TO: Indian River County Board of County Commissioners
THROUGH: John A. Titkanich, Jr, County Administrator
Sean C. Lieske, Director of Utility Services
FROM: Howard G. Richards, PE, Manager, Capital Projects
DATE: January 9, 2026
SUBJECT: Florida Department of Transportation Utility Work by Highway Contractor Agreement for US-1/Federal Highway from North of 87th Street to South of Sebastian Blvd., State Road No.: 5,
FDOT Financial Project ID: 449812-1-52-02
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BACKGROUND
The Florida Department of Transportation (FDOT) is resurfacing a portion of the public road on US-1/Federal Highway from North of 87th Street to South of Sebastian Blvd., State Road No.: 5 (“SR-5 Resurfacing” or “Project”). The Project is identified by the FDOT Financial Project ID, 449812-1-52-02. Indian River County Department of Utility Services (IRCDUS) owns and operates sewer infrastructure within the Project corridor that will incur conflicts with the roadway resurfacing.
To address the utilities conflict with the Project, FDOT has made provisions in their design, which IRCDUS staff have reviewed and concurred with. Staff have also determined that it is advantageous to incorporate the utilities modifications into the FDOT’s contractor work. IRCDUS received the attached Utility Work by Highway Contractor Agreement (UWHCA) with FDOT for approval.
ANALYSIS
FDOT’s initial estimate of the cost of the utility work is $13,104.00. The UWHCA requires the amount payable to FDOT plus 2% for incremental costs for the utility work, including mobilization of equipment, additional maintenance of traffic, administrative costs of field work, tabulation of quantities, final estimate processing and project accounting; plus 10% for a contingency fund to be used for changes to the utility work during the construction. The total estimate from FDOT with 12% markup is $14,676.48.
IRCDUS proposes an additional 6% contingency reserve, or $880.59 based on recent utility work experience on UWHCA project with FDOT. This additional contingency reserve would be retained by IRCDUS for the sole purpose of covering cost escalations over and above the FDOT initial cost estimate plus markup. The total working budget for the SR-5 Resurfacing is $15,557.07.
BUDGETARY IMPACT
Funds, in the amount of $15,557.07, for this project are derived from the Utilities/Wastewater Collection/R&R/UWHCA 2024-Sewer Collection account, number 47126836-044699-23552, in the Utilities operating fund. The Utilities operating fund budget is derived from water and sewer revenues.
PREVIOUS BOARD ACTIONS
There are no previous Board action related to this agenda item.
POTENTIAL FUTURE BOARD ACTIONS
No future Board action related to this agenda item is anticipated at this time.
STRATEGIC PLAN ALIGNMENT
Infrastructure: Planning, constructing, managing, and maintaining critical public infrastructure in response to our current needs, future demands, and the expectations of our community; embracing innovation, technology, and resiliency.
STAFF RECOMMENDATION
Staff recommends that the Board of County Commissioners approve the Utility Work by Highway Contractor Agreement with the Florida Department of Transportation for utilities work related to US-1/Federal Highway from North of 87th Street to South of Sebastian Blvd., State Road No.: 5, and the budget of $15,557.07 with $14,676.48 payable to Florida Department of Transportation and $880.59 retained by Indian River County Department of Utility Services, for cost escalations and authorize the Chair to execute the same. So long as there are no changes in the approved dollar amounts, staff is directed to make payments to the Florida Department of Transportation.