Regional Wastewater System
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Sister Grove Regional Water Resource Recovery Facility; Project No. 301-0426-16; Interconnect Agreement Change Order No. 1
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SUBJECT
recommendation
Authorize additional funding in the amount of $1,598,409.63 to Grayson Collin Electric Cooperative, Inc. (GCEC) for the Sister Grove Regional Water Resource Recovery Facility (RWRRF) project.
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PURPOSE
This Change Order No. 1 authorizes additional funding to account for the actual cost incurred by GCEC during the construction of the substation, service yard and distribution lines that serve the Sister Grove RWRRF in accordance with the Interconnect Agreement.
RECOMMENDATION
The Executive Director, NTMWD staff and CDM Smith Inc recommend the Board of Directors authorize a construction change order as follows:
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Contracting Entity: |
Grayson Collin Electric Cooperative, Inc. |
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Scope: |
Interconnect Agreement Change Order No. 1 |
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Project: |
No. 301-0426-16, Sister Grove Regional Water Resource Recovery Facility |
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Amount: |
$1,598,409.63 |
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Committee: |
This item will be on the October 21, 2026, Wastewater Committee meeting agenda |
DRIVER(S) FOR THIS PROJECT
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Strategic Objective: |
1.2 Successfully Deliver Capital Program |
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☐ Regulatory Compliance |
☐ Asset Condition |
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☒ Capacity |
☐ Redundancy/Resiliency |
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☐ Relocation or External Requests |
☐ Operational Efficiency |
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☐ Safety |
☐ Administrative |
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☐ Policy |
☐ Other _____________ |
BACKGROUND
PROJECT PURPOSE
• The Sister Grove Regional Water Resource Recovery Facility falls within the service area of Grayson Collin Electric Cooperative, Inc. (GCEC). The projected electrical load requirements through Phase IV required the construction of both an electrical substation and an electrical transmission line to serve the Sister Grove RWRRF.
INTERCONNECT AGREEMENT
• An interconnect agreement was approved by the Board in March 2022 (Administrative Memorandum No. 5818). As part of the Interconnect Agreement, GCEC performed the following work:
o Installed all facilities at the GCEC electrical substation, including metering and two service transformers located within a 6-acre lot adjacent to the south-west corner of the Sister Grove RWRRF property adjacent to Collin County Road 336.
o Furnished and installed all facilities associated with overhead distribution lines from the electrical substation to the GCEC service yard located on the east side of the dewatering building and north of the power yard at the Sister Grove RWRRF. This includes but is not limited to four electrical feeders (two feeders per transformer), concrete poles, and electrical cables up to the Point-of Interconnect.
o Furnished and installed four pad mounted switchgears located in the Point-of-Interconnect common area lying between GCEC service yard and NTMWD’s Sister Grove RWRRF power yard.
PROPOSED CHANGE ORDER
• The interconnect agreement requires NTMWD to pay contribution in aid of construction for all GCEC facilities serving the Sister Grove RWRRF. The original cost included in the Interconnect Agreement was $5,042,379.19, which was the estimated cost provided by GCEC before 2020. Cost of electrical items, especially transformers, steel, reclosures, regulators and feeders substantially increased after the global pandemic. The construction of the GCEC facilities concluded in 2024, and the actual cost incurred by GCEC for the construction of their facilities exceeded the previous amount authorized by the NTMWD Board of Directors.
• Actual invoices were reviewed to verify the additional cost incurred.
• Clearing trees within the Right-of-Way was required for installation of the distribution line and was not included in the original estimate.
CHANGE ORDER NO. 1
Description Amount
Original Contract Amount $5,042,379.19
Prior Change Order(s) Total $0.00
Proposed Change Order No. 1
Clearing trees for installation of distribution line $15,000.00
Additional cost for the construction of substation,
service yard and distribution line $1,583,409.63
Proposed Change Order No. 1 Increase $1,598,409.63
Revised Contract Amount $6,640,788.82
FUNDING
Funding in the amount of $1,598,409.63 for Change Order No. 1 to Grayson Collin Electric Cooperative, Inc., is available from the Regional Wastewater System Capital Improvement Fund.