00-0619R

RESOLUTION AMENDING RESOLUTION 00-0291 AWARDING CONTRACT TO LEVINE AND SON, INC., FOR RECONSTRUCTION OF 4700 BLOCK AND 4800 BLOCK ON TIOGA STREET AND ADDITIONAL RECONSTRUCTION OF SANITARY SEWER, TO INCREASE THE AMOUNT BY $200,000 FOR A NEW TOTAL OF $1,120,854.35.

BY COUNCILOR STOVER:

RESOLVED, that Resolution 00-0291 to Levine and Son, Inc., for reconstruction of 4700 and 4800 Blocks of Tioga Street and additional reconstruction of sanitary sewer, be amended to increase the amount by $200,000 for a new total of $1,120,854.35, Street Improvement Project Fund 440, Dept./Agency 038, Organization 001, Object 5530.


STATEMENT OF PURPOSE:  This resolution will authorize an amendment to Resolution 00-0291, passed on April 24, 2000, increasing the contract for the 2000 street improvement program-Lakeside Central by $200,000 for a new total of $1,120,854.35.  Of that amount, an increase of $150,000 will be paid from Street Improvement Fund 440 for the reconstruction of Tioga Street between 47th Avenue East to 49th Avenue East, as the result of plan errors by the engineering consultant.  The cost to reconstruct the street is expected to be reimbursed by the consultant.  The remaining $50,000 of the increase is the result of additional sanitary sewer reconstruction requested by the city sewer division after the contract was awarded.  The total increase in the contract is 21.7 percent of the awarded contract amount.  The contractor has agreed to reconstruct the two blocks of Tioga Street as directed by the engineer at unit prices under the existing contract with no additional costs for mobilization.  This resolution is being recommended in order to complete the entire project in a timely fashion.  The consultant has contacted his insurance agent to begin processing. In order to complete the project this fall, and with the least amount of hardship to the affected residents, a change order to the contract is recommended.  Competitive unit prices (the prices bid) are still valid and the contractor is prepared to begin the corrective work immediately.  If the process to reconstruct the streets is done through the consultant's insurance agency, it is expected that the work will not occur until much later, and that the additional administrative proceedings (re-bidding, new costs, etc.) will add to the delay.  Staff is confident that the cost to reconstruct the street will be paid by the consultant (or the consultant's insurance agency), and have been pursuing this with due diligence with the full cooperation of the consultant.  In addition, the residents have been informed at public meetings that the city will give its best effort to complete the project correctly, and as soon as reasonably possible.  This is therefore an appropriate course of action to pursue at this time. Bid No. 00-0434; Contract No. C-0001