ut1205_authorize_negotiation_of_SLT_utility_relocations_with

Memorandum

City of Lawrence

Utilities Department

TO:	David L. Corliss – City Manager Cynthia Wagner - Assistant City Manager Diane Stoddard - Assistant City Manager
FROM:	Leah Morris – Project Engineer
CC:	Dave Wagner – Director of Utilities Mike Lawless – Deputy Director of Utilities Philip Ciesielski – Assistant Director of Utilities Beth Krishtalka – Assistant to Director Bob Brower – Utilities Field Superintendent Mark Hegeman – Utilities Operations Superintendent Dave King – Utilities Maintenance Superintendent
Date:	December 30, 2013
RE:	Agenda Item – Authorize Negotiation with Kansas Department of Transportation for Construction of Project UT1205CS Contract 1 Sanitary Sewer Relocation and Contract 2 Sanitary Sewer Relocation and Waterline Extension

Please include the following item on the City Commission Agenda for consideration at the January 7, 2014 meeting:

Authorize staff to Negotiate a City – State Agreement with the Kansas Department of Transportation for the Construction of Department of Utilities Projects UT1205CS Contract 1 Sanitary Sewer Relocation and UT1205 Contract 2 Sanitary Sewer Relocation and Waterline Extension as required by the construction of the South Lawrence Trafficway.

Project Background

The South Lawrence Trafficway is currently under construction by Emery Sapp & Sons the general contractor for the Kansas Department of Transportation. Required watermain and sanitary sewer relocations in the area of 31^st and Haskell were designed and bid as part of the KDOT SLT project due to the required construction sequencing in this area. The construction of these relocations will be paid for by the City of Lawrence.

Per KDOT’s direction the design, and proposed construction, of additional sanitary sewer relocations and the extension of a watermain in the area of 31^st and Louisiana have proceeded as projects to be bid and constructed by the City of Lawrence separately from the SLT project. Approximately 4,000 linear feet of 12” diameter watermain, and 5,100 linear feet of sanitary sewer will be constructed in this area (see attached map). The current engineer’s estimate of the proposed sanitary sewer and watermain work is $1.8 million dollars. All costs associated with these relocations are being paid by the City. The Department of Utilities contracted with HNTB, the design firm for the SLT project, for design of the required sanitary sewer and watermain relocations in this area. HNTB have completed the plans and specifications, City staff have acquired the necessary easements, and the project is ready to bid.

Project Status

Construction in the area of 31^st and Louisiana has become a complicated scheduling and construction sequencing issue due to the ongoing relocation of Southern Star Petroleum’s 16” diameter pipeline and a Black Hills Energy natural gas main. These pipelines conflict with both the SLT project and the new location of the City of Lawrence sanitary sewers and watermain. At this time neither utility has a firm timeline for the relocation of their existing pipelines. As a result the City cannot include construction schedule information within its project bid documents to meet the mandated KDOT relocation dates and avoid delays to the SLT project. Delays in the relocation of utilities in conflict with the SLT construction which ultimately delay Emery Sapp & Sons work on the SLT will result in significant penalties assessed by KDOT.

Due to the inability to provide construction schedule information Staff are proposing to negotiate for the sanitary sewer and watermain construction with KDOT and have their contractor, Emery Sapp & Sons, complete the work. By contracting with KDOT and Emery Sapp & Sons for the work Emery Sapp & Sons will be able to coordinate their SLT construction schedule and the required City of Lawrence relocations with Southern Star Petroleum and Black Hills Energy’s relocations. This eliminates the risk to the City of contracting with a separate contractor who cannot control the schedule of the other parties and as a result, possibly delays construction of the SLT. If delays are suffered and the project is not complete by the dates set forth in the contract, liquidated damages of between $5,000 and $10,000 per day could be assessed.

Upon successful negotiation of the construction costs Staff would bring a recommended City – State Agreement with KDOT to the City Commission for consideration. An approved City – State Agreement with KDOT would allow KDOT to process a change order with Emery Sapp & Sons to the SLT project for the construction of the City’s required sanitary sewer and watermain relocations.

Action Request

Thank you for your assistance. Please advise if you have any questions.