#06 - Parkview-Cardinal Change Order 3

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STAFF REPORT DATE: February 21, 2023 CONSENT AGENDA ITEM: Approve Change Order No. 3 for the Parkview-Cardinal Street and Utility Improvements SUBMITTED BY: Mark Scholle, Project Engineer REVIEWED BY: Kristina Handt, City Administrator Marty Powers, Public Works Director Jack Griffin, City Engineer ISSUE BEFORE COUNCIL: Should the City Council approve Change Order No. 3 for the Parkview-Cardinal Street and Utility Improvements under the condition the MPCA grant amendment request is approved? BACKGROUND: The City of Lake Elmo received grant funding from the Minnesota Pollution Control Agency (MPCA) under the 2018 3M Settlement Agreement as an expedited project to extend municipal water and connect each of the 62 properties. The grant is in the amount of $5,200,000 and includes the public and private water system improvements, and the street and drainage improvements. T.A. Schifsky & Sons, Inc. was awarded a construction contract on April 6, 2022, to complete the Parkview- Cardinal Street and Utility Improvements. The current construction contract completion dates are Substantial Completion date of October 14, 2022, and Final Completion date of November 24, 2022. PROPOSAL DETAILS/ANALYSIS: During construction of the public improvements the city learned of privately owned sewer services existing in the right of way of Ivy Avenue from 15th Street to 16th Street. The services are not locatable and there are no records of their location. The current contract requires the watermain to be installed by directional drilling, but not knowing where the sanitary services are located creates potential risk of hitting the private lines without knowing it. Staff has worked with the contractor to evaluate options and approaches to complete construction and minimize the risk of hitting the sewer private lines. The recommended approach is to revise the watermain installation method from a trenchless drilling method to an open cut installation method and fully reconstruct the street. Change Order No. 3 amends the Contract to revise work as follows: • Revise watermain installation method from directional drilling to open cut trench along Ivy Avenue from 15th Street to 16th Street due to unknown locations of several privately owned sanitary sewer service forcemains in the area. This includes a change from a street reclamation improvement to full pavement section street reconstruction along the street segments that are disturbed by the open cut trench watermain installation. • Extend the Substantial Completion date for the Cardinal Ridge subdivision improvements from October 14, 2022 to July 31, 2023 and the Final Completion date from November 24, 2022 to August 15, 2023. The contract period for the remaining projects areas remains unchanged.