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HomeMy WebLinkAbout93-07 RESOLUTIONRESOLUTION NO. 93-07 A RESOLUTION APPROVING A REFUND TO THE ARKANSAS STATE HIGHWAY AND TRANSPORTATION DEPARTMENT (AHTD) FOR OVERPAYMENT OF, REIMBURSEMENT RELATED TO WATER AND SEWER RELOCATIONS FOR THE HIGHWAY 265 WIDENING PROJECT, AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $254,467.83. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves a refund to the Arkansas State Highway and Transportation Department (AHTD) for overpayment of rem-ibursement related to water and sewer relocations for the Highway 265 Widening Project. Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment in the amount of $254,467.83. PASSED and APPROVED this 5th day of June, 2007. APPROVE ATTEST: By: By: DAN COODY, or SON RA E. SMITH, City Clerk/Treasurer eoi cCtK/TR� /, • \�G: c\1 Y •O,c el/ • •ill- FAYETTEVILLE ° 3 City of Fayetteville, Arkansas Budget Adjustment Form Budget Year 2007 Departmen Division: Program: Operations Water & Sewer Maintenance Capital Water Mains Date Requested 6/5/2007 Adjustment Number Project or Item Added/Increased: $254,468 is requested in the Water Line Improvements account. Project or Item Deleted/Reduced: $154,468 from the Water Line Improvement account in the Hwy 62 Waterline Relocation Farmington project and $100,000 from the Water Line Improvement account in the North College Waterline - Maple to North project. Justification of this Increase: AR Highway & Transportation Department conducted an audit of this project four years after project completion. The results of the audit determined that a reimbursement factor of 51.44% was applied to a figure that included betterments which caused the AHTD to over compensate the City. ustification of this Decrease: The North College Waterline - Maple to North project is basically complete and is under budget. The Hwy 62 Waterline Relocation Farmington. project is basically complete pending any further adjustments by the AR Highway & Transportation Department. Sufficient funds remain in both projects for these contingencies. Increase Expense Budget (Decrease Revenue Budget) Account Name Water line improvemerits Account Number Amount Project Number 5400 5600 5808 00 254,468 97043 20 Decrease Expense Budget (Increase Revenue Budget) Account Name Account Number Amount Water line improvements Water line improvements 5400 5600 5400 5600 Project Number, 5808 00 154,468 04034 5808 00 100,000 02030 1 Approval Signatures RequestedBy rya'�,t Manager Dep jg ent Director Finan Mayor Directo 5447 Date 5 07 Da e -( OSIOL �^ZI-z Date ‘/>/Dat? Budget Office Use Only Type: A B C Posted to General Ledger Posted to Project Accounting Entered in Category Log E Initial . Date , Initial Date Initial Date Sid Norbash Submitted By City of Fayetteville Staff Review Form City Council Agenda Items or Contracts 5 -Jun -07 City Council Meeting Date Engineering Division Action Required: • Operations/Water & Wastewater Department Approval of a refund to the Highway Department for overpayment of reimbursement related to water and sewer relocations for the Highway 265 Widening Project, and a Budget Adjustment of $254,467.83. $254,467.83 Cost of this request 5400-5600-5808.00 Account Number 97043-20 Project Number Budgeted Item $3,500,769.84 Category / Project Budget $3,500,769.84 Funds Used to Date $-0- Remaining Balance Budget Adjustment Attached XX Hwy 265 Water/Sewer Relocations Program Category / Project Name Water Line Improvements Program / Project Category Name Water/Sewer Fund Name Depaijr' nt D(ector City Attorney ud cv Finance and Internal Service Director Mayor Date S I t 112ean Date Date 124/67 Date Previous Ordinance or Resolution # Original Contract Date: Original Contract Number: 109-99 8/17/1999 N/A I. Received in Mayor's Office omments: a—Me City Council Agenda Memo City Council Meeting Date of June 5, 2007 To: Fayetteville City Council Thru: Mayor Dan Coody Fayetteville Water/Sewer Committee From: David Jurgens, Water & Wastewater Director Date: May 9, 2007 Subject: Hwy 265 Water & Sewer Relocation Project - AHT u Audit & Reimbursement Recommendation: Approval of a refund to the Highway Department for overpayment of reimbursement related to water and sewer relocations for the Highway 265 Widening Project, and a Budget Adjustment of $254,467.83. Background: The construction of Highway 265 Water & Sewer Relocation was completed in 2002, to clear the right of way for the widening project by AHTD. At that time, the City submitted the final request for reimbursement payment per the approved contract with AHTD. Copies of the contract and payment request are attached. AHTD approved the City s request and a total reimbursement of $1,972,812.03 was made to the City. Discussion: On this type project, AHTD executes a contract with the municipality, allowing reimbursement for the cost of relocating the facilities that are outside the right of way. The reimbursement ratio is computed based on existing facilities that are located in the new right of way, but outside the existing right of way. For this project, the reimbursement ratio was calculated to be 51.44%. The City of Fayetteville desired to improve the water system and upsized the water mains from 12" to 24". The reimbursement factor of 51.44% was applied to the total cost of the project. As separate bids were not required to distinguish between the total contract and the improvements, it was Staffs and the AHTD Utilities Section understanding that the reimbursement factor be applied to the entire project cost. At that time, Accounting was informed by Engineering that an AHTD audit might change the reimbursement amount if exceptions are taken (a copy of this memo is attached). AHTD generally has a timetable of 90 days to audit any project, but this project was audited almost four years after completion. The auditor took exceptions to the reimbursement method, and required the City repay $884,632.76. Engineering and the City's Audit Staff evaluated the documentation, and determined the repayment amount to be $254,467.83. After review, the AHTD concurs, and has sent the City an invoice for $254,467.83 (attached). Budget Impact: There are funds remaining in two AHTD related water/sewer relocations that are almost complete. The budget adjustment moves the required funds from these projects to make the reimbursement. Prosect 2007 Budget Anticipated Available Funds Hwy 62 (Farmington) Water Relocation $202,828 $154,828 North College Water Line Replacement $110,164 $102,164 Total Estimated Available Funds $256,992 HWY265AuditMay97 RESOLUTION NO. A RESOLUTION APPROVING A REFUND TO THE ARKANSAS STATE HIGHWAY AND TRANSPORTATION DEPARTMENT (AHTD) FOR OVERPAYMENT OF REIMBURSEMENT RELATED TO WATER AND SEWER RELOCATIONS FOR THE HIGHWAY 265 WIDENING PROJECT; AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $254,467.83 BE IT RESOLVED BY THE CITY COUNCIL OF TH FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the Ci hereby approves a refund to the Arkansa tate High Department (AHTD) For overpayment of ? bursem sewer relocations for the Highway 265 Wi. �7 t. Project Section 1. hereby ap - a bu Counc ent sas ation and D this API 13 OODY, Mayor day . ne, 2007. ATTEST. etteville, Arkansas 7.83. By: SONDRA E. SMITH, City Clerk/Treasurer FAYETTEVILLE THE CITY OF FAYETTEVILLE. ARKANSAS DEPARTMENTAL CORRESPONDENCE To: Marsha Farthing, Accounting Manager From: Sid Norbash, Staff Engineer A„✓ Date: November 28, 2001 Re: Your memo of 11-20-2001 Hwy 265 W&S Relocations Reimbursements from AHTD In reference to the above mentioned project, the construction is now completed, and the last condemnation of property for easements was finalized last week. Attached for your information please find a, copy of my correspondence with AHTD, and a summary of costs and reimbursements. Please be advised that all these figures are what we are requesting for approval, any amounts shown are subject to denial or revisions during the audit, and may change the values. SN/sn attachments • • FAYETTEVILLE THE CITY OF FAYETTEVILLE, ARKANSAS August 2, 2002 Mr. Joseph Qualls, Senior Utilities Coordinator Arkansas State Highway and Transportation Department Utilities Section / R.O.W. Division P.O. Box 2261 Little Rock, AR 72203 Re: Job 004999 (Utilities)- State Project Hwy. 16 - Hwy. 45 (S) Route 265 Section 2 Washington County Reimbursement Request Per Contract —Revised Pay Estimate #2 & Final Clarification & Revision of Engineering Fees Dear Mr. Qualls: Per our phone discussion of last week, I have revised the reimbursement amount for the engineering portion of the above referenced project as follows: Total construction cost Total non -reimbursable construction cost $3,629,247.53 $ 443,009.71 $443,009.71 divided by $3,629,247.53 = 0.1221 or 12.21% 12.21% of Engineering Cost is not reimbursable. Our records show total Engineering cost of $653,683.01 therefore, applying the 87.79% reimbursable factor, the reimbursable Engineering Cost is calculated to be $573,868.3 1 Total Reimbursable Construction Cost Easements Acquisition Expenses Engineering Total Expenses Reimbursement to City per 51.44% factor Less Previous Payment by A.H.T.D. Total Due to City 113 WEST MOUNTAIN 72701 501 521-7700 FAX 501 575-8257 $3,186,237.82 $ 75,065.00 $ 573,868.31 $3,835,171.13 $1,972,812.03 - $1,459,681.78 $ 513,130.25 Mr. Joseph Qualls Page 2 We would like to submit to you for your approval, our Revised Final Pay Estimate for relocations and the adjustments of water and sewer facilities m reference to the above project. Attached to this letter is the Revised Final Pay Estimate submitted for your approval. This statement will replace the submittal dated April 9, 2002. This payment will closeout this project your immediate attention will be greatly appreciated, and if you have any questions please call me at (501) 575-8205. Sid Norbash Staff Engineer attachments: One set of As -Bulks SN/sn FAYETTEVILLE THE CITY OF FAYETTEVILLE, ARKANSAS August 2, 2002 Mr. Joseph Qualls, Senior Utilities Coordinator Arkansas State Highway and Transportation Department Utilities Section / R.O.W. Division P.O. Box 2261 Little Rock, AR 72203 Re: Job 004999 (Utilities} State Project Hwy. 16 - Hwy. 45 (S) Route 265 Section 2 Washington County Reimbursement Request Per Contract - Pay Estimate #2 & Final (REVISED) Dear Mr. Qualls: We would lice to submit to you for your approval, Final pay estimate for relocations and the adjustments of water and sewer facilities in reference to the above project. Attached please find the necessary documents indicatmg the cost of this contract per this Final Pay Estimate. For Phase I Contract - finished work for final estimate $1,097,629 05 For Phase H Contract - finished work for final estimate $2,088,608.77 Easements Acquisition Expenses $ 75,065.00 Engineering $ 573,868.31 Total Reimbursable Expenses Reimbursement to City per 51.44% factor Less Previous Payment by A.H.T.D. $3,835,171.13 $1,972,812.03 - $1,459,681.78 Total Due to City $ 513,130.25 This payment will close out this project your immediate attention will be greatly appreciated, and if you have any questions please call me at (501) 575-8205. Sid Norbash Staff Engineer attachments SN/sn 113 WEST MOUNTAIN 72701 501 521-7700 FAX 501 575-8257 • Description Summary Costs and Reimbursements from AHTD for Hwy 265 Water & Sewer Relocations Project AHTD Job 004999 (Utilities) April 9, 2002 Amount % Reim. AHTD's Share City's Share Eligible for Reimb. Easements: Total cost of the easements $ 75,065.00 @.5144 $38,613.44 $36,451.56 Engineering: Of $653,683.01 Total Eng. $573,868.31 is reimbursable $573,868.31 @.5144 $295,197.86 $278,670.45 Construction: Phase I Contract cost $1,097,629.05 @.5144 $564,620.38 $533,008.67 Phase II Contract cost $2,088,608.77 @.5144 $1,074,38035 $1,014,228.42 Including. Change Order #1 Total Due From AHTD Less Previous Payment $1,972,812.03 $1,459,681.78 Net Amount Due City $ 513,130.25 ARKANSAS STATE HIGHWAY AND TRANSPORTATION DEPARTMENT Dan Flowers Director • Phone (501)569-2000 Fax (501)569-2400 October 9, 2006 Mr. Sid Norbash, Staff Engineer City of Fayetteville Water & Sewer Department 113 West Mountain Street Fayetteville, AR 72701 Dear Mr Norbash: P.O. Box 2261 Little Rock, Arkansas 72203-2261 W W W.AR RANSASHIGH W AYS.COM RE: 004999 Arkansas: STP -9142(6) Utility Ref: State Hwy 265 Widening The final statement for expenses incurred by. City of Fayetteville Water & Sewer.Departnient in connection with the above referenced job has been audited and exceptions have been taken to the billing as follows: Exception One — Incorrect Amount for CbanRe Order One Paid on Pay Estimate 2 The increase by Change Order One in those costs subject to reimbursement by the Department was $30,905.00 as shown on the copy of the change order attached to this report. This amount increased the amount of Phase tI subject to reimbursement by the Department to $2,086,208.77 ($2,055,303.77 + $30,905.00). Also the effect of applying the reimbursement factor in the agreement, 51.44% to this amount increased the amount to be reimbursed by $15,897.53 (.5144 x $30,905.00). However, in preparing pay estimate Two and Final to remit payment to the utility, the amount shown as subject to reimbursement for Phase II was $2,088,608.77, $2,400.00 more than the correct amount of $2,086,208.77. Applying the reimbursement factor of .5144 to this amount results in the reimbursable amount being overstated by $1,234.56, and an exception is taken for this amount. Total amount of Exception One ($1,234.56) Exception Two —Estimate and Reimbursement Factor not Representative of Actual Construction Cost The reimbursement factor provided by the agreement. 51.44%, is the ratio of estimated reimbursable construction cost to total estimated in-kind replacement cost. However, the actual items installed, their quantity, and the resulting costs varied considerably from the estiniate used to determine the reimbursement factor. RECEIVED OCT 122006 ENGINEERING DIV. Page 2 October 9, 2006 In addition, the cost of increasing the size of much of the waterline to 24" as planned by the utility while formulating the initial plan and estimate was not included in the total estimated cost. However, the utility applied the reimbursement factor in the agreement to the cost of the portion of the project cost that included the 24" waterline (the betterment cost). Had the estimated cost of the betterment been included in the amounts used to determine the ratio, the reimbursable factor would have been 38.13% as shown in the following comparison. This calculation does not take into consideration the actual cost of the construction. Estimated reimbursable cost of project, $1,099,414.07 _ Estimated in-kind replacement of $2,137,274.63 = 51.44% Estimated reimbursable ost of prof ct, $1,099,414.07 - Replacement cost w/betterment of $2,883,383.69 = 38.13%'Cvn hi- G µ I N� In order to fairly reconcile these issues, a worksheet listing the cost, quantity and description of all items installed on the project a worksheet titled Itemized List of Construction Costs was prepared for the purpose of designating each item reimbursable or non -reimbursable, and includes a brief explanation of why or why not a particular item was considered reimbursable. This worksheet is attached and made part of this report as the basis for this exception, and includes only those items included in the billto the Department, items 1-54 under Phase I and item 1-55 under Phase 11. Due to the limited expertise of this auditor in the specific construction process of the project, the inclusion or exclusion of some items in the non -reimbursable or reimbursable total is subject to further consideration by the utility. It is understood that the City of Fayetteville Water & Sewer Department engineering staff will review the results of the worksheet and possibly object to the exclusion of some items from the reimbursable total. Any claim by the City that some excluded items should be included must be supported by adequate documentation and explanation. As shown on the worksheet, the reimbursement amount determined by applying actual costs and quantities results in a reimbursable amount of $903,947.79, resulting in a reimbursement factor of 28.39% ($903,947.79 _ $3,183,837.82). Since the amount paid for construction after the adjustment described in Exception One, is $1;637,766.17, ($3,183,837.82 x 51.44%), an exception is taken for the overpayment of $733,818.38, ($1,637,766.17 - $903,947.79) until the utility provides adequate documentation to support a revision to this amount. Total amount of Exception Two ($733,818.38) Exception Three —Reimbursable Enpineerine and Easement Costs Impacted by Revised Percent The amount . of engineering and easements determined to be a necessary cost of this relocation is $573,868.31 and $75,065.00 respectively, $648,936.31 total. Applying the reimbursable percent in the agreement of 51.44% to this amount resulted in the utility being reimbursed $333,812.84, $648,936.31 x .5144. Since the recommended reimbursement factor was revised to 28.39% by exception two, the reimbursable portion of engineering and easements must be reduced accordingly to $184,233.02 (28.39% x $648,936.31). Therefore, an exception is taken for the amount of the reduction or $149,579.82 until the utility provides adequate documentation to warrant a change in the recommended reimbursement amount. Page 3 October 9, 2006 Total amount of Exception Three ($149,579.82) Summary of Exceptions 1. Incorrect Amount for Change Order One Paid on Pay Estimate 2 ($1,234.56) 2. Reimbursement Factor in Agreement not Representative of Actual Construction Cost ($733,818.38) 3. Reimbursable Engineering and Easement Costs Impacted by Revised Percent ($149,579.821 Total Exceptions ($884,632.76) Please submit your concurrence or rebuttal to the exceptions direct to this office within 30 clays of the date of this letter. If you have any questions or need additional information, please call Mr. Leonard Grinstead at (501) 569-2516. Sincerely, Larry Dickerson Chief Fiscal Officer I ARKANSAS STATE HIGHWAY COMMISSION UT ILITY CHANGE ORDER UTILITY City of Fayetteville Water & Sewer Change Order No. ONE TOB NO. 004999 FAP NO. STP -9142 (6) SOB NAME Hwy. 16 - Hwy. as (S) ROUTE 265 SECTION 2 IIOUNTY Washington )escription of Change:'. I) The water contractor had to move crossing at Station 30-00 several times to fmd a suitable area to cross Highway 265. 2) Had to place a six (6) inch tapping valve and sleeve in lieu of tie-in and valve. 3) Re-route 24 inch waterline at no cost to the Department. 4) Had to install a temporary two (2) inch bypass fitting on 24 inch waterline. 5) Adjust an additional 491 feet of 24 inch waterline at no cost to the Department. 5) Need to install extra blocking to install 24 inch waterline in Item Five at no cost to the Department. 1) Need to repair damage to parking lot of Crossover Liquors. .eason for Change: .) To clear a cave discovered on portions of the right of way. :) To clear conflict with existing six (6) inch water main. ;) To -avoid getting into supports of a retaining wall. -) To provide service to customers during contemplated shut down of 24 inch waterline. & 6) To make connection to existing water main at Station 71+70. ) The weight of heavy trucks on parking lot of Liquor Store did considerable damage, access to waterline was only available at Liquor parking lot. SUMMARY Present Amount iginal estimated reimbursable per utility agreement dated 09-01-99 349,455.16 X 51.44% $ 1,465,759.34 Revised Amount timated amotint per this C.O. # One 180,360.16 X 51.44% $ 1,481,657.27 ues ed / 1 • :ommended [roved horized ordina ChieWr - tilities.; tion of Way Division II Asst. Chief Engineer -i_. 41 TOTALS $ 1,465,759.34 $ 1,481,657.27 Date T - 9-01 Date 4-- r— 4 oZ Dat 70 Date T'— 9`P 2= OVERRUN $15,897.93 04/08/2002 10:01 501-575-8202 FAYETTEVILLE THE CITY OF FAYETTEVILLE. ARKANSAS ENGINEERING C.O.F. PAGE 02 April 8, 2002 Mr. Joseph Qualls, Senior Utilities Coordinator Arkansas Highway and Transportation Department P.O. Box 2261 Little Rock, AR 72203 Re: Route 265 Section 2.:Hwy. 16 - Hwy. 45 (S) F.A.P. STP - STPG - 91 - 42(6) Job 004999 (Utilities) - Water & Sewer Relocations Phase 11 Approval of the Related Change Orders Dear Mr. Qualls: In reference to the above mentioned project, during the course of the construction, certain change orders were necessitated to facilitate the construction of the needed water and sewer adjustments, and they are as follows: Change Order #1 Change Order #2 Change Order #3 Change Order #4 Change Order #5 Change Order #6 Change Order #7. $14,325 00 $ 200.00 City cost only $ 1,380.00 City Cost Only City Cost Only $15,000.00 :r Copies of the above Change Ordeis are attached, and the explanation and Justifications 'are mentioned. We hereby request your Departmental approval of these changes, so we can proceed with closing out our reimbursement contract with A.H.T.D. If you have any: questions or comments please advise. Sid Norbash Staff Engineer SN/sn attachments 1 1. 24" Waterline, Ductile Iron 2 2. 12 Waterline, Ductile Iron 3 3. 8' Waterline, Ductile Iron 6' Waterline, Ductile Iron 4 4. 2" Service Waterline 5 5. 36" Die. Steel Casing by Bore 8 Jadi 6 4 6. 24" Dia. Steel Casing by Bore 8 Jack 7. 7. 16' Die. Steel Casing by Bore & J do 8. 8. 36' Dia. Steel Casing by Open Cul 9. 9. 2e Dia. Steel Casing by Open Cut 10. 10. 18' aa. Steel Casing by Open Cut 11. 16' Dia. Steil Split Casing by Open Cut 12. Concrete Utility Saddles 11. 13. Compact Ductile Iron Fittings 12. 14. 24' Butterfly Valve & Box 13. 15A. 12" Butterfly valve & Box 14, 15. 8" Gale Valve 8 Box 16. 6' Gate Valve & Box 15. 17. Trench Safety System 16. 18. Fire Hydrant Assemblies 17. .11(.4 19. Remove & Replace Existing Asphalt 18. 20. Remove & Replace Existing Concrete 19. 21. 4' Thick Sidewalk Repair 22. Remove & Replace Concrete Riprap 20. 23. Erosion Control 21. Temporary Fencing to Prated Uvestock 22. 24.6"Dual Body Ai R I N um Vane 23. 4' Dual Body Air ReleaseNacuum Valve 24. 25. 2' Dual Body Air RoleaseNacuum Valve 25. ai 26. EVx E' Tapping Sleeve &Valve !v 27. 12' x 8' Tapping Sleeve & Valve 28. 12" x 12" Tapping Sleeve & Valve 26. 29. TIe4n Existing 8" Water Line * 30. Tie -In Existing 6' Water Une 31. TIeJn Existing 12" Water Line 32. Tiein Existing 24' Water Line • 27. 33. Tie4n /Relocate Existing Water Meter 28. 34. Salvage Existing Fire Hydrant Barrel 26A. 44 Abandon Existing Waterline 29. 35. Rock Excavation 35A. Rock Excavation by Hydraulic Rock Hammer 30. - 36. Install Tree Protection Fence • 31. 37. Root Cutting And Pruning 32. 38. New 3/4" Meter Box Setting 33. 39, Traffic Control 34. 40. Class 7 Aggregate Backfill 41. Slurry Backfill 35. Flowable Backfill 36. 42. Special Hillside Baddill 37. 15' Diameter PVC Sanitary Sewer Pipe 38. 43. 8" Diameter PVC Sanitary Sewer Pipe 39. 6" Diameter PVC Sanitary Sewer Pipe 40. Abandon 4' Diameter Standard Manhole 44. Abandon Eliding Sanitary Sewer Manhole 41. 45, 4" Diameter Standard Sanitary Sewer Manhole 46. 4' Dia. Drop Connexion Sanitary Sewer Manhole 47. Remove & Replace 4' Dia. Std. San. Sewer MH 42. Remove it Diameter Sewer Pipe 43. Plug Existing 14' Diameter Sewer Line 44. Cut & Plug Existing 6" Diameter Sewer 45. 48. Cut & Plug Existing 8" Diameter Sewer 46. 49. Surface Video Documentation 47. 50. Television Inspection of Existing 6" & 8' Sewer 48. 51. Grass Sod to Match Existing 49. 52. Grass Seeding and Mulching 50. 53. Topsoil 51. 54. Resident Notification of Water Service Intentpt 52. 55. Mobilization and Storage 53. 16" Steel Sprit Encasement by Open Cul 54. 16" Steel Casing by Jack & Bore (0S -ROW) Total Incurred Under Initial Agreement City of Fayetteville Water Sewer Slate Project: 004999 - State Hwy. 265 Improvements Itemized List of Construction Costs • Nein gee; Rei;*64 Re 6.•.61. LS51A" hi 13673.000 51,066,176,00 0.000 (5232,592,71) 6627.500 5228,588.25 0.000 ($2,207.20) 391 000 54,922.00 353.000 5138,610.00 0.000 50.00 539,000 5128544,04 698.000 5107,430.00 325.000 526.500.00 799.000 548,742.00 20.000 11,600,00 2.530 5379.50 20.633 5123,181.92 14.000 577,000.00 8.000 123200.00 $1,740,073.81 24.000 1000 34.000 40.134 33.932 24.890 0.000 0.000 0.000 1.000 1.000 2.000 10.000 0.000 3.000 9,000 2.000 0.000 5.000 56.000 10.605 0.000 820.827 0.000 902.132 0.000 39.000 0,707 1985.836 159.075 41.890 1959,804 0,000 0.000 0.000 1.000 28.170 6.B00 2.120 0.000 0.000 0,000 0,000 0,000 0.000 71.610 5694,560 1415,010 0.720 0.720 14.320 0,000 518,357.30 11412,10 55 491.50 576,724,10 52,628.35 51,36945 5978.15 50.00 55,491.50 $353.02 528,242,00 57,688.10 517,651.25 519,298.70 50.00 58,237.25 $12,552.00 52,824.20 11,96125 $6,000.00 518,628,00 52,353.50 5627.60 36,785.14 10.00 51,821.61 10.00 124,241.05 532,164.50 536,585,68 510,590.75 12788.90 518,391.82 5000 $0.00 50.00 5350.07 5300.06 54,63306 51,36027 1546.78 50.00 50.00 50.00 50.00 50.00 50.00 5214,83 56.613,73 110,581.09 52,148.30 5139540,22 5988.22 50.00 0.000 7890.000 630.000 80.000 0.000 0.000 286.000 39.000 0.000 0.000 0.000 0.000 0.000 5.544 0.000 4.000 50.00 Betterment 5344.064.96 Mduded in Basis for Revising Water Pct 521,729.25 nduded in Basis for Revising Water Pct 52,207.20 nduded in Basis for Revising Water Pd. 50.00 * nduded in Basis far Revising Water Pct nduded In Basis for Revising Water Pct. nduded in Basis for Revising Water Pct nduded in Basis for Revising Water Pct. nduded In Basis for Revising Water Pct nduded in Basis for Revising Water Pd, nduded M Basis for Revising Water Pd. nett/clod in Basis for Revising Water Pd. nduded in Basis for Revising Water Pd. nduded in Basis for Revising Water Pct nduded In Basis for Revising Water pd. nduded In Basis for Revising Water Pct. 508,027,92 _$2,248,101.73 21.55% 50.00 586,345.00 59.300.96 50.09 5090 50.00 50.00 50.00 532,780.56 50.00 511,600.00 3508,027.92 4.000 55,042.70 21.55% Relmb. Cost of Items 1-13/15A 2.000 5387.90 21.55% Reimb. Cost of Items 1-13/15A 1.000 51,508.50 21.55% Rebnb. Cost of Items 1.13/15* 3.000 521,075.90 21.55% Reimb. Cost of Items 1-13/15A 351.036 522,167.45 * 094% Reimb. Cost of Paving & Concrete 296.788 511,549.91 89.4% Reimb. Cost of Paving & Concrete 217,700 58,249,65 89.4% Reimb. Cost of Paving & Concrete 0.000 50.00 21.55% Reimb Cost of Items 1-13/15A 1.000 51.508.50 21.55% Relmb. Cost of Gens 1-13/15A 150.000 596.98 21.55% Reimb. Cost of Items 1-13/15A 5.000 57,758.00 21.55% Reimb. Cost of Items 1-13/15A 1.000 52,111.90 21.55% Reimb. Cost of Items 1-13/15A '4,000 54,848.75 21.55% Reimb. Cost of Items 1.13/15A 0.000 $5,301.30 * 21.55% Reimb, Cost of Items 1-13/15A 0.000 50.00 21.55% Reimb. Cost of Items 1-13/15A 0.000 52,262.75 21.55% Relmb. Cost of Items 1-13/15A 0.000 53,448,00 2155% Reimb. Cost of Items 1-13/15A 0,000 5775.80 • 21.55%Reimb. Cost of items 1-13/15* 1.000 5538.75 21.55% Reimb. Cost of Items 1-13/15A 0.000 30.00 21.55% Reimb. Cost of Items 1-13/15A 4.000 55 172 00 21.5546 Reimb. Cost of Items 1.13/15* 4.395 5646.50 21.55% Relmb. Cost of Items 1-13/15* 1.000 5172.40 * 21.55% Relmb. Cost of Items 1-13/15A 340.173 51,863.86 21,55% Reimb. Cost of Items 1-13/15A 0.000 50.00 21.55% Reimb. Cost of Items 1-13/15A 373.868 5500.39 21.55% Relmb, Cost of Items 1-13/15* 0.000 50.00 21.55% Reimb. Cost of Items 1.13/15A 18.000 56,658.95 21.55% Reimb. Cost of Items 1-13/15A 0,293 58,835.50 21.55% Reimb. Cost of Items 1-13/15* 822.984 310,049.06 21.55% Reimb. Cod of Items 1-13/15A 65,925 52,909.25 21.5599 Reimb. Cost of Items 1-13/15A 17,360 5766.10 21.55% Reimb. Cost of Items 1-13/15A 812.196 15,052.18 21.55% Reimb, Cost of Items 1-13/15A 243.000 510206.00 100% Relmbursade on Estimate 3267.000 5123,235.00 10056 Reimbursable on Estimate 0,000 30.00 100% Reimbursable on Estimate 6.000 51,749.93 Manhole Work Reimbursed 83.33% 5.000 51,499.94 Manhole Work Reimbursed 83.33% 141.000 522163.82 Manhole Work Reimbursed 83.33% 34.000 56,799.73 Manhole Wort Reimbursed 83.33% 11.000 52,733.22 Manhole Work Reimbursed 83.33% 26.000 5780,00 0099 Reimbursable on Estimate 2.000 $400,00 00% Reimbursable on Estimate 2.000 5400.00 00% Reimbursable on Estimate 6,000 11,200.00 00% Reimbursable on Estimate 1.000 53,000.00 0055 Reimbursable on Estimate 3255.000 510,736.00 00% Reimbursable on Estimate 28,390 585.17 6 -kind Reimbursement Pct 27.74% 2257.620 32.622.04 n -kind Reimbursement Pd. 27.74% 560.990 54,194.91 n -kind Reimbursement Pct 27.74% 0.280 5851.70 n4dnd Reimbursement Pct 27.74% - 0.280 355.36078 n4dnd Reimbursement Pct 27.74% 5.680 . 5391.78 n4dnd Reimbursement Pa 27.74% 35.000 55250.00 00% Reimbursable 52,279.890.03 5903,947.79 71.61% ' Items affected by Change Order 1 Page 1 of 1 28.39% 28.39% z.a-.w revwvz,c.: ENGINEERING DIVISION TIIE CITY OF FAYETTEVJLLE9720 113 WEST MOUNTAIN FAYETTEVILLE, ARKANSAS 72701 479-575-8206 FAX 575-8202 FILE COPY March 29, 2007 Mr. Larry Dickerson, Chief Fiscal Officer A.H.T.D. P.O. Box 2261 Little Rock, AR 72203-2261 Re: Audit of 004999 -STP -9142(6) -State Hwy 265 Widening Dear Mr. Dickerson: This letter is our response to your letter of October 9, 2006, reference to the results of the audit of this project. RJN Group, Inc from Dallas, Texas was our engineering consultant on this project who worked closely with the Highway Department to perform the calculations which ultimately were the basis for the formal agreement between A.H.T D, and the City of Fayetteville. Copies of all the work sheets are attached for your information After reviewing the findings of the audit we have the following comments: (1) We do agree that the reimbursement factor of 51.44% should have been applied to the actual construction cost without the betterment. It was an oversight, although it was approved by A H T D (2) We respectfully disagree with re-establishing the reimbursement factor (see note 4 below). (3) It is unclear on what basis the auditor divided up the reimbursable and non reimbursable items. A classic example of this is Traffic Control The cost of this item was not affected by the betterment (increasing the 12" waterline to 24"). We disagree with these classifications, as there are many items that are incorrectly labeled as non -reimbursable. (4) Since the Highway Department did not require the city to obtain an in-kind bid schedule, we have re-established an in kind list using the original estimates, and applying the contract prices whenever available. For the items that no bid prices were available we estimated the price, using the same ratios as the original estimates (Prepared by our Engineers, RJN and approved by A.H.T.D.). The additional items that were included on the bid list and approved by A.H.T.D. are indicated separately as they were bid. (5) The 51.44% reimbursable factor per our official contract with A.H.T.D. is applied to the in kind construction cost mentioned above. (6) TheEasement casts and the EnpjiR and reimbursable at the established rate of 51.44%. The betterment did not affect the engineering costs (per RJN Group), or the easement costs. (7) All items are adjusted to reflect the effect of betterment (over -sizing the 12" waterline to 24' waterline). Based on the above explanations the summary of costs and reimbursable amounts are as follows: Total Construction Cost $2,660,644.20 Plus Reimbursable Change Orders #1, 2, 4, & 7 14,325.00 200.00 1,380.00 15,000.00 Total In-kind Construction Cost Easements Acquisition Expenses Reimbursable Engineering Construction Cost Without Betterment Total Reimbursable Expenses $2,691,549.20 $ 75,065.00 $ 573,868.31 $2,691,549.20 $3,340,482.51 Amount due to City $3,340,482.51 x.0.5144 = $1,718,344.20 Amount previously reimbursed to the City $1,972,812.03 Overpayment By A.H.T.D. Sid Norbash Staff Engineer cc: Ron Pertie, City Engineer David Jurgens, Water & Sewer Director Mr. Leonard Grinstead, A.H.T.D. Attachments: Supporting documents $ 254,467.83 r 0 m o a T1'am 60 nt, 0 Project TotaI:1 n 0 0 Project Subtotal:1 m 00 .v NO ea z (Asphalt overlay "' R 8 R concrete pavement "' o g o T. a [8`s 6' Tapping sleeve 8 valve [8' DI Water Line 0 Polywrapped 0 do g «m 0 o O x I12" x 9" Tapping sleeve 8 valve 18" DI Water Line 0 Polywrepped Bore at Birdie 8 265 [Emergency Power Backup 'Trench Safety Install 'Trench Safety Design 'Connect to Existing MH Extra Depth for MH n 0 - m ¢ _ (Bore 8 Case °I°: VI0 so n L''' 14" PVC SDR035 Sewer 12` PVC SDR035 Sewer '10" PVCSOR035 Sewer---- I 8' PVC SDR035 Sewer (Rock Excavation 'Water Mater Replace/Relocate Connect to Existing Water Line 13/4" Water Service --. -. --I d m w m R i [Trench Select Backfill (Trench Embedment 0 c 01 m Fire Hydrant Complete w/ lead 8 valve "1 I81ow Off Valve >03 A.,m mo« rn 8" x 8" Tapping Sleeve 8 Valve I6' Gate Vale 8 Box m' n m m w o 112' Gale Valve 8Box --- -_--- e • m w m Ductile Iron Fittings "' 6' Dl Water Line 0 Polywrapped ' & 8' DI Water Line 0 Pohv rapped " 12" DI Water Line 0 Polywrapped 124" DI Water Line 0 Polywrapped o 0 i a PRELIMINARY CONSTRUCT(( Hwy 285 WATER & SI U U U <bbr?I m m r r m bbrr m r r N r MD,DTDDTTiI: m< m r m m r r 0 m k.), m m r 0 P ((yD 0 m m m D7171DDDDD8n r r m m m m m -1 r r C _ N N r '88-'88- o �O 8>' O �O�p 8 00 8> 3925 ' O m d g C 0 0 6 O yy N 3320 O 8 w g I 18935 m m 8 'm U U 8 O o u 0 O 0 u O g v O 0 j _ 888888 I $225.00 58 535.00 I $225.00 I p 53.00 8588888858 523.00 8gg8o88ggg 88888 I 5950..00 0888888e C 0t3-0wI«„-m« "m,.p08p -m8NN§ pp. $2,000.00 u 8 522,500.00 -mthm §§§.E 0 0g 520,000.00 ' 888 «'^ �§ 'o 522,250.00 527,000.00 I 598.000.00 I «mm«am'm(/�8 §§080 pss pggg'ssss p.b°. �rss (n . . . (.� . §§§ sg's . - ;`m 'sg 1-598,000.00 «NNa 8s 8858 s8ls"ssd 8k.'«v �ggg ca mm p.0 00 1368.75 7J 8 ; ,;40ovo 1.2.85 ow>, t.-0 8.87 oCO Ngo m U m 41 < L.F. L.F. rom rib m b 0 i m b mrr n I E.A. 8mm »?09r. -Ir I L.F. entity y888 o al"' 0 0 0 0 0 0 0 0 0 0000 8psp 8 5160.00 «««ammN�«o« OOO. pp8g88gg8'8 . U0�"'p 52.000,00 [ 5847.27 ««�"«'8vtiti O pp85gt88$ C O u g 000 5688.00 o Op.O g 0 $6.800.00 NN4«iP9 N 555509 U g N u g a 5878.40 uv '8$0088888$$88 88 «mmmmmmmmmmmm 515,379.20 mmmvmm 888888. t 8 " 8 $7.644.00 1-P-R8m«Opoo«0p$ 8 888 o 8 X gz-Ra 888888 ommm 7i S 549.000.00 9288 rnuu . 888 1 5244,274.00 I sd 0J:00000000000000 00000$8 m-=00„0_� m 0_ «««« i T m« Ouantity Total mouoo0oe0000000o I _ 573.05 e00000 g 000pop.. oo 52,400.00 0 56.000.008 ' $3.500.00 5275.00 o. 8$ 52,400.00 S8p0 WP 556.00 59 cD D m Grand Total « Paaga to Of 57.325.00 55.280.39 m 000000000000Om000000 `e it 8 92.385.00 $ 88 ss�g88 « 888 Um 8 8 u���Ns '§'N.`$'PPP$pro sg8s88s 'v + $55.650.00 os8 u« u000 m m mm' �am000000000oo00m000000 80 I 123.235.00 _1 w8T-m85 88 « 0 57.000.00 1 N88 0 549.800.00 1 8 AA mooq pN0 888 I 522,800.00 1 Mm« 0 8 3,850-00 1 0881; 8 w« 00 586.207.50 08 0 Total Phase 1811 1 • 164 Bore/Jack - I (no a=to Notify Residents ~mO O o6 m to CLN - • mm_9P go .T Surf. Video Doc. Cut &Plug 8" SS o 0, N m E3 N 13 N Abandon M.H. Special Hillside Backfill T o oF co 03 Traffic Control Tree Protection Fencing Salvage F.H. • 8 Walter Llne TIBOIII Temporary Fencing Erosion Control 18" Case open cut 24" Case open cut 2' Service Line Description Ph. I YNtLIMINAKT GVNSTHUCTI Hwy 265 WATER & SI -rtii N rCNNrrmmmrmpO.rrmmrrrrrc NK<C T NDDDn➢<(NT➢D T l/i TMM. ono le 0 e 15385 _ I o I 1313 .-..•N me V 0icc g o 0 uN Quantity $150.00 0000000 00'000'LS. ooa000 oo=''apuov og 00000000 ci 446n Pi 1 $80.00 u 4. a Unit Price N�• oO D O $1.000.60 oo fa 1 --$300.00 $3,939.00 O000OOUl O o o o p g o NNNw N °98898C° o o 0 OS 0 o 69 S 6.1 po I $45,840.00 le O Total Mob & Storage I Notify Residents -iia N 0P N a TV Exist N < - 0 C/PLG 8" R&RMH 4' DI DRP Abandon MH 0� JC T N T. 1 Traf0c Control Tree Protection SLVG HYD Tie 12" _y_OE Nv Erosion Control • I 12"x12"Tap SP SDDL 18" Split Casing ma ubb m Dmm a m c w m c I 24" Case B/J ' 0 • to ° V p y S ACTUAL IN KIND BID ITEMS THAT WERE NOT INCLUDED IN THE ORIGIONAL ESTIMATE PHASEI PHASE II N6<< rCNrrm«nforrmm iT NDTTD<C NilpD> EA >N Lh. M rC . 4 -. -• 472 582.57 N N 40.8 0 1 1504 in N 8 2.m NL�Nb+ N p 398 450 in Jo Ca Quantity CA 68 0 ouoo 0 00'002$ - I 4ff 0 a'oo 00000 00 $80.00 Foc. No am Unit Price - qgo 00 $4.248.00 1 0 52,000.00 1 0000860 o 00o. 0. oo $103,675.00 1 06 0 cl0 69 V mgoo 99 0 elf/le-4640010N e 0 61 0 1 $12,232.00 I 69 oyiPac 00 fa in- 0 ono, oa 0 Porno o el 00 vb 1 Total Phase l &