TO: Mayor and Commissioners
FROM: John Morgan, Director of Environmental Services
THROUGH: Donald B. Cooper, City Manager
DATE: August 16, 2016
Title
CHANGE ORDER NO. 2 TO MATCHPOINT INC., IN THE AMOUNT OF $400,000 FOR ADDITIONAL LABOR RELATED TO THE REPLACEMENT AND INSTALLATION OF WATER METERS AS PART OF THE WATER METER REPLACEMENT AND ADVANCED METERING INFRASTRUCTURE PROJECT (PROJECT NO. 2012-013).
Body
Recommended Action:
Recommendation
Motion to approve Change Order No. 2 in the amount of $400,000.00 for additional labor related to the replacement and installation of water meters as part of the Water Meter Replacement and Advanced Metering Infrastructure project (Project No. 2012-013).
Body
Background:
On March 18, 2014, City Commission approved a contract award (Bid No. 2013-047) to Matchpoint, Inc. in the amount of $1,893,187.00. The scope of the project consists of providing the labor for the replacement of potable and reclaimed water meters from 3/4 inch to 2 inch size, replacement of meter boxes and/or lids, geo-positioning of units, installation of towers and Data Collector Units/Repeaters (DCU’s), and installation of antenna poles. The project was programmed as a multi-year project, to be phased over five to six years.
On October 6, 2015, City Commission approved Change Order No. 1 to Matchpoint, Inc. It was for additional work in performing Voltage Standing Wave Ratio (VSWR) testing of the Data Collector Units on antennas in the net amount of $18,169.00, which was applied against the contract's allowance.
Subsequent to project commencement, staff determined that accelerating the implementation of the water meter replacement would ensure that the City was accounting for all water distributed to customers. On March 3, 2015, City Commission approved the acceleration of the project, implementing all phases of the project. The project is nearing completion, with 70 percent of the meters replaced.
Prior to this replacement project, the City previously used Sensus brand water meters. For the most recently installed Sensus brand meters, the scope of consist of installing a Meter Interface Unit (MIU’s) retrofit kit manufactured by Badger Meter. Of the estimated 3,600 Sensus units identified for retrofit, approximately 800 have been completed, and reliably operational. Unfortunately, of the remaining 2,800 units, retrofits will not work; therefore these units will need to be replaced with a new meter. The net difference in the cost of labor for installing a new meter vs retrofitting an existing meter varies from $10.00 per unit for ¾ inch to 1 inch meters, with $185 and $330 for 1-1/2 inch and 2 inch meters, respectively. Applying the appropriate unit price credit for meters that will not be retrofitted against the additional unit price cost for the installation of new meters, the net total cost is estimated at an additional $74,176.00.
In addition, within the contract, there is a unit price cost of $35 (each) for excavation of a meter box, which is applied to locations where the entire box needs to be removed to appropriately replace the water meter. This condition is revealed when non-standard connections were utilized, whereby fittings extend beyond the box, or when the meter box was not properly reset after a plumbing modification, or when the box has experienced considerable settlement. Meter box locations anticipated to need excavations is projected at 8,200 more than originally estimated in the contract, for a net additional cost of $287,070.
Finally, the contract has an allowance pay item for performing minor repairs at connections exhibiting non-standard fittings and/or non- standard configuration. The allowance is currently $50,000, of which $40,000 has been utilized. An additional $25,000 is requested for completion of the project.
In summary, this Change Order No. 2 in the net amount of $400,000, includes additional labor cost for the replacement of water meters vs retrofits, cost for the excavation of additional meter boxes, and an increase of the contract's allowance item, as itemized on the attached spreadsheet.
This recommendation is in compliance with the City Code of Ordinances, Chapter 36, Section 36.06(A)(1), "Change Orders Beyond Scope of Work".
City Attorney Review:
Approved as to form and legal sufficiency.
Finance Department Review:
Finance recommends approval.
Funding Source:
Funding is available from project account, 442-5178-536.64-46, Water & Sewer Fund/Automatic Meter Reading, after budget transfers.
Timing of Request:
This request is time-sensitive to keep the project on accelerated schedule.