HomeMy WebLinkAboutPR 24494: FITTZ & SHIPMAN, INC. CONSTRUCTION PHASE SERVICES City Of
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INTEROFFICE MEMORANDUM
Date: September 8,2025
To: The Honorable Mayor and City Council
Through: Ronald Burton, City Manager
From: Pamela D. Langford, CPM,Assistant City Manager-Operations/Director of
Development Services
RE: PR No. 24494: Authorizing the City Manager to amend the professional services
agreement, Resolution No. 23-515, with Fittz& Shipman, Inc. of Beaumont, Texas, for
Construction Phase Services,by $60,000.00,to the new contract amount of$191,935.00
for the Mechanic Street and S. 1st Avenue Roadway Reconstruction Project. Project No.
ST1P90.ENG.
Introduction:
The intent of this agenda item is to authorize the City Manager to amend the professional services
agreement with Fittz & Shipman, Inc., of Port Arthur, Texas, for Construction Phase Services, by
$60,000.00 for the Sabine Pass Mechanic Street Roadway Reconstruction Project from S. 1st Avenue to
Dowling Street(State Highway 87)and South 1st Avenue from Broadway Street to Granger Street,in Sabine
Pass, Texas. Project No. ST1P90.ENG.
Background:
The City of Port Arthur received an infrastructure grant from the Texas Department of Transportation's
(TxDOT)Rider 37 Grant Program from its Maritime Division to improve access and drainage to the
Port of Sabine Pass. Mechanic Street from S. 1'Avenue to Dowling Street(State Highway 87)and South
1st Avenue from Broadway Street to Granger Street was selected by the Texas Legislature for funding
since it provides access to the Port. Pursuant to Resolution No. 22-286,the City of Port Arthur entered
into an Advanced Funding Agreement (AFA) with the Texas Department of Transportation (TxDOT)
for the Texas Mobility Grant Fund(TMF)to reconstruct Mechanic Street and S. 1st Avenue.
"Remember,we are here to serve the Citizens of Port Arthur"
444 4th Street X Port Arthur,Texas 77641-1089 X 409.983.8182 X FAX 409.983.8294
S:\Engineering\PUBLIC WORKS\PW-ENGINEERING\C_LP.PROJECTS\Year2023\MECHANIC STREET PROJECT\Agenda\Fittz&Shipman\AMENDMENT\Agenda Memo Fittz AMEND
CONTRACT.docx
Pursuant to Resolution No. 22-246, Fittz and Shipman, Inc., (F&S) of Port Arthur, Texas, entered into
a professional services agreement to provide engineering services for the Mechanic Street and S. 1 St
Avenue Roadway Reconstruction Project for the amount of$417,000.00.
Pursuant to Resolution No. 23-515, approved by Port Arthur's City Council, Fittz & Shipman, Inc.
(F&S) of Port Arthur, Texas, entered into a professional services agreement to provide construction
phase services for the Sabine Pass Mechanic Street and S. 1st Avenue Roadway Reconstruction Project
for the amount of$131,935.00.
Pursuant to Resolution No. 23-421, approved by Port Arthur's City Council, the City Manager was
authorized to enter into an agreement with Elite Contractors & Equipment, LTD, (Elite) of Kirbyville,
Texas, for the reconstruction of Mechanic Street and S. 1st Avenue, in Sabine Pass, for the amount of
$2,565,230.00.
On May 29,2024, during construction,Elite encountered an unknown petroleum based substance while
installing drainage structures. F&S, along with City forces and TxDOT, determined that the area was
contaminated. The Texas Commission on Environmental Quality (TCEQ) was immediately notified
and assisted in the development of a remediation plan before construction activities could resume.
TxDOT issued a Stop Work Order(SWO) on June 24, 2024 in order to facilitate clean up, remediation
and the disposal of materials generated.
Prior to and after the SWO,F&S continued to coordinate activities associated with remediation,changes
in the scope of work, and assisted with responses to all regulatory agencies. F&S maintains that due to
the unknown scope of the remediation process and to ensure the project's progression all necessary work
to support the City of Port Arthur throughout the duration of the SWO, a request for additional
compensation is warranted.
F&S requests that the City of Port Arthur consider amending the Construction Phase Services of its
original contract to reflect its performance of the out of scope services and additional costs encountered
until February 4, 2025, when TxDOT officially lifted the SWO.
F&S has submitted a proposal to amend the Construction Phase Services portion of the contract by
$60,000.00, thereby amending the original contract of $131,935.00 to the new contract amount of
$191,935.00.
Budget Impact:
Funding is available is the Street Account 307-21-053-8517-00-10-000; Project No. ST1P9O-CON.
Recommendation:
It is recommended that the City of Port Arthur City Council approve PR No. 24494 to authorize the City
Manager to amend the professional services agreement amount of$131,935.00 by $60,000.00 to the
new contract amount of$191,935.00 with Fittz& Shipman,Inc.,of Beaumont,Texas for the additional
out of scope services that were performed as a result of the encountered contamination for the Mechanic
Street from S. 1st Avenue to Dowling Street(State Highway 87)and South 1st Avenue from Broadway
Street to Granger Street. Project No. ST1P90-ENG.
"Remember,we are here to serve the Citizens of Port Arthur"
P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743
PR No. 24494
9/5/2025 mje
Page 1 of 5
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY
MANAGER TO AMEND THE ORIGINAL
PROFESSIONAL SERVICES AGREEMENT
RESOLUTION 23-515, BETWEEN THE CITY OF
PORT ARTHUR AND FITTZ AND SHIPMAN, INC., OF
PORT ARTHUR, TEXAS, FOR CONSTRUCTION
PHASE SERVICES ASSOCIATED WITH THE
MECHANIC STREET AND S. 1ST AVENUE ROADWAY
RECONSTRUCTION PROJECT IN SABINE PASS,
TEXAS, FOR THE AMOUNT OF $60,000.00. FUNDS
ARE AVAILABLE IN THE STREET ACCOUNT NO.
307-21-053-8517-00-10-000. PROJECT NO.
ST1P90.ENG.
WHEREAS, the City of Port Arthur received an infrastructure grant from the Texas
Department of Transportation (TxDOT) from its Maritime Division in the Rider 37 Grant
Program; and,
WHEREAS, Mechanic Street from S. 1st Avenue to Dowling Street (State Highway
87) and S. 1st Avenue from Broadway Street to Granger Street was selected for
reconstruction to improve access and drainage to the Port of Sabine Pass; and,
WHEREAS, pursuant to Resolution No. 22-286, the City of Port Arthur entered
into an Advanced Funding Agreement (AFA) with the Texas Department of Transportation
(TxDOT) for a Texas Mobility Grant Fund (TMF) to reconstruct Mechanic Street and S. 1st
Avenue; and,
WHEREAS, pursuant to Resolution No. 22-246, Fittz and Shipman, Inc., (F&S) of
Port Arthur, Texas, entered into a professional services agreement to provide the design,
plans, and bid phase services for the Mechanic Street and S. 1st Avenue Roadway
Reconstruction Project for the amount of $417,000.00; and,
PR No. 24494
9/5/2025 mje
Page 2 of 5
WHEREAS, pursuant to Resolution No. 23-515, Fittz and Shipman, Inc., (F&S) of
Port Arthur,Texas, entered into a professional services agreement to provide construction
phase services for the Mechanic Street and S. 1st Avenue Roadway Reconstruction Project
for the amount of $131,935.00; and,
WHEREAS, pursuant to Resolution No. 23-421, approved by Port Arthur's City
Council, the City Manager was authorized to enter into an agreement with Elite
Contractors & Equipment, LTD, (Elite) of Kirbyville, Texas, for the reconstruction of
Mechanic Street and S. 1st Avenue for the amount of $2,565,230.00; and,
WHEREAS, on May 29, 2024, during construction, Elite encountered an unknown
petroleum based substance while installing drainage structures; and,
WHEREAS, F&S, along with City forces and the Texas Department of
Transportation (TxDOT) determined that the area was contaminated, which resulted in
the notification of the Texas Commission on Environmental Quality (TCEQ) and sought
its assistance with developing a remediation plan before continuing construction
activities; and,
WHEREAS, TxDOT issued a Stop Work Order (SWO) on June 24, 2024, in order
to facilitate clean up, remediation, and disposal of materials generated; attached hereto
as Exhibit B; and,
WHEREAS, prior to and after the SWO, F&S continued to coordinate activities
associated with remediation, changes in the scope of work, and assisted with responses
to all regulatory agencies, maintaining that due to the unknown scope of the remediation
process and to ensure the project's progression, all necessary work to support the City of
PR No. 24494
9/5/2025 mje
Page 3 of 5
Port Arthur throughout the duration of the SWO, a request for additional compensation
is warranted; and,
WHEREAS, F&S has submitted a proposal to amend the Construction Phase
Services portion of the contract by $60,000.00, thereby amending the original contract
of $131,935.00 to the new contract amount of $191,935.00, to reflect compensation for
its performance of out of scopes services until the SWO was lifted on February 4, 2025,
see Exhibit A; and,
WHEREAS, approval of PR No. 24494 is herein deemed an appropriate action;
now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR,
TEXAS:
THAT, the facts and opinions in the preamble are true and correct; and,
THAT, the City Manager is authorized to amend the professional services
agreement with Fittz & Shipman, Inc., of Port Arthur, Texas, for the Construction Phase
Services, by $60,000.00, thereby amending the original contract of $131,935.00 to the
new contract amount of$191,935.00 for the Mechanic Street and S. 1st Avenue Roadway
Reconstruction Project; attached hereto as Exhibit A; and,
THAT, funding being available in Account No. 307-21-053-8517-00-10-000; and,
THAT, a copy of the caption of this resolution be spread upon the minutes of the
City Council.
PR No.24494
9/5/2025 mje
Page 4 of 5
READ, ADOPTED AND APPROVED this the day of
A.D., 2025, at a meeting of the City of Port Arthur, Texas by the
following vote: Ayes: Mayor:
Councilmembers:
Noes:
Charlotte M. Moses
Mayor
ATTEST:
Sherri Bellard
City Secretary
APPROVED AS TO FORM: APPROVED FOR ADMINISTRATION:
Roxann Pais Cotroneo, Esquire Ronald Bn, M
City Attorney City Manager
PR No.24494
9/5/2025 mje
Page 5 of 5
APPROVED AS FOR AVAILABILITY OF
FUNDS:
✓ d 7 I � ou,1
Lyn (Lyn) Boswell, MA, ICMA-CM Clifto Williams, CPPB
Director of Finance Purchasing Manager
Suhail Kanwar, PE
Director of Public Services/City Engineer
EXHIBIT A
Fittz & Shipman
INC.
Consulting Engineers and Land Surveyors
Ronald D.Fittz,P.E., R.P.L.S.(1948-1987)
Terry G.Shipman,P.E.,Senior Consultant Daniel A.Dotson,P.E., President
Bernardino D.Tristan,P.E.,Chief Executive Officer Donald R. King,P.E.,Vice President
September 15, 2025
Mr. Ron Burton
City Manager
City of Port Arthur
444 4th Street
Port Arthur, TX 77640
**Contract Amendment Letter**
RE: Rider 37 (South 1st. Ave. & Mechanic St.) Reconstruction Project
Construction Phase Services Contract Amendment Request
Dear Mr. Burton:
Fittz &Shipman, Inc. is pleased to provide this Proposed Amendment for Construction Phase
Services contract for the Rider 37 (South 1st. Ave. & Mechanic St.) Reconstruction Project in
Sabine Pass Texas. On May 29, 2024, during construction operations, the Contractor
encountered an unknown petroleum based substance while installing drainage structures along
South 1st Ave. Fittz & Shipman, Inc. was notified of the situation and immediately began
coordinating with the City of Port Arthur, Texas Department of Transportation and other
agencies to develop a path forward to remediate the contamination and plan for continuing
construction activities.
After assessing the situation and discussing the impact of the encountered substance with the
City and TxDOT, it was decided that a Stop Work Order (SWO) be issued while the
contamination could be dealt with properly for the project to continue construction. TxDOT
issued the SWO on June 24, 2024.
During month prior to and the time after the SWO was issued, Fittz & Shipman, Inc. maintained
constant contact with the City of Port Arthur, TxDOT, TCEQ and other agencies to assist in the
remediation of the contaminated substance. This included many meetings, emails and phone
correspondence with the various jurisdictions. The coordination activities associated with the
remediation and changes to the Contractors scope of work were done over an approximate 7
month period. In addition Fittz & Shipman, Inc. continued to conduct and submit the monthly
reports for the project as required by TxDOT.
1405 Cornerstone Court•Beaumont,Texas 77706•(409)832-7238•Fax(409)832-7303
501 Procter Street,Suite 323•Port Arthur,Texas 77640 409-999-6023
Texas Board of Professional Engineers Firm No. 1160•Texas Board of Professional Land Surveyors Firm No. 100186
City of Port Arthur Construction Phase Services Contract Amendment Request
February 26, 2025 Rider 37 (South 1st.Ave. & Mechanic St.) Reconstruction Project
Page 2
On October 25, 2024 TCEQ issued a response that all mitigation requirements for the incident
had been met. On January 28, 2025 The City of Port Arthur approved a change order for the
changes in work for the Contractor due to the contamination. These items satisfied the
requirements of the TxDOT SWO and effective Tuesday, February 4, 2025 TxDOT lifted the
SWO allowing the project to continue construction.
The additional services related to the encountered contamination and the numerous
correspondence required during the remediation process was not included in the original Fittz &
Shipman, Inc. Construction Phase Services Contract with the City of Port Arthur. Due to the
unknown scope of the remediation process and to ensure that the project continued to move
forward, Fittz & Shipman, Inc. conducted all necessary work to support the City of Port Arthur
throughout the 8 months from when the contamination was encountered until the SWO was
lifted by TxDOT.
Therefore, Fittz & Shipman, Inc. respectfully requests that the City of Port Arthur consider
amending the contract for the Construction Phase Services for the additional out of scope
services that were performed as a result of the encountered contamination. The additional costs
associated with the out of scope items is listed below:
Fittz &Shipman, Inc. proposes amending the Construction Phase Services Contract as listed
below:
Construction Phase Services Contract Amendment: $60,000.00
We appreciate your confidence in Fittz &Shipman, Inc. for this project. If you wish to discuss
our additional scope of services or requested contract amendment compensation, please feel
free to call.
Sincerely,
Fittz &Shipman, Inc.&S
by: Daniel A. Dotson, P.E.
For the Firm
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Fittz & Shipman, Inc.
Rider 37 Grant Application Construction Services Fee Estimate
Additional Services related to oil contamination and 8 months
continued correspondence with TXDOT until SWO is lifted
Construction Phase Services
Additional
meetings/
Correspondence
&coordination I
120 days/
Category DE PE MCS Field Inspector Administration COST
Billing Rate 250 220 120 105
28.5 155 33 94 4945 $ 60,000.00
$ -
$ -
Task Total $ 60,000.00
Additional Services $ 60,000.00
Z:\Proposals\City of Port Arthur\City of Port Arthur Rider 37 Grant(Mechanic Street&South 1st Ave)\
Rider 37 Grant Application Construction Services Fee Estimate Revisedixliff 1 Fittz&Shipman, Inc.
EXHIBIT B
DocuSign Envelope ID: 154D6BD0-7BC9-431D-9 50A28EA73C1F
-App.
Ar Texas Department of Transportation
125 EAST 11TH STREET,AUSTIN,TEXAS 78701-2483 1512.463.8588 I WWW.TXDOT.GOV
June 25, 2024
Ronald Burton
City Manager
City of Port Arthur
444 4th Street
Port Arthur, TX 77640
RE: 0920-38-289, Sabine Pass Port Authority Mechanic St Widening Project
Stop Work Order(SWO)
Dear Mr. Burton,
The Texas Department of Transportation (TxDOT) is issuing a Stop Work Order for the 0920-38-289
Sabine Pass Port Authority Mechanic St Widening Project, effective immediately, based on the
environmental mitigation that must occur at the project site per the Texas Commission on
Environmental Quality(TCEQ).
Per the Advance Funding Agreement (AFA), Section 9. A- B; E, Environmental Assessment and
Mitigation, the City of Port Arthur is responsible for identification of environmental issues, mitigation
and remediation of those issues,and obtaining written documentation from the appropriate regulatory
agency that clearance has been obtained to move forward with construction.
During a meeting held on Friday,June 20, 2024, with the City of Port Arthur,the TCEQ was not able to
provide this clearance. Once remediation of the oil source discovered on Wednesday, May 29, 2024,
and Monday,June 3, 2024, is completed as required by TCEQ, TxDOT will be available to discuss the
prospect of resuming construction.
Please feel free to reach out with any questions regarding this decision.
Sincerely,
[DocuSigned by:
Air gif 6tdualuA,
58273C48B71A44D...
GeirElif Kalhagen
Director of Maritime Division
Cc:
Travis Milner, Maritime Planning& Development Section Director
Kris Knoll, Maritime Program Coordinator
Heather Scott, Maritime Program Coordinator
John Canatella, City Engineer, City of Port of Arthur
Mark Viator, Sabine Pass Port Authority Director
OUR VALUES: People•Accountability• Trust• Honesty
OUR MISSION: Connecting You With Texas
An Equal Opportunity Employer
DocuSign Envelope ID: 154D6BD0-7BC9-431D-9" 50A28EA73C1F
2
Jennifer Edwards, CIP, City of Port Arthur
Pam Langford,Assistant City Manager
Flozelle Roberts, Director of Public Works
Daniel Dotson, Fitz and Shipman
Breck Sauls, Elite Contractors
Cody Ellis, Elite Contractors
OUR VALUES: People•Accountability• Trust•Honesty
OUR MISSION: Connecting You With Texas
An Equal Opportunity Employer