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PROJECT TITLE: <br /> Change Order#1 for Consent COUNCIL BILL# <br /> Settlement of Dispute X Action Originating Department Public Works <br /> Regarding the Puget Sound First Reading Contact Person Tom Fuchs <br /> Outfall 5 Overflow Structures Second Reading Phone Number 8931 <br /> Project Third Reading FOR AGENDA OF 5/20/2009 <br /> Public Hearing <br /> Initialed by: <br /> Department Head <br /> CAA •w • <br /> Council President <br /> Location Preceding Action Attachments Department(s)Approval <br /> Lift Station No. 3, 1100 Bid: 6/10/2008 Change Order# 1 Public Works <br /> Everett Avenue Award: 7/17/2008 <br /> Budget Committee 5/13/09 <br /> Amount Budgeted $350,000.00 <br /> Expenditure Required $23,307.00 Account Number(s): UP2770 <br /> Budget Remaining $32,984.80 <br /> Additional Required -0- <br /> DETAILED SUMMARY STATEMENT: <br /> The Puget Sound Outfall 5 Overflow Structures Project relates to the construction of an underground vault <br /> and related subsurface sewer improvements at Lift Station No. 3 on Everett Avenue. The City awarded a <br /> contract for work on this project to Clearcreek Contractors on July 1, 2008. The City recognized <br /> Clearcreek's work as physically complete on October 9,2008. This work was completed at$31,693 under <br /> budget. <br /> There has been a dispute between the City and Clearcreek regarding the dewatering of the work site,which <br /> was necessary because the water table at that location is close to the surface. Clearcreek claims that site soil <br /> conditions were different than as stated in the contract documents, and Clearcreek states that this difference <br /> required Clearcreek to pump significantly more water than it anticipated in its bid. The City maintains that <br /> the contract documents were accurate and fairly warned bidders as to soil issues. <br /> After a mediation session in January 2009 and subsequent negotiations, City staff recommends that this <br /> dispute be settled for$55,000,which would compensate Clearcreek for some of its claimed pumping costs <br /> and would avoid litigation between the City and Clearcreek. This $55,000 settlement is formalized by the <br /> attached Change Order# 1,which Clearcreek has signed and which will set in motion the process for closing <br /> out the project. The$55,000 would be funded by the remaining budget($31,693),plus an additional <br /> expenditure of$23,307.00. <br /> RECOMMENDATION(Exact action requested of Council): <br /> Authorize Mayor to Sign Change Order#1 for Settlement of Dispute Regarding the Puget Sound Outfall 5 <br /> Overflow Structures Project <br /> 19 <br />