1998 AGN FEB 03 I12 - Laserfiche WebLink

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f Mayor and Council Members Council Meeting of February 3, 1995 SUBJECT: APPROVAL OF CHANGE ORDER NO. 1 IN THE AMOUNT OF $35,000 TO THE CONTRACT WITH KRIEGER AND STEWART FOR THE DESIGN OF THE 2 MGD WWTP EXPANSION AND RENOVATION PROJECT; AND RE -AFFIRM THE BID AWARD TO KRIEGER AND STEWART IN THE AMOUNT OF $700,000 FOR CONSTRUCTION MANAGEMENT FINANCIAL IMPACT: The design cost and construction management cost are reimbursable through the SRF loan. At this time, the City is eligible for reimbursement from the State for the design cost totaling $215,000, which has been spent to date. During the construction phase of the project, the construction management cost of $700,000 will also be reimbursable. In order to pay for the design cost of $200,000, Council authorized appropriations in the amount of $200,000 from the Sewer Development Fund. Staff has requested the State' to include the digester cover in the loan, however, the request was denied. Staff is currently appealing that decision. If the State does not rescind its decision, staff will then request Council to approve an appropriation for the digester cover replacement at the time of bid award. In order to pay for the costs for Change Order No. 1 (Bird Preparation and Award) in the Amount of $35,000 Council will need to authorize an increase in appropriations. Attached is a budget adjustment and Resolution authorizing the increase in appropriations in the amount of $35,000 from fund equity reserves. The Construction Management cost will be paid through the SRF loan, which Council has already authorized in the FY97-98 Wastewater Capital Improvement Budget in account no. 522-8200-8200-3890 which are the loan proceeds for the first fiscal year. RECOMMENDATION: Staff recommends that Council: 1. Approve the Change Order No. 1 to Krieger and Stewart in the Amount of $35,000 for Bid Preparation and Award. 2. Re -affirm the Krieger and Stewart bid in the Not -to -Exceed Amount of $700,000 for Construction Management. 3. Approve the attached Resolution increasing the Wastewater Capital Improvement Budget. Report Prepared By: Lorraine lune Page 3 of 3 Agenda Item No.: