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File #: 21-1263    Version: 1 Name: 7/20/21 - Cadillac Change Order
Type: Resolution Status: Passed
File created: 7/20/2021 In control: City Council
On agenda: 7/20/2021 Final action: 7/20/2021
Enactment date: 7/20/2021 Enactment #: R-21-265
Title: Resolution to Ratify an Emergency Change Order with Cadillac Asphalt LLC for the Reconstruction of Jackson Ave and N. Maple Rd. Damaged by the June 22nd Water Main Break ($1,116,782.00) $7,391,782.00 and to Appropriate Funding in the Amount of $1,398,650.00 from the Water Supply System Fund Balance (8 Votes Required)
Attachments: 1. 2021-004_2021 Street Resurfacing CO1_SIGNED.pdf, 2. R-21-145 May 3 2021 Cadillac (3).pdf, 3. Cadillac Contract 6-9-2021.pdf

Title

Resolution to Ratify an Emergency Change Order with Cadillac Asphalt LLC for the Reconstruction of Jackson Ave and N. Maple Rd. Damaged by the June 22nd Water Main Break  ($1,116,782.00) $7,391,782.00 and to Appropriate Funding in the Amount of $1,398,650.00 from the Water Supply System Fund Balance (8 Votes Required)

Memorandum

The attached resolution ratifies and approves a change order to the contract with Cadillac Asphalt LLC to perform debris removal and reconstruction of Jackson Ave and Maple Rd necessitated by the 20” diameter water main break of early June 22nd.  As provided in City Code Chapter 14, 1:316, Public Services Area received an emergency authorization for a change order in the amount of $1,116,782.00 to Cadillac Asphalt LLC to perform the road repairs/replacement.

 

Cadillac Asphalt is under contract to perform Ann Arbor’s annual road resurfacing project.  Because Cadillac Asphalt is already under contract and performing road work within the City, Cadillac Asphalt is well suited to undertake this emergency work.

 

Cadillac Asphalt began the removal and reconstruction on Tuesday, July 6th.  It is expected the work will take 5 weeks.  First, the east half of the road will be removed and reconstructed with equipment staging off of the remaining west side of the roadway.  After that is complete, the work will proceed to reconstruct the west half, finishing with the repair and resurfacing of Jackson Ave.

 

The estimated contract amendment to perform the repair is $1,116, 782.00.  This work is being done as a unit price contract with actual cost based on the number of the various work units completed.  The emergency repair will be funded from the Water Supply System Fund Balance.    It is essential that adequate levels of unrestricted fund balance are held to mitigate unforeseen circumstances and emergency situations such as this.  Without the availability of fund balance, significant operational and capital impacts would occur and impact the staff reaction and repair plan to this major arterial road.

 

This reach of the water system did not have a history of breaks or leaks.  One of the difficulties of operating a water system is having accurate information of the condition of its pipes. With current technologies, detailed assessment of condition is invasive and require prolonged outages for the pipes.  This is difficult and expensive to undertake, particularly on larger transmission mains.

 

Budget/Fiscal Impact: The estimated total cost for the emergency repair, itemized below, is $1,398,650.00 and is  currently available in the  Water Supply System Fund balance.

Cadillac Asphalt Contract Amendment

 $ 1,116,782.00

Traffic Signal Work

 $      25,000.00

Construction Engineering/Inspection/Testing

 $      33,512.00

Construction Contingency

 $    223,356.00

Total:

 $ 1,398,650.00

Cadillac Asphalt complies with the requirements of the City’s Conflict of Interest, Living Wage and Non-Discrimination ordinances.

Staff

Prepared by:     Nicholas Hutchinson, P.E., City Engineer

Reviewed by:    Craig Hupy, Public Services Area Administrator

Approved by:    Tom Crawford, City Administrator

Body

Whereas, A 20-inch diameter water main broke early on June 22nd causing significant damage to Jackson Ave. and N. Maple Rd. and rendering the remaining pavements at that location as unusable;

 

Whereas, Cadillac Asphalt LLC is already under contract in Ann Arbor performing road reconstruction work;

 

Whereas: Cadillac Asphalt LLC complies with the requirements of the City’s Conflict of Interest, Living Wage, Prevailing Wage and Non-discrimination ordinances;

 

Whereas; Activities covered under this change order may mitigate public safety concerns, public health concerns or nuisances or limit potential liability of the City of Ann Arbor;

 

Whereas, Cadillac Asphalt LLC was issued an emergency change order in the amount of $1,116,782.00 to perform the necessary work to restore this major arterial roadway in Ann Arbor;

 

Whereas, The total estimated amount for the repair including signal work, testing, and inspection is $1,398,650.00;

 

Whereas, The Water Supply System maintains an adequate fund balance for emergency infrastructure needs; and

 

Whereas, The City Administrator has exercised Chapter 14, Section 1:316 of the City code for this emergency change order;

 

RESOLVED, That Council ratifies the emergency change order issued by the City Administrator under Chapter14, Section 1:316 of the City of Ann Arbor Code of Ordinances to Cadillac Asphalt LLC in the amount of $1,116, 782.00 for the reconstruction of Jackson Ave and N. Maple Rd; 

 

RESOLVED, That $1,398,650.00 be Appropriated from the Water Supply System Unrestricted Fund Balance; thereby, increasing the Water Supply System Operational Revenue and Expenditure Budgets;

 

RESOLVED, That City Council has determined that activities covered under this change order may mitigate a public safety concern, a public health concern or a nuisance, or limit potential liability of the City of Ann Arbor; and

 

RESOLVED, That the City Administrator be authorized to take necessary administrative action to implement this resolution.