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12.1.2. SECTOR 3 BEACH RESTORATION PROJECT, RANGER CONSTRUCTION <br />INDUSTRIES, INC., CONSTRUCTION CONTRACT CHANGE ORDER NO. 1 <br />Director Mora informed the Board that subsequent to the project bidding the U.S. Fish <br />and Wildlife Service, U.S. Army Corps of Engineers, and the Florida Department of <br />Environmental Protection had added new and unexpected permit provisions requiring that the <br />County: (1) provide a more coarse material on the beach; (2) increase the frequency of sand <br />testing during the construction at the beach and mine; and (3) construct the project in two phases <br />over two years. Due to these additional permit requirements, Ranger contends they are forced to <br />add substantial costs to their original bid price, whereby Change Order No. 1 would increase the <br />amount by $984,502. Director Mora said that Coastal Tech had evaluated the additional costs <br />and determined that all were justified, with the exception of $491,360 for sand processing. <br />Coastal Tech conceded that Ranger had not produced enough information to justify the <br />additional $1.04 per cubic yard of sand, and at such time that Ranger provides sufficient <br />justification for additional costs for sand processing, the County will reconsider. He explained <br />why the Board should consider approving the amended amount of $439,093 to Change Order <br />No. 1, and he also provided an overall budget comparison of off -shore sand and upland sand <br />sources. <br />Bob Schafer, Vice President, Ranger Construction Industries, Inc. said the information <br />he received from Coastal Tech was not that they disagreed with the cost increases, but that they <br />wanted more information. He explained why the Change Order of $439,093 would not cover the <br />cost of the additional work, and emphasized that the additional work and costs incurred are the <br />result of what was added by the regulatory agencies, and not Ranger's fault. He clarified how <br />the process of digging deeper into the mines slows production, and how the longer the equipment <br />runs, the more costly it becomes. <br />There was a lengthy discussion between the Board, staff, and Mr. Schafer regarding the <br />process of digging deeper into the mine, additional incurred costs, staff not having enough <br />31 <br />February 2, 2010 <br />