title
Canal Street Ferry Terminal Project: Amendment Request to Woodward-APC’s Contract
end
|
DESCRIPTION: Requesting Board Authorization to Amend Woodward-APC’s Contract Due to Steel Escalation Cost |
AGENDA NO: Click or tap here to enter text. |
|
ACTION REQUEST: ☒ Approval ☐ Review Comment ☐ Information Only ☐ Other |
RECOMMENDATION:
recommendation
To authorize the Chief Executive Officer to amend Woodward-APC’s contract for a not-to-exceed amount of $250,000 pay for the cost of steel escalation.
end
ISSUE/BACKGROUND:
body
In June of 2021, the Board authorized staff to negotiate a change order for the permanent barge for a not-to-exceed amount of $700,681.16. Staff was able to reduce the amount and process the change order in the amount of $657,443.16. Any consideration of increase of steel cost due to escalation was removed from this change order
end
DISCUSSION:
The contract price for the construction of the permanent barge was established in April of 2020. Staff eliminated the Half Grand Union (HGU) rail connection and utilized the savings to make some design changes that improve operational efficiencies by allowing operations to service larger volumes of passengers quicker, providing operations a secondary method to service ferries utilities, and reduce operation functions by including an internal ballasting system which requires less manpower than the previous system.
While the original plan was to use the HGU savings to support the revised permanent barge cost, the FTA has granted authorization for RTA to use savings from new Ferry Boats purchase. The HGU savings will now be allocated to the project’s contingency.
Redesigns were expected to be completed earlier this year but delayed due to slowdowns in regulatory agency permitting. Permitting took longer than expected due to staff availability being reduced by COVID restrictions.
RTA Staff issued a Construction Change Directive (CCD) to mitigate the risk of steel prices further increasing and are submitting this Board Agenda item prior to finalizing negotiations in order to mitigate further cost escalations due to increasingly rising material prices. These price escalations are unpredictable, unprecedented, and a result of material shortages due to COVID restrictions.
.
FINANCIAL IMPACT:
Total cost for this work is expected not-to-exceed $250,000 and will be funded through Grant LA 950006.12.34.05 which has a balance of $673,072.01. Staff will continue to negotiate this price down as the pricing is finalize. If costs exceed the $250,000 RTA Staff will resubmit a Board Agenda Item to ratify the Amendment.
NEXT STEPS:
Upon Board approval, staff will amend Woodward-APC’s contract to include the revised work in their contract.
During the performance of this contract, staff will conduct ongoing dialogue to the Board during the project development.
ATTACHMENTS:
1. Board Resolution
2. CCD #5 Structural Steel Price Escalation
3. RTA CSFT 025 Approval Recommendation
Prepared By: Darrel LaFrance, dlafrance@rtaforward.org
Title: Infrastructure Project Manager
Reviewed By: Lona Edwards Hankins, lhankins@rtaforward.org
Title: Deputy CEO of Planning Infrastructure
Reviewed By: Gizelle Johnson-Banks
Title: Chief Financial Officer
9/20/2021
Alex Wiggins Date
Chief Executive Officer