Authorize an additional expenditure for the construction contract for the Sixth Street Chilled Water Transmission Line Extension for Austin Energy with Primoris Energy Services Corporation, to increase the amount by $5,648,400, for a revised total contract amount not to exceed $28,242,001. Funding: $28,242,001 is available in the Capital Budget of Austin Energy.

The City Council is authorizing an additional expenditure of $5,648,400 for the Sixth Street Chilled Water Transmission Line Extension project by Austin Energy, bringing the total contract amount with Primoris Energy Services Corporation to $28,242,001. This increase is necessary due to the discovery of building tie-backs on 6th Street, requiring a switch to a larger wooden box tunnel method to install 1,727 feet of new chilled water pipes. The project aims to ensure continuity of chilled water service for 48 downtown buildings, with plans to integrate two new buildings by mid-2026. The work will occur in the public right-of-way from 400 West 6th Street to 101 1/2 East 6th Street, and the project schedule will be extended by an additional 90 days.

This expenditure will ensure the continued reliable operation of the chilled water system that cools over 18 million square feet of downtown buildings, preventing potential service disruptions.

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