Title
Dept/ Agency: Engineering
Action: ( X ) Ratifying (X) Authorizing ( X ) Amending
Type of Service: Change Order/Amend Resolution #1
Purpose: To provide an amendment to Resolution 7R3-e 09/05/2024 and to Contract #2023-10, Newark Ironbound Roundabout Safety Improvements Federal Project.
Entity Name: Berto Construction, Inc.
Entity Address: 625 Leesville Avenue, Rahway, New Jersey, 07065
Contract Amount: Not to exceed $1,343,772.65
Funding Source: 2025 Budget/Department of Engineering/NW011-110-1107-A-71930 - B2025 (which is a new funding source) and NW051-G24-E24H0-A-71930-B2024. The original funding source NW011-110-1107-A-71930-B2024 was cancelled.
Contract Period: Original contract period June 16, 2025 to October 05, 2025 extended 117 consecutive calendar days to January 31, 2026
Contract Basis: ( X ) Bid ( ) State Vendor ( ) Prof. Ser. ( ) EUS
( ) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
( ) Private Sale ( ) Grant ( ) Sub-recipient ( ) n/a
Additional Information:
Original Resolution 7R3-e adopted on September 5, 2024.
The Grant Award was $1,456,374.50.
The initial contract amount was $1,298,268.17. The amended contract amount is $1,343,772.65 ($1,246,120.97 for construction covered by grant) and $97,651.68 (2025 Budget/Department of Engineering, Division of Traffic and Signals NW011-110-1107-A-71930 - B2025, a new funding source for “Traffic Director, Police”, non- participating item).
The $210,253.53 is being reserved for Change Orders
This Change Order #1/Amendment will extend the contract period date for final completion of the contract for construction, increase the not-to-exceed contract amount, make full payment to Berto Construction Inc., and close-out with NJDOT/FHWA a new final completion date January 31, 2026
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Whereas, Resolution 7R3-e, adopted on September 5, 2024, authorized the Mayor and/or his designee, the Director of the Department of Engineering (“Director”), to enter into and execute Contract #2023-10, Newark Ironbound Roundabout Safety Improvements Federal project (“Project”), with Berto Construction, Inc., 625 Leesville Avenue, Rahway, New Jersey 07065 (“Contractor”), for the total bid amount of One Million Two Hundred Ninety-Eight Thousand Two Hundred Sixty-Eight Dollars and Seventeen Cents $1,298,268.17 (Contract #2023-10); and
Whereas, on June 12, 2025, the Department of Engineering issued a Notice to Proceed for Contract #2023-10 to the Contractor, specifying a duration of one hundred twelve (112) calendar days for final completion of the Project, which term commenced on June 16, 2025 and terminated on October 05, 2025; and
Whereas, the City could not pay the contractor for “Traffic Director Police” services (Line Item #18 in the bid specifications) because funding source-NW011-110-A-71980 B2024 in the amount of Fifty-Two Thousand One Hundred Forty-Seven Dollars and Twenty Cents $52,147.20 was cancelled; and
Whereas, a new funding source, NW011-110-1107-A-71930 - B2025, in the amount of Ninety-Seven Thousand Six Hundred Fifty-One Dollars and Sixty-Eight Cents ($97,651.68), was created to fund the “Traffic Director Police,” thereby increasing the original contract amount from One Million Two Hundred Ninety-Eight Thousand Two Hundred Sixty-Eight Dollars and Seventeen Cents ($1,298,268.17) to One Million Three Hundred Forty-Three Thousand Seven Hundred Seventy-Two Dollars and Sixty-Five Cents ($1,343,772.65) and
Whereas, the Contractor and the City’s construction management consultant, Colliers Engineering & Design, submitted a letter on November 3, 2025 explaining the necessary field adjustments and revisions to the plans resulting from unforeseen field conditions that are required to complete the contract; and recommended adding one hundred seventeen (117) days to the contract term, thereby extending the final completion date to January 31, 2026; and
Whereas, the Director and the Contractor, agreed that a time extension of one hundred seventeen (117) days is necessary for the additional work needed to complete the Project; and
Whereas, the Director desires to amend the term of Contract #2023-10 to allow an additional 117 calendar days to complete the Project.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Mayor and/or his designee, the Director of the Department of Engineering, are hereby authorized on behalf of the City of Newark to amend Contract #2023-10, Newark Ironbound Roundabout Safety Improvements Federal project, with Berto Construction, Inc., 625 Leesville Avenue, Rahway, New Jersey 07065, to extend the time for final completion of the contract by one hundred seventeen (117) calendar days, providing a new final construction completion date of January 31, 2026
2. Resolution 7R3-e 09/05/2024 is hereby amended. Paragraph 2 of said Resolution is amended to add the following funding source: NW011-110-1107-A-71930 - B2025, and the total not-to-exceed contract amount authorized by said Resolution is increased to One Million Three Hundred Forty-Three Thousand Seven Hundred Seventy-Two Dollars and Sixty-Five Cents ($1,343,772.65).
3. The Municipal Council hereby ratifies the amendments authorized herein from October 06, 2025 to the date of adoption of this authorizing resolution.
4. All other terms and conditions of Resolution 7R3-e 09/05/2024 and of Contract #2023-10 Newark Ironbound Roundabout Safety Improvements Federal project, shall remain the same and are in effect until the contract is completed.
5. A fully executed copy of Change Order/Amendment to Contract #2023-10, Newark Ironbound Roundabout Safety Improvements Federal project, shall be filed in the Office of the City Clerk by the Director of the Department of Engineering.
6. No further amendments or modifications to this amended contract shall be permitted without prior Municipal Council approval.
STATEMENT
This resolution ratifies and authorizes the Mayor and/or his designee, the Director of the Department of Engineering, to execute a Change Order #1/Amendment to Contract #2023-10, Newark Ironbound Roundabout Safety Improvements Federal project, with Berto Construction, Inc., 625 Leesville Avenue, Rahway, New Jersey 07065, to amend the contract term to allow for an extension of time of 117 calendar days, providing a new final construction completion date of January 31, 2026.