SUBJECT
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Approve Change Order No. 002 (Deductive) for Youngquist Brothers Drilling, Inc. for Construction Contract 22-641 Southeast Wellfield Injection Well IW-1 (Action)
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DESCRIPTION
On March 22, 2023 the Southeast Board of Directors approved a Contract with Youngquist Brothers Drilling, Inc. (“Youngquist”) in the amount of $18,888,000.00 for the construction of the Southeast Injection Well 1 (“SEIW-1”) and associated monitoring wells. On July 24, 2024, the Board approved Change Order No. 001 to the Youngquist Contract to add the West Polk Injection Well 1 (“WPIW-1”), resulting in a revised Contract Price of $42,237,310. Construction of SEIW-1 is now complete and Youngquist has demobilized from the site.
The final pay application for SEIW-1 has a balance to finish of $1,148,300.00 based on actual quantities necessary to construct the wells and $577,150.00 of unused contingency. Therefore, the final cost for SEIW-1 is $17,739,700.00. Change Order No. 002 serves to deduct the remaining balance from the Contract based on the final cost of SEIW-1, resulting in a revised Contract Price of $41,089,010.00.
RECOMMENDATION
Approve Change Order No. 002 (Deductive) for Youngquist Brothers Drilling, Inc. for Construction Contract 22-641 Southeast Wellfield Injection Well IW-1 (Action).
FISCAL IMPACT
The cost to construct SEIW-1 resulted in a reduction in contract costs of $1,725,450
CONTACT INFORMATION
Eric DeHaven
Mark Addison
Tom Mattiacci