Oversight Steering Committee Public Works & Utilities November - - PowerPoint PPT Presentation

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Oversight Steering Committee Public Works & Utilities November - - PowerPoint PPT Presentation

Mar 03, 2024 193 likes •323 views

Northwest Wichita Water Facility (NWWF) Oversight Steering Committee Public Works & Utilities November 19, 2019 GMP R EVIEW 2 WWP submitted $494.2m Guaranteed Maximum Price (GMP) on October 28 for final design and construction

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SLIDE 1

Northwest Wichita Water Facility (NWWF)

Public Works & Utilities November 19, 2019

Oversight Steering Committee

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SLIDE 2

GMP REVIEW

2

Design

  • Basis of Design

Report

  • 30% Engineering

Drawings Contract

  • GMP Scope
  • Negotiated Risk

Assignment Unit Costs

  • Pricing from

Suppliers

  • Pricing from

Subcontractors

  • WWP submitted $494.2m Guaranteed Maximum Price (GMP) on October 28 for final design and

construction

  • City staff & Owner’s Representative have since reviewed the submittal
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SLIDE 3

GMP REVIEW

3

  • WWP value engineering

proposal from 10/11 has been refined and accepted

  • Dual-purpose functionality

utilizing existing asset

  • Delivers raw water from in-

town wells to the NWF

  • Acts as redundant drinking

water pipeline in an emergency

  • Reduced cost by $14 million
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SLIDE 4

PHASE 2 STAFF RECOMMENDATIONS

4

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SLIDE 5

WICHITA WATER PARTNERS

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  • Competitive price that’s under budget and meets all requirements
  • Locks the City into a lower risk position and minimized contingency
  • Protection against future cost escalation
  • More certainty of WIFIA/SRF financing by proceeding with Phase 2

and Wichita Water Partners

  • Highly qualified team with a contractual obligation to meet the City’s

needs for redundancy and water quality

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SLIDE 6

WICHITA WATER PARTNERS

6

$1,074.72 $1,023.00 $973.99 $926.20 $880.99 $1,325.99 $1,203.35 $1,087.08 $983.48 $891.09 2024 2023 2022 2021 2020

AVERAGE ANNUAL RESIDENTIAL BILL

Without WIFIA/SRF With WIFIA/SRF Construction Inflation $6,000,000 Risk-Based Contingency $25,000,000 Other Market Impacts $3,000,000

COST INCREASE POTENTIAL

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SLIDE 7

GARVER ENGINEERING

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  • Scope revised to match construction workloads
  • 2020 responsibilities would primarily be focused on design reviews
  • Future work would be centered on construction management and

inspection

  • Likely to need multiple personnel on site monitoring construction
  • Would be supported by a diverse set of technical experts
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SLIDE 8

WIFIA ELIGIBLE COSTS

8

$6 $494 $10 $2 $21 $10 $12 $2 $44 $1 $0 $100 $200 $300 $400 $500 $600

Phase 1 Design Phase 2 Design & Construction Evergy Substation Power Distribution Owner's Representative Additional Sites Hess Improvements ROW & Site Improvements Capitalized Interest Misc Fees

Millions

  • WIFIA application inclusive of all eligible expenses, not just core project costs to design and

construct the plant, pipelines, and power

  • Maximizes WIFIA benefits; all costs included in previous rate projections

CORE PROJECT OTHER ELIGIBLE ITEMS FEES

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SLIDE 9

COMBINED RATE INCREASES

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0% 2% 4% 6% 8% 10% 12% 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 Current Projection National Average No WIFIA/SRLF for NWWF Last Year's Projection

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SLIDE 10

OUTCOMES

10

  • Final Phase 2 price is

$494.2 million

  • Total cost for plant,

power substation, and pipelines is $14.1 million under the budget

  • Fully redundant plant

that can operate with any single asset out

  • f service
  • High water quality,

water source flexibility, and 120 MGD capacity

  • WIFIA application

submitted on time

  • Early works package

to begin in January

  • Startup and

commissioning begins March 2024

  

UNDER BUDGET ON SCOPE ON TIME

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SLIDE 11

PATH FORWARD

11

Recommendations

  • City staff recommends approval of the

following package:  Phase 2 amendment for Wichita Water Partners to build the NWWF  Phase 2 contract with Garver for Owner’s Representation  2020 combined utility rate increase of 5.0%  SRF application submittal

  • Owner’s Representative recommends

Phase 2 amendment  Garver Engineering

  • What path does the Steering Committee

recommend to the City Council? Upcoming Actions

  • November 26th City Council Workshop
  • December 3rd City Council Meeting
  • Phase 2 with WWP to construct the NWWF
  • Phase 2 with Garver
  • SRF application
  • 2020 rates
  • December 17th SRF Application
  • Submit to state following approval of Phase 2

amendment and public hearing on Dec. 3rd

  • Jan – Oct 2020: Early Works Package
  • Design completion & site preparation
  • Sept. 17, 2024: Substantial Completion