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HomeMy WebLinkAbout4.C.2. Authorize an Extension Agreement for SEH, Inc. Construction Services on the Sewer Lateral Pipe Rehabilitation Project Consent Business 4. C. 2. SH-I KO 'EF TO: Mayor and City Council FROM: Bruce Loney, Public Works Director DATE: 09/01/2015 SUBJECT: Authorize an Extension Agreement for SEH, Inc. Construction Services on the Sewer Lateral Pipe Rehabilitation Project (E) Action Sought Authorize the appropriate city officials to execute an extension agreement with SEH, Inc. for construction services on the Sewer Lateral Pipe Rehabilitation Project No. 2015-4. Background On August 18, 2015, the City Council awarded a contract for Project No. 2015-4. City staff will need assistance from the design consultant to complete the project. The attached extension agreement authorizes the tasks to be provided by the consultant. It is staffs intent to utilize the consultant for services that cannot be supported by staff time or expertise. The agreement shows the cost and tasks associated for the worst case scenario in which the consultant does all of the inspection work. Staff believes our staff inspectors can do a lot of the work but is dependent on the fall work schedule of other projects. Recommendation Staff recommends authorizing the extension agreement with SEH, Inc. due to their experience with these types of projects and to assist staff due to a busy fall workload.. Budget Impact The agreement affects the Sanitary Sewer Enterprise Fund. Relationship to Vision This supports Goal E: Deliver effective and efficient public services by a staff of well-trained, caring and professional employees. Requested Action Authorize the appropriate city officials to execute an extension agreement with SEH, Inc. for construction services on the Sewer Lateral Pipe Rehabilitation Project No. 2015-4. Attachments: SEH Inc. Extension Agreement Proposal 1 SEH Building a Better World for All of Us'' August 25, 2015 RE: City of Shakopee 2015 Sanitary Sewer Lateral Pipe Rehabilitation SEH No. SHAKO 133769 10.00 Bruce Loney, PE Public Works Director City of Shakopee 129 Holmes St. S. • Shakopee, MN,55379 Dear Bruce: In accordance with the Master Agreement for Professional Services between the City and SEH, effective July 13, 2011,this Supplemental Letter Agreement dated August 25, 2015 describes the scope, schedule, and fee to assist the City as it provides construction phase services for the referenced project. For your convenience, the Supplemental Letter Agreement is divided into sections titled Scope, Schedule, and Fee. SCOPE Rehabilitating laterals to about 5 feet beyond the back of the concrete curb and gutter using the trenchless method structural cured-in-place pipe lining for laterals (CIPPLL) is new to the City. Therefore the City will periodically ask us to provide part-time assistance to its inspector for the following two (2) tasks. 1. Enforcing the project's SEH prepared contract documents. 2. Preparing or back checking the content of communications that update affected property owners about the status of the rehabilitation. The goal of this scope is for the City's inspector to quickly learn how to complete these tasks on their own for their own use during future rehabilitation program years. SCHEDULE We divided our services reported by the enclosed Task Hour Budget according to the rehabilitation periods described in Appendix D of the Contract documents. The table below reports the periods date ranges. Period Date Range i No. of Weeks Pre-Rehabilitation 8/17/15-9/4/15 3 Rehabilitation 9/7/15- 11/27/15 12 Correction 11/30/15- 11/30/17 105 Warranty 12/4/17- 11/27/20 , 156 Engineers I Architects I Planners I Scientists Short Elliott Hendrickson Inc.,10901 Red Circle Drive,Suite 300,Minnetonka,MN 55343-9302 SEH is 100%employee-owned I sehinc.com I 952.912.2600 I 800.734.6757 I 888.908.8166 fax Bruce Loney, PE August 25, 2015 Page 2 FEE The enclosed task hour budget describes in detail our approach to complete this project's scope and calculates our fee. Our fee is hourly and estimated to be $93,970 including expenses. It is an estimate because we will expend these fees only when requested by the City.The City can request more, or less, of the amount of services described by this proposal. As a point of reference, and based on this project's bid tabulation, our estimated total fee to have already prepared bidding documents and to still provide the construction phase services described by this Supplemental Letter Agreement is approximately 30%of the$606,316 contract awarded to National Water Main Cleaning Company from Kearny New Jersey(NWMCC). However, our peers in the industry agree with us that the City received a very favorable bid from NWMCC. We believe NWMCC's bid is about 50% less than the national normal. In our opinion, NWMCC bid this project aggressively to showcase their service and product in a geographical market new to them. However, their aggressive bid skews the percentage our fee is of the construction cost. We respectfully ask the City to consider that our total fee is approximately 15%of a normally bid project. Please contact me with questions and comments at 952.912.2611 or ppasko@sehinc.com. Sincerely, SHORT ELLIOTT HENDRICKSON INC. °(104 ,4W-. Paul J. Pasko III, PE Project Manager pjp3 Enclosure c: John Rodeberg, SEH Mike Ostendorf, SEH p:\pt\s\shako\133769\1-geN\10-setup-cont\03-proposal\08 25 15 pips]Itr.docx City of Shakopee, Minnesota City of Shakopee Authorized Representative Date City of Shakopee Mayor Date City of Shakopee City Administrator Date SEH Task Hour Budget City of Shakopee 2015 Sanitary Sewer Lateral Pipe Rehabilitation (1) August 25, 2015 ESTIMATED HOURS ESTIMATED PROJECT PROJECT STAFF COST PROJECT TASKS MANAGER ENGINEER ENGINEER(13) ADMIN TECH Pasko Schumann Hartmann Anderson 1.0 Pre-Rehabilitation Period(2) 1.1 Inspection(6) 1.2 Administration(8)(14) 12 24 6 1.3 Communication(9)(10)(11)(12)(15) 12 6 3 2.0 Rehabilitation Period (3) 2.1 Inspection(7)(16) 192 96 2.2 Administration(8)(17) 96 24 12 2.3 Communication(9)(10)(11)(12)(15) 48 24 12 3.0 Correction Period(4) 3.1 Inspection(7)(18) 84 21 3.2 Administration(8)(19) 21 21 11 3.3 Communication(6) 4.0 Warranty Period(5) 4.1 Inspection(7)(20) 13 7 4.2 Administration(8)(21) 7 3 4.3 Communication(6) Page 1 of 3 PROJECT PROJECT STAFF ESTIMATED MANAGER ENGINEER ENGINEER(13) ADMIN TECH COST PROJECT COST SUMMARY 1.0 Pre-Rehabilitation Period(2) Subtotal Hours 24 30 9 63 Subtotal Labor Cost $4,868.76 $3,010.80 $911.43 $8,790.99 Subtotal Expenses(22) $72.00 Subtotal $8,862.99 2.0 Rehabilitation Period(3) Subtotal Hours 144.0 240.0 96.0 24.0 504 Subtotal Labor Cost $29,212.56 $24,086.40 $7,434.96 $2,430.48 $63,164.40 Subtotal SEH Expenses(22) $1,133.00 Subtotal $64,297.40 3.0 Correction Period(4) Subtotal Hours 21 105 21 11 158 Subtotal Labor Cost $4,260.17 $10,537.80 $1,626.40 $1,113.97 $17,538.33 Subtotal Expenses(22) $339.00 Subtotal $17,877.33 4.0 Warranty Period (5) Subtotal Hours 20 10 30 Subtotal Labor Cost $2,007.20 $774.48 $2,781.68 Subtotal Expenses(22) $150.60 Subtotal $2,932.28 TOTAL COST ASSOCIATED WITH THIS PROPOSAL: $93,970.00 P:\PT\S\Shako\133769\1-gen1\10-setup-cont\03-proposal\[08 25 15 THB.xlsx]Hours-Costs NOTES (1) Work weeks for all of the periods are 6 days long;Monday thru Saturday. (2) 8/17/15 and 9/4/15 - 3 weeks (3) 9/7/15 and 11/27/15- 12 weeks (4) 11/30/15 and 11/30/17- 105 weeks (5) 12/4/17 and 11/27/20- 156 weeks (6) No work will occur for this task during this Period. Page 2 of 3 (7) When requested by the City,assist City staff in the field verifying the Contractor is completing rehabilitation operations in accordance with the contract documents. (8) When requested by the City,assist City staff with contract administration duties supporting 1. field inspections verifying the Contractor is completing rehabilitation operations in accordance with the contract documents 2. paying for complete work. (9) When requested by the City,assist with the creation or back checking of communications the City will send to affected property owners updating them about the status of communication. (10) For communications to be sent via snail mail to affected property owners;City staff will print,fold, stuff envelopes,and provide all postage. (11) For communications to be sent via the City's eNotification tool to affected property owners;City staff will maintain the list of email addresses,create the email,and send it from their computer server. (12) For communications to be sent via the City's web page for this project; City staff will maintain the web page and update its content. (13) Staff Engineer assists Project Engineer with CCTV review inspections. (14) 1. Project Manager works 4 hours per week 2. Project Engineer works 8 hours per week 3. Administrative Technician works 2 hours per week (15) 1. Project Manager works 4 hours per week 2. Project Engineer works 2 hours per week 3. Administrative Technician works 1 hours per week. (16) 1. Project Engineer works 16 hours per week 3. Staff Engineer works 8 hours per week (17) 1. Project Manager works 8 hours per week 2. Project Engineer works 2 hours per week 3. Administrative Technician works 1 hours per week. (18) For each 5 week long segment(there are 21 segments in 105 weeks), 1. Project Engineer works 4 hours per segment 2. Staff Engineer works 1 hours per segment (19) For each 5 week long segment(there are 21 segments in 105 weeks), 1. Project Manager works 1 hours per segment 2. Project Engineer works 1 hours per segment 3. Administrative Technician works .5 hours per segment (20) For each 12 week long segment(there are 13 segments in 156 weeks), 1. Project Engineer works 1 hours per segment 2. Staff Engineer works .5 hours per segment (21) For each 12 week long segment(there are 13 segments in 156 weeks), 1. Project Manager works .5 hours per segment 2. Administrative Technician works .25 hours per segment (22) Reimbursable expense is only 1. mileage between the site and SEH's Minnetonka office 2. Auto allowance per day only for entire days the Project Engineer spends on site. Page 3 of 3