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CR 96-189 Engineering Services Fees - Street ImprovementsNovember 14, 1996 Council Report 96 -189 APPROVE ADDITIONAL ENGINEERING SERVICES FEES 1996 RESIDENTIAL UTILITY AND STREET IMPROVEMENTS Proposed Action. Staff recommends adoption of' the following motion: Move that Council authorize additional $4..900 in fees for engineering services provided by MSA Consulting Engineers for 1996 Residential Utility and Street Improvements Project #95 -17. Overview. Additional construction inspection services were necessary due to a three week increase in the construction time necessary to complete this project. The construction contract time extension was primarily due to the extensive subgrade excavation and backfill necessary on 7 and 8 Avenues South. Primary Issues to Consider. • Engineering services fees budget • Justification for increased fees • Staff Recommendation • Supporting Information. • MSA Consulting Engineers letter, September 27, 1996 • Original Fee Estimate - Design/Construction Services • Excerpt - Council Report 96 -68 (April 16 Assessment Hearing) c Steven J. Stadler, Public Works Director • • Council Report 96- Page 2 Analysis of Issues • Engineering services fees budget The engineering fees budget for this project is $104,785.00 The budgeted amount is comprised of the following: Feasibility Study/Report: $9,203.00 Design/Construction Inspection: $90,582.00 5% Contingency: $5,000.00 TOTAL: $104,785.00 The requested $4,900 is within the budgeted contingency of $5,000. • Justification for increased fees The negotiated fee for construction inspection was based on the original 60- day contract completion date. The construction completion time had to be extended due to the discovery of unsuitable subgrade soils and the associated additional level of effort required to reconstruct the southern segments of 7 and 8 Avenues. As a result, additional construction inspector time was necessary to ensure proper inspection. Soil boring information did not clearly indicate the extent of poor subgrade soils. Had the boring information been more conclusive, MSA would have estimated much higher construction costs and allocated the necessary time for construction inspection. Two independent sets of soil borings were used to help scope the proper street design. One soil boring report was based on a set of borings done by Braun Intertec, Inc. several years ago. The second set of borings and subsurface soils report was done by American Engineering Testing, Inc. (AET) at the direction of MSA specifically for this project. MSA considered the results of both soil boring reports and consulted with the AET geotechnical engineer in determining the necessary pavement design. Staff believes MSA used reasonable engineering judgment in obtaining and considering subsurface • • Page 3 soils data in their design. Therefore, they are justified in requesting to be paid for providing additional services necessitated by actual subsurface conditions. • Staff Recommendation MSA agreed to lower its request for additional fees from an original request of $7,770 to $4,900. The $4,900 additional fee is reasonable and the resulting actual engineering costs are within the original engineering budget of $104,785. Staff recommends Council authorize payment of $4,900 in additional engineering fees to MSA Consulting Engineers. CONSULTING ENGINEERS 1326 Energy Park Drive 9. Paul, MN 55108 612 - 644-4389 1- 800 -888 -2923 Fax: 612-644-9 446 CIVIL ENGINEERING: ENVIRONMENTAL MUNICIPAL � LANNING SOLID WASTE STRUCTURAL SURVEYING TRAFFIC TRANSPORTATION ELECTRICAL /MECHANICAL ENGINEERING: HVAC POWER DISTRIBUTION SCADA SYSTEM CONTROLS Aik OFFICES IN: MINNEAPOLIS PRIOR LAKE ST. PAUL WASECA September 27, 1996 File: 158- 006 -30 Mr. Steve Stadler City of Hopkins 1010 1st Street Hopkins, MN 55343 -7573 RE: 1996 RESIDENTIAL STREET IMPROVEMENTS AMENDED REQUEST FOR ADDITIONAL ENGINEERING FEES Dear Mr. Stadler: On September 10, 1996, I provided a letter to you summarizing our request for additional fees for the 1996 City of Hopkins Residential Street hnprovementprogram. In that letter, I outlined the status of the current project budget for construction administration and field services based upon an extended contract period. We asked for an adjustment to our budget for engineering fees to provide for additional field services and construction administration. We requested that the budget amount be $7,770.00 as outlined in the September 10, 1996, letter. Based upon our meeting on Monday, you asked for a review of the budget to determine the actual cost incurred to date, the costs anticipated to complete services, and some consideration for adjustment. The cost incurred to date, September 1 to September 25, include the following breakdown of time: Construction Inspection 99 Hours @$50.00 per hour = $4,950.00 Construction Administration/Project Engineer 12.5 Hours @$54.00 per Hour = $675.00 Project Manager 1 Hour @$81.00 per Hour = $81.00 Total = $5,706.00 We estimate to finish the project will require the following amounts of time: Construction Inspection (Field Services) 10 Hours @$50.00 per Hour = $500.00 Construction Inspection (As- Builts) 8 Hours @$50.00 per Hour = $400.00 Project Engineer 10 Hours @$54.00 per Hour = $540.00 Expenses = $30.00 Total $1,470.00 As you can see, the total to fmish the project for cost incurred to date and estimated costs to finish the project including field services and as- builting would be $7,176.00, which is $594.00 less than the amount requested in the original letter of September 10, 1996. An Equal Opportunity Employer • Mr. Steve Stadler September 27, 1996 Page Two We recognize the difficulty that this situation has caused with the large change order for roadway subgrade correction. We also know the sensitivity of change orders with the City Council and City Manager. To assist in this situation, we would be willing to reduce the total bill for our services to $4,900.00. That is, we would write -off approximately $1,000.00 of the costs incurred to date and not bill for any additional services after September 25. Based on costs incurred to date and our estimated cost to complete the project, we would be reducing our bill by $2,276.00. You could consider that $1,276 dollars of this amount could be our contribution for the alley project as we discussed on Monday, and the remaining $1,000.00 a reduction in the bill. Please consider this request and advise me of any questions or comments you may have. Sincerely, MSA, CONSUL ,r` ENGINEERS Ste •n D. Gatlin, P.E. Project Manager SDG:pd 006- 2611.sep I'm 0 Fee Estimate - DesignlConstruction Services 1996 Residential Street Improvements tsa)006- 1310.dec C I T Y 0 f H D P K: Y S rind SS 'S SZ: T T f HS S6 —b T —o :cc Proj. Mgr. $81 /hr. Proj. Engr. $S4 /hr. CADD Tech. $48/hr. Field Tech. $50/hr. Survey Crew $75/hr. Clerical $40%r `~ Total DESIGN 32 180 270 40 20 24 52,592 59,720 512,960 52,000 51,500 5960 AutoCADD = 250 hrs (0 $15 $3,750 Total Maximum (Hourly not -to- exceed) $33,982 Expenses 5500 BIDDING 16 24 -- -- -- 20 $1,296 $1,296 -- -- -- 5800 Expenses $200 Total Maximum (Hourly not -to- exceed) $3'492 CONSTRUCTION ADMINISTRATION 16 48 16 40 51,296 $2,592 -- 800 -- 51,600 Expenses $300 Total Maximum (Hourly not - to-exceed) $6,588 CONSTRUCTION STAKING/ INSPECTION 24 32 60 540 120 8 $1,944 $1,728 52,880 $27,000 59,000 5320 Expenses 51,200 (Hourly Total Maximum not -to- exceed) $44,072 l 111 PUBLIC INFORMATION -- 1 2 -- -- -- 40 -- $648 -- -- -- 51,600 Expenses $100 Total Maximum (Hourly not -to- exceed) $2,348 TOTAL ESTIMATED COST $90,582 I'm 0 Fee Estimate - DesignlConstruction Services 1996 Residential Street Improvements tsa)006- 1310.dec C I T Y 0 f H D P K: Y S rind SS 'S SZ: T T f HS S6 —b T —o :cc % of Total Contract Element Cost Contract *Burnes & Sweet Briar Reconstruction $ 88,471.80 15% *7th /8th Ave. So. Reconstruction 104,767.60 18% . *South Meadows Alley 33,395.80 6$ 7th /8th Ave. So. Overlay 38,005.10 6$, Sanitary Sewer Repair 33,746.80 6% Water Main Improvements 63,726.50 11% Storm Sewer Improvements 83,162.40 14% City Park (parking lot) 11,995.40 2% 8th Street South Reconstruction 124,058.40 21% Total *Contract elements to be assessed Engineering Costs Feasibility Design Construction Public Information 5% contingency $ 9,203.00 37,574.00 50,660.00 2,348.00 5,000.00 $104,785.00 $581,329.80 100%