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GM-11-10-27-0241 Page 1 of 1 rev. 2/2011 Department: Contract Quantity Adjustment/Change Order _ Project Change Order/Quantity Adjustment ID Number 2No.-----= Justification SUMMARY Original Contract Price: Previous Quantity Adjustment(s): This Quantity Adjustment: Total Quantity Adjustment(s): Total Contract Price with Quantity Adjustment(s): Previous Change Order(s): This Change Order: Total Change Order(s) To Date: Original Contract Price Plus Change Order(s) Plus Quantity Adjustment(s): Original Contract Time: Contract Time Prior to this Change Order: Contract Time with All Approved Change Orders: - Amount ....::.=:. $5,511,774.00_ $0.00 $0.00 $5,511,774.00 -$98,177.91 -1.78% $0.00 0.00% -$98,177.91 -1.78% $5,413,596.09 425 calendar days 425 calendar days 425 calendar days Prepared By: Signature Contractor '" '\~ Approval: ~~ "oJ \JI..~~~ Glenn A. Bridges, P.E., Project Engineer Jacobs Engineering Group, Inc. ..", ~ r Signature Printed Name, Ti Ie and Company Date BCRUA Approval: Signature Printed Name, Title Date Printed Name, Title BCRUA Approval: A Partnership of Cedar Park, leander, and Round Rock CHANGE ORDER No.2 DATE OF ISSUANCE: 07-29-11 EFFECTIVE DATE: _ OWNER: BCRUA CONTRACTOR: W.L. Hailey & Company, Inc. (W.L. Hailey) PROJECT: BCRUA Raw Water Pipeline, Phase One -Contract 2 ENGINEER: Jacobs Engineering Group, Inc. The Contractor is hereby directed to make the following changes in the Contract Documents: Change Proposal Requests 1. Delete the requirement for polyethylene wrap on ductile iron pipe installed under water, per CPR #3 and the response to CPR #3 from W.L. Hailey, dated 071l31t1. NO COST CHANGE Page 1 Project: BCRUA Raw Water Pipeline, Phase One - Contract 2 Change Order No.2 CHANGE IN CONTRACT PRICE: Original Contract Price: $ 5,511,774.00 Net increase from previous Change Orders $ 98,177.91 Contract Price prior to this Change Order: $ 5,413,569.09 Net decrease from this Change Order: ($ 0.00) Contract Price with all approved Change Orders: $ 5,413,596.09 CHANGE IN CONTRACT TIME: Original Contract Times: Substantial Completion (Days): 425 calendar days Final Completion (Days): 460 calendar days Substantial Completion (Date): November 25, 2011 Final Completion (Date): December 30, 2011 Net change from previous Change Orders: Substantial Completion (Days): Final Completion (Days): Substantial Completion (Date): Final Completion (Date): Contract Times prior to this Change Order: Substantial Completion (Days): 425 calendar days Final Completion (Days): 460 calendar days Substantial Completion (Date): November 25, 2011 Final Completion (Date): December 30, 2011 Net increase this Change Order: Substantial Completion (Days): Final Completion (Days): Contract Times with all approved Change Orders: Substantial Completion (Days): 425 calendar days Final Completion (Days): 460 calendar days Substantial Completion (Date): November 25, 2011 Final Completion (Date): December 30, 2011 Page 2 2705 Bee CaveRoad.Suite300 Austin, Texas78746U.S.A .JACOBS \'512.314.3100 Fax 1.512.314.3135 July 19,2011 RECEIVED MFT Mieheel F. Thuss; P:E.) By Michael F. Thuss, P.E. at 3:58 pm, Ju119~ 2011 Construction Manager Brushy Creek Regional Utility Authority (BCRUA) 1906 Hur Industrial Boulevard ~---------------- Cedar Park, Texas 18613 APPROVED By Michael F. Thuss, P.E. at 9:16 am, Jul21, 2011Re: RW-C2, CPR#3 Michael F.Thuss, P.E.Dear Mr. Thuss: 2011.07.21 09:17:45 -05'00' As requested at the June 30, 2011 construction meeting. W.L. Hailey & Company, Inc. (W L. Hailey) submitted the enclosed July 13,2011 letter to provide additional cost infonnation regarding the previous response to CPR #3. As stated in the July 13letter,W.L. Haileyhas proposed two options in response to CPR#3. One option proposes no change in the contract amount for deleting the polyethylene wrap on ductile iron pipe installed under water. This is based on the contention by W.L. Hailey that additional costs were incurred during installation of rock bolts at the under water pipe manifold thrust block. Note: At the time of rock bolt installationat the manifold thrustblock, W.L. Hailey did not makea claimfor additional costs, in order to expedite the construction. Based on the cost informationrecentlyprovided byW.L. Hailey,the additional cost associatedwith rock bolt installation to date ($63,784.32) exceeds the credit amount for deleting the polyethylene wrap, which is estimated to be approximately $52,000 ($27.00 I LF x approximately 1,930 LF). In addition, it is possible that futureinstallation of concretereaction blocks from approximatelyStations 14+62to 17+04will alsorequire additional lengths ofrock bolts, which would addto the $63,784.32 cost mentioned above. Regarding whether the additional costs for rock bolt installation are justified, Jacobs Engineering Group, Inc. (Jacobs) reviewed the contract documents and has the following comments: I. Sheets S-l and S-2 of the drawings show two options for construction ofthe manifold thrust block (drilled piers with smaller concrete thrust block, and larger gravity thrust block, respectively). Note 1 on Sheet S-1 requires that the listed pier design values be confirmed by a Registered GeotechnicalEngineer hired by the Contractor before construction starts, if the drilled pier option is used. Note 8 on Sheet S-I and Note 8 on Sheet S-2 allow the Contractor to submit alternative manifold thrust block designs. Note 8 also requires the Contractor to hire a Geotechnical Engineer to evaluate and provide foundation design recommendationsfor alternate thrust block designs. W.L. Hailey elected to submit an alternative design using rock bolts, and provided an alternative foundation designed by a Geotechnical Engineer. 2. Paragraph 4.2.2.3.C.2. of specification Section00800 addresses "Differing Subsurface or Physical Conditions" and states: "Contractor shall not be entitled to any adjustment in the Contract Price or Contract Times if: ... b. the existence of such condition could reasonably jacobs Engineering Group Inc have been ~or revealed as a result of anyexamination.investigation,exploration. test. or sbJdy of the Site and contiguous areas required by the Bidding Requitementsor Contract Doaunarts to be conductedby or for Contractorprior to Contractor's makingsuch final corumilmmt.It Based on the above. an argument could be made that W.L. Hailey should be responsible for the additional costs associated with rock bolt installation. However.the above mentionedlanguagefrom Paragraph 4.2.2.3.C2 is standard in the SupplementalGeneral Conditions. and an argument could also be made by W.L.Hailey 1bat the standard language was not intended to apply to the circumstances of this specific project (i.e.•additionalexamination,investigation, exploration,etc. wouldhave required soil borings in water up to approximately 80 feet deep). Also. in addition to other reasons, the alternative designs mentioned in Item 1 above were submitted in good faithby W.L.llailey in order toreducesome of therisks associated with the overallproject. Consequently.the alternativedesignsresulted in certain benefitsto both W.L. Hailey and BCRUA. An argumentcould also be made that the methodologyusedby W.L. Hailey to calculate the additional costs associated with rock bolt installationresults inunnecessarilyhigher costs,which could be reducedsomewhat. However,it is obviousthat the actualconditionsencountereddming instaIJation of rockbolts at the manifold thrust block did require additional labor, materials and equipment,for whichW.L.Hailey did not originallyanticipate. Consideringthe possibilitythat similar conditions may be encountered duringinstallation ofrockbolts for the reactionblocksthatare still to be constructed, it is the opinion of Jacobsthat the ''no costchange" proposalby W.L.Haileyis fair and reasonable. andwe hereby recommend its acceptance. If thisrecommendationmeets with the approval ofBCRUA,a changeorder will be prepared to document deletion of tile polyethylenewrapat no changein contractamount. If youwouldliketo discuss this. or need any additional information. please call. Sincerely. JACOBS ENGINEERINGGROUP. INC. Glenn A. Bridges, P.E. Senior Project Engineer XC: Jeff Bell, City of Round Rock James R. Tolles, Jr., P.E., JR Tolles & Associates Jenn Higby, EIT. BCRUA Grace Stillman,Err, BCRUA wI enclosures K:\OS0844\conslrUctioo\contrKt 2\C0rresp0ndenu'o,loBCRUA \CPR#3letter 071911.doc GENERAL CONTRACTORS 2971 KRAFT DRIVE P.O. BOX 40646 NASHVILLE, TN 37204 T (615)255-3161 u F (615)256-1316 W.L.HAILEY & COMPANY INC. BUtt.DING TRUS1' SINel'. 1925 July 13, 2011 JacobsEngineeringGroup c/o BrushyCreekRegional Utility Authority 1906 Hur Industrial Blvd. Cedar Park,Texas 78613 Attention: Glenn Bridges and Michael Thuss: Dear Glenn and Michael: The purpose of this letter is to explain how I derived at the costs/credits mentioned in the letter written on June 16, 2011, regarding deleting the pipe wrap from the scope of work, and dealing with the extra overburden/rubble at the manifold thrust block. As you may recall, I proposed two optIons: One option was/is to callthe deletion of the pipe wrap from the scope of work,and the expenses of dealing with the extra overburden an even swap, and carry on aswe are. In other words, we offer no credit from the deletion of the pipe wrap, and we charge nothing extra for drilling through the extra overburden, neither at the manifold thrust block, nor (if applicable) at the twelve thrust blocks of the 200' radius curve. The other option was/is to offer a credit of$27.oo/foot for the deletion of the pipe wrap coupled with a charge of $63,784.32 for the extra costs encountered dealing with the extra overburden at the manifold thrust block, plus, possibly more charges for whatever expensesare encountered if extra overburden exists at the twelve thrust blocks of Curve#2, This is how I derived at the amount of $27.00/foot credit for the deletion of the pipe wrap. When I wrote the letter on June 16, I estimated that it would take about ten minutes (or so) per pipe joint on top to install the poly-wrap on the pipe,andalsoabout ten minutes (or so)on the bottom for the diver to dealwith 1t.1 Assuming eachpipe joint to beapproximately18feet long,and usingthe samehourly Jobcosttable that wasprovidedwith CPR #1 (which,job costtable, isalsoattached herewith) I concludedthe following: $l,328.84/hour x 20 minutes/joint x 1 hour/60 minutes x 1joint/18 ft. =$24.61/ft. Toaccountfor the "or 50-5", andto makethe value a niceeven numberI dedded to see if @27.00!footwas reasonable. At $27.00/foot I determined: $27.CO/ft. x 18 ft'/joint xl hour/$1328.84 x 60 minutes/1 hour =21.94 minutes/joint. I wassatisfiedwith this number. (Thematerialcostfor the portion of the poly-wrap usedon the lakebottom isapproximately $2.08/ft. But sincewe are probablynot goingto be ableto return this material for credit, andsincethe amount isnot that much,I did not Includeit Inthe amount of the credit.) Concerning the $63,784.32 charge for the extra drilling at the manifold, I derivedat this numberthis way: 3(extra)hours/anchor x16anchorsx$1328.84/hour =$63,784.32 (extra). Therewere alsoextra material costs involvedwith this/but I did not includethem either. I should have. Anyway,this ishow I derivedat the givenfigures. If necessary we can discuss this more at tomorrows meeting. Sincerely, Steven E. Mainord 1)now realize that I made a mistake inthatI should have only Included theten minutes (orsolon thebottom. On top, theten minutes would have been done whilewere waiting onthe divers, and thus in reality would have added nothing to the duration ofthejob. But anyway •.. 1 1-3/8" 150ksl Williams AII·Thread Rock Anchors runabout$6.83/foot. We used an extra 240feetatthe manifold alone. Couplings are $17.63 each. We used at least 16 extra atthe manifold. Grout Is $35.26/bag. Butwe probably only used about22or 23 extra bags atthe manIfold dueto theextra overburden. This alltotalsup to $2,732.26, using 23 bags of grout. BCRUA Phase One Contract 2, W. L. Halley and Company, Inc. HOURLY JOB COSTS LABOR COSTS PER HOUR Hourly Overtime Name Classification Rate Factor Burden Subsistence LineTotal Clouse, William Welder S 21.50 1.2222 $ 8.93 $ 7.00 $ 42.21 Marine Hooper, Martin Superintendent $ 45.00 1.00 $ 15.30 $ 11.25 s 71.55 Mainord, Steven ProjectManager $ 36.25 1.00 s 12.33 $ 11.25 $ 59.83 Morales, Gonzalo Carpenter $ 17.50 1.2222 $ 7.27 $ 7.00 $ 35.66 Page, Jerry Foreman s 31.25 1.00 $ 10.63 $ 10.00 $ 51.88 Valdez, Adrian Carpenter $ 17.50 1.2222 $ 7.27 $ 7.00 $ 35.66 WIlliams,Christopher Operator $ 25.50 1.2222 $ 10.60 $ 7.00 $ 48.76 TOTAL LABOR COSTS PER HOUR....................................................................................... $ 345.55 EQUIPMENT COSTS PER HOUR DescrIption Hourly Rate s 90.00 $ 91.83 Total All 21 Barges Drill and accessories wISe If Contained Air Compressor Air Compressor on land $ 5.00 $ 22.50 $ 2.50 $ 2.50 $ 14.00 AlI·Terrain Fork Lift JohnBoatw/Traller #1 JohnBoatw/Trailer #2 Thompson Jet Pump Double Drum Winch $ 5.00 $ 11.50 $ 75.00 s 15.00 $ 10.00 $ 5.50 $ 6.00 $ 6.00 $ 8.00 $ 370.33 Totalall 3 welders 85 Ton Kobelco Crawler Crane Tow Boat Total all 2 clam buckets 08 Ford F-150 Pickup 08 For F·250 Pickup 08 Ford F·250 Pickup Total all misc. mats, conexes, etc. TOTAL EQUIP. COST PER HOUR••••••••• FUEL COSTS PER HOUR . FIELD OFFICE EXPENSES PER HOUR... I $ 2.96 I DIVING COSTS PER HOUR .. TOTAL JOB COSTS PER HOUR........................ $1,328.84 :::::::::========== 2705 Bee Cave Road, Suile 300 JACOBS~ Austin,Texas 78746 U.S.A. 1.512.314.3100 Fax 1.512.314.3135 July6, 2011 StephenE. Mainord W.L. Hailey & Company, Inc. 2971 Kraft Drive P.O.Box 40646 Nashville, TN 37204 Re: Brusby Creek Regional Utility Authority (BCRUA) Construction of Raw Water Pipeline, Phase One -Contract 2 Change Proposal Request #3 DearMr. Mainord: Pleaseprovideacostproposal to deletethe requirement for polyethylene wrap on ductile iron pipe installed under water. Iftheproposalis accepted,a changeorderwillbepreparedto document the contract change. Ifyouhaveany questions, pleasedonothesitateto contactmeat 512-314-3182. Sincerely, JACOBS ENGINEERING GROUP, INC. Glenn A. Bridges, SemorProjectEn~neer XC: Mike Thuss, P.E., BCRUA Grace Stillman,E.I.T, BCRUA Jenn Higby,E.I.T., BCRUA Jim Tolles, P.E. Jeff Bell, City of Round Rock K:\050844IcOllstruClion'contraeI2'change proposal reque515\CPR #3.doc Jacobs Engineering Groin: Inc