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HomeMy WebLinkAboutP.R. NO. 25140 SABINE PASS PIPE BURSTING PROJECT PHASE V CHANGE ORDER NO. 1.V City of urt rthu��� Texas INTEROFFICE MEMORANDUM Date: September 22, 2026 To: The Honorable Mayor and City Council Through: Ronald Burton, C.P.M., City Manager From: Calvin Matthews, P.E.,Water Utilities Director RE: PR 25140— Sabine Pass Pipe Bursting Project Phase V Change Order No. 1 Introduction: The intent of this Agenda Item is to seek the City Council's approval for Change Order No. 1 for the Sabine Pass Pipe Bursting Project Phase V with Global Drilling, Inc. of Winnie, Texas, increasing the amount by $134,663.20 and extending the contract by 30 days with a now scheduled completion date of November 12, 2026. Background: Resolution No. 26-156 approved the contract with Global Drilling, Inc. of Winnie, Texas, for the Sabine Pass Pipe Bursting Project Phase V for the continued improvements to the wastewater collection system in the Sabine Pass area in accordance with the Texas Commission on Environmental Quality (TCEQ) SSOI agreement that requires the systematic rehabilitation and replacement of aging sewer infrastructure. The proposed Change Order No. 1 will increase the contract amount by$134,663.20 and extend the contractual duration by 30 days,thereby shifting the original completion date from October 13, 2026, to November 12, 2026. The sub-total for Change Order No. 1 is $184,663.20, but it subtracts the $50,000.00 contingency amount as stipulated in the contract document. After excavating the area, it was found that a 10" sewer pipe needed to be installed by cured-in-place pipe (CIPP) instead of an 8"sewer pipe by pipe bursting, as stated in the bid documents. Furthermore, after inspecting the sewer line to be replaced, it was discovered that an additional sewer pipe extending across Dowling Rd would also need to be replaced to prevent it from affecting the newly installed sewer pipe and to service the gas station and surrounding areas. Budget Impact: The initial contract amount was $564,910.00. This proposed Change Order No. 1 will increase the contract amount by $134,663.20 to the new contract amount of$699,573.20, increasing the change order percentage allowed by 23.8%. Funding is available in CIP Account No. 405-40- 000-8516-00-00-000, Project No. WS0006.CON Recommendation: It is recommended that the City Council adopt Proposed Resolution No. 25140, authorizing the Change Order No. 1 for the project as discussed/outlined above. "Remember,we are here to serve the Citizens of Port Arthur" PR No. 25140 8/4/26 cm Page 1 of 4 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE CHANGE ORDER NO. 1 TO THE SABINE PASS PIPE BURSTING PROJECT PHASE V WITH GLOBAL DRILLING, INC OF WINNIE, TEXAS, INCREASING THE CONTRACT AMOUNT BY$134,663.20(SUB-TOTAL AMOUNT OF$184,663.20 MINUS THE CONTRACT CONTINGENCY AMOUNT OF $50,000.00) TO THE NEW TOTAL CONTRACT AMOUNT OF $699,573.20, AND EXTEND THE CONTRACTUAL DURATION BY 30 DAYS, THEREBY SHIFTING THE ORIGINAL COMPLETION DATE FROM OCTOBER 13, 2026, TO NOVEMBER 12, 2026; FUNDS ARE AVAILABLE IN CAPITAL IMPROVEMENTS PROJECTS ACCOUNT NO. 405-40-000-8516-00-00-000, PROJECT NO. WS0006.CON. WHEREAS, pursuant to Resolution No. 26-156, the Sabine Pass Pipe Bursting Project Phase V was awarded to Global Drilling Inc. of Winnie, Texas, with a total budgetary amount of $564,910.00; and, WHEREAS,the project scope of work consisted of replacing approximately 1,860 L.F. of sewer lines by pipe bursting in a section of Greenwhich Street and across to Mechanic Street, as well as, 285 L.F. of sewer lines by direction drilling in a section of Broadway Street,including the installation of three (3) new manholes, replacement of one (1) existing manhole, and the lining of two (2) existing manholes; and, WHEREAS, after excavating the area, it was found that a 10" sewer pipe needed to be installed by cured-in-place pipe (CIPP) instead of an 8" sewer pipe by pipe bursting as stated in the bid documents; and, WHEREAS, furthermore, after inspecting the sewer line that was to be replaced, it was discovered that further sewer pipe reaching across Dowling Rd would also need to be replaced to prevent affecting the newly installed sewer pipe, and also needed to service the gas station and surrounding areas; and, WHEREAS,Global Drilling,Inc.has submitted proposed Change Order No. 1 (EXHIBIT "A")for an increased amount of$134,663.20(sub-total amount of$184,663.20 minus the contract contingency amount of $50,000.00) and extend the contractual duration by 30 days, thereby shifting the original completion date from October 13, 2026, to November 12, 2026, for the aforementioned items; and, WHEREAS, the total increased amount in the proposed Change Order No. 1 is within the maximum allowed 25% of the original contract amount (EXHIBIT "B"), as per the Texas Local Government Code Section 252.048(d). PR No. 25140 8/4/26 cm Page 2 of 4 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 Council hereby approves Change Order No. 1 (EXHIBIT"A")to address the increased installation requirements, increasing the amount by $134,663.20 (sub-total amount of$184,663.20 minus the contract contingency amount of$50,000.00) to the new total contract amount of $699,573.20; and extend the contractual duration by 30 days, thereby shifting the original completion date from October 13, 2026,to November 12, 2026; and, THAT,the funding is available in Capital Improvement Projects Account No. 405-40-000- 8516-00-00-000, Project No. WS0006.CON; and, THAT, a copy of the caption of this Resolution be spread upon the minutes of the City Council. READ, ADOPTED, AND APPROVED THIS day of , 2026 at A Regular Meeting of the City Council of the City of Port Arthur, Texas,by the following vote: AYES: Mayor: Councilmembers: NOES: Charlotte M. Moses Mayor ATTEST: Christe Whitley Ned, TRMC City Secretary PR No. 25091 8/4/26 cm Page 4 of 4 APPROVED AS TO FORM: Roxann Pais Cotroneo City Attorney APPROVED FOR ADMINISTRATION: Ronald B on, CPM City ager Suhail Kanwar, P.E. Director of Public Services Calvin Matthews, P.E. Water Utilities Director APPROVED AS TO THE AVAILABILITY OF FUNDS: Lynd (Lynda) Boswell,r CGFO Finance Director titk Clifton . Williams Jr. CPPB Purchasing Manager EXHIBIT A (Change Order No. 1) GLOBAL DRILLING, INC. C��^ g, �� 3300 Jimmy Johnson Blvd, Port Arthur,Texas 77642 l��JdT:+1 800 956 8720; F:(407)715 6150 DRILLING,INC. Email:info@globaldrillingequipment.com,Website:www.alobaldrillingequipment.com CHANGE ORDER Date : Attn : CITY OF PORT ARTHUR September 1, 2026 Project Name : 26-156 SABINE PASS PIPE BURSTING PROJECT PHASE V Location : Sabine Pass, Port Arthur TX Item Unit Price Total Price No. Description Unit Qty (USD) (USD) CHANGE ORDER NO. 1 1 Installation of 10"Sewer Pipe by CIPP along Greenwich St LF 680 110.00 74,800.00 -Less: Charge for 8"Pipe Bursting LF 680 80.00 -54,400.00 20,400.00 2 Plugging the Manhole#10 going to Broadway St.. EA 1 3,500.00 3,500.00 We will put concrete 3 Point of Repair EA 1 7,000.00 7,000.00 4 Repair of Manhole on South 6th and Broadway St EA 1 3,500.00 3,500.00 5 Pre-TV Inspection from Manhole#3 to Cleanout#14 LF 151 8.00 1,208.00 6 Post-TV Inspection from Manhole#3 to Cleanout#14 LF 258.4 8.00 2,067.20 7 Jetting and Cleaning using Directional Drilling for 10"sewerline EA 1 6,500.00 6,500.00 along Greenwich St from S5th Rd going to Dowling Rd Approximately 700LF 8 Installation of 8"Sewer Pipe by CIPP LF 1079.4 80.00 86,352.00 - From new Manhole#3 to existing Cleanout#14 (258.4 LF) -From new Manhole#3 to new Manhole#13Z(570 LF) - From new Manhole#13Z to existing Manhole#13 (251 LF) 9 Pre-TV Inspection LF 821 8.00 6,568.00 10 Post-TV Inspection LF 821 8.00 6,568.00 - From new Manhole#3 to new Manhole#13Z(570 LF) - From new Manhole#13Z to existing Manhole#13 (251 LF) 9 Furnish and Install 4"Sanitary Sewer Service Line (Long Side) EA 6 4,500.00 27,000.00 10 Installation of New Manhole EA 1 14,000.00 14,000.00 11 Time Extension for 30-Days SUB-TOTAL : $184,663.20 Less: Contigency -50.000.00 TOTAL: $ 134,663.20 Amount in Words(US Dollars) : One Hundred Thirty Four Thousand Six Hundred Sixty-Three &20/100 Only For : GLOBAL DRILLING, INC. JASMIN BERSOBIO A EXHIBIT B (Change Order Tracking) Contract Status Contract Name: Sabine Pass Pipe Bursting Project Phase V Contractor: Global Drilling, Inc. Contract#: 26-1563 Original Contract Amount: $ 564,910.00 Statutory Range: $ 141,227.50 Pursuant to 252.048(d)(+/-) Amount Percentage of Percentage Original Contract to Date Original Contract $ 564,910.00 Proposed Change Order 1 $ 134,663.20 23.8% 23.8% Total Change Orders to Date $ 134,663.20 23.84% New Total Contract Amount $ 699,573.20