Agenda - Council - 07/22/2025 - Laserfiche WebLink

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CC Regular Session Meeting Date: 07/22/2025 Primary Strategic Plan Initiative: Address infrastructure needs. 7. 2. Title: Adopt Resolution #25-175 Approving Engineering Amendment No. 3 for Improvement Project #21-09, Centralized Water Treatment Plant Purpose/Background: Purpose: The purpose of this case is to adopt Resolution #25-175 approving Engineering Amendment No. 3 for Improvement Project #21-09, Centralized Water Treatment Plant. Background: Advanced Engineering and Environmental Services, Inc. (AE2S) was hired by the City of Ramsey to design and prepare final plans and specifications for the Water Treatment Plant (WTP). AE2S was also hired by the city to provide construction services during construction. Magney Construction, Inc. (Magney) was awarded the construction contract for construction of the WTP. When the project was bid, bid alternate #1 was added in response to comments received from contractor's during the pre -bid meeting that the project schedule was very tight and that adding several months to the project schedule may help reduce bid prices since contractors tend to increase their bid prices if they have concerns that liquidated damages may be assessed if completion deadlines are not met. Magney therefore submitted a bid deduction for bid alternate #1 in the amount of -$50,000 based on a 28-month construction schedule versus a 24-month schedule per the base bid. When the city awarded the contract for construction, only the base bid was awarded meaning Magney had 24-months to complete the project. During construction, the city approved 2 Change Orders and 2 Engineering Amendments as follows. • Change Order #1 — Increased project costs $794,153.71 to apply prevailing wages so awarded grant funds could be used. • Change Order #2 — Extended completion dates by 88 days due to delays in obtaining DOLI and building permits. No cost increase was associated with this CO. • Engineering Amendment #1 — Increased construction services fees $225,100 due to construction schedule extension. • Engineering Amendment #2 — Increased construction services fees $2,683.15 due to building permit requirement for as -built survey. Also included $14,640.69 for engineering services due to plan revisions needed to address new DOLI code and city site plan review process. Per the previous case, Magney Construction, Inc. submitted a request for Change Order #3. If this change order was approved, additional time will be required of AE2S' Resident Project Representative (RPR), the project engineer, and various other AE2S staff acting on behalf of the city throughout final completion. Engineering Amendment #3 as originally presented to the City Council requested additional funding in an amount not to exceed $184,300. This was based on a fixed time extension of 79 calendar days to the Substantial Completion date, and 64 calendar days to the Final Completion date per Change Order #3. AE2S has since submitted a modified Engineering Amendment #3 that would spend down the remaining $55,000 left in their budget first, then the city would be billed their 2025 hourly rates for all staff time spent working on