Item Coversheet
  Agreements and Contracts - Action
6.

M E M O R A N D U M

TO: 

Board of Directors 
FROM:

R. Brent Smith, Director of Technical Services 
DATE:

July   16, 2021
RE:

Foothill Raw Water Pipelines Project, Phase 2, Change Order

RECOMMENDATION:
 
Authorize the Director of Technical Services to approve a Discretionary Contract Change Order with Mountain Cascade, Inc., for the Foothill Raw Water Pipelines Project, Phase 2, for a not-to-exceed amount of $300,000.
BACKGROUND:
 

PG&E recently reduced the Agency's 2021 raw water supply due to the drought. In order to keep up with demands, the Agency is currently pumping water from the American River and delivering it to the Foothill Water Treatment Plant (WTP) and the canal system. This requires the use of the Auburn Tunnel pumps located in the Ophir Road Pump Station. These pumps are typically only used during critically dry years, in emergencies, and during the annual fall PG&E outage. Upon recent startup, Pumps No. 2 and No. 5 were inoperable. With increasing demands as the summer progresses and with limited redundancy, it is essential to get both of these pumps operational.  Pump No. 2 was evaluated by Drinking Water Operations staff and they are currently in progress of repairing the upper bearing in the motor. In order to evaluate Pump No. 5, it has been entirely pulled from the 220-foot deep shaft and may need to be shipped to a pump repair shop. It is estimated that this work will take approximately two weeks to complete.

 

Mountain Cascade, Inc., (MCI), contractor for the Foothill Raw Water Pipelines Project, Phase 2, is currently working on the Foothill WTP supply pumps, also located within the Ophir Road Pump Station.  To expedite diagnosis of Pump No. 5, on July 16, 2021, the Agency authorized MCI under staff authority to remove the pump and deliver it to a site for diagnoses at an estimated cost of $43,921. Once the contractor diagnosis the problem, the Agency will receive another quote to repair and reinstall the pump. Staff recommends the Agency authorize the Director of Technical Services to execute a change order for all the work to repair and reinstall Pump No. 5 for a not-to-exceed amount of $300,000.  This will allow the Agency to accelerate the repair and reinstallation of the pump as quickly as possible.

 

Summary of Contract Value

    Original Contract Value $20,160,040
Change Order 225,531    (1% of Original Value)
Current Contract Value 20,385,571
Value of Remaining Contract Work $1,856,399

FISCAL IMPACT:
 

    Project-to-Date Budget (Project No. 16005W) $ 22,147,068  
Additional Funding Request   0  
Subtotal Budget   22,147,068  
  Less Project-to-Date Expenses and Encumbrances   21,191,483  
  Available in Project Budget (current)   955,585  
  Less Proposed Action   300,000  
  Total Available in Project Budget (proposed) $ 655,585  

 

 

 

    Project-to-Date Budget (Project No. 17009W) $ 3,858,819  
Additional Funding Request   0  
Subtotal Budget   3,858,819  
  Less Project-to-Date Expenses and Encumbrances   3,644,906  
  Available in Project Budget (current)   213,913  
  Less Proposed Action   0  
  Total Available in Project Budget (proposed) $ 213,913  

 

Funding for the Foothill Raw Water Pipelines, Phase 2 Project (Project No. 16005W) comes from Water Division, Rates Projects - Raw & Treated Water Transmission and Distribution, and Reserves - Renewal and Replacement (Rates). Funding for the Ophir WTP Pipeline Phase 1 Project (Project No. 17009W) comes from Water Division, Rates - Treated Water Transmission and Distribution. There are sufficient funds within project budgets to cover all anticipated costs to complete the project.