Title
Resolution to Approve Change Order No. 4 with C.A. Hull Co., for the East Medical Center Bridge Rehabilitation and Widening Project, RFP 23-59; ($1,017,851.86 Increase, Total Contract Amount $11,607,881.33)
Memorandum
Attached for your review and approval is a change order to the construction contract with C.A. Hull Co. for the East Medical Center Bridge Rehabilitation and Widening Project, RFP 23-59.
Project Background
The East Medical Center Drive Bridge over the Amtrak Michigan line is the primary access to the University of Michigan Medical Center. The bridge was constructed in 1982 and is now being inspected every twelve months due to its deteriorating condition. It was the City’s intent to rehabilitate the bridge in order to return it to a State of Good Repair and prolong its life span. The University of Michigan was also interested in partnership for this project and to widen the bridge in order to improve traffic flow into and out of the Medical Center. The University of Michigan committed to the design cost sharing arrangement on September 8, 2021.
The project, which extends along East Medical Center Drive from Fuller Road to Cancer Center Drive; includes the following elements (funding sources in parenthesis):
• Rehabilitation of the bridge (50% Street, Bridge, and Sidewalk Millage; 50% UM)
• Widening of the bridge (100% UM)
• Widening East Medical Center Drive to the south of West Medical Center Drive on UM property (100% UM)
The construction of the project is scheduled to occur over two years, in 2024 and 2025.
On December 18, 2023, City Council approved R-23-448 awarding a construction contract to C.A. Hull Co. in the amount of $10,173,757.03 for the East Medical Center Drive Bridge Rehabilitation and Widening Project (RFP 23-59);
Change Order
The additional contract work for Change Order No. 4 includes new steel beams and associated pay items for the work. The design originally called for the repair and reuse of the existing steel beams, however upon removal, blast cleaning, and inspection, it was found that their condition was worse than anticipated. Two beams were recommended to be completely replaced given the severity of deterioration, as explained in the attached memo from DLZ Michigan. Given the severity of deterioration experienced in the current phase, it is likely that a similar state of deterioration will be encountered in the subsequent phases. Therefore, to mitigate further delays for the project, as the procurement of steel beams requires many months of lead time, 18 new steel beams for Stage 3 have been ordered.
The initial contract award equaled $10,173,757,03. The previous Change Orders No.1 through 3 (approved administratively within the approved $1,000,000.00 contingency) totaled $416,272.44. Change Order No. 4 totals $1,017,851.86, which will exceed the contingency originally approved by Council by $434,124.30. Change Order 4 will bring the total contract amount to $11,607,881.33. Due to the complexity of the work, City Staff is recommending re-establishing a contingency of $600,000.00 for potential future change orders.
Budget/Fiscal Impact: This project is included in the current Capital Improvements Plan (TR-BR-16-02). The estimated total cost of the project with current change orders is $15,500,000.00. Funding for the project is included in the approved capital budget of the Street, Bridge and Sidewalk Millage Fund. The University of Michigan will contribute approximately $522,265.39 for Change Order 4, final costs will be dependent on actual construction costs. Funds for the project will be in accordance with the formal cost sharing agreement approved on February 20, 2024.
Staff
Prepared by: Nicholas Hutchinson, P.E., City Engineer
Reviewed by: Sue F. McCormick, Interim Public Services Area Administrator
Approved by: Milton Dohoney Jr., City Administrator
Body
Whereas, The East Medical Center Drive bridge is in poor condition and requires rehabilitation work to return it to a state of good repair;
Whereas, The City and University of Michigan have partnered on the design and construction of the project;
Whereas, City Council approved a construction contract with C.A. Hull Co., Inc. in the amount of $10,173,757.03 for the East Medical Center Drive Bridge Rehabilitation and Widening Project (RFP 23-59);
Whereas, The work included in Change Order No. 4 is required to complete the project due to unanticipated deterioration of the existing beams;
Whereas, The existing approved contingency amount of $1,000,000.00 is insufficient to cover the additional work in Change Order No. 4;
Whereas, Funding for the project is available in the approved Street, Bridge, and Sidewalk Millage Fund;
Whereas, The University of Michigan will contribute funding for the project in accordance with Cost Sharing Agreement as approved by R-24-052; and
Whereas, C.A. Hull Co. has submitted all required Non-Discrimination, Prevailing Wage, Living Wage, and Conflict of Interest Disclosure forms and complies with the requirements of the City’s Non-Discrimination, Prevailing Wage and Living Wage ordinances.
RESOLVED, That City Council approve Change Order No. 4 to the construction contract with C.A. Hull Co. in the amount of $1,017,851.86 for a total contract amount of $11,607,881.33) on the East Medical Center Bridge Rehabilitation and Widening Project, RFP 23-59;
RESOLVED, That a contingency is re-established in the amount of $600,000.00 to finance change orders to the contract with C.A. Hull Co. to be approved by the City Administrator; and
RESOLVED, That the City Administrator be authorized to take necessary administrative actions to implement this resolution.