To: Members of the Castle Rock Water Commission
From: Mark Marlowe, P.E., Director of Castle Rock Water
Roy Gallea, P.E., Engineering Manager
Frank Main, Project Manager
Title
Resolution Approving a Second Amendment to the Supplemental Design, Bidding & Construction Support Services Agreement with Olsson, Inc. for the East Plam Creek Reach 5 Phase II Stabilization
Town Council Agenda Date: June 16, 2026
Body
________________________________________________________________________________
Executive Summary
Castle Rock Water (CRW) staff requests Town Council approval of a Resolution (Attachment A) approving the Second Amendment to the Supplemental Design, Bidding, and Construction Support Services Agreement with Olsson, Inc. for the East Plum Creek Reach 5 Phase II Stabilization Project (Exhibit 1).
Purchase Order No. 2343 was originally authorized on September 21, 2022, in the amount of $134,610 for these services. The First Amendment increased the agreement by $97,194 to complete an Alternatives Study evaluating the feasibility of incorporating design improvements to the CR-1 Water Intake Diversion Structure into the overall project scope, and extended the agreement completion date, resulting in a revised authorization of $231,804.
The proposed Second Amendment includes:
• A contract time extension through June 1, 2027; and
• An additional budget appropriation of $60,977.50 plus a 10% contingency of $6,097.75 for a total of $67,075.25 to complete construction-related services, including preparation of an as-built survey and submission of a Letter of Map Revision (LOMR) to Federal Emergency Management Administration (FEMA).
These additional services are necessary due to construction delays, expanded permitting requirements, increased coordination with regulatory agencies, extended construction support efforts, and other project-related tasks that exceeded the original 2022 scope of services. Olsson and CORVUS have provided these services to support successful project completion and maintain regulatory compliance.
Approval of the Second Amendment will increase the total Authorization amount to $298,879.25, requiring Town Council approval in accordance with Town purchasing policies.
History of Past Town Council, Boards & Commissions, or other Discussions
The East Plum Creek Reach 5 Phase II Stabilization Project was originally identified in the East Plum Creek Watershed Master Plan Preliminary Design Report (Master Plan), which was adopted by Town Council through Resolution No. 2009-03 on January 6, 2009. The Master Plan identified stream stabilization improvements as necessary to address ongoing channel erosion, floodplain impacts, and long-term protection of critical public infrastructure within the East Plum Creek corridor.
On January 7, 2020, Town Council approved a Services Agreement with Olsson, Inc. for permitting, bidding support, construction services, and FEMA Conditional Letter of Map Revision (CLOMR) services associated with the East Plum Creek Reach 5 Phase II Stabilization Project (P.O. 1986). The agreement was awarded through the Bid Net process with an approved funding amount of $134,610. The scope of work included survey, alternatives analysis, preliminary and final design, environmental permitting, and FEMA CLOMR approval for stream stabilization improvements. The project area is generally located east of Interstate 25, extending from approximately 800 feet downstream of the existing pedestrian crossing to the Town limits approximately 700 feet upstream of the crossing (see Attachment B). The stabilization improvements are intended to provide long-term protection of critical water and sewer infrastructure located within the corridor.
On September 21, 2022, Town Council approved a supplemental Services Agreement with Olsson, Inc. (P.O. #2340) through a sole source procurement process for additional design, permitting, bidding, and construction support services, with an approved funding amount of $97,194.00, bringing the total to $231,804. The supplemental scope included securing required environmental permits, preparation of supplemental design elements including a trailhead parking lot at the Central Service Center, general bidding and construction support, and preparation of a FEMA Letter of Map Revision (LOMR) for the East Plum Creek floodplain.
Discussion
Olsson, Inc. has requested a Second Amendment to the Supplemental Design, Bidding, and Construction Support Services Agreement for the East Plum Creek Reach 5 Phase II Stabilization Project to complete additional construction-related services and extend the agreement completion date.
Construction activities were originally anticipated to occur earlier in the project schedule; however, the project experienced delays and construction is now expected to be completed in 2026. As a result, additional engineering, permitting, coordination, and construction support services have been necessary beyond those anticipated in the original February 3, 2022 scope of services.
To support completion of the project and the associated FEMA Letter of Map Revision (LOMR) process, Olsson has requested an extension of the agreement completion date to June 1, 2027.
In addition to the requested time extension, Olsson is requesting a budget amendment in the amount of $60,977.50 for additional services that exceeded the original contract scope.
These services include:
• Project coordination and management
• Permitting support
• Bid and construction-related services
• CR-1 diversion conceptual design
• FEMA LOMR services
Approval of the Second Amendment will allow Olsson to continue supporting construction completion activities, maintain regulatory compliance requirements, and finalize FEMA floodplain mapping revisions associated with the project. Staff has reviewed the proposed scope of the changes and the requested additional funding and agrees that the requested funding is appropriate for the additional scope.
Budget Impact
Approval of the proposed Second Amendment will increase the total revised authorization to cost to $298,879.25, as summarized below:
• Original Agreement: $134,610.00
• Amendment No. 1: $97,194.00
• Amendment No. 2: $67,075.25 - ($60,977.50 Agreement plus $6,097.75 Town-managed 10% Contingency)
• Total Revised Authorization: $298,879.25
A budget transfer in the amount of $67,075.25 will be required from the following accounts:
• Account No. 212-4475-444.79-19 - Storm Sewer Rehab: $60,138.00
• Account No. 212-4475-444.75-67 - Chase Drain Installations: $6,937.25
|
Fund |
Account Number |
Original Authorization |
Amd. 1 |
Amd. 2 |
Amd. 2 Contingency |
Revised Authorization |
|
SW-EPC Stream Stab. |
212-4475-444.76-37 |
$ 94,227.00 |
$ - |
$42,684.25 |
$4,268.42 |
$ 141,179.67 |
|
WR - CR-1 Diversion |
211-4375-443.79-16 |
$ 40,383.00 |
$97,194.00 |
$18,293.25 |
$1,829.33 |
$ 157,699.58 |
|
|
Total |
$134,610.00 |
$97,194.00 |
$60,977.50 |
$6,097.75 |
$ 298,879.25 |
Staff Recommendation
Staff recommends approval of the Second Amendment to the Supplemental Design, Bidding, and Construction Support Services Agreement with Olsson, Inc. for the East Plum Creek Reach 5 Phase II Stabilization Project in the amount of $60,977.50, together with a Town-managed 10% contingency of $6,097.75, for a total authorization increase of $67,075.25, and extending the agreement term through June 1, 2027
Proposed Motion
“I move to recommend to Town Council approval of the Resolution as presented”
Attachments
Attachment A: Resolution
Exhibit 1: Amended Agreement
Attachment B: Project Map