SUBJECT: CONSENT AGENDA
Title
A Resolution of the Board of Trustees of the Town of Erie Approving Change Order No. 3 to the Agreement with Spiegel Industrial LLC for the 4MG Concrete Tank Lining Removal
Body
DEPARTMENT: Public Works
PRESENTER: Todd Fessenden, Public Works Director
FISCAL SUMMARY:
Cost as Recommended: $55,347.60
Balance Available: $275,700
Budget Line Item Number: 500-70-110-605000-100343
New Appropriation Required: No
STAFF RECOMMENDATION:
Recommendation
Approve the resolution to execute said change order, authorize the appropriate Town officer to execute said change order, and authorize staff to expend budgeted funds.
End
SUMMARY AND BACKGROUND OF SUBJECT MATTER:
The Town’s largest drinking water storage tank, a 4 million gallon concrete tank was constructed in 2015 and a protective coating (liner) was installed to protect the concrete from corrosion (aka concrete degradation). Upon final warranty inspection in 2017 it was discovered that the liner had begun to fail and separate from the tank wall. This situation was monitored in the interim while staff considered engineering investigations and negotiations with the general contractor. The Town received $500,000 towards the ultimate replacement of this liner in 2019. The tank, being the main supply for fire flow and peak demand storage, has remained in service during this time. It has been regularly inspected and taken offline (drained) multiple times.
The liner began to significantly deteriorate, to the point where large cracks and blisters in the liner surfaced. In order to protect water quality and avoid service issues due to large sections delaminating, staff determined all of the areas of the liner that are not strongly adhered to the tank needed to be removed. We obtained competitive bids and hired Spiegel Industrial LLC to remove the coating from the walls and floor of the tank in March, based on Board approval of a $123,000 contract for this work.
When they began this work, Spiegel found the liner on a significant portion of the support columns was also in a state of imminent failure, and recommended removing the coating from those areas as well. Time is of the essence, and we need to keep this integral part of the Town’s drinking water system functional, and most importantly to maintain public health and safety. Consequently, staff directed Spiegel to remove this additional material from the columns to be able to safely place the tank back in service in time for the summer irrigation season. Removing the column coating was initially intended to be performed in the fall, as an effort to expedite placing the tank in service, so this work would have been incurred regardless. As such, this is more of an issue of timing than ultimate cost.
The total of change order 2 requested was for $128,277.99. The Board approved awarding 60% of this cost ($76,966.79) at the May 12, 2020 meeting with the notion that staff was verifying the remaining 40% to be needed. Staff has verified with our engineers that this cost is in fact in line with the work performed and is requesting award of change order 3 for the remaining 40% ($51,311.20) plus an additional cost of $4,036.40 for disinfection for a total change order cost of $55,347.60.
Fiscal Impact:
The Town has a balance of approximately $275,700 available for the replacement of the liner for this tank. This change order allows for approximately $220,400 for the fall work.
ATTACHMENTS:
1. Resolution
2. Change Order