HomeMy WebLinkAboutOrdinance No. 3020-2018M
CITY OF KENAI
ORDINANCE NO. 3020-2018
Sponsored by: Administration
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, INCREASING
ESTIMATED REVENUES AND APPROPRIATIONS IN THE WATER & SEWER SPECIAL
REVENUE AND WATER & SEWER IMPROVEMENTS CAPITAL PROJECT FUNDS AND
AUTHORIZING A CHANGE ORDER TO THE CONTRACT WITH THE STATE OF ALASKA
DEPARTMENT OF TRANSPORTATION FOR THE PROJECT ENTITLED "SPUR HIGHWAY
WATER MAIN REPLACEMENT — SPUR HIGHWAY AND SHOTGUN DRIVE".
WHEREAS, the City of Kenai entered an agreement with the State of Alaska Department of
Transportation to allow them to bid and construct the upsizing and replacement of the water main
under the Kenai Spur Highway at Shotgun Drive during Phase 1 of Kenai Spur Highway
Rehabilitation Project; and,
WHEREAS, $92,225 was previously appropriated for this project of which $84,174 remains and
is available for construction; and,
WHEREAS, the bids for this project were recently received by the State of Alaska Department of
Transportation and came in higher than the previously agreed upon price for the project. The
initial agreement was $75,116 and based on the bids, the revised amount will be $113,794, which
is a difference of $38,678; and,
WHEREAS, upsizing the water main from the existing 12" to a 16" line in this location is needed
to accommodate the future growth of the City's water system; and,
WHEREAS, conducting this work after completion of the Spur Highway Rehabilitation Project
would require extraordinary methods including boring under the Highway for placement of the
line, resulting in significantly higher costs to the City; and,
WHEREAS, approving the Change Order with the State of Alaska Department of Transportation
would be in the best interest of the City; and,
WHEREAS, the recommendation from City Administration is to appropriate an additional $38,678
for the project and sign a Change Order with the State of Alaska Department of Transportation
for the sum of $38,678: and
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
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Ordinance No. 3020-2018
Page 2 of 2
Section 1. That the estimated revenues and appropriations be increased as follows:
Water & Sewer Special Revenue Fund:
Increase Estimated Revenues —
Appropriation of Fund Balance $38 678.00
Increase Appropriations —
Water Department - Transfer to Other Funds $38.678.00
Water & Sewer Improvements Capital Projects Fund —
Increase Estimate Revenues —
Transfer from Water & Sewer Special Revenue Fund $38 678 00
Increase Appropriations -
Construction $38.678.00
Section 2. That the City Manager is authorized to execute a change order to the contract for
the project entitled "Spur Highway Water Main Replacement — Spur Highway and Shotgun Drive"
with the State of Alaska, Department of Transportation in the amount of $38,678.
Section 3. That the City Manager is authorized to issue a purchase order to complete the
project in that amount of $124,347.00 which includes contingency funds of $10,553.00 in excess
of the contract amount for completion of the project should the funds become necessary as a
result of change orders during construction.
Section 4. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction, such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision, or application.
Section 5. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
upon adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 2nd day of May, 2018.
City
BRIAN GABRIEL SR., MAYOR
C7
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Introduced: April 18, 2018
Enacted: May 2, 2018
Effective: May 2, 2018
the cif i of j
KENAI, ALASKA
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MEMORANDUM
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210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 1 Fax: (907) 283-3014
www.kenai.city
TO: Mayor Brian Gabriel and Kenai City Council
THROUGH: Paul Ostrander, City Manager
FROM: Michael Wesson —Acting Public Works Director
DATE: April 12, 2018
SUBJECT: Ordinance 3020-2018 — Spur Highway Water Main Replacement
The purpose of this memo is to recommend adoption of Ordinance 3020-2018 appropriating
additional funds for the water main replacement project and to authorize a change order to the
contract with the State of Alaska Department of Transportation (DOT).
The Spur Highway Rehabilitation project was recently bid by DOT and the water main
replacement was included as part of the bid. By doing this, the asphalt and subgrade within the
roadway structural section will be removed and replaced at DOT's expense as opposed to the
City's. The actual bid came in $38,678.00 higher than our previously estimated cost for the
project.
After further review of the project, it would be financially prudent to approve a change order for
the above referenced amount and continue with the project as part of the DOT's Spur Highway
project. If the city were to undertake this project at a later date, the costs would be substantially
more.
Thank you for your consideration