Explanation
1. BACKGROUND:
A. Need. This legislation authorizes the Director of Public Utilities to modify the construction contract with Jay Dee-Michels-Traylor Joint Venture (JDMT JV) for the Big Walnut Augmentation/Rickenbacker Sanitary Interceptor (BWARI) Project and the Big Walnut Outfall Sewer System Capacity Augmentation (BWOAS) Project. This contract modification is necessary to complete these two projects by the end of 2009 in order to comply with a state consent agreement. After a lengthy negotiation and mediation process, a settlement agreement was reached between the Contractor and City resulting in the proposed contract modification. The JDMT JV modification amount requested under this ordinance is $5,930,308.64. The contract total including this modification is $96,709,933.64. These additional monies will fund the cost of the 650430.1 contract Change Order/Modification as follows:
BWOAS-CO-012, BWOAS-RFP-034 (650430.1):
Compensation to JDMT JV for costs to complete the BWOAS project as described in the referenced RFP
Total of this modification to the JDMT JV contract is $5,930,308 and is a change order to the existing WPCLF loan.
BWARI-CO-012, BWARI- RFP-035 (650491.1):
1.) Reduction in JDMT JV BWARI contract value for non-performance of remaining work associated with specification 09900 corrosion protection liner as described in the reference RFP; 2.) Compensation to JDMT JV BWARI Contractor for any and all costs incurred in the Specification 09900 C.P.L. claim as described in the referenced RFP; 3.) Compensation to JDMT JV BWARI Contractor for costs to complete the BWARI Project as described in the referenced RFP
Total Net Amount of $5,999,725.00 is included in the JDMT JV original contract and is a change order to the existing WPCLF loan.
B. Contract Compliance No.: CCN: 320092124 | Status: Majority | Expires: May 4, 2011
C. Emergency Designation: The Division of Sewerage and Drainage is requesting City Council to designate this ordinance an emergency measure in order to allow for the completion of this work by the end of 2009. This expediency is justified in order to fulfill the City's capital improvement project scheduling commitments set forth within the consent agreement between the City and the Ohio Attorney General's Office that addresses the City's wet weather wastewater overflows.
2. FISCAL IMPACT:
This ordinance authorizes the Director of Public Utilities to modify a contract with JDMT JV in the amount of $5,930,308.64 within the existing OWDA/WPCLF loan funds (Loan #4018 and #4131) with approval of two change orders. Funding through OWDA/WPCLF funds will be provided via a cancellation of EL004680-001 in the amount of $5,930,308.64 with McNally Contractors and then a reestablishment of the same amount through this modification with JDMT JV. There will also be an amendment to the 2008 Capital Improvements Budget to create sufficient budget authority for this expenditure.
Title
To authorize the Director of Public Utilities to execute a contract modification with Jay Dee-Michels-Traylor Joint Venture for the Big Walnut Augmentation/Rickenbacker Sanitary Interceptor Project (scope change) and the Big Walnut Outfall Sewer System Capacity Augmentation Project; to amend the 2008 Capital Improvements Budget; to authorize the expenditure of $5,930,308.64 within the Ohio Water Pollution Control Loan Fund for the Division of Sewerage and Drainage; and to declare an emergency. ($5,930,308.64).
Body
WHEREAS, Contract No. EL003819 was authorized by Ordinance No.2079-2003, as passed by Columbus City Council on November 10, 2003 for purposes of authorizing the Director of Public Utilities to enter into a construction contract with Jay Dee-Michels-Traylor Joint Venture (JDMT JV) for the Big Walnut Augmentation/Rickenbacker Sanitary Interceptor (BWARI) Project; this was executed on November 28, 2003, and was approved by the City Attorney on December 4, 2003 in the amount of $90,779,625.00; and
WHEREAS, it is necessary to modify this contract to provide additional monies to cover the cost of negotiated claims between the Contractor and the City, and for the additional work necessary to complete the corrosion protection liner for the BWARI tunnel project and the BWOAS tunnel project; and
WHEREAS, it is necessary to authorize an amendment to the 2008 Capital Improvements Budget for the purpose of creating sufficient spending authority for the aforementioned project expenditure; and
WHEREAS, it is necessary for City Council to authorize the expenditure of funds from the Ohio Water Pollution Control Loan Fund; and
WHEREAS, an emergency exists in the usual daily operation of the Division of Sewerage and Drainage, Department of Public Utilities, in that it is immediately necessary to authorize the Director of Public Utilities to modify the construction contract with JDMT JV for the completion of the BWARI and BWOAS tunnel projects by the end of 2009, in order to fulfill the City's capital improvement project scheduling commitments set forth within the consent agreement between the City and the Ohio Attorney General's Office that addresses the City's wet weather wastewater overflows; for the immediate preservation of the public health, peace, property, and safety; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of Public Utilities be, and hereby is, authorized to modify Contract No. EL003819 with Jay Dee-Michels-Traylor Joint Venture (JDMT JV), 3881 Schoolcraft Road, Livonia, Michigan, 48150, for construction completion of the BWARI and the BWOAS project, in order to settle a negotiated claim between the City and the Contractor, and to provide for needed additions to the contract work via an agreed upon scope change, in accordance with the terms and conditions as shown in the contract modification on file in the office of the Division of Sewerage and Drainage and set forth in change orders BWARI-CO-012, BWARI- RFP-035 and BWOAS-CO-012, BWOAS-RFP-034.
Section 2. That the 2008 Capital Improvements Budget Ordinance No.0690-2008 is hereby amended as follows, to create sufficient budget authority for the award of the agreement stated herein.
Project No. | Project Name | Current Authority | Revised Authority | (Change)
650430-100001 | BWOAS | $0.00 | $5,930,309 | (+$5,930,309)
Section 3. That the expenditure of $5,930,308.64, or as much thereof as may be needed, is hereby authorized from the Ohio Water Pollution Control Loan Fund | Fund No. 666 | Division 60-05 as follows: Big Walnut Outfall Sewer System Capacity Augmentation | Project 650430-100001 | OCA Code 666430 | Object Level Three 6630.
Section 4. 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 5. That the City Auditor is hereby authorized and directed to transfer any unencumbered balance in the project account to the unallocated balance 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; except that no transfer shall be made from a project account by monies from more than one source.
Section 6. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
Section 7. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure which shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.