Discussion and possible action to approve amendments with MGC Contractors, utilizing previously approved capital improvement funding, for the construction of the Beardsley Water Reclamation Facility Expansion project, for Construction Services and Engineering Services during construction for a guaranteed maximum price of $10,267,666.

The City’s ten year Capital Improvement Program (CIP) includes the Beardsley WRF Expansion (UT00314) project and provides funding for the capacity expansion of the Beardsley WRF from 4 million gallons per day (MGD) to 6 MGD

This is a multi-phase project and Council has previously approved:

• Phase 1A – Pre- Design Services Contract for Condition Assessment, Site Investigations & Preliminary Engineering ($1,013,678.13, LCON 05220) on September 22, 2020

• Phase 1B – Design Services ($ 3,061,098.46, LCON 05220A) and Early Procurement and Early Construction Services ($4,701,340.83, LCON 01221) on March 16, 2021

• Phase 2A – Engineering Services during Construction ($444,045.09, LCON 05220B) and Long Lead Equipment Procurement & Construction Services ($9,538,454.91, LCON 01221A), on February 15, 2022.

• Phase 2B - Engineering Services during Construction ($1,106,657.09, LCON 05220C) and Phase 2B – Construction Services ($20,843,342.91, LCON 01221B) on June 7, 2022.

The City of Peoria originally constructed the Beardsley WRF in 1985. The City expanded the plant in 2003 to its current capacity of 4 Million Gallons per Day (MGD).  When sewer flows to the plant exceeded 90% of the design capacity, Water Services started the design work to further increase plant capacity as required by the Maricopa County Environmental Services Department (MCESD). The expansion effort includes addition of process equipment to increase plant capacity, upgrades to the electrical system, improvements to the site security and general enhancements to site aesthetics.  The expansion project will also include the construction of a new pump station to deliver reclaimed water to customers in north Peoria, including Paloma Park. This expansion is consistent with the City’s Integrated Water Utilities Master Plan and will allow for further growth in the Beardsley service area.

The City selected MGC Contractors as the most qualified design builder in the fall of 2020 and awarded the Phase 1A pre-design services contract.  The MGC team includes Carollo Engineers, who is under contract directly with MGC to perform the engineering design. This team has completed Phases 1A, 1B, 2A and 2B and produced engineering drawings, purchased long lead equipment and completed several of the major construction items.

This Amendment will include the final construction of process equipment and electrical improvements required to expand the capacity of the plant.  A high-level breakdown of this Amendment is as follows:

1. $9,277,962.35 for Construction Services.  This includes the installation of remaining process equipment, installation of electrical gear, safety improvements, drainage improvements, general site work, contingencies, general conditions, and taxes.
2. $989,704.50 for Engineering Services During Construction.  This includes construction administration, post construction support, engineering inspections, project management, overhead, and contingencies. 

Completion of the reclaimed water pumping system is scheduled for July 2024 and the final project completion is scheduled for December 2024.

Council previously approved:

• Phase 1A – Pre-Design Services Contract for Condition Assessment, Site Investigations & Preliminary Engineering ($1,013,678.13, LCON 05220) on September 22, 2020

• Phase 1B – Design Services ($ 3,061,098.46, LCON 05220A) and Early Procurement and Early Construction Services ($4,701,340.83, LCON 01221) on March 16, 2021

• Phase 2A – Engineering Services during Construction ($444,045.09, LCON 05220B) and Long Lead Equipment Procurement & Construction Services ($9,538,454.91, LCON 01221A), on February 15, 2022.

• Phase 2B - Engineering Services during Construction ($1,106,657.09, LCON 05220C) and Phase 2B – Construction Services ($20,843,342.91, LCON 01221B) on June 7, 2022.

Staff recommends approval of amendments to the contracts with MGC Contractors for Engineering Services during Construction and for Construction Services for the Beardsley Water Reclamation Facility Expansion Project for the guaranteed maximum price of $10,267,666.85

Funding is available in the FY2024 CIP for engineering services during construction and construction services for the Beardsley WRF Expansion project.