File #: 15-485    Version: 1 Name: Change Order Authority and Limits for Existing Construction Contracts (SR)
Type: Staff Report Status: Filed
In control: City Council
Meeting Date: 9/8/2015 Final action: 9/8/2015
Enactment date: Enactment #:
Title: Staff Report for a Resolution Authorizing the City Manager to Negotiate and Approve Individual Change Orders Up to 10% of the Original Contract Amount; and Authorizing the City Manager to Negotiate and Approve Cumulative Change Orders up to 25% of the Original Contract Amount on Existing Construction Contracts with All Phase Excavation and Construction, American Asphalt, Chrisp Company, Columbia Electric, Conquest, DeSilva Gates, Flatiron Electric Group, Gallagher and Burk, McGuire and Hester, Ray's Electric, and S.J. Amoroso Construction Co., Inc.
Sponsors: Keith Cooke
Attachments: 1. table active construction contracts
Related files: 15-479
Title
Staff Report for a Resolution Authorizing the City Manager to Negotiate and Approve Individual Change Orders Up to 10% of the Original Contract Amount; and Authorizing the City Manager to Negotiate and Approve Cumulative Change Orders up to 25% of the Original Contract Amount on Existing Construction Contracts with All Phase Excavation and Construction, American Asphalt, Chrisp Company, Columbia Electric, Conquest, DeSilva Gates, Flatiron Electric Group, Gallagher and Burk, McGuire and Hester, Ray's Electric, and S.J. Amoroso Construction Co., Inc.

Staffreport
SUMMARY AND RECOMMENDATIONS

Authorizes the City Manager or his designee to negotiate and approve change orders up to certain limits on specific existing construction contracts.

Staff recommends granting the City Manager or his designee the authority to negotiate and approve individual change orders and cumulative change orders as described.

BACKGROUND

Attached is a list of active contracts with outside firms for construction of capital improvements. Change orders to clarify the work or respond to atypical existing conditions are a normal aspect of public contracting and construction due to the nature of the work, as described below.

Existing conditions at each construction site are investigated during the project design phase. Because it is expensive to check every item and sample every material, representative samples are taken and records of previous construction at the site are reviewed. For each project, the effort and cost of site investigation during design is balanced against the risk and cost of finding unforeseen conditions during construction.

Plans and specifications that describe the work to be done on construction projects are extensive and complex; as a result there are diminishing returns on extensive and expensive efforts to make them perfect. Consequently, staff carefully limits the amount of detail and coordination effort written into the plans and specif...

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