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HomeMy WebLinkAboutOrdinance 118871 Ordinance No ~(~,~~ AN ORDINANCE INCREASING THE ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE STATE REVOLVING FUND IN THE AMOUNT OF $28,000 00 FOR THE PURPOSE OF INCREASING FUNDING WITH CAJUN CONTRACTORS FOR EXPANSION AT VILLAGE CREEK WASTEWATER PLANT; PROVIDING FOR A SEVERABILITY CLAUSE; MAKING THIS ORDINANCE CUMULATIVE OF PRIOR ORDINANCES AND REPEALING ALL PRIOR ORDINANCES IN CONFLICT HEREWITH; AND PROVIDING AN EFFECTIVE DATE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS SECTION 1 That in addition to those amounts allocated to the various City departments for the Fiscal Year 1994-95 and in the Budget of the City Manager, there shall also be increased estimated receipts and appropriations in the State Revolving Fund in the amount of $28,000 00 for the purpose of increasing funds to the contract with Cajun contractors for expansion at Village Creek Wastewater Treatment Plant SECTION 2 Should any portion, section or part of a section of this ordinance be declared invalid, inoperative or void for any reason by a court of competent jurisdiction, such decision, opinion or judgement shall in no way impair the remaining portions, sections, or parts of sections of this ordinance, which said remaining provisions shall be and remain in full force and effect SECTION 3 That this ordinance shall be cumulative of Ordinance No 11645 and all other ordinances and appropriations amending the same except in those instances where the provisions of this ordinance are in direct conflict with such other ordinances and appropriations, in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed SECTION 9 This ordinance shall take effect and be in full force and effect and after the date of its passage, and it is so ordained APPROVED AS TO FORM AND LEGALITY v ity.~Ajt~ ey~J "/ZY ' / Date el' ~/ ~~ Adopted /' ~~s Effective City of Fort iCrorth, Texas Mayor and Council Communication DATE REFERENCE NUMBER LOG NAME PAGE 03/21 /95 C-14733 60VILL 1 of 4 SUBJECT APPROPRIATION ORDINANCE AND PROPOSED CHANGE ORDER NO 1 1 TO 24 MGD EXPANSION, PHASE II-C, VILLAGE CREEK WASTEWATER TREATMENT PLANT, CAJUN CONTRACTORS, INC RECOMMENDATION It is recommended that the City Council 1 Adopt the attached supplemental appropriations ordinance increasing estimated receipts and appropriations in the State Revolving Loan Debt Services Fund by 528,000 from increased revenues, and 2 Authorize the City Manager to transfer 528,000 00 from State Revolving Loan Debt Service Fund to State Revolving Fund, and 3 Adopt the attached appropriations ordinance increasing estimated receipts and appropriations by 528.000.00 in the State Revolving Fund from increased Revenue, and 4 Authorize Change Order No 11 in the amount of 5266,412 19 to City Secretary Contract No 19327 with Cajun. Contractors, Inc ,for the 24 MGD Expansion, Phase II-C, revising the total contract cost to 516,298,673 57 DISCUSSION On August 1 1, 1992 (M&C C-13504), the City Council authorized the award of a contract to Cajun Contractors, Inc for the construction of the 24 MGD Expansion, Phase II-C at the Village Creek Wastewater Treatment Plant A major portion of this project included the installation of eight new primary effluent pumps and rebuilding two existing primary effluent pumps to extend their useful life In April 1994, the two rebuilt pumps began to show signs of lubrication failure after four months of service One of the pumps was removed and disassembled and it was discovered that the lubrication system was failing To determine the extent of the problem, the Contractor was directed to remove and disassemble two additional primary effluent pumps from different pump stations The small pump (PE-15) showed no indication of lubrication failure, however, the large pump (PE-25) showed indications of lubr~cat~on failure When the failure was verified, Freese and Nichols recommended that the contractor modify or replace the pumps because the pump lubrication system was not designed for pumping primary wastewater effluent The contractor, Cajun Contractors, Inc objected to this recommendation and over a period of several months, the City, Engineer, Contractor and Pump supplier met to resolve the problem During this period, the City Council was briefed on about the potential litigation associated with this dispute and that the cost to correct the .problem could be as high as $800,000 Through i~~ Printed on recycled paper City of Fort Worth, Texas Mayor and Council Communication REFE LOG NAME ~ PAGE 03/21 /95 ~ C-14733 ~ 60VILL ~ 2 of 4 susJECT APPROPRIATION ORDINANCE AND PROPOSED CHANGE ORDER NO 11 TO 24 MGD EXPANSION, PHASE II-C, VILLAGE CREEK WASTEWATER TREATMENT PLANT, CAJUN CONTRACTORS, INC these negotiation sessions the parties came to an agreement to resolve the problem The major items of this resolution are summarized below Contractor - to modify the lubrication system on the five large pumps which have failed or are expected to fail (estimated cost 5175,000) to construct the water lubrication system (estimated cost 555,000) to pay 1 /3 of the extended warranty on the large pumps City - to pay the Contractor interest on the retainage which was bung held until the dispute was resolved and the pumps fixed Interest to be paid upon completion of the project (estimated cost 528,000) to pay 1 /3 of the extended warranty on the large pumps Engineer - to pay 1 /3 of the extended warranty on the large pumps to provide design assistance for the water lubrication system Based on this agreement, the project can be successfully completed and the primary effluent pumps, which are an extremely critical component of the Village Creek Wastewater Treatment Plant, will provide reliable operation Additional costs included in this change order are not part of the dispute resolution, but are required by the contract or to replace/upgrade worn equipment The City is responsible for removal/reinstallation, transportation, disassembly/reassembly cost for the small pump which was determined to meet the specification at a cost of 56,184 36 The Contractor and Pump manufacturer have agreed to modify the current oil lubrication system of the large pumps to a water lubrication system which should operate in the pump application environment When the pumps are disassembled to accomplish this work, replacement of the worn seals and bearings will be required as recommended by the manufacturer Replacement of these worn parts are the City's responsibility as normal "wear and tear" because the pumps have been in operation for seven to eight months The cost estimate for replacing worn seals and bearings is $42,878 24 for Pumps PE-13 and PE-14, and 533,218 88 for Pumps PE-23, PE- 24 and PE-25 •=«~ Printed on recycled paper 4'~~ '- City of Fort Worth, Texas Mayor and Council Communication 03/21 /95 REFERENCE NUMBER C-14733 LOG NAME 60VILL I 3 of 4 SUBJECT APPROPRIATION ORDINANCE AND PROPOSED CHANGE ORDER NO 1 1 TO 24 MGD EXPANSION, PHASE II-C, VILLAGE CREEK WASTEWATER TREATMENT PLANT, CAJUN CONTRACTORS, INC Two pumps were rebuilt as part of this contract to reduce the overall project cost The impeller and pump bowl were specified to be bronze which has provided good service for years in the old pumps When one of these rebuilt pumps was disassembled to examine the lubrication system, excessive wear due to the abrasive nature of primary effluent water was discovered in the bowl and impeller To maintain the high power efficiencies desired, the pump impeller and bowl should be upgraded to stainless steel during the lubrication modification process The stainless steel impeller/bowl replacement will cost 5149,602 68 for Pumps PE-13 and PE-14 The consolidated cost breakdown for work in this change order ~s Description Cost aer Pump Total Cost Pump Dispute Issues Extended Warranty on Pumps (1 /3 of total cost) 52,176 00 5 6,528 00 Interest on retainage (estimate) 528,000.00 Subtotal 534,528 00 Equipment upgrades/replacements and Contract Requirements Removal, disassembly/reassembly, reinstallation 6,184 39 6,184 39 and transportation costs Primary Effluent Pumps PE-13 and PE-14 Repair worn seals and bearings 521,439 12 5 42,878 24 Replace Bronze with Stainless Steel 74,801 34 149,602 68 Primary Effluent Pumps PE-23, PE-24 and PE-25 Repair worn seals and bearings 1 1,072 96 33,218.88 Subtotal 5231,884 19 TOTAL 5266,412.19 The net effect of the proposed change order is as follows Original Contract Cost 515,784,000 00 Change Order Nos 1-10 5 248,261 38 Proposed Change Order No 1 1 5 266,412 19 Revised Contract Cost 516,298,673 57 The Construction Manager, Freese & Nichols, Inc , and the staff engineers of the Water Department have reviewed the proposed charges and time extensions and found them to be reasonable •=«~ Printed on recycled paper City of Fort Worth, Texas ~` Mayor and Council C cn;nmunication DATE 03/21 /95 REFERENCE NUMBER C-14733 LOG NAME 60VILL PAGE 4 of 4 SUBJECT APPROPRIATION ORDINANCE AND PROPOSED CHANGE ORDER NO 1 1 TO 24 MGD EXPANSION, PHASE II-C, VILLAGE CREEK WASTEWATER TREATMENT PLANT, CAJUN CONTRACTORS, INC FISCAL INFORMATION/CERTIFICATION The Director of the Fiscal Services certifies that upon approval and completion of recommendation 2, and the adoption of the attached approprations ordinances, funds required for the construction phase of the wastewater faculties will be available ]n the current operating budget of the State Revolving Fund MG w Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY Office by: (to) (1) PE15 441082 0132000 $28 000 00 (1) PE15 538070 0132000 $28,000 00 (2) PE42 488112 070420160060 $28 000 00 Richard Sawey 8207 (3) PE42 488112 070420160060 $28 000 00 APPROVED Originating Department Head: (3) PE42 541200 070420160060 $28 000 00 CITY GOtf~G~l. Richard Sawey 8207 (from) Mi~ ~~ (2) PE15 538070 0132000 $28,000 00 ~ ~ For Additional Information (4) PE42 541200 070420160060 $28,000 00 ~ ~ QLutJ ~ Contact: Citq Sec~te94~f ~ Citq of fort ~4'ortl~.'~ Richard Sawey 8207 -~1 Printed on recycled paper