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HomeMy WebLinkAboutAgenda - 08-21-2012 - 5n 001 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: August 21, 2012 Action Agenda Item No. 5-n SUBJECT: Efland Phase 2/Buckhorn Sanitary Sewer Project Update DEPARTMENT: Asset Management Services; PUBLIC HEARING: (Y/N) No Planning ATTACHMENT(S): INFORMATION CONTACT: 1) August 23, 2011 Abstract Jeff Thompson, 919-245-2658 2) State Approval of Gravity Outfall Craig Benedict, 919-245-2592 Loan Kevin Lindley, 919-245-2583 PURPOSE: To provide the Board a project status of the Efland Phase 2/Buckhorn sanitary sewer project and change order cost reconciliation associated with the State approved deepening of the Brookhollow Road Lift Station ("BRLS"). BACKGROUND: On August 23, 2011 the Board awarded the general construction contract for this project to J.F. Wilkerson Contracting Company of Morrisville, North Carolina. Construction began soon thereafter. Sanitary sewer line work for the entire project is nearly 95% complete. On August 23, 2011, the Board also authorized the Manager to pursue planning for an additional gravity sewer outfall connection between the new BRLS and the end-of-life McGowan Creek Lift Station ("MCLS"), due mainly to the availability of surplus State Revolving Loan funds within the project account because of the attractive construction bid well under the estimated construction cost. The August 23, 2011 abstract and its relevant section B-5 ("Relevant Alternate Outfall Engineering Design") is provided as Attachment 1. This strategy would effectively eliminate the need for a new MCLS lift station estimated to cost $400,000 and would open up a larger section of the Efland Economic Development District to development through the availability of sanitary sewer services. In March 2012, the State approved the allocation of State Revolving Loan funds in the amount of $755,450 for the gravity outfall connecting the end-of-life McGowan Creek lift station to the new BRLS (note Attachment 2, "Clean Water State Revolving Fund — Notice of Intent to Fund" dated March 29, 2012). The State granted the County the loan funds for the outfall project on the merits of the County's application and the apparent loan surplus available for construction after bid opening of the original project. On July 17, 2012 the State granted final design approval on the deepened Brookhollow Road Lift Station ("BRLS"), a step necessary to provide the capacity for the gravity outfall project. With these design approvals, the Contractor, JF Wilkerson, is preparing final pricing on the approved design and will be submitting proposed change orders to the Manager in the near future. In an effort not slow down the project, the County Manager authorized the continuation 002 of the work during the Board's summer break in anticipation of bringing a project reconciliation report including the lift station modifications to the Board at this first regular meeting. The following shows the project budget and the contingency allocation to these proposed change orders estimated by the designer: Revenues - #30042 4,848,400 Expenses Encumbered and Reserved for Encumbrances P/A/E, Easements (637,000) Construction (2,942,954) Contingency (484,000) Balance 784,446 Proposed change orders ("PCOs") against contingency: Available Contingency: 484,000 PCO1: Approved increase of force main from 6" to 8" (30,000) PCO2: Approved deepening of BRLS (230,000) PCO3: Material unit price contract reconciliation Buckhorn 57,000 Efland (153,000) Net contingency balance after change orders 128,000 PC03 represents an estimate of the material quantities necessary for the project (rock, unsuitables, fill, etc.). This may be a series of change orders in accordance with the State's contract procedure, be it a debit or credit to the project, and will be fully reconciled once the entire project is complete. FINANCIAL IMPACT: There are sufficient funds within the project to cover the necessary change orders. RECOMMENDATION: The Manager recommends the Board accept this information regarding the project status of the Efland Phase 2/Buckhorn sanitary sewer project and the change order cost reconciliation associated with the State approved deepening of the Brookhollow Road Lift Station ("BRLS"). 003 REVISED 8/23/11 8/23/11 BOCC Regular Meeting Abstract and Attachment 3—See Highlighted Portions °l~f)' << O 2-7 ORANGE COUNTY BOARD OF COMMISSIONERS [C ACTION AGENDA ITEM ABSTRACT I=i_J�+® F ' (eeting Date: August 23, 2011 Action Agenda Item No. '- SUBJECT: Central Efland and Northern Buckhorn Sewer Extensions—Funding (Including Budget Amendment#1-A) and Bid Award and-Construction DEPARTMENT: Manager's Office, Planning, PUBLIC HEARING: (YIN) N Financial Services,Asset Management Services (AMS) ATTACHMENT(S): INFORMATION CONTACT: 1. Notice and Acceptance of EPA Frank W. Clifton,.Jr., Co. Manager, Special Appropriations Grant-Funds 245-2300 2. Acceptance of State Revolving Loan Craig Benedict, Planning Director, _and Conditions by Resolution 245-2592 3. a.dI-aEijiat o Kevin Lindley,PE, Staff Engineer, 4. Resolution of Award 245-2583 5. Construction Contract Clarence-Grier, Financial Services Director, 245-2450 Pam Jones, AMS Director, 245-265.2 David Cannell, Purchasing Agent, 245-2651 PURPOSE: To consider multiple actions related to the funding and construction of the Central Efland and Northern Buckhorn sewer system. - BACKGROUND: These sewer projects have been in process of funding since 1997 and design since 2004. The projects have now been permitted and approved by the state (SRF Loan Project No. CS370884-01) and Federal EPA (STAG Project No. XP95456411-01). The following is an outline of the proposed BOCC actions related to these,projects. There are two main project aspects - Funding and Bid Award/Construction. Many of these funding actions_have been noted this year in previous Board agenda items (June 7th and June 215, 2011). The abstract notes each aspect and the recommendations are detailed on the last page. A. Funding 1. Acceptance of EPA Special Appropriations- Grant Funds for Construction of the Central Efland & North Buckhorn Sewer Improvements; 2. Acceptance of Central Efland --Phase 2 Northern.Buckhorn Sewer Systems State Revolving Loan; and 3. Approval of Budget Amendment#1-A. B. Bid Award and Construction 1.a. r17170114WIN-APPPFIVITL 0449--'='. _nte -trtto ai -�areemntmfie ai;dm tfie f itha , f t e= i iOti 'fti tted_la` =1 fe=Gr - - .t..�.._...:4_ �-._.__ � �-�. .b. � �!��,�f?�n9.,._....._atlirl��°``u:�pavi�grof�yB��I�i�gtor?X 1 004 •solution of-Award awarding the bid to J.F. Wilkerson of Morrisville, North • Carolina at a cost of$2,942,954.46; 2. Authorize the Manager to execute change orders up to$250,000; 3. Authorize the Chair to-sign the Resolution of Award on behalf of the Board; 4. Approve and authorize the Chair to sign the contract on behalf of the Board, -pending execution of bonds, insurance and County Attorney approval; and 5. Authorize related alternate engineering design. A.1 ACCEPTANCE OF EPA SPECIAL APPROPRIATIONS GRANT FUNDS FOR CONSTRUCTION OF THE CENTRAL EFLAND & NORTH BUCKHORN SEWER IMPROVEMENTS PURPOSE: To consider accepting the EPA. Special- Appropriations (SPAP.) grant funds for construction-of the Central Efland and North Buckhornr Sewer Improvements. BACKGROUND: rn both 2003-and 2005, Congressman David Price worked to receive funding totaling $900,000 arid-$500,000 respectively in the-EPA's SPAP program. Since that time, the County has worked through the appropriate processes. and .was given a Notice of Award for these two grants in December 2010 (Attachment 1) which was conditionally affirmed pending Capital-Investment Plan (CIP) and companion loan acceptance. The net of the two EPA SPAP grants is $1,348,400. Because the EPA delegates a large amount of review authority for grant funded projects to the State's Construction Grants & Loans division of North- Carolina Department of Environment and Natural Resources (NCDENR), the State receives a percentage of the grantto cover-the administrative costs. Because County financial policy requires the BOCC to formally accept grant funds prior to expenditure, staff is requesting that the.BOCC approve acceptance of these grant funds for the purpose of constructing the Central- Efland and North Buckhorn Sewer Improvements. The grant funds will provide approximately 1/3 of_the total construction costs and are -a vital financing component for this project. In addition, these funds have already been incorporated into the County's CIP as part of this project. FINANCIAL IMPACT: Accepting these funds will provide $1,348,400 towards the construction of the Central'Efland and North Buckhorn Sewer Improvements. A.2 CENTRAL EFLAND — PHASE 2 NORTHERN. BUCKHORN STATE'REVOLVING LOAN SEWER FUNDING PURPOSE: To ratify a Resolution reiterating the Board's decision from June 21, 2011, approving the offer of a State Revolving Fund (SRF) Loan to fund the construction of the Efland and North Buckhorn sewer extensions. BACKGROUND: The BOCC was previously presented with the opportunity to accept a SRF loan in the amount of$3,500,000 for the construction of sewer improvements in the Efland and North Buckhorn communities. The loan is from the North Carolina Department of Environment and Natural Resources. The BOCC approved this loan offer on June 21, 2011. Since that time, staff has been notified that in order to formally accept the loan, the loan approval must take the form of a Resolution. 005 . Attachment 2 is a Resolution, dated June 21, 2011, that states the BOCC's acceptance of the SRF loan and conditions. Staff requests the BOCC ratify this Resolution to formally accept the SRF loan on Project No. CS370884-01, STAG Project No. XP95456411-01, FINANCIAL IMPACT: As.noted in the abstract from the Board's June 21-, 2011 meeting, there is a $70,000, or 2%, dosing fee for the SRF loan that will be due in September. The payments for the SRF loan are anticipated to begin approximately in June 2013, or six months after construction is complete. The annual loan payments would be approximately $225,000. Both the closing fee and the debt service payments are included in the County's Capital Investment Plan. A-3 BUDGET AMENDMENT#1-A - Total-estimated project costs included in the Capital Investment Plan were $4;727,101, which did not include the $475,000 planned for the McGowan Creek Pump. Station planning for FY2012-13. Since receiving very aggressive -bids for the Central Efland/Nodh .Buckhorn Project, both projects can be combined with the McGowan Creek Pump Station Project with an overall project cost of $4,848,400, Budget Amendment #1-=A below provides details of the proposed budget. Central Efland and Northern Buckhorn Sewer Project: Project#30042 Revenues for this project: FY2010-11 Aug.23,2011 FY 2011-12 Amendments Amendment Revised EPA SPAP Grant $1,348,400 $1,348,400_ State Revolving Loan Funds 3,500,000 3,500,000 . Totai Project Revenues $4,848,400 $4,848,400 Appropriated for this project: Prior Years Aug,23,2011 FY 2011-12 Amendment Amendment _ Revised • _Professional Services -$ 519,000 $ 519,000 Construction 4,304,400 4,304,400• Other 25,000 25,000 Total Project Appropriation $4,848,400 $4,848,400 The larger budget amount in excess of the bid award will be explained below in-section B.5. B. BID AWARD AND CONSTRUCTION PURPOSE: B _�- 4 _ -_ �L:.-Y,� authorize_V-,7 t er-to- f ": -n,. 're. -: _._,..� .: flrjlt�o araeementi atdtn :the -_ T1-. a.r-W).__—_ __ _- 5;;:'-'9— - � T�:.�� i : . i ;a.=,'.:`e:-.rs:n�.::r:.c,?.;�:.�..y..__s� ..�t Pithdra,w�al of#je'tid;_subrr. ed b :Tear le:Gradin &.P. v 'C . .°:- ._Y. x.�,_..��� - - _g ,,:,a !t'?Jr�f .u�l�rtgtort� orfl�jC�'oltrta, and B.1.b — to consider awarding a bid to J.F. Wilkerson of Morrisville, North Carolina for the construction the Central Efland and Northern Buckhorn Sewer Extensions. BACKGROUND: The County has been working towards construction of an extension to the Efland sewer system and an extension of the City of Mebane's sewer system into the Northern Buckhorn community. The work for this project involves the construction of approximately 5,370 linear feet of 8 inch gravity sanitary sewers to serve the Buckhorn Area north of 1-85 and 006 19,514 linear feet of 8 inch gravity sewers with a 250 G.P.M. Pump Station and 2,460 linear feet of 6 inch ductile iron-force main to serve the Efland Community. Bids for this project were advertised and received one June 23, 2011. Nine bidders submitted responses-to the solicitation including Triangle Grading-&-Paving_ '-Writ t o- e e'- s:o -a iiii . 2 difference= f __il n a- se ii, wee•i ^,s;..,_ION..- �.;. ,�-;".,+iii,. - = i`s':?v �i'='s$-"'ii2?.� ?""-�_rr^,_�_„�-.=-Sr!r . ���_'.xv'r�,`."zi� l is I. _ . 1it tai :tia-ieCz i un ` .taff pve >:t e_:p . es llor tive . htsra: duo Lions - vK.��w: ��tY. .:iti_.f3 `_ . `- .:��-"_fr'-c_"y :a=<= = i k. itr -_ ' arts n rout .of 'th:eJ i dir:�. -=1. _g - _,� � ,g=�.�'�c�5s�:r_rt�crd;�r�a��uatdF'a�;Ie at�dls :uf��=�5=fa#fT�as_�rec.�t�et�`�e' ��� ..�:s- mss. �,• .�:.._ ,N����>- = ��. � - �-� _�::�::�._:: .._ �� _- :„�>� .�.�- _ =�� - . 3 rte.;:-�,_--- .�z.¢--;-._ r ail.°��� - ,, t,,.. � .�._r:.. :����a-'?' -:t, ' L—i-L -__aditig`:ai drjP`_vii g',atra erdeem_ee fiave- een>;tni el'>witha.taw.i1:-.Of_o`u.- F_. t3'emit}=- f orrteit-ui:ott Yl=% it: • B.1,b: To consider a Resolution awarding the construction contract for Central Efland Phase 2 and North Buckhorn sewer system extensions to J. F. Wilkerson Contracting Company_ _BACKGROUND: Bids were received for this-project (Project No. CS3-70884-01, STAG Project No,XP-95456511-0) on June 23, .201:1. After a period of review of the bid documents by the . County's engineering consultant, Coulter, Jewell, Thames, and due diligence investigation by County staff, J.F. Wilkerson Contracting -Company was- determined to be a responsive,. responsible bidder for this project. With the agreed to withdrawal of Triangle Grading & Paving's bid, J.F. -Wilkerson. Contracting Company- becomes the lowest, responsive and responsible bidder for this project. Because this project is funded by- both.an EPA Special Appropriations Grant and a State Revolving-Fund Loan, the State Construction Grants & Loans (CG&L) office must review the bid documents and other information regarding the project prior to issuing an "Authority to Award" notice to the County. The deadlines imposed_by the•SRF Loan process required that Orange County be issued the "Authority to Award" from the State CG&T. office on or before August 1, 2011., or risk losing the S-RF Loan-funds. As a part of the Project Bid Information packet, the CG&L office typically requires that the governing board adopt a Resolution of Tentative Award, which says the board intends to award the contract to the lowest, responsible, responsive bidder once given the "Authority to Award"from the State. in this case, however, the BOCC was on summer breaks when the bids came in. This meeting is the first opportunity available for the Resolution of Tentative Award. The CG&L office has granted the County a variance from its normal procedure by allowing'the BOCC to adopt the Resolution of Award now, after the Authority to Award had been issued by the State-on August 1, 2011. Therefore, the Resolution before the Board is a Resolution of Award rather than a Resolution of Tentative Award because the State has already reviewed the contractor choice and issued the Authority to Award. This Resolution, along with the actual contract and supporting documents, will be submitted to the State CG&L office for review. Submission and approval of the contract documents and this Resolution are required in order to meet the next funding deadline on September 1, 2011. J.F. Wilkerson submitted the lowest responsible bid that was responsive. A copy of the tabulation is Attachment 3. The Resolution of Award is Attachment 4. If the Board awards this bid, a notice to proceed will be issued in mid-September with an estimated completion date of December 2012. • B-5 RELATED ALTERNATE 'OUTFALL' ENGINEERING DESIGN 007 After strategic review of the existing and proposed sewer systems in Efland, an alternative engineering design may create short and long term benefits in costs and service area. Abrief explanation follows; The present Efland sewer system flows by gravity to the existing McGowan Creek Lift Station (MCLS) built in 1988 near Efland-Cedar Grove Road. From this collection point sewage is then a pumped via a sewage force main to the Town of Hillsborough for treatment. The Central Efiand Phase II (area east of and downstream from the MCLS) proposes a new sewage lift station on Brookhollow Road (BRLS) which collects a-new service area that flows by gravity to this new station that is then pumped 'upstream'to the old MCLS. Since the proposed BRLS 'is 'downstream' from-the old MCLS, a-new gravity sewer main or interceptor can be designed to allow existing sewer flows to-flow through (without pumping) the MCLS and continue through this new gravity line (approximately 2,000 LF) to the BRLS. This alternate design accomplishes several_goals:- 1. Eliminates the need for a new lift station (BRLS) to pump to an old lift station (MCLS) which is to need of approximately$400,000 of repair. 2. Creates a new interceptor service area (consistent with the Efland-Mebane Small Area Plan) for additional property and customers that were not included in the original design. 3. Reduces the distance of .pumping to Hillsborough since the BRLS is closer and • eventually can be the one lift station instead-of two (major reduction in maintenance and operating costs)that changes pumping direction to another treatment system. 4. Removes the old MCLS function which is close to McGowan Creek. There are two funding sources for-this project- $3.5 million from the State Revolving Loan Fund and-a grant of $1,348,400 from an EPA SPAP Grant. The State agrees monies from.the SRF loan can be used to expend-on this Alternate which enhances the existing and proposed systems. Projected-monies from EPA and SRF sources 'can accommodate-the-original and alternate design because of lower construction bids. The difference between the bid and the budget is reserved for this alternate project. This alternate design still needs to be engineered, permitted and:bid-and, if at all possible from a timing standpoint, coordinated into the proposed project. The design for this work will begin as soon as a design and construction administrator is chosen. .A separate_bid for construction will be necessary at a later date. Whether design and permitting can '-catch up' to the present work is not yet known. 1n any event, this proposed design enhancement will provide a system that can be more efficiently operated. FINANCIAL IMPACT: There. is no financial impact from approving the Resolution of Award. The contract with J.F. Wilkerson Contracting Company is for $2,942,954.46 and has been accounted for in the County's GIP and is within budgeted amounts. RECOMMENDATiON(S): The Manager recommends that the Board: A. Funding 1. Accept the EPA Special Appropriations Grant Funds for Construction of the Central Efland & North Buckhom Sewer Improvements (Attachment 1) 2. Ratify the Resolution noting acceptance of Central Efiand — Phase 2 Northern Buckhorn Sewer Systems State Revolving Loan (Attachment 2) 3. Approve Budget Amendment#1-A 008 B. Bid Award and Construction �_+�sTti."`°�-.t v_....; .-[:4<:the,`:^F��.M: - .....- iz+!l:;.i-`n y;�. .`N:: _ ..�.y.L 1.a. ttt pt tae=C,oti_Y E` =M~aia_ger:__ta4rie�}•�1ter. 1#a= Yoe en = reggz ;t .:11:11„4.--GGG- .�'_ � •.�..n �),3Y':t4. X. '+' i'�'.- .�-.sue��C:�� .h ..� •.51`.]:c fir,-�.;��'�a4.__ �-.: v.� '4:?; :Y':.���t�.�,cai�;4�_:3=7%ri n_ :-.. _��.•.s..'yt's' . �,i�.. W.# :a lalf cif e 3 s t 4W Y T rar ie^6rad ,t":Wa`.R6tbf B ti ngf�ri4 Nattrgararibl 1.b. Approve the Resolution of Award awarding the bid to J.F. Wilkerson of Morrisville, North Carolina at a cost of$2,942,954.46; 2. Authorize the Manager to execute change orders up to $250,000; 3. Authorize the Chair to sign the Resolution of Award (Attachment 4) on behalf of the Board; 4. Approve and authorize the Chair to sign the -contract on behalf of the Board (Attachment 5), pending execution of bonds, insurance -and County Attorney approval (bid unit prices are available-in the Clerk to the Board's-office); and 5. Authorize staff to proceed withxelated alternate engineering design. • /•��7/.�eE{�Cis'(' 2_ 009 ArA NCDETIR` North Carolina Department of Environment and Natural Resources Division of Water Quality Beverly Eaves Perdue Charles Wakild, P.E. Dee Freeman Governor Director Secretary March 29,2012 Mr.Frank Clifton, County Manager 1�.�� �. k•Orange County -� 1' , PO Box 8181 Hillsborough,NC 27278 SUBJECT: Clean Water State Revolving Fund Notice of Intent to Fund McGowan Creek Interceptor March 1st,2012 Application Cycle Dear Mr. Clifton: Congratulations! Your application for a Clean Water State Revolving Fund(CWSRF)loan has been reviewed and your proposed project found eligible to receive a low-interest CWSRF loan. The total loan amount will be$755,450. Please note that this intent to fund is contingent on approval of the loan through the Local Government Commission. This intent to fund is also contingent on meeting all milestones outlined based on our Intended Use Plan(IUP) as shown below. Milestone Date Engineering Report Submittal July 2,2012 Engineering Report Approval _ December 3, 2012 Plans &Specifications Submittal June 3,2013 Plans &Specifications/Permit Approval September 2, 2013 Advertise Project,Receive Bids, Submit December 2, 2013 Bid Information, and Receive CG&L's Authority To Award Execute Construction Contract(s) January 2,2014 The next milestone is the submittal of an Engineering Report by close of business on July 2,2012. The Engineering Report must be developed using the guidance found on our website. Reports not received in this office on or before July 2,2012 will be returned and CWSRF funding for the proposed project will be forfeited. Failure to meet this or any other IUP milestone will result in the forfeit of CWSRF funding for your proposed project,and a new application must be submitted for consideration during a future application cycle. Infrastructure Finance Section 1633 Mail Service Center,Raleigh,North Carolina 27699-1633 One Location:8th Floor Archdale Building,512 N.Salisbury St.Raleigh,North Carolina 27604 NorthCarolina Phone::www. cwater FAX:orq 919-715-6229 atura//" Internet:www.ncwaierauatitv.orq An Equal Opportunity\Affirmative Action Employer 010 Mr.Frank Clifton,County Manager March 29,2012 Page Number 2 Please note that if funding is based on the recipient's agreement to develop an Asset Management Plan,that plan must be adopted by the recipient and approved by the Infrastructure Finance Section before the contract execution milestone. Otherwise,project funding will be forfeited. The TOP and an overview of our CWSRF funding process are available on our website (http://portal.ncdenr.org/web/wq/ifs). If you have questions,please contact the Mr. Seth Robertson,P.E. Supervisor,Design Management Unit at 919-707-9175. Sincerely, Kim H. Colson,P.E., Chief Infrastructure Finance Section JMH cc: Mark Hubbard Jennifer Haynie SRF File 1