AGENDA ITEM 9-D ACTION ITEM TO: CHAIRMAN MILDE AND THE VRE OPERATIONS BOARD FROM: DALE ZEHNER DATE: AUGUST 20, 2010 RE: AUTHORIZATION TO AMEND A FORCE ACCOUNT AGREEMENT WITH CSX TRANSPORTATION FOR THE CHERRY HILL THIRD TRACK PROJECT _____________________________________________________________________ RECOMMENDATION: The VRE Operations Board is being asked to authorize the Chief Executive Officer to amend a force account agreement with CSX Transportation for the Cherry Hill Third Track project in the amount of $120,000 for a total amount not to exceed $392,747. BACKGROUND: In compliance with the on-going initiative to construct a third track within the CSX corridor, the Virginia Department of Rail and Public Transportation (DRPT) awarded Rail Enhancement Fund grants to VRE to execute the Cherry Hill Third Track project. On January 28, 2010, VRE received notification that the Federal Railroad Administration (FRA) recognized Virginia’s role in advancing high speed rail in the United States with a grant award of $75 million to support rail improvements in the Richmond-Washington, D.C. corridor. Since the FRA grant announcement, VRE and DRPT have worked to modify the existing preliminary design in order to address FRA issues. This effort is beyond the original scope of work approved by the Operations Board on June 20, 2008 and the budget must therefore be increased above the approved amount of $272,747. The increased budget will allow CSX to work with VRE to address these additional issues while continuing to provide support during the design phase of the project, including flagging services, engineering review and approvals, and signal and operational coordination. A Request for Qualifications for a Design-Build firm to complete the design and construct the project was issued on June 22, 2010. A mandatory pre-qualification meeting was held on July 14 and Statements of Qualifications are due August 16, 2010. Permitting efforts, which require extensive coordination with various agencies, are also underway. FISCAL IMPACT: Funding is provided from Virginia Department of Rail and Public Transportation (DRPT) Rail Enhancement Fund grant. TO: FROM: DATE: RE: CHAIRMAN MILDE AND THE VRE OPERATIONS BOARD DALE ZEHNER AUGUST 20, 2010 AUTHORIZATION TO AMEND A FORCE ACCOUNT AGREEMENT WITH CSX TRANSPORTATION FOR THE CHERRY HILL THIRD TRACK PROJECT RESOLUTION 9D-08-2010 OF THE VIRGINIA RAILWAY EXPRESS OPERATIONS BOARD WHEREAS, the Commonwealth Transportation Board approved REF grants for the Cherry Hill Station Third Track project and additional project funding was allocated by the FRA; and, WHEREAS, the Operations Board authorized award of a force account agreement with CSX Transportation on June 20, 2008; and, WHEREAS, ongoing coordination and design revisions are required to comply with FRA requirements under an accelerated project schedule; and, WHEREAS, this effort is beyond the original scope of work approved by the Operations Board. NOW, THEREFORE, BE IT RESOLVED THAT, the VRE Operations Board authorizes the Chief Executive Officer to amend a force account agreement with CSX Transportation for the Cherry Hill Third Track project in the amount of $120,000 for a total amount not to exceed $392,747.