Title
Zone 3D and 4A Improvements Program: Water Transmission Main - Construction Manager at Risk Services Amendment 1 - WS85500442 - Kiewit Infrastructure West Co (Ordinance S-47393)
Description
Request to authorize the City Manager, or his designee, to execute an amendment to Agreement 152401 with Kiewit Infrastructure West Co (Kiewit) to provide additional Construction Manager at Risk (CMAR) Services for the Zone 3D and 4A Improvements Program: Water Transmission Main project. Further request to authorize execution of amendments to the agreement as necessary within the Council-approved expenditure authority as provided below, and for the City Controller to disburse all funds related to this item. The additional fee for services included in this amendment will not exceed $70 million.
Additionally, the Water Services Department requests to authorize the City Manager, or his designee, to enter into agreements and permits needed with any relevant entities in order to permit access and construction of this 66-inch pipeline along the designed pipeline route. Further request the City Council to grant an exception pursuant to Phoenix City Code 42-20 to authorize inclusion in the documents pertaining to this transaction of indemnification and assumption of liability provisions that otherwise would be prohibited by Phoenix City Code 42-18.
Report
Summary
The purpose of this project is to supply water in north Phoenix in the event there are restrictions placed on Colorado River water delivered through the Central Arizona Project. The City of Phoenix treats Colorado River water at the Union Hills and Lake Pleasant Water Treatment Plants (WTPs), which supplies water to north Phoenix.
This Agreement is necessary to proceed with construction of a new 66-inch pipeline from the 24th Street WTP to water infrastructure in north Phoenix to allow for the delivery of Salt and Verde River water into north Phoenix. Scope of services will include installation of the 66-inch pipeline and corresponding activities in this segment. This amendment will provide additional funds to the agreement.
This Agreement is essential to the health, safety, and welfare of the public and critical operations for the City.
Contract Term
The term of the agreement amendment is for two years from issuance of the Notice to Proceed. Work scope identified and incorporated into the agreement prior to the end of the term may be agreed to by the parties, and work may extend past the termination of the agreement. No additional changes may be executed after the end of the term.
Financial Impact
The initial agreement was authorized for an amount not to exceed $15 million. This amendment will increase the agreement by an amount not to exceed $70 million, for a new total amount not to exceed $85 million.
Funding for this amendment is available in the Water Services Department's Capital Improvement Program budget. The Budget and Research Department will separately review and approve funding availability prior to execution of any amendments. Payments may be made up to agreement limits for all rendered agreement services, which may extend past the agreement termination.
Concurrent/Previous Council Action
The City Council approved:
- Engineering Services Agreement 149082 (Ordinance S-45175) on Dec. 5, 2018;
- CMAR Preconstruction Services Agreement 148951 (Ordinance S-45171) on Dec. 5, 2018; and
- CMAR Construction Services Agreement 152401 (Ordinance S-46723) on June 17, 2020.
Location
24th Street WTP to 32nd Street and Shea Boulevard, including Phoenix Mountains Preserve
Council Districts: 3 and 6
Department
Responsible Department
This item is submitted by Deputy City Managers Karen Peters and Mario Paniagua, the Water Services Department, and the City Engineer.