Title
Staff Report for a City of San Leandro City Council Resolution to Increase the Contract Change Order Cap Authorization from 13% to 20% (from $1,321,300 to $2,032,769; an Increase of $711,469) for the Original Construction Contract Amount of $10,163,845 with DeSilva Gates Construction, LP.; and to Appropriate $364,960 from the Measure B Fund Balance for the Annual Overlay/Rehabilitation 2017-2018, Project No. 2018.0050
Staffreport
SUMMARY AND RECOMMENDATIONS
The Annual Overlay/Rehabilitation 2017-2018 was awarded on July 16, 2018, the construction work is nearly complete and project closeout has started. This increased change order authorization will allow payment for extra work performed by the contractor due to unexpected conditions encountered during construction, as well as for the construction of improvements added onto the project during the construction phase.
Staff recommends the following actions:
* Authorize an increase to the Contract Change Order (CCO) cap from 13% to 20% (from $1,321,300 to $2,032,769, which is a Change Order Cap Increase of $711,469) for the original contract amount of $10,163,845 with DeSilva Gates Construction LP. for the subject project; and
* Appropriate $364,960 for the subject project from Measure B Local Streets and Roads fund balance (Fund 144) to complete the project.
BACKGROUND
On July 16, 2018, the City Council awarded a construction contract to DeSilva Gates Construction, L.P. for $10,163,845 for the subject project and authorized the City Manager to approve contract change orders up to 13% of the total contract amount. This contract overlaid and reconstructed 10.71 lane-miles of roadway on twenty different streets. The streets selected for overlay were the worst streets that could be preserved utilizing overlays. The streets selected for rehabilitation were the worst streets within the City. When selecting streets, priority was given to streets that carry more vehicles and streets that are on a bike route...
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