Explanation
1. BACKGROUND
This ordinance authorizes the Director of Public Utilities to enter into a planned contract modification for professional engineering services during construction with Black & Veatch Corporation for the Lower Olentangy Tunnel - Phase 1 project, CIP #650724-100000, in an amount up to $3,974,363.79.
Professional construction management services are needed to ensure construction of the Lower Olentangy Tunnel follows the requirements and specifications of the project design and that the City receives an end product capable of providing the intended function. Existing City staff are not adequate to devote multiple qualified personnel full time to management of the project construction activities. These activities include full time construction inspection, project coordination, reporting, budgeting, scheduling, document tracking, and startup coordination. Much of the project alignment generally follows Olentangy River Road. This is a planned contract modification to add funds to continue the work.
The project is in the Citywide Community Planning Area #99.
1.1 Amount of additional funds to be expended: $3,974,363.79
Original Contract $4,174,157.47 (ORD 0247-2020; PO221727)
Mod. No. 1 $4,707,574.39 (ORD 0336-2022; PO324143)
Mod. No. 2 $4,933,165.65 (ORD 0761-2023; PO396061)
Mod. No. 3 $5,072,270.32 (ORD 1075-2024; PO452672)
Mod. No. 4 (current) $3,974,363.79
Mod. No. 5 (estimated) $ 500,000.00
TOTAL $23,361,531.62
1.2. Reason other procurement processes are not used:
This contract was awarded through the City’s RFP process as a multi-year contract with planned renewals to add funding until the construction project is complete. Another procurement process is not required.
1.3. How cost of modification was determined:
The Consultant prepared an estimate based on the scope of work using established contract job titles, rates of pay, and allowable expenses. The City Project Manager and associated staff reviewed the proposal and negotiated the final cost.
2. ECONOMIC IMPACT/ADVANTAGES; COMMUNITY OUTREACH; PROJECT DEVELOPMENT; ENVIRONMENTAL FACTORS/ADVANTAGES OF PROJECT:
The project is part of the Division of Sewerage and Drainage’s 2015 Blueprint program which included significant outreach for the program. The project will improve water quality in the Olentangy River by substantially reducing wet weather overflows from seven combined sewer overflow structures as well as three other sewer relief structures.
3. CONTRACT COMPLIANCE INFO:
Black & Veatch Corporation’s contract compliance number is CC008038 and expires 8/22/25.
As part of their proposal, Black & Veatch Corporation has proposed the following three subcontractors to perform contract work:
Company Name City/State ODI Certification Status
MarshWagner Inc. Columbus, Ohio WBE
Accenture, LLC Columbus, Ohio MAJ
7NT Enterprises, LLC Dublin, Ohio MBE
The certification of Black & Veatch Corporation and the above companies was in good standing at the time of the contract modification.
Searches in the Excluded Party List System (Federal) and the Findings for Recovery list (State) produced no findings against Black & Veatch Corporation or their subcontractors.
4. FISCAL IMPACT
Funding for this contract will be obtained through the Water Pollution Control Loan Fund (WPCLF), a program jointly administered by the Ohio EPA's Division of Environmental and Financial Assistance and the Ohio Water Development Authority (OWDA). City Council authorized this loan application and acceptance of funding via Ordinance 2720-2024, passed by Council on 10/28/24. This project was not specifically listed as one of the projects expected to be loan funded in Ordinance 2720-2024. Section 2 of that Ordinance authorized the Director of Public Utilities to make changes to the list based upon departmental need.
This loan is expected to be approved at the OWDA September Board meeting. This ordinance is contingent upon the loan being approved by OWDA. The Department of Public Utilities will inform the Auditor's Office when this loan has been approved. Funds must be appropriated within the WPCLF Loan Fund, Fund 6111. This is a reimbursement loan. The Department of Public Utilities must pay Black & Veatch Corporation, and then submit the paid invoices to OWDA for reimbursement.
Title
To authorize the Director of the Department of Public Utilities to modify and increase the contract with Black & Veatch Corporation for the Lower Olentangy Tunnel - Phase 1 project; to authorize the Director of Public Utilities to submit the Lower Olentangy Tunnel - Phase 1 contract modification for loan funding and to execute any paperwork necessary to accept loan funding for this project; to make this ordinance contingent upon the Ohio Water Development Authority approving a loan for this project; to appropriate funds within the Water Pollution Control Loan Fund; and to authorize an expenditure of up to $3,974,363.79 from the Water Pollution Control Loan Fund to pay for the project. ($3,974,363.79)
Body
WHEREAS, the Department of Public Utilities is engaged in the Lower Olentangy Tunnel - Phase 1 project; and
WHEREAS, Contract No. PO221727 was authorized by Ordinance No. 0247-2020, for the Lower Olentangy Tunnel -Phase 1 project; and
WHEREAS, a planned contract modification is needed to add funding for continued engineering services during construction; and
WHEREAS, it is necessary for Council to authorize the Director of Public Utilities to modify the professional engineering services agreement with Black & Veatch Corporation for the Lower Olentangy Tunnel - Phase 1 project; and
WHEREAS, Ordinance 2720-2024, passed by Council on 10/28/24, authorized the use of loans from the Water Pollution Control Loan Fund (WPCLF) to finance Public Utilities projects; and
WHEREAS, the Lower Olentangy Tunnel - Phase 1 project was not specifically listed as a project to be loan funded in Ordinance 2720-2024; and
WHEREAS, even though City Council authorized the Director of Public Utilities to add or subtract projects from the loan list as needed, OWDA still wants to see the project specifically listed in an ordinance City Council approves; and
WHEREAS, this ordinance is contingent upon that loan being approved; and
WHEREAS, it is necessary to appropriate and to expend funds from the from the Water Pollution Control Fund, Fund 6111 to pay for the contract modification; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the appropriation of $3,974,363.79, or so much thereof as may be needed, is hereby authorized in the Water Pollution Control Loan Fund, Fund 6111, per the accounting codes in the attachment to this ordinance.
SECTION 2. That the Director of Public Utilities is hereby authorized to enter into a contract modification for the Lower Olentangy - Phase 1 project with Black & Veatch Corporation, 4449 Easton Way, Suite 150, Columbus, Ohio, 43219, in an amount up to $3,974,363.79, in accordance with the terms and conditions of the contract on file in the Department of Public Utilities.
SECTION 3. That City Council authorizes the Director of Public Utilities to apply for a loan from the Water Pollution Control Loan Fund (WPCLF) to finance this contract modification for the Lower Olentangy - Phase 1 project and to execute any paperwork necessary to accept the loan.
SECTION 4. This ordinance is contingent upon that loan being approved.
SECTION 5. That the expenditure of $3,974,363.79, or so much thereof as may be needed, is hereby authorized to pay for this contract modification per the accounting codes in the attachment to this ordinance.
SECTION 6. Funds are deemed appropriated and expenditures and transfers authorized to carry out the purposes of this Ordinance and the City Auditor shall establish such accounting codes as necessary.
SECTION 7. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this Ordinance.
SECTION 8. That the City Auditor is authorized to transfer the unencumbered balance in a project account to the unallocated balance account within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies are no longer required for said project.
SECTION 9. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.