Town of Palm Beach Overall Program Opinion of Cost Summary – March 2017
construction activities to begin in the subsequent phase . This is done primarily to mitigate traffic impacts .
The final six months of the construction activity schedule for each phase is reserved for overhead infrastructure demolition . It is not expected that this will be a continuous construction activity . Experience with similar projects has shown that the coordination required with FPL , AT & T , and Comcast can be time consuming and therefore requires a certain duration of time for pole removal to be accomplished .
Based on our opinion of schedule , all areas of the Town are anticipated to be converted underground by the end of 2025 . Final pole removal is anticipated to be completed by the end of the first quarter in 2026 . The schedule does contain time contingencies for normal weather impacts , rock conditions , and typical unforeseen conditions . It does not account for significant schedule impacts related to significant weather events that cause the utility owners to focus efforts on storm recovery rather than undergrounding . It also does not consider significant contractor issues related to litigation , bankruptcy , non-performance , and the like because these types of issues are impossible to predict .
Opinion of Probable Cost
The master planning process included the development of a Conceptual Opinion of Probable Cost for the undergrounding program . The Town has a budget currently established but there was a desire to evaluate and update the potential costs based on information obtained through the master planning process . A summary of total project costs , including contingency and inflation , is provided in the table on the right .
Project costs should be tracked throughout the life of the program so that the opinions of cost for subsequent phases can be updated as actual expenditures are realized . This may increase the accuracy of the budget forecasting for the balance of the program as cost projections would be based on realized Town of Palm Beach project costs rather than similar representative projects .
As shown in the summary table , the FPL Government Adjustment Factor ( GAF ) Waiver credit has been estimated . It is expected the Town will enter into an Underground Facilities Conversion Agreement with FPL for the conversion of Townwide overhead facilities . In accordance with the FPL Tariff , this program qualifies for a GAF waiver of 25 %. The GAF
Town of Palm Beach Overall Program Opinion of Cost Summary – March 2017
Item No . |
Description |
Updated Opinion of |
|
|
Probable Cost |
1 |
Utility Conversion Costs – FPL |
$ 43,900,000 |
2 |
FPL Credit – 25 % GAF Waiver |
($ 11,200,000 ) |
3 |
FPL Service Conduit ( Private Property ) |
$ 4,150,000 |
4 |
Utility Conversions Costs – ATT & Comcast |
$ 15,960,000 |
5 |
Roadway and Private Property Restoration |
$ 15,100,000 |
6 |
Engineering / Permitting / Surveying |
$ 7,050,000 |
7 |
Construction Administration |
$ 3,970,000 |
8 |
Legal Fees |
$ 2,000,000 |
9 |
Public Outreach |
$ 570,000 |
Subtotal Project Costs |
$ 81,500,000 |
Contingency |
$ 8,140,000 |
Inflation |
$ 8,940,000 |
Total Project Costs |
$ 98,600,000 |
TOWN-WIDE UNDERGROUNDING OF UTILITIES PROGRAM MASTER PLAN DOCUMENT
EXECUTIVE SUMMARY | 3