To: Honorable Mayor and Members of Town Council
From: Frank N. Main
Title
Resolution Authorizing an Increase to the Town-Managed Contingency for the Wolfensberger/Plum Creek Parkway Roundabout Construction Project
Body
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Executive Summary
The purpose of the memo is to request Town Council approve a Resolution Authorizing an Increase to the Town-Managed Contingency for the Wolfensberger/Plum Creek Parkway Roundabout Construction Project (Attachment A) in the amount of $190,000.
During the early part of the construction, which included installation of the underground drainage and roadway cut for the new roundabout, Rocky Mountain Excavating, Inc., (RME) encountered a variety of unknown site conditions, mainly underground utilities that differed, from the site conditions as originally contemplated. The different site conditions caused or contributed to delays with regard to the project. The differing conditions caused RME to relocate to other areas within the construction zone so that RME could continue working to minimize delays while the utility companies worked on relocating their utilities. (For example, IREA needed to relocate their primary underground power lines). The differing site conditions created the need to increase the contract time. This also generated additional costs including the need to extend labor and supervision, equipment, traffic control, and sanitary facility costs, as well as increased costs related to message boards, and taxes paid.
Normally, these expenses for unforeseen conditions would be authorized and paid from the Town Managed Contingency. However, due to the scale of the unforeseen conditions the previously approved contingency is insufficient to cover these expenses. Therefore, staff is requesting authorization for an increase to the Town Managed Contingency for this project in the amount of $190,000. Even with this additional authorization, the Project is still within the expected budget expenditure for the Project due to favorable bidding market. All unforeseen conditions are no longer a concern moving forward as all remaining work is above ground. It is anticipated that this project will be completed by mid-June 2019.
History of Past Town Council, Boards & Commissions, or Other Discussions
• May 2, 2017 - Approved Town of Castle Rock Service Agreement (Wolfensberger Road/Plum Creek Parkway Roundabout Design) with Short Elliott Hendrickson Inc.
• May 7, 2018 - Public Works Commission provided a formal recommendation to Town Council to approve A Resolution Approving a Construction Contract between the Town of Castle Rock and Rocky Mountain Excavating, Inc., for the Wolfensberger Road / Plum Creek Parkway Roundabout Project.
• May 15, 2018 - Town Council approved a Construction Contract with Rocky Mountain Excavating Inc., for the Wolfensberger Road / Plum Creek Parkway Roundabout Project.
Budget Impact
Fund Account Number Amount
Plum Creek & Wolfensberger
Roundabout Budget 135-3175-431.77-05 $ 1,973,896
Broken out as Follows:
RME Original Contract: $ 1,496,386
Town Managed Contingency: $ 149,638
Additional Town Managed Contingency $ 190,000
Total Purchase Order: $ 1,836,024
Total Budget $ 1,973,896
Total Encumbrance $ 1,836,024
Budget Remaining $ 137,872
The Finance Department has verified that sufficient funds are available to cover the total contract amount with this additional contingency.
Staff Recommendation
Staff recommends the Town Council approve the Resolution Authorizing an Increase to the Town-Managed Contingency for the Wolfensberger/Plum Creek Parkway Roundabout Construction Project in the amount of $190,000.
Proposed Motion
“I move to approve the Resolution as introduced by title.”
Attachments
Attachment A: Resolution