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HomeMy WebLinkAbout4702 ORDINANCE NO. ~ AN ORDINANCE relating to Contract Amendments and Change Orders and amending Bremerton Municipal Code, Chapter 2.76.500. Whereas, the existing administrative change order authority of the Mayor is inadequate for many projects; and Whereas, a work change directive (or field order) process is needed to allow changes in construction contracts to be aggregated for subsequent inclusion in a change order or to allow emergency conditions to be addressed in a timely fashion and subsequently included in a change order. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BREMERTON DOES HEREBY ORDAIN: Section 1. Amendment. Chapter 2.75.500 (Amendments and Change Orders) is hereby amended to read as follows: 2.76.500 AMENDMENTS, CHANGE ORDERS AND WORK CHANGE DIRECTIVES. (a) Amendments or change orders to contracts requiring City Council approval under this chapter may be administratively approved by the Mayor if the changes are: (1) Within the scope of the project; (2) Consistent with an initial bid process, if any; (3) Executed in writing; and (4) An increase of the contract award amount (CAA) as follows: Contract Award Percentage Limits Amount Increase in CAA (the greater of) Less than $100,000 30% or minimum Min $ 0 Max $ 30,000 $100,000 to $500,000 20% or minimum Min $ 30,000 Max $100,000 Greater than $500,000 10% or minimum Min $100,000 Max $ 250,000 Contract Amendments and Change Orders Page 1 (b) The value of all change orders will be aggregated. When any single change order, or combined change orders on the same project or single purchase exceeds the value limit, the change must be approved by City Council, except in the following instances: (1) On service contracts used to accomplish an ongoing City program as opposed to completing a short term project or purchase, change order rules, including the aggregate rule, shall be applied on an annual basis. (2) Where the size of the contract and the exhausting of change order authority make further change order authorization impractical, the City Council may, upon recommendation of the Mayor, extend the aggregate limits of subsection (a) (4) for specific contracts. (c) A work change directive may be used to: (1) Authorize and direct work that will result in an increase in contract price within the administrative authority of the Mayor as provided in subsection (a) for specific contracts. Work change directives that affect the contract price shall be incorporated into a change order. (2) Authorize and direct work that will result in an increase in contract price in excess of the administrative authority of the Mayor as provided in subsection (a) where unforeseen conditions necessitate an immediate change to avoid a contractor's claim against the City for delays. The work change directive shall be incorporated into a change order and presented to the City Council as soon thereafter as practicable. (3) Authorize and direct emergency work that may result in an increase in contract price in excess of the administrative authority of the Mayor as provided in subsection (a) where public health, safety and welfare are endangered. The work change directive shall be incorporated into a change order and presented to the City Council as soon thereafter as practicable. The City Council will be notified of work change directives issued in excess of the administrative authority of the mayor as soon as practicable. Section 2. Effective Date. This ordinance shall become effective ten days after passage and publication. Contract Amendments and Change Orders Page 2 APPROVED by the City Council of the City of Bremerton this day of (~x ,~.~ ,2000. PASSED by the City Council of the City of Bremerton this day of (~~.j ,2000. CAROL ARENDS, Council President APPROVED this .~ day of t'V~c~_x ,2000. RTON, Mayor ATTEST: KATHLEEN McCLUSKEY, Cirri Clerk Contract Amendments and Change Orders Page 3