Title
Parkview Subdivision Stage 1 Drainage Improvement GMP - Proposal
History
In 2012 Christopher B. Burke Engineering, Ltd. (CBBEL) began Phase II engineering to mitigate flooding issues within the Parkview Subdivision. The project includes the construction of relief storm sewers to convey runoff from 86th Avenue, east of Parkview, into Parkview Pond. Adjustments to the outflow structure will also be completed to convey the water through the pond. Phase II engineering is currently approximately 40% complete. In the near future, a request to initiate engineering for stage 2 of this improvement will be brought forward. That work will include the construction of additional storm water storage upstream from Parkview Subdivision.
Typically, the Village hires a firm to design this type of project, which would then go out to bid for a contractor to construct. However, you may recall that the storm water projects previously completed as a result of the flood study were handled through what is known as a “design/build” contract. In those projects, the Village retained Burke L.L.C., the design/build entity within the CBBEL group, to design the solution and manage the construction. Those projects were all completed earlier than anticipated and under the expected budget.
To expedite the project in the Parkview Subdivision, the design/build delivery method may be considered. If selected, the design/build delivery method would include a Guaranteed Maximum Price (GMP), the same method used for completion of the previous flood study projects completed by CBBEL.
Village staff requested that CBBEL provide a proposal to consider the design/build option. The proposal is attached and reflects a cost of $475,250.00 for the delivery of the project and will include a shared savings with the Village if the project is completed under budget. If the project comes in over budget, CBBEL would be obligated to cover the additional cost, with one exception: if the soils are determined to be contaminated, a change order would be negotiated.
If the Board wishes to advance a design/build contract with CBBEL, the current engineering service agreement will be terminated with a savings of approximately $15,000 and a new design/build agreement would be executed. The construction completion timeframe would also be shortened from June 2015 to October 2014, more than eight months. The project gains several efficiencies as the work can begin as Phase II engineering is being completed. Phases of the project are also able to be awarded independently, saving time and potentially money. If a more traditional approach is desired, the project will be put out to bid following completion of the phase II engineering. The construction completion would be estimated at the original June 2015 timeline.
On July 7, 2014, this item was reviewed and approved by the Public Works Committee and referred to the Board for approval.
Financial Impact Budget Impact
There are sufficient funds available in the Water Fund Capital Budget account 031-6007-470500 for this project.
Recommended Action/Motion:
I move to approve to accept the proposal from Burke, L.L.C. of Rosemont, Illinois for a Guaranteed Maximum Price (GMP) $475,250.00 for the Parkview Stage 1 Subdivision Drainage Improvements.