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HomeMy WebLinkAboutCC AG PKT 2010-06-14 #ZAGENDA STAFF REPORT DATE: June 14, 2010 TO: Honorable Mayor and City Council THRU: David N. Carmany, City Manager FROM: Sean P. Crumby P.E., Director of Public Works SUBJECT: POLICE DEPARTMENT RENOVATION PROJECT BUDGET AMENDMENT AND INCREASE IN THE CONTRACT AMOUNT SUMMARY OF REQUEST: Staff recommends that the City Council approve a budget amendment of $63,525 for the Police Department Renovation Project No. BG0801 and authorize an increase of $100,000 in payment to the contractor General Consolidated Constructors for Project No. BG0801. (Agenda Item "I" - Budget Amendment No. 10 -12- 01) BACKGROUND: On September 14, 2009, the City Council awarded a construction contract to General Consolidated Constructors in the amount of $648,675 to renovate the Police Department and the Council Chambers Restroom. During the demolition phase numerous findings of mold, corrosion and mildew were discovered after opening up the walls. Behind the drywall, metal studs were rusted and corroded at the base. In the utility room, men's and women's locker room mold and mildew was exposed and disposed of. The metal studs were replaced and brought up to current code standards. During demolition and removal of the flooring, leaks were discovered around the existing freezer. The existing freezer is over 20 years old. The freezer seals and door had been leaking. Maintenance history showed numerous repairs over the years. The contractor provided a cost to replace the existing freezer to a higher efficient unit and more reliable. Several seismic and code regulations were discovered. In the kitchen, unsupported walls were now braced and properly backed to support the new kitchen cabinets. The ceiling and T -Bars were unsupported throughout the building. Agenda Item Z Page 2 Plumbing issues were encountered during the restroom construction phase. Sewer pipes were replaced under the concrete slab. These items were not discovered during the design of the project as the building could not have its normal day -to -day operations affected with partial demolition of the building. The contractor is finalizing the punch list. It is anticipated the project will be completed in the summer of 2010. FINANCIAL IMPACT: In the approved 09/10 Budget, $700,000 was approved for Project BG0801 Police Department Building Renovation. On the July 13, 2009 City Council meeting, Council approved a Budget Amendment to add an additional $46,600 to bring the total allocated project budget to $746,600. The awarded contract amount was $648,675. The estimated total for all change orders is $100,000. A breakdown of all of the project expenses is as follows: Estimated Expenses: Contract Award $648,675 Change Orders $100,000 Temp Storage & Restrooms $6,600 Environmental Survey $3,850 Inspection $35,000 Architectural $16.000 TOTAL $810,125 The requested funds are as follows: Budgeted Funds $746,000 Estimated Expenses $810.125 TOTAL $64,125 Of the requested $64,125, $16,670 will come from the Sewer Capital fund. This portion was used for the reconstruction of the sewer line in the men's and women's locker room and temporary restroom facilities at the Police Department and Council Chambers. The remaining balance will come from the designated $2 million General Fund reserve allocation for Building and Facilities. The accounts for the request are as follows: Requested Funds: General Funds $47,455 Sewer Capital $16,670 TOTAL $64,125 The Finance Department has prepared a resolution for the budget amendment (Agenda Item "I" -Budget Amendment No. 10- 12 -01). Page 3 RECOMMENDATION: Staff recommends that the City Council approve a budget amendment of $63,525 for the Police Department Renovation Project No. BG0801 and adopt Resolution No. 6022 authorizing an increase of $100,000 in payment to the contractor General Consolidated Constructors for Project No. BG0801. (Agenda Item "I" - Budget Amendment No. 10- 12 -01) SUBMITTED BY: Sean P. Crumby P.E. Director of Public Works NOTED AND APPROVED: David N. Carma y City Manager Prepared by: Michael Ho, City Engineer Attachment: A. Resolution No. 6022 RESOLUTION NUMBER 6022 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL AUTHORIZING AND APPROVING AN INCREASE OF $100,000 IN THE CONTRACT AMOUNT OF $648,675 FOR POLICE DEPARTMENT RENOVATION PROJECT NO. BG0801 THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY RESOLVE: Section 1. On September 14, 2009, the City Council awarded a construction contract to General Consolidated Constructors in the amount of $648,675 to renovate the Police Department and the Council Chambers Restroom (Project No. BG0801). Section 2. As stated in the staff report dated June 14, 2010, numerous onsite conditions have created the need for numerous change orders. Based upon the conditions described in the staff report, staff recommends increasing the contract amount for Project No. BG0801 of $648,675 by $100,000. Section 3. By separate resolution, the City Council has approved a corresponding budget amendment for Project No. BG0801. Section 4. The City Council hereby authorizes payment of an additional $100,000 to General Consolidated Constructors. In no event shall the City pay General Consolidated Constructors in excess of $750,000 for all work performed by General Consolidated Constructors in connection with Police Department and the Council Chambers Restroom Project No. BG0801. Section 5. The City Council hereby directs and authorizes the City Manager to execute all documents necessary to increase the amount paid to General Consolidated Constructors from $648,675 to $748,675 for all work performed by General Consolidated Constructors in connection with Police Department and the Council Chambers Restroom Project No. BG0801. PASSED, APPROVED AND ADOPTED by the City Council of the City of Seal Beach, at a regular meeting held on the 14th day of June . 2010 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Mayor ATTEST: City Clerk Resolution Number 6022 STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6022 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 14th day of June , 2010. City Clerk