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

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July 16, 2025 Bruce Westby City Engineer/Public Works Director 7550 Sunwood Drive NW Ramsey, MN 55303 RE2S' www.ae2s.com Re: Water Treatment Plant — Request for Engineering Amendment (Alternative approach) Dear Mr. Westby, AE2S is currently under contract with the City of Ramsey to provide construction phase engineering services for the City's new 10 MGD Water Treatment Plant (WTP). The original scope of services (including amendment No. 1) provided full-time construction support through Substantial Completion on May 1, 2025, and part-time support through Final Completion on August 1, 2025. Since the start of construction, AE2S has remained actively engaged by providing on -site representation, submittal and RFI reviews, contractor coordination, QA/QC oversight, bi-weekly progress meetings, and construction documentation review. Our team has diligently managed project demands while maintaining budget —optimizing on -site time and shifting support efforts off -site when feasible. Following initial permitting delays, the City granted the Contractor an 88-day extension to the construction contract, moving Substantial Completion to July 28, 2025, and Final Completion to October 28, 2025. At that time, AE2S noted the likely need for an amendment to our agreement to accommodate this approved schedule extension, but agreed to postpone that discussion until closer to project completion to better assess the actual level of effort required and the budget that remained at that time. On May 1, 2025 AE2S had an approximate budget remaining of $116,113.96. In order to continue supporting the project beyond the contractual deadline we have continued to utilize this budget which would have been used to support startup and closeout activities. AE2S requested that Magney Construction provide a more realistic schedule on March 11, 2025 when AE2S identified that they would likely not meet the revised July 28, 2025 Substantial Completion date. On March 26, 2025, Magney submitted an updated project schedule proposing Substantial Completion on October 15, 2025. In response, AE2S proposed Amendment #3 to extend construction -phase services through the newly proposed Substantial Completion date. In discussions with the City, an alternate approach was identified —continuing AE2S's services on a time and materials basis. This alternative is described below: Alternative Approach - Time and Materials Services As an alternative approach to Amendment #3, the City has expressed interest in continuing AE2S's construction -phase services on a time and materials (T&M) basis through both Substantial and Final Completion. Under this approach, AE2S would continue services under the remaining budget. Once those funds are fully expended, AE2S would transition to a T&M basis for additional support required through the construction completion, startup, and post construction services. This would allow AE2S to remain Advanced Engineering and Environmental Services, Inc. 6901 East Fish Lake Road, Suite 184 • Water Tower Place Business Center • Maple Grove, MN 55369 • 763-463-5036