Item 1a: McGill Construction Pay App 1
This pay application is for the originally approved items, the parking lot, curbs and sidewalks that were approved as the original scope of this project. As is customary in construction, 10% of the total cost is retained by the owner until the project has reached 100% completion.
Recommendation: I recommend that you approve immediate payment to McGill Construction in the amount of $89,205.30.
Item 1b: McGill Construction Change Order 1
During construction, a few items came up that were outside of the scope of the original project specifications. We included an additional $10,000 in the project budget in anticipation of this kind of expense. The items that came up were as follows:
- Replacing the entire curb in front of the main entrance rather than leaving the 30’ in place that was originally proposed. The cost for this was $1,260.00.
- Replacing two parking barriers that were cracked/broken and unable to be reused. The cost for this was $200.00.
- Providing an additional 127 tons of gravel to provide a level subsurface. It was discovered when the old asphalt was removed that it was thicker than anticipated in some places. More gravel had to be brought in to level out the subsurface prior to laying asphalt. The cost for this was $4,555.15.
- Adjusting the existing sewer and water valves. This was to adjust the height of our existing fixtures to match the new grade perfectly. This was not really a surprise, but we didn’t know whether or not this would really be necessary until the paving started. The cost for this was $1,300.00.
- SECCO testing, AKA the “proof roll.” We knew that this testing wasn’t included in the original project scope, but we didn’t know how much it would be until they came to do it. It came out a lot lower than the $4,000 we had budgeted for it. The cost for this was $1,050.00.
In total, the change orders came to a total of $8,265.15, which was below the contingency amount that we had planned for.
Recommendation: I recommend that you approve the changes in Change Order 1 at a total cost of $8.265.15.
Item 1c: McGill Construction Final Payment
While we don’t have the final bill from McGill Construction yet, we do know what that amount is going to be. It will be the remaining 10% retention from the original pay application along with the changes approved in Change Order 1. So that we don’t have to wait until January to make the payment, I’m putting it before you this month.
Recommendation: I recommend that you approve payment on the final invoice from McGill Construction, once it comes through, in the amount of $18,16.85.