, including material quantities, material costs, taxes, insurance, employee benefits, other related costs, profit and overhead. Where certain unit prices are contained in the initial contract, no deviations are allowed in computing negotiated change order costs. ITEMIZED COSTS MUST BE FULLY DOCUMENTED AND ATTACHED TO THIS FORM, ITEM DESCRIPTION AMOUNT A. ORIGINAL CONTRACT VALUE: $13,886,000 B. AMOUNT OF THIS CHANGE ORDER: Council aMroval required fover$25,000 $608,632.94 C. PERCENT OF CONTRACT VALUE THIS CHANGE ORDER (B/A): 4.38% D. AMOUNT OF PREVIOUS CHANGE ORDERS: $162,828.96 E. TOTAL AMOUNT OF ALL CHANGE ORDERS (B+I)): $771,461.70 F. PERCENT OF CONTRACT OF ALL CHANGE ORDERS (E/A): 2541. Maximum 5.56% G. NEW CONTRACT AMOUNT (A+E): $14,657,461.70 It is mutually agreed that the above dollar amount and the time extension, as applicable, as set forth in this Change Order constitutes full compensation to the Contractor for all costs, expenses and damages to the Contractor, whether direct, consequential or otherwise, in anyway incident to, or arising out of or resulting directly or indirectly; from the work performed or modified by the Contractor under this Change Order. This Change Order is not valid without the following signatures fniease sten in ardor and return 3 originals whk Contrad Cover Sheet to Purchasing and Contract Management De rtment :: (i ON' CT R to (2) PROJECT ARCHrMCT/ENGiNEER Date Appro ed as to Content: Appro 0 L J �0!( !3 Z_ WNER'S RES T1YE Da (4) Y A OR Y Da (5) CAPITAL ROJFCTS MANAGER Date (6} P CHASI G D CONT CT MANAGER Date Change Orders aver $25,00q1egyirg a Conydet Cover Sheet and the foJUVing signatures: C1TY OF LUBBOCK (7) MAYOR Date (8) CrrY S CRETARY j Date Council l)gte: �' _ Agenda Item #; �5 . — Resolution #: 701Z eo PWC-045 (Rev 01108) CITY OF LUBBOCK CHANGE ORDER Change Order #: 2 Contractor: Archer Western Contractors, LTD Date: November 9, 2012 BID/ITB/RFP #: RFP #11-9835-MA Contract #: 92177 Project Name: Southeast Water Reclamation Plant Digesters 8 and 9 Improvements Project "Change Order" means a written order to a Contractor executed by the Owner in accordance with the contract authorizing an addition to, deletion from, or adjustment or revision of the requirements of the contract documents, or an adjustment to the compensation payable to Contractor, or to the time for performance of the contract and completion of the Project, or a combination thereof, which does not alter the nature of the thing to be constructed and is an integral part of the project objective All work that alters the nature of the thing to be construct d or that is not an integrml Dart of the project objective must be let out for public bid. Description of change (alteration, deviation, addition, or deletion) caused by conditions encountered during construction not covered by the specifications and drawings of the project (attach additional pages if necessary): Per attached backup material this Change Order #2 includes the following items: Item 1) Time Delays Resulting from Phase I Shut Down Requests at no cost and 15 additional days. Item 2) Assist City with Sludge Flood Clean Up at a cost of $25,557.65 and 5 additional days. Item 3) Additional Sludgc Removal at Digester 8 at a cost of $583,075.19 and 45 additional days. Where the Change Order is negotiated, the Change Order must be fully documented and itemized as to costs, including material quantities, material costs, taxes, insurance, employee benefits, other related costs, profit and overhead. Where certain unit prices are contained in the initial contract, no deviations are allowed in computing negotiated change order costs. ITEMIZED COSTS MUST BE FULLY DOCUMENTED AND ATTACHED TO THIS FORM. ITEM DESCRIPTION AMOUNT A. ORIGINAL CONTRACT VALUE: $13,886,000 B. AMOUNT OF THIS CHANGE ORDER: Couwu approval required f over $25,000 $608,632.84 C. PERCENT OF CONTRACT VALUE THIS CHANGE ORDER (B/A): 4.38% D. AMOUNT OF PREVIOUS CHANGE ORDERS: $162,828.86 E. TOTAL AMOUNT OF ALL CHANGE ORDERS (B+D): $771,461.70 F. PERCENT OF CONTRACT OF ALL CHANGE ORDERS (F./A): 25%Maximum 5.56% G. NEW CONTRACT AMOUNT (A+E): $14,657,461.70 It is mutually agreed that the above dollar amount and the time extension, as applicable, as set forth in this Change Order constitutes full compensation to the Contractor for all costs, expenses and damages to the Contractor, whether direct, consequential or otherwise, in anyway incident to, or arising out of or resulting directly or indirectly; from the work performed or modified by the Contractor under this Change Order. This Chwge Order is not valid without the following signatures &hwe Amin order and ream 3 adeinak with Contracr Cover Sheet to Purchasin and on d Mattagement Department): f J,4 (!) CO CT R ate (2) PROJECT A ARCHri'ECT/ENGINEER Date Approved 0 to Content: Approvd! w/J%Fomt: f ( ER'S SE ' ATNE Date('(4) Y A ORN Date 11110a I (5) CAPITAL PROJECTS MANAGER Date (6) IiASI D RACT MANAGER ate Change Orders over $25,000 require a ct Cover Sheet and the following signatures. CITY OF LUBBOCK t i A E : Z CIT d rr 2. (7) MAYOR j Date (8 S1 CRETARY Council Date: Z, Agenda Item # , Resolution #: Z.OP lZ $S' } PWC-045 (Rev 01I08) Engineers... Working Wonders With Water' November 13, 2012 Mr. Zoltan Fekete, P.E. Senior Engineer City of Lubbock, Texas 1625 13th Street Lubbock, TX 79457 Subject: Southeast Water Reclamation Plant Digesters 8 and 9 Improvements Project Change Order #2 Dear Zoltan: Attached with this letter is documentation for Change Order #2. Time Item Description Cost Impact Impact Status Time Delays Resulting from Phase I Shut Down No Cast +15 days Recommended by Requests Carollo 2 Assist City with Sludge Flood Clean Up $25,557.66 +5 days Recommended by Carollo 3 Additional Sludge Removal at Digester 8 $583,075.19 +45 days Recommended by Carollo Total Contract Impacts from CO #2 Items: +$608,632.84 1 +65 days Items recommended for inclusion with Change Order #2 are described in more detail as follows: Item 1 Archer Western is requesting a 15-calendar day time extension as a result of delays incurred in the process of obtaining approval for the first Phase I demolition shut down. Archer Western submitted its outage plan outlining the shutdown procedure for the digesters on July 12, 2011. The plan was reviewed and approved. Archer Western submitted a shutdown request on July 18, for shutdown to occur on July 26. The request was resubmitted on July 19, but was not approved due to plant operational concerns. The plan was revised as requested by the City, and a third shutdown request was made on July 26. On August 1, 2011 the City informed Archer Western that the demolition sequence from the Contract Documents was not acceptable. The Engineer provided a revised sequence for which Archer Western was to provide a revised cost. Since the City concerns were with sequencing that would occur in a later phase of the project, the demolition sequence was re -affirmed, and Archer Western made a third shutdown request on August 2. The first shutdown occurred on August 10, 2011. Archer Western has stated there will be no additional cost associated with this time extension. The Engineer recommended acceptance of the proposal. 8151A.301 Fekete005.docx 8911 Capital of Texas Highway North, Suite 2200, Austin, Texas 78759 P. 512,453.5183 F 512.453 0101 carollo.com Mr. Zoltan Fekete, P.E. Senior Engineer City of Lubbock, Texas November 13, 2012 Page 2 The following documents are attached to support Item 1: 1. Letter dated August 31, 2011 from Wayne Pursley of Archer Western Construction Company with the delay timeline. 2. Letter dated October 31, 2011 from Han! Michel of Carollo Engineers with the Engineer's response,to the proposal. Item 2 Between July 22 and July 27, 2012, Archer Western assisted the City with cleanup of a large amount of sludge that had overflowed from Digester 8 on two separate occasions. In both cases, the overflow was the result of the Digester 8 overflow line being plugged with rags, a condition that was of no fault of the Contractor or the City. The first overflow occurred on July 22 at 9:30 pm, resulting in flooding of the sludge recirculation pump pit. The second overflow occurred on July 23, again at approximately 9:30 pm, resulting in lifting of the digester dome (damaging all 24 hold-down connections in the process), and sludge spilling over the top and into the plant road to the northeast. The cleanup response required as many as 18 personnel per day between laborers, equipment operators, and management, and Archer Western spent a total of 465 labor hours in the cleanup response. Archer Western provided a proposal for reimbursement of $25,557.56 for labor, equipment, and pump rental, and five additional days for the time and cost associated with the cleanup assistance. The Engineer recommended acceptance of the proposal, The following documents are attached to support Item 2: 1. Letter dated October 2, 2012 from David Teel of Archer Western Construction Company with the proposal for reimbursement. 2. Proposal backup information. 3. Letter dated November 9, 2012 from Hani Michel of Carollo Engineers with the Engineer's response to the proposal. Item 3 Archer Western is requesting $583,057.19, and 45 additional calendar days as a result of the additional costs and time associated with encountering a sludge in Digester 8 with much higher solids content than assumed at bid (specifications state 10 percent solids would be the maximum expected in a poorly -mixed anaerobic digester). The actual percent solids by weight varied from 11 percent to 43 percent, indicating that no mixing had occurred for an extended period of time. The work included processing 50 percent more volume from Digester 8 as a result of the higher solids content. The Engineer recommended acceptance of the proposal. The timeline of sludge removal efforts is summarized as follows: 8151A30 I Fekete005,docx. carollo.com Mr. Zoltan Fekete, P.E. Senior Engineer City of Lubbock, Texas November 13, 2012 Page 3 August 22 —Archer Western began pumping sludge from Digester 8 to Digester 9. • September 4 — The sludge had become too thick to pump to Digester 9. • September 11 — Liquid Waste Management began pumping and dewatering sludge at a level 10 feet above the cone. • October 8 — Archer Western placed a small excavator in Digester 8, and began to supplement sludge removal through the use of a skip pan and crane, hauling the material to the existing SEWRP sludge drying beds for detention before hauling to disposal. • October 11 — The sludge level had reached 5 feet above the cone. • October 23 — The sludge level had reached the top of the cone. • November 2 — Liquid Waste Management stopped pressing, as there was too much grit in the sludge. Archer Western continued to remove material with the skip pan. • November 6 — Archer Western reaches the bottom of the cone. The following documents are attached to support Item 3: 1. Letter dated November 9, 2012 from Wayne Pursley of Archer Western Construction Company with the proposal for the work. 2. Proposal backup information. 3. Letter dated November 9, 2012 from Hani Michel of Carollo Engineers with the Engineer's response to the proposal. The change in contract price associated with Items 1 through 3 is summarized below: • Original contract price : $13,886,000 • Net increase in price of this change order: +$608,632.84 • Contract price with all approved change orders: $14,657,461.70 • Original contract time: 510 Days to Final Completion • Net increase of time with this change order: +65 days • Contract time with all approved change orders: 613 days to Final Completion 8151A30 I Fekete005.docx carollo.com Mr. Zoltan Fekete, P.E. Senior Engineer City of Lubbock, Texas November 13, 2012 Page 4 Please contact, Jason Anderson, or myself with any questions. Thank you for the opportunity to provide construction phase services for the City of Lubbock We look forward to continuing to work with you and City staff on this project through its successful completion. Sincerely, CAROLLO ENGINEERS, INC. Hani E. Michel, P.E. Project Manager JEA:ckt cc: John Turpin, P.E. Mary Gonzales Gary Wheelwright Jason Anderson, P. E. 8151A30 I Fekete005.uu;x caroffo.com Archer Western Construction Company A Member of the Walsh Group August 31, 2011 Carollo Engineers 8911 Capital of Texas Hwy North, Suite 2200 Austin, Texas 78759 Attn: Mr. Hani Michel, P.E. Lubbock SEWRP Time Impacts Mr. Michel, Archer Western Construction is requesting a Fifteen (15) Day Contract Time Extension Change Order be issued for delays incurred while attempting to schedule the initial Phase I Demolition shutdown. Our claim is for lost time commencing July 26, 2011, ending on August 9, 2011. The timeline of events is as follows: 7/12/11- AWC submits its Initial Outage Plan outlining the first shut -down procedure (Submittal #19). 7/15/11- Carollo returned Submittal #19 with no comments. 7/18/11- AWC requests a shut -down for 7/26/11. AWC was told that the submitted request was not in the proper format. AWC revised the shut -down request in the desired format. 7/19/11- AWC re -requests a shut -down for 7/26/11. The Carollo RE and AWC Superintendent meet with the City. They are told the shut -down would not occur as outlined in Submittal 19. 7/20 through 7/22- The AWC Superintendent and Carollo RE research the specified requirements for Phase I shut -down and revise the shut -down work sequence in accordance with the City wishes. 7/26/11- With the window of opportunity missed for any shut -downs in this week, AWC makes its third shut -down request; now scheduled for 8/3/11. 8/1/11- AWC receives notice that the Demolition Sequencing in 01140 is not acceptable to the City and the 8/3/11 shut -down is denied. Carollo revises the sequencing and provides to AWC for pricing. 8/2/11- AWC receives notice that the revised shut -down as submitted was acceptable after all. The concerns are centered around demolition sequencing that occurs later than the immediate Phase I shut -down work. Again, the window of opportunity for a shut -down in this week has been missed. 8/2/11- AWC makes its fourth shut -down request; now scheduled for 8/10/11. 8/10/11- The first, Phase I demolition shut -down occurs. 2121 Avenue "J" Suite 103 Arlington, Texas 76006 817-640-3898 (fax) 817-640-8734 An Equal Opportunity Employer August 31, 2011 page2 This initial shutdown was critical path and its completion opened up many more areas of work. The majority of Archer Western's field employees were loaned to other projects in the area in an attempt to mitigate cost impacts incurred as a result of this lost time. If you have any questions or require additional information, do not hesitate to contact our office. Sincerely 2tl t yn e- Auk Wayne Pursley Project Manager Archer Western Construction Co. DWTldwt Cc: Jason Anderson, P.E. Gary Wheelwright P.E. Mary Clybum, P.E., B.C.E.E. Zoltan Fekete, P.E. David Argumaniz David Teel File 2121 Avenue V Suite 103 Arlington, Texas 76006 817-640-3898 (fax) 817-640-8734 An Equal Opportunity Employer C Ca,.,., 110% Engineers... Working Wonders With Wafer' October 31, 2011 Wayne Pursley, Project Manager Archer Westem Construction, LLC 3603 Guava Avenue Archer Western Construction Trailer Lubbock,TX 79404 Subject: Southeast Water Reclamation Plant Digesters 8 and 9 Improvements PCM #1 — Time Delays Resulting from Phase I Shut Down Requests Dear Wayne: Archer Western is requesting a fifteen (15)-calendar day time extension be added to the Contract between Archer Western and the City of Lubbock as a result of time delays incurred in the process of obtaining approval for the first Phase I demolition shut down. Archer Western has stated there will be no additional cost associated with this time extension. Carollo has reviewed the request and generally agrees with the events described in the timeline presented in PCM #1, and hereby recommends this PCM be included in a future Change Order to the Contract. However, be informed that future conflicts on scheduling for shut -down must be brought immediately to the attention of ENGINEER for prompt resolution to avoid unwarranted delays. Sincerely, CAROLLO ENGINEERS, INC. Hani E. Michel, P.E. Project Manager JEA:ckt cc: John Turpin, F.E. Zoltan Fekete, P.E. Mary Gonzales Mary Clybum, P.E. Jason Anderson, P.E. 8161AA 1 PwWr1 01.d=( 8911 Capital of Texas Highway North, Suite 2200, Austin, Texas 78759 P. 512.453.5383 F. 512.453.0101 carotlo.com Archer Western Construction Company A Member of the Walsh Group October 2, 2012 Carollo Engineers 8911 Capital of Texas Hwy North, Suite 2200 Austin, Texas 78759 Attn: Mr. Hani Michel, RE Lubbock SEWRP PCM #15- Clean Up Sludge Flood Mr. Michel, The Contractor respectfully submits the following cost proposal associated with the labor, equipment and material costs incurred assisting the City in the clean up of the sludge floods at Digester #8. These costs are: Twenty-five thousand, five hundred fifty-seven dollars and Fifty-six cents ($25,557.56). An additional five (5) calendar days are requested in association with this work. If you have any questions or require additional information, please do not hesitate to contact our office. Sincerely Vavid 7eee David Teel Project Engineer Archer Western Construction Co. DWT/dwt Cc: Jason Anderson, P.E. Gary Wheelwright P.E. Mary Clyburn, P.E., B.C.E.E. Zoltan Fekete, P.E. David Argumaniz Wayne Pursley 2121 Avenue "Jn Suite 103 Arlington, Texas 76006 817-640-3898 (fax) 817-640-8734 An Equal Opportunity Employer C CarAA'19'% Engineers... Working Wonders With Water' November 9, 2012 Wayne Pursley, Project Manager Archer Western Construction, LLC 3603 Guava Avenue Archer Western Construction Trailer Lubbock, TX 79404 Subject: Southeast Water Reclamation Plant Digesters 8 and 9 Improvements PCM #15 — Assist City with Sludge Flood Clean Up Dear Wayne: Between July 22 and July 27, 2012, Archer Western assisted the City with cleanup of a large amount of sludge that had overflowed from Digester 8 on two separate occasions. In both cases, the overflow was the result of a plugged overflow line from Digester 8, a condition that was of no fault of the Contractor or the City. The Contractor submitted PCM #15 on October 2, 2012 seeking to be reimbursed for the time and cost associated with the cleanup assistance. Archer Western provided a proposal, with a cover letter, backup information and the spreadsheet used to determine the price of $25,557.56, and five additional days for PCM #15. The Engineer has reviewed the information provided with the proposal, and finds the cost and time for the additional work to be reasonable, and hereby recommends this PCM be included in a future Change Order to the Contract between Archer Western and the City of Lubbock. Sincerely, CAROLLO ENGINEERS, INC. Hani E. Michel, P.E. Project Manager JEA: ckt cc: John Turpin, P.E. Zoltan Fekete, P.E. Mary Gonzales Mary Clyburn, P.E. Jason Anderson, P.E. Gary Wheelwright David Teel 0151A.30JPWky019.daat 8911 Capital of Texas Highway North, Suite 2200, Austin, Texas 78759 P. 512.453.5383 F. 512.453.0101 carollo.com 141-k S w17T ARCHER WESTERN CONTRACTORS A, MEMBER OF THE WALSIA GROUP November 9, 2012 Hani Michel, P.E. Carollo Engineers 8911 Capital of Texas Hwy North, Suite 2200 Austin, Texas 78759 Ref: Lubbock SWWRP Digesters 8 & 9 Improvements Project Subject: Digester 8 Sludge Removal Dear Hani; Attached find our revised pricing for the additional costs associated with the increased sludge solids content encountered in Digester 8. This cost proposal includes the costs associated with removing the additional 5 feet in the Digester 8; and the additional costs for sludge removal, sludge processing, sludge hauling and tipping fees for the portion of the sludge above 10 percent solids. During the removal process, we encountered sludge solids contents ranging from 11.4 percent up to 43.1 percent. These elevated sludge concentration levels increased the total amount of dewatered sludge that had to be hauled to the landfill. In addition since sludge contents above 10 percent could not be pumped from the tank, more costly methods had to be utilized to remove the sludge from the digester. The cost for this additional work is $583,075.19. These costs are broken out in the attached spreadsheets. Along with the additional costs, we are requesting an additional 45 calendar days for Substantial and Final Completion. If you have any questions regarding this proposal, please let me know. Sincerely, W41teP=64 Wayne Pursley Archer Western Contractors, Ltd. Project Manager CC: File 2121 Avenue "J" Suite 103 Arlington, Texas 76006 817-640-3898 (fax) 817-640-8734 An Equal Opportunity Employer DIGESTER 8 SLUDGE REMOVAL COST PROPOSAL 111712012 OWNER: CITY OF LUBBOCK Project RFP 11-8835-MA ENGINEER: CAROLLO ENGINEERS CONTRACTOR: ARCHER WESTERN CONSTRUCTION 2121 AVENUE J, SUITE #103 ARLINGTON, TEXAS 76006 COST SUMMARY Description Qly Unit Unit/Price Totals Actual Cost for Sludge Removal, Dewatering, Disposal and Digester Cleaning Average solids concentration in Digester 18.6% 1,167,770 Gallons $ 0.65 $761,817.11 Deduct Original Bid Sludge Removal, Dewatering, Disposal and Digester Cleaning Solids Concentration not to Exceed 10% per Contact Requirements 744,758 Gallons $ (0.24) ($178,741.92) Total This Change 1 $583,075.19 45 Additional Days Requested for Substantial and Final Completion SEWRP DIGESTERS 8 & 9 IMPROVEMENTS PROJECT CONTRACT NO. 9835 OWNER_ CITY OF LUBBOCK ENGINEER: CAROLLO ENGINEERS CONTRACTOR: ARCHER WESTERN CONSTRUCTION 2121 AVENUE d, SUITE #103 ARLINGTON, TEXAS 76006 Descri tion Qty 1.00 Unit LS $ UnittPrice 151,130.59 $ AW Total 151,130.59 Subcontractor $ Totals 151,130.59 �` ° Sludge Removal Costs to Drying Beds(Sludge not pumpable over 10% solids) Landfill Tipping Fees 3.000,00 TN $ 25.14 $ 75,420.00 $ 75,420.00 Flex Base (Placed in Digester for Backhoe) 160.00 TN $ 14.00 $ 2,240.00 $ 2,240.00 Load Remaining Sludge at Drying Beds and Clean Up (reference Sht #4) 1.00 LS $ 5,225.83 $ 5,225.83 $ 5,225.83 Extended Overhead Costs 31.00 Days $ 1,793.75 $ 55,606.25 $ 55,606.25 Waste Management Additional Hauling (20 Tons1 Load) 150.00 Loads $ 57&00 $ 85,500.00 $ 85,500.00 .Liquid Liquid Waste Management Belt Press Processing Costs (Labor,Equi ment,etc) 650,000.00 Gallons $ 0.39 $ 253,500.00 $ 253,500.00 Liquid Waste Management OH&P (15%) 1.00 LS $ 50.850.00 S 50,850.00 S - $ - TOTAL DIRECT COSTS: OH&P @ 15% on AW Work (Less Extended Overhead Portion) OH&P @ 10% on AW Work (Extended Overhead Portion) OH&P @ 5% on Subcontractor Work Subtotal: Insurance 3% $ 289,622.67 $ 389,850.00 $ 679,472.67 $ 35,102.46 $ 5,560.63 $ 19,492.50 $ 739,628.26 $ 22,18&85 TOTAL AMOUNT THIS COST PROPOSAL SUMMARY ............................... $ 761,817.11 SLUDGE REMOVAL COSTS TO DRYING BEDS -These cast are actual costs for removing the sludge from the digester and transporting them to the drying beds. This was required due to the Increased solids concentration in the digester. Solids concentrations above 10% could not be pumped from the Digester as originally anticipated. -The method used was placing a small excavator inside the digester on a flex base pad and usingthe excavatorto load skip pans which were flown out with the crane and then transported to the drying beds with a rubber tire loader. The skip pans were emptied into the drying beds. The sludge was then loaded into haul trucks and transported to the landfill in Canyon, Texas. REMOVAL TO DRYING BEDS TOTAL # of Hours 302 Total q of flays 31 10/5/12 Thru 11/9 LABOR Hourly Rate Hours Total Labor Burden 55% Total Crane Operator $ 34.66 302 $ 10,465.86 $ 5,756.22 $ 16,222.09 Loader Operator $ 2039 302 $ 6,279.52 $ 3,453.73 $ 9,733.25 Excavator Operator $ 23.10 302 $ 6,977.24 $ 3,837.48 $ 10,814.72 Bobcat/Broom Operator $ 23.10 302 $ 6,977.24 $ 3,837.48 $ 10,814.72 Foreman/Crane Flagger $ 23.10 302 $ 6,977.24 $ 3,837.48 $ 10,814.72 Ground Hand $ 18.48 302 $ 5,581.79 $ 3,069.99 $ 8,651.78 Subtotal Labor $ 67,051.29 EQUIPMENT Daily Rate Days SubTotal Operating Expense (50% for fuel and equipment maintenance) Total Crane Linkbelt L5218 $ 766.67 31 $ 23,766.67 $ 11,883.33 $ 35,650.00 Loader Volvo L90 $ 366.67 31 $ 11,366,67 $ 5,683.33 $ 17,050.00 Excavator Kubota KX71 $ 154.87 31 $ 4,800.87 $ 2,400.43 $ 7,201.30 Bobcat $ 146.67 31 $ 4,546.67 $ 2,273.33 $ 6,820.00 Steet Broom $ 120.00 31 $ 3,720.00 $ 1,860.00 $ 5,590.00 Subtotal Equipment $ 72,301.30 DIRECT EXPENSES Subsistance at $2.5/MH $ 4,530.00 Small Tools at $2/MH $ 3,624.00 Safety Supplies at $2/MH $ 3,624.00 Total $ 11,778.00 TnTAIC Labor $ 67,051.29 Equipment $ 72,301.30 Indirect Expenses $ 11,778.00 TOTAL $ 151,130,59 EXTENDED OVERHEAD COSTS (COMBINATION SLUDGE DRYING BEDS AND BFP) Extended Overhead Labor Monthly Rate Labor Burden 55% Total Per Month Months Total Project Supt $ 7,900.00 $ 4,345.00 $ 12,245.00 1.0 $ 12,472.30 Project Engineer $ 7,100.00 $ 3,905.00 $ 11,005.00 1.0 $ 11,209.28 Field Engineer $ 6,000.00 $ 3,300.00 $ 9,300.00 0.0 $ - Project Manager $ 10,000.00 $ 5,500.00 $ 15,500.00 1.0 $ 15,500.00 Secretary $ 3,800.D0 $ 2,090.00 $ S,890.00 I _1.01 $ 5,999.33 Total Labor $ 45,180.91 Overhead Expenses Monthly Rate Months Total Project Supt Job Truck $ 850.00 1.0 $ 865.78 Project Engineer Job Truck $ 850.00 1.0 $ 865.78 Project Manager Job Truck $ 850.00 1.0 $ 850.00 Truck Fuel $ 2,350.00 Office Trailer Carollo $ 350.00 1.0 $ 356.50 Office Trailer AW $ 350.00 1.0 $ 356,50 Subsistance $4/MH $ 1,943.76 1.0 $ 1,979.84 Phones 3 at $100/Month $ 300.00 1.0 $ 305.57 Internet $ 600.00 1.0 $ 611.14 Temporary Toilets $ 250.00 1.0 $ 254.64 Office Supplies $ 250.00 1.0 $ 254.64 Rubbish Boxes $ 750.00 1.0 $ 763.92 Internet $ 600.00 1.0 $ 611.14 TOTALS $ 10,425.44 TOTAL LABOR $ 45,180.91 TOTAL OTHER $ 10,425.44 TOTAL EXTENDED OVERHEAD $ 55,606.35 Average Cost per Day $ 1,819.77 LOAD REMAINING SLUDGE @ DRYING BEDS AND CLEAN UP These are costs associated with loading the remaining sludge in the drying beds after the removal from the digester was completed. Costs for pressure washing and cleaning the construction equipment are also included. LABOR Hourly Rate Hours Total Labor Burden 55 Total Loader Operator $ 20.79 33 $ 686.17 $ 377.39 $ 1,063.57 Bobcat/Broom Operator $ 23.10 16 $ 369.66 $ 203.31 $ 572.97 Clean Equipment/Drying Beds $ 14.00 24 $ 336.00 $ 184.80 $ 520.80 TOTAL $ 2,157.33 EQUIPMENT Daily Rate bays SubTotal Operating Expense (50%) Total Loader Volvo L90 $ 366.67 3 $ 1,100.00 $ 550.00 $ 1,650.00 Bobcat $ 146.67 5 $ 733.33 $ 366.67 $ 1,100.00 TOTAL I $ 2,750.00 DIRECT EXPENSES Subsistance at $2.5/MH $ 122.50 Small Tools at $2/MH $ 98.00 Safety Supplies at $2/MH $ 98.00 Total $ 318.50 TOTALS Labor $ 2,157.33 Equipment $ 2,750.00 Indirect Expenses $ 318.50 TOTAL $ S,225.83 Estimate 9-12 days of hauling sludge after digester is empty CALCULATION OF ADDITIONAL DAYS (BFP and Drying Beds) DIGESTER 9 EXPERIENCE Volume Removed 3,285,240 Gallons Time for Removal (Start 9/26 - Complete 1/13) 109 days less 10 days (holidays/Weather) 99 Calendar Days Volume Removed per Day 33,184 Gal/Calendar Day DIGESTER 8 ORIGINAL Volume (5' above cone plus cone) 744,758 Gallons Anticipated Volume to Remove per Day 33,184 Gal/Calendar Day Anticipated Days 22.44 Calendar Days Volume Added for Additional 5 Feet Added Volume (Additional 5 feet) 423,012 Gallons Days to Transfer Volume to Digester 9 2 Days TOTAL ORIGINAL DAYS 24.44 DIGESTER 8 ACTUAL START DATE 9/12/2012 Anticipated Completion Date 11/6/2012 Subtotal Days 55 TOTAL Additional Days for Extended Overhead 31 Additional Days for Time Spent Transfering to Digester 9 14 TOTAL Days Requested 45 All Testing by Advanced Analysis, Inc Test Method: EPA 600/4-79-020 SM2540 B Samples taken directly from tank or from skip pan as it was removed from tank Sample Date Percent Solids by Weight 9/25/2012 11.4 10/1/2012 13.4 10/1/2012 11.0 10/1/2012 14.0 10/3/2012 14.6 10/3/2012 8.9 10/3/2012 10.5 10/18/2012 13.3 10/19/2012 13.4 10/22/2012 15.8 10/23/2012 18.3 10/24/2012 21.4 10/25/2012 22.6 10/26/2012 23.3 10/29/2012 20.5 10/31/2012 25.6 11/1/2012 24.4 11/2/2012 27.3 11/5/2012 43.1 Average Reading 18.57 Engineers... Working Wonders With Water' November 9, 2012 Wayne Pursley, Project Manager Archer Western Construction, LLC 3603 Guava Avenue Archer Western Construction Trailer Lubbock, TX 79404 Subject: Southeast Water Reclamation Plant Digesters 8 and 9 Improvements PCM #18 — Additional Sludge Removal at Digester 8 Dear Wayne: The Archer Western Construction bid for project Item No. 4 (sludge removal, dewatering and disposal, and digester cleaning) was based on a specified solids content in the digesters of up to 10 percent; corresponding with what is typically expected to be encountered in a poorly - mixed anaerobic digester. The solids content of Digester 9 was below 10 percent, and the Contractor was able to remove, dewater, and dispose of the solids from Digester 9. Once improvements to Digester 9 were complete, it was planned that the Contractor would transfer sludge from Digester 8 to the newly -refurbished Digester 9, with sludge transferred from Digester 8 until reaching a level five feet above the cone of the digester. However, upon commencing transfer, the sludge in Digester 8 was found to be much thicker than that encountered in Digester 9, resulting in both a limit of how much material could be transferred to Digester 9, and an increased effort to transfer the material that could be pumped. Once the limits of transfer were reached, sludge still remained in Digester 8 to a level 10 feet above the cone, not 5 feet above the cone; This fact alone meant that there would be approximately 50 percent more volume to be removed from Digester 8 and dewatered than assumed at bid time. In addition to the sludge volume, it was determined that the solids content of the sludge in Digester 8 was consistently above 10 percent, and ranged from 11 percent solids near the top, to as high as 43 percent solids near the bottom in the cone of the digester. Higher percent solids result in a larger amount of solids that must be hauled to the landfill. To put it in perspective, a sludge at 20 percent solids contains twice as much solid material as sludge at 10 percent solids, and therefore requires double the number of truck loads to be hauled to the landfill. The higher percent solids are indicative of an anaerobic digester with no mixing, likely for an extended period of time. The time and effort required to remove, dewater, and dispose of the sludge from Digester 8 was well in excess of what was anticipated in the bid. The Contractor submitted PCM #18 on November 9, 2012 seeking to be reimbursed for the time and cost associated with the additional solids removed from Digester 8. 8151A.3Ui PumleyO&docx 8911 Capital of Texas Highway North, Suite 2200, Austin, Texas 78759 P. 512.453.5383 F. 512,453.0101 carollo.com Wayne Pursley, Project Manager Archer Western Construction, LLC November 9, 2012 Page 2 The Contractor provided a proposal, backup information, and the spreadsheet used to determine the additional cost of $583,075.19, and 45 additional days to complete the work (PCM #18). The Engineer has reviewed the information provided with the proposal, and finds the cost and time for the additional work to be reasonable based on the unforeseen conditions encountered in Digester 8, and hereby recommends this PCM be included in a future Change Order to the Contract between Archer Western and the City of Lubbock. Sincerely, CAROLLO ENGINEERS, INC. j1 � V. v Hani E. Michel, P.E. Project Manager JEA:ckt cc: John Turpin, P.E. Zoltan Fekete, RE. Mary Gonzales Mary Ciyburn, P.E. Jason Anderson, P.E. Gary Wheelwright David Teel 8151A.30 I Pursfey020.docx carol I O.com