TO: Indian River County Board of County Commissioners
THROUGH: John A. Titkanich, Jr, County Administrator
Sean C. Lieske, Director of Utility Services
Howard G. Richards, PE, Capital Projects Manager
FROM: Michael Loveday, Wastewater Superintendent
DATE: April 1, 2025
SUBJECT: Lawrence Lee Construction Services, Inc. Final Payment and Release of Retainage for Bid No. 2024003 Central Wastewater Treatment Facility Generator & ATS Replacement & Consolidation, IRCDUS Project ID 22.20.525
_________________________________________________________________________________________
BACKGROUND
Indian River County Department of Utility Services (IRCDUS) owns and operates the Central Regional Wastewater Treatment Facility (CRWWTF) which has a four (4) million gallons per day (MGD) annual average permitted capacity. The CRWWTF had two (2) standby generators for emergency backup power to maintain operations during primary power loss events. An evaluation of the existing generators conducted by Kimley-Horn and Associates Inc. (KHA) concluded that the generators had “reached the end of their useful life and replacement is necessary”.
Based on the KHA evaluation results and recommendations, IRCDUS undertook the CRWWTF Generator & Automatic Transfer Switch (ATS) Replacement & Consolidation project (IRCDUS Project ID 22.20.525). On November 8, 2022, the Indian River County Board of County Commissioners (BCC) approved Work Order No. 56 to KHA, pursuant to the Continuing Consulting Engineering Services Agreement for Professional Services dated April 17, 2018, to prepare design documents, assist with bidding, and provide construction phase services.
On September 26, 2023, the BCC approved the award of Bid 2024003 to Lawrence Lee Construction Services, Inc. for the replacement of the Main Electrical Building stand-by generator system, and the demolishing the Solids Handling Building stand-by generator system. The contract price was $2,190,000.00, which included an allowance of $150,000.00 for owner-directed changes. On November 9, 2023, Lawrence Lee Construction Services, Inc. was provided notice to proceed (NTP) that set the contract final completion date on March 3, 2025. On January 2, 2025, Work Change Directive No.1 was approved to add Programmable Logic Controller (PLC) Ethernet communications improvements, demolition of equipment, and building improvements, utilizing $52,070.36 of owner allowance (i.e., no change in contract price).
ANALYSIS
IRCDUS staff is in receipt of a Certificate of Final Completion of Work (Form 00632), which was fully executed on April 7, 2025. Lawrence Lee Construction Services, Inc. has submitted Payment Application Number 10, which represents the final payment including retainage, for services rendered associated with bid 2024003. KHA, in their capacity as Owner’s Representative for the project, has reviewed the payment application and recommends approval for payment. The net amount due is $124,145.36 after adjusting for $97,929.64 of unused owner allowance.
BUDGETARY IMPACT
Expenses, in the amount of $20,570.36, for this project will be recorded in the Utilities/WIP/CWWTF Generator Replacement account, number 471-169000-20525. Since this is an operating capital project, the funds will come from fund balance. Operating funds are derived from water and sewer sales.
Expenses, in the amount of $103,575.00, for this project will be recorded in the Utilities/Retainage/Retainage-Lawrence Lee Construction account, number 471-206000-20525.
|
Description |
Account Number |
Amount |
|
Utilities/WIP/CWWTF Generator Replacement |
471-169000-20525 |
$ 20,570.36 |
|
Utilities/Retainage/Retainage-Lawrence Lee Construction |
471-206000-20525 |
$103,575.00 |
PREVIOUS BOARD ACTIONS
On November 8, 2022, the Indian River County Board of County Commissioners (BCC) approved Work Order No. 56 to KHA to prepare design documents, assist with bidding, and provide construction phase services.
On September 26, 2023, the BCC approved the award of Bid 2024003 to Lawrence Lee Construction Services, Inc. to replace the Main Electrical Building stand-by generator system, and demolishing the Solids Handling Building stand-by generator system.
POTENTIAL FUTURE BOARD ACTIONS
None noted.
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.
OTHER PLAN ALIGNMENT
None noted.
STAFF RECOMMENDATION
Staff recommends the Indian River County Board of County Commissioners approve the Application and Certification for Payment No. 10, final payment and release of retainage, to Lawrence Lee Construction Services, Inc. in the amount of $124,145.36 for Bid No. 2024003 Central Regional Wastewater Treatment Facility Generator & Automatic Transfer Switch Replacement & Consolidation project, and authorize staff to issue payment for the same.
ATTACHMENTS
• Executed Agreement
• Work Change Directive 1
• Application & Certificate for Payment No.10