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Exh 8BAGENDA ITEM 8B AUGUST 11, 2003 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Change Order No. 2 Relocation, Installation and Coating ofElevated Storage Tank at Water Plant 2 Bid No. 0203-2 (Re-Bid) SUBMITTED BY: Donna Kaluzniak, CEP, Utility Director~J ~ DATE: July 31, 2003 (`~'.~/ BACKGROUND: On March 10, 2003, the City Commission awazded a contract to relocate a 300,000 gallon elevated tank from Kissimmee to Water Plant No. 2 (2301 Mayport Road). The tank was donated to the City by Mr. Wendell McKinnon, Vice Mayor of Kissimmee. Prior to recommending relocation ofthe tank, City staff and the City's tank inspector, HGTI, met at Kissimmee to inspect the tank, which was determined to be in excellent condition overall Adhesion testing of the coating was performed in the field, which indicated the probability of obtaining cost savings by only brush blasting and overcoating the tank as opposed to removing all of the existing coating layers and completely re-coating the tank. The interior and exterior of the tank were checked thoroughly by a NACE (National Association of Corrosion Engineers) certified inspector, who found no visible corrosion sufficient to create immediate concerns, and it appeazed only minor welding and steel replacement would be needed. After deconstructing and transporting the tank, the contractor began modification (shortening) of the columns, started the brush-blasting process and found work outside the specified scope will need to be completed: ^ Corrosion of the column heads that connect to the underside of the balcony and the associated walkway ends on both sides of each column is much more severe than Was evident during the inspection. It was impossible to detem~ine the extent of the damage until the columns were removed from the balcony and the sandblasting completed. The 12 walkway ends and 6 column postheads will need to be completely removed, refabricated and replaced with''/d' plate. Total cost for the 18 items is $17,400. ^ It appears the cutting, transporting and loading/unloading of the tank has resulted in a problem with the existing coating peeling off more easily than indicated during the pre- project inspection. In order to ensure the new coating will properly protect the tank, the existing paint layers need to be completely blasted off, and the City's standazd specified coating system will need to be applied. The cost to completely remove the old coating and apply the City standazd system will be $45,000. (As a compazison, one of the AGENDA ITEM 8B AUGUST 11, 2003 contractors that initially bid on this project, WPC Contracting, included a breakout price for completely blasting and recoating this tank in the amount of $70,000.) The total construction cost for this project if this change order is approved will be $450,620, still well below the bid price we received for a new tank of $6'76,000. BUDGET: Funds for the change order items are available in the Water Fund. A total of $39,000 is available in account number 400-5504-533-6300, rema;n;ng from the under-budget Ocean Blvd. Water Main project, and $23,400 is available as unused funds in the miscellaneous professional services account number 400-5502-533-3100. RECOMMENDATION: Approve Change Order No. 2 for Relocation, Installation and Coating of Elevated Storage Tank at Water Plant No. 2 in the amount of $62,400. ATTACHMENTS: 1. 2. Change Order No. 2 Letter from HGTI recommending City approve Change Order No. 2. REVIEWED BY CITY AGENDA ITEM 8B AUGUST 11, 2003 CHANGE ORDER N0.2 Contractor: Gruhn May, Inc. 6897 Phillips Pazkway Drive North Jacksonville, FL 32256 904-262-9544 Fax: 904-268-0679 Attention: Mr. Gordon Gruhn Project: Elevated Tank at WTP #2 Owner: City of Atlantic Beach City Bid No. 0203-2 (Re-Bid) You aze hereby requested to comply with the following changes in the Contract Documents: 1. Revised Scope of Work. DECREASE INCREASE IN IN CONTRACT ITE UNIT CONTRACT PRICE$ M DESCRIPTION QTY UNIT PRICE $ PRICE $ NO. Blast and remove existing tank 1 LS $45,000.00 ~, ~ : ~; $45,000.00 coating to #10 near white blast and ~ ~" `"'e-` re-coat tank with City standard coating system. ?~ ~oU°~'~ n ,, , ~ ~`li~~ Remove deteriorated metal at each 12 EA $725.00 ; " ' ''`w~' $8,700.000 of the 12 end walkways and ~ replace with fabricated ''/a" plate. '" Remove deteriorated metal at each 6 EA $1,450.00 ~'' $8,700.00 of the 6 column posthead walkway attachment plates and replace with fabricated'/<" plate. , Note: Item is an addition to existin¢ Rid Ttems_ ~'~` TOTALS $62,400.00 NET CHANGE IN CONTRACT PRICE ~ ~ *.~ ~ ' $62,400.00 The above revised scope of work will increase the project cost by $62,400.00, and will increase the contract time for 45 days. Accepted By: Contractor Approved By: Owner Date: Date: 07/29/05 TUE 12:01 FAX 772 552 1510 Tank Inspection and Consulting Service Fax: (772) 468 - 0984 E-Mail: tankinspection@ aol.com TUESDAY JIILY 29, 2003 VERO BEACE PRINTING r~awi~ GRE~N~ ®r^/® ~~~a TANK INSPECTION MS DONNA KALIIZNIAR DIRECTOR OF UTILITIES CITY OF ATLANTIC BEACH 1200 SANDPIPER LANE ATLANTIC BEACH, FLORIDA 32233 AGENDA ITEM SB AUGUST 11, 2003 P, p. Box 3425 Ft Pierce, PL.34948-3425 (772)466-1419 Web Site: www.hgtankinspecrion.com RE. ELEVATED 300,000 GALLON WATER STORAGE TANK @ WTP #2 DONNA- THE RECOMMENDATION IS TO GO FORWARD WITH THE CHANGE ORDER FOR THE FOLLOWING REASONS. 1- THB RUSTED PLACES IN THE METAL ...NEAR TH8 HHADPOSTS WERE FOIIND WHILE THE TANA WAS BEING DISMANTLED. IT IS SETTER TO REPAIR THIS NOW THAN TO WAIT IINTIL IT GETS WORSE. 2. THE PAINT...AFTER BEING SANDBLASTED_._IS MORE EASILY REMOVED THAN ANTICIPATED. 3. TIIE COST EFFECTIVNESS OF PIITTING THIS BETTER UP GRADE COATING ON THE STRUCTIIRE MARES FOR A MIICH LONGER LASTING JOB. S ELY YOSTRScJ~~~ ,/~ HOWARD A. GREENE`(I H.G.T.I. C01PY= FILE SPECIFICATIONS- RECOMMENDATIONS-MUNICIPAL WATER TANKS- INVESTOR TANKS -WASTE WATER PLANTS -INDUSTRIAL TANKS