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HomeMy WebLinkAbout2011-087 p 1� INDIAN RIVER COUNTY Change Order No . 4 O PROJECT : SECTOR 3 BEACH AND DUNE RESTORATION CONTRACTOR RANGER CONSTRUCTION INDUSTRIES , INC . 4510 GLADES CUT- OFF ROAD FT . PIERCE , FL 34921 Ranger Construction Industries , Inc . (Ranger and Contractor) has requested an additional payment of $ 1 . 01 per cubic yard , as a fuel price adjustment, to account for increases in the cost of diesel fuel during the construction of the Sector 3 Beach and Dune Restoration Project (Project) . The additional $ 1 . 01 per cubic yard was requested by Ranger to cover the increase in fuel costs experienced by Ranger since the project was bid in August, 2009 . On March 15 , 2011 , the Board of County Commissioners designated March 23 , 2010 as the baseline date for fuel price adjustments , and $ 3 . 00 per gallon as the baseline cost of diesel fuel . On March 23 , 2010 , Ranger agreed to freeze the price of all remaining Phase 1 and Phase 2 sand at $ 15 . 66 per cubic yard , and diesel fuel sold at an average of $ 3 . 00 per gallon on that date . To account for fluctuating fuel prices , tinder this change order, a weekly average fuel cost will be used to determine all fuel adjustments for "Ultra Low Sulfur Fuel " , as updated and published weekly by the U . S . Energy Infonnation Administration (EIA) for the lower Atlantic region , including Florida . Subject to the maximum increase set forth below , fuel prices above $ 3 . 00 will be applied as an additional payment to Ranger while fuel prices below $ 3 . 00 will be applied as a credit to the County . All fuel adjustments will be applied following verification of sand (cubic yards) surveyed on the beach via the pay profiles prescribed by the Contract Documents . The maximum per cubic yard fuel adjustment increase , as applied by this change order, shall not exceed $ 1 . 01 per cubic yard or a total price to process , haul , place , and grade the sand of $ 16 . 67 per cubic yard . Fuel adjustments will only apply to the sand required to complete Phase 2 of the Project . Based on the January, 2011 survey, the estimated sand volume to complete Phase 2 is 261 , 077 cubic yards . This change order shall not apply to the remaining sand to complete Phase 1 of the Project (estimated in the January, 2011 survey to be 19 , 129 cubic yards) . p <i Sector 3 Beach and Dune Restoration Project Page 2 of 4 Change Order No . 4 Fuel Consumption Ranger ' s request cites three (3 ) elements of construction and identifies the corresponding fuel consumption rate ( gallons per cubic yard) as follows : 1 . Tricking — transporting sand from the mine to the beach = 0 . 267 gal /CY 2 . Dredging and Processing — processing and refining to produce beach compatible sand = 0 . 576 gal/cy 3 . Construction — place and grade sand on the beach = 0 . 191 gal/cy The total fuel consumption rate = 1 . 034 gal/cy . Therefore, the percentage of the total consumption rate for each element of construction is as follows : 1 . Trucking = 25 . 82 % 2 . Dredge and Processing = 55 . 71 % 3 . Constriction = 18 . 47 % Fuel Price Adiustment To determine the applicable fuel price adjustment (increase or decrease as a price per cubic yard) to be applied under this change order, the total fuel consumption rate of 1 . 034 gallons per cubic yard is to be multiplied by the difference in fuel price between the March 2010 baseline rate of $ 3 . 00 per gallon and the current weekly fuel index (published each Monday by EIA) for the corresponding week that sand is placed on the beach — be the date of the post- fill survey, where the applicable weekly quantities of Phase 2 sand are to be determined from the pay profiles . For example, with the weekly price of fuel for the week ending March 7 , 2011 at $ 3 . 85 per gallon, the cost to truck, dredge and process , and place sand along a portion of Phase 2 would increase by $ 0 . 88 per cubic yard — per the breakdown described below : a) Trucking = $ 0 . 23 per cubic yard ( $ 3 . 85 /gal - $ 3 . 00/gal) x 0 . 267 gal/cy = $0. 23per cubic yard b) Dredging_/processing = $ 0 . 49 per cubic yard ($ 3 . 85 /gal - $ 3 . 00/gal) x 0 . 576 gal/cy = $ 0 .49 per cubic yard . c) Construction = $ 0 . 16 per cubic yard ( $ 3 . 85 /gal - $ 3 . 00/gal) x 0 . 191 gal/cy = $ 0 . 16 per cubic yard . Total = $ 0 . 88 per cubic yard Sector 3 Beach and Dune Restoration Project Page 3 of 4 Change Order No . 4 Adiusted price per cubic yard Not-To-Exceed Notwithstanding any language herein to the contrary, the maximum per cubic yard increase, as applied by this change order, shall not exceed $ 1 . 01 per cubic yard or a total maximum price to process , haul, place , and grade the sand at $ 16 . 67 per cubic yard. Based on the January, 2011 survey, the estimated sand volume required to complete Phase 2 is 261 , 077 cubic yards . Therefore based on the most recent survey, the maximum fuel adjustment payment to Ranger would be $ $ 263 , 687 . 77 ( $ 1 . 01 per cubic yard x 261 , 077 cubic yards) . By execution of this change order, Ranger confirms that the maximum per cubic yard price for all remaining sand in the Phase 2 area ( 261 , 077 cubic yards and any additional. amounts required to complete the Phase 2 area) is $ 15 . 66 , plus or minus the fuel adjustment , up to a maximum price of $ 16 . 67 ( $ 15 . 66 , plus the fuel adjustment not to exceed $ 1 . 01 ) . Retainage will not be withheld at the time of payment under this Change Order for fuel adjustments . However, retainage will be withheld from total payment for the work under the terms of the current contract . CURRENT CONTRACT PRICE $ 1. 05319 , 233 . 90 MAXIMUM NET CHANGE IN CONTRACT PRICE DUE TO THIS CHANGE ORDER $ $ 2633687 . 77 CONTRACT COMPLETION DATE 4/30/ 11 MAXIMUM CONTRACT PRICE INCLUDING THIS CHANGE ORDER $ 10, 582 , 920 Sector 3 Beach and Dune Restoration Project Page 4 of 4 Change Order No . 4 ENGINEER ' S RECOMMENDATION I have examined the above changes . The price changes are reasonable and I recommend that the changes be made . Engineer : Witness : COASTAL TECHNOLOGY CORPORATION r �� � By: G'', �& i/ Print Name : �_ 1, « �( c � 1 l—mhta� ` Michael P . Walther, President CONTRACTOR' S APPROVAL I agree that the above changes in said Contract, in accordance with Specifications for the price changes shown are satisfactory. Contractorz Wit ss : RANGER CONSTRU I TRIES By : Print Name : 42 / � _ Bob Schafer, Vice Preside t Date : A V ; , 2011 BOARD OF COUNTY COMMISSIONERS , ATTEST : Jeffrey K . Barton , Clerk of Court INDIAN RIVER COUNTY, FLORIDA B Y : �-\ x�°�`° . (% ^�' By : !�Deputy Clerk Clerk Bob Solari, Chairman p0 ytl•N • • I.tl.p* Approved : *sotl60NOso ��� otlo«VO''• � •' G:���u •p � 8• i tl0 By: tl 8 p 6 eph A . aird, County Admini trator A oved as to form and le ficiency. SO o • •. �o 41*4v 04, - �tltltltltltltltltltltl�� a/ By : Alan S . Polackwich, r . , County Attorney