Manufacturing delays cause project cost increases

By Kevin Elliott

Delays in manufacturing have resulted in a 33-percent cost increase and a year-long delay to a Bloomfield Township engineering project were addressed on Monday, October 24, by the township’s board of trustees.

The project, which was approved in October 2021 and was to start the same year, involves replacing pressure reducing valves (PRV), said Bloomfield Township Engineering and Environmental Services Director Olivia Olsztyn-Budry. The valves, which lower water pressure into a house to a safe level, must be replaced in the winter during low water demand times. The work is contracted through Bidigare Contractors, Inc.

“The township ordered the (valves) in advance, as the PRVs are the critical component of the project and had significant lead time. It was expected that the PRVs would arrive prior to the start of the project. However, due to manufacturing delays, the PRVs didn’t arrive until August 2022,” she said. “Bidigare Contractors had no control over the timeline of the arrival of the PRVs.”

Due to the delay, the contractor re-evaluated the pricing, including fuel, material costs and lead times, which all increased in the past year. The revised price for the project is now $359,525, or about 33 percent higher than the original $269,915 project estimate previously approved by the township.

Olsztyn-Budry said that if the contract weren’t approved, it would be unlikely the township could secure a new contractor in time to perform the work this winter. Township engineering consultants Hubbell, Roth & Clark (HRC) reviewed the revised bid and determined it to be in line with current pricing in the market. Consultants with HRC said the extra time and costs for the project are not out of line. Further, if the township were to rebid the project, it would cost an additional $2,500.

“It’s a very volatile time for bidding,” Olsztyn-Budry said. “It’s doubtful we would get a contractor and the materials available. I wouldn’t expect to get any bids if we put it out now.”

Trustees unanimously approved the revised contract in the amount of $359,525.