Supplemental Agenda Items - FGUA

Item
Florida Governmental Utility Authority
Board Agenda Item
Thursday, February 17, 2011
SM 4 Approval of Amendment to the Design-Build Agreement for Waterway Estates
Interconnect between FGUA and CDM Constructors, Inc.
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Summary
Provided for your review and consideration is an Amendment to the Design-Build Agreement For Waterway Estates
Interconnect entered into between the Florida Governmental Utility Authority (FGUA) and CDM Constructors, Inc.,
dated October 21, 2010. In accordance with the Design-Build Agreement, acceptance of the Guaranteed Maximum
Price (GMP) by the FGUA Board “shall occur on or before February 17, 2011 in order for Design-Builder to meet the
specified Substantial Completion Date…….” On January 18, 2011 the Design-Builder, CDM Constructors, Inc.
submitted a GMP to FGUA which was well in excess of the funds budgeted for the project. Since this time, FGUA
staff and the Design-Builder have been actively negotiating in an attempt to reach a GMP acceptable to all parties.
The Design-Builder is currently incorporating a number of value engineering alternatives into the project which
hopefully will result in an acceptable GMP. In the event an acceptable GMP is not resolved by February 17, 2011 for
Board approval, and negotiations are continuing, a contract amendment is required to amend the GMP (and
issuance of the associated Notice to Proceed) approval date. Accordingly, we are recommending that the date for
GMP acceptance be extended to March 17, 2011 (the next regularly scheduled Board meeting) with no change to
the specified Substantial Completion Date. Staff has evaluated the project schedule and do not believe this will
adversely affect the final completion date.
Recommendation
Staff recommends approval of the Amendment to the Design-Build Agreement for Waterway Estates Interconnect.
Budget Impact
NA
Board Action
Moved by: Seconded by: Action Taken: