HomeMy WebLinkAbout08/19/2003, C6 - FINAL PROJECT BUDGET AND CONSULTANT CONTRACT AMENDMENTS: MARSH STREET GARAGE EXPANSION PROJECT I �r
Council Wed,D. i �3
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C I T Y OF SAN LUI S OBISPO
FROM: Mike McCluskey, Director of Public Works v�
Prepared By: Keith Opalewski, Parking Manager
SUBJECT: FINAL PROJECT BUDGET AND CONSULTANT CONTRACT
AMENDMENTS: MARSH STREET GARAGE EXPANSION PROJECT
CAO RECOMMENDATION
1. Finalize the project budget and funding sources for the Marsh Street garage expansion project
in the amount of $9,156,100 and approve additional funding of $464,700 from the
unappropriated Parking Fund working capital.
2. Approve $165,000 claim from ARB, Inc. and authorize the Mayor to execute the change
order.
3. Approve contract amendments as follows and authorize the Mayor to execute revised
agreements:
a. Harris & Associates ($17,000) for additional construction management.
b. Phillips Metsch Sweeney Moore ($18;500) for additional construction administration
and completion of the as-built construction drawings.
DISCUSSION
The opening of the garage expansion on November 1, 2002 was the culmination of an intensive
15-month construction period to bring the additional.parking inventory online before the 2002
holiday season. Because the focus of the project was to get the garage open for parking before
the start of the busy shopping season, several unresolved issues had to be dealt with after the
garage became operational. This extended time on-the-job and corresponding cost increases
have been driven by several factors and summarized as follows:
Punch List Items. The items needing attention after the opening of the garage in November
2002 were very extensive(14 pages) and required considerable time to be completed.
Change Orders. At the time of the opening, there were 65 pending change orders that had to be
negotiated and officially signed off by the contractor and City.
Delay Claim. The contractor filed a delay claim due to lost time during the archeological
monitoring phase of the project. This delay claim complicated resolving the change orders in an
expeditious manner. Policy requires the Council to approve change orders exceeding $100,000.
Water Leak. The discovery of the office leaks in December 2002 had serious timing
implications with regard to completing the project. The final solution required many negotiation
sessions before a final "fix"was agreed upon on how to resolve the problem.
Council Agenda Report—Final Budget and Consultant Amendments: Marsh Street Garage
Page 2
Because of the above factors, the project has not been able to be fully completed until recently.
This time extension also necessitated the construction management consultant and design
architect team to incur additional costs that need funded. The following table summarizes the
final contract changes for these two consultants.
Current Proposed. Final
Service Contract Change Amount
Construction Management *602,880 17,000 619,880
Construction Administration by Design Architect 166,240 18,500 184,740
Total $769,120 $35,500 $804,620
*Note: In January 2003, the Council approved a construction management amendment totaling$100,800 based on
revised timelines, which was funded from contingency funds.
FISCAL IMPACT
Existing Budget. In September 2000, the Council approved a project budget of$9,054,400,
excluding land costs. Of this amount, $7,179,900 was devoted to construction with a 10%
contingency ($717,900), for a total construction budget of$7,897,800. In September 2001, the
Council approved a reduced construction budget of $6,548,000 with a 10% contingency
($654,800), for a total construction budget of$7,202,800. This reduced budget was the result of
a lower bid than anticipated for the project. Because of the reduced construction costs, the final
budget was reduced by $363,000 after funding contract amendments and archeological
contingencies. The following table summarizes the changes to the approved project budget from
2000 to 2001.
Project Costs:2001 Budget
2000 u get 2001 Budget Variance
Design 5T4—,50 0
Construction
Construction Contract 7,179,900 6,548,000 (631,900)
Construction Contingency @ 10% 717,900 654,800 (63,100)
Archeological Contingency 75,000 75,000
Additional Public Art 15,000 15,000 -
Promotion During Construction 10,000 10,000
Water and Sewer Impact Fees 100,000 100,000 -
Total Construction 8,022,800 7,402,800 (62U,000)
Construction Management 497,100 735,000 237,900
of $ 9,054,4UU 8,691,4UU (363,000)
Funding Sources
Debt Financing 7,935300, 0
Worldng Capital 1,119,100 1,491,400 372,300
Total $ 9,0 ,
Final Budget. As summarized below, the final budget for the project is projected to be
$9,156,000 (excluding land costs), which is $464,000 more than the current budget:
CU -a
Council Agenda Report—Final Budget and Consultant Amendments: Marsh Street Garage
Page 3
Project Costs:Estimated Final Budget
Current rojecteVariance
Design 553,60 -
Construction
Construction Contract 6,548,000 6,548,000 -
Construction Contingency* 454,000 883,200 429,200
Archeological Contingency 75,000 75,000 -
Additional Public Art 15,000 15,000 -
Promotion During Construction 10,000 10,000 -
Water and Sewer Impact Fees 100,000 100,000 -
Total Construction429,200
Construction Management* 935,800 971,300 35,500
of 464,700
* Note: In January 2003, the Council approved a construction management amendment totaling $100,800 based
on revised timelines, which was funded from contingency funds. As such, the total budget was unaffected by this
change.
The following summarizes the key factors driving this increase:
$165,000 Delay claim from the contractor.
$167,000 Revised sidewalk (Mission-style and grade change on Morro @ $94,000) and
security mesh modifications @ $73,000
$57,000 Tenant improvements not part of original budget.
$40,000 Office leaks fix
$35,500 Extra construction management ($17,000) due to the extra time it has taken to
finalize the project for construction management consultant to oversee completion
of punch list, change orders and delay claim, and provide final inspection of the
water leak repairs. Additional construction administration ($6,500) for design
architect team to complete revisions to stair tower, planters, site visits by
structural engineer, and coordination with construction management firm for
water leak fix and($12,000) completion of the as-built drawings.
Although this final budget is $464,000 more than the 2001 budget, and about $100,000 more
than the 2000 budget, it is still over $390,000 below the original construction portion of the
project budget ($7,631,200 versus $8,022,800). In short, the overall budget is close to what we
thought it would ultimately cost to build the garage expansion back in 2000.
The additional $464,000 needed to finalize the project budget is recommended to be funded from
the unappropriated Parking Fund working capital, which is currently projected to be $4.5 million
at the end of 2003-05.
ALTERNATIVES
Final terms have been reached and contractual agreements must be fulfilled leaving no other
viable alternative other than the CAO recommendations.
ei, -3
Council Agenda Report-Final Budget and Consultant Amendments: Marsh Street Garage
Page 4
ATTACHMENTS
1. Construction Management Amendment
2. Construction Administration Amendment
3. Change Order
L CAR2003/transportation/M SS finalbudget&contractamendments2003
Attachment 1
AMENDMENT NO. 3
AGREEMENT WITH HARRIS AND ASSOCIATES
The AGREEMENT dated March 10, 2000 between the CITY OF SAN LUIS OBISPO, a
municipal corporation, hereinafter referred to as "City" and "Hams and Associates", hereinafter
referred to as "Contractor", is hereby amended to as follows:
A. DESCRIPTION OF WORK
2. Workscope
Provide additional services for construction management, inspection, and close-out
services pursuant to the extended project construction phase for an adjusted contract
amount of Seventeen Thousand Dollars ($17,000) as outlined in Exhibit "A".
All other terms and conditions of the AGREEMENT remain the same.
Both CITY and CONTRACTOR do covenant that each individual executing this
addendum on behalf of each party is a person duly authorized and empowered to execute
Agreements for such part.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed on this
day of , 2003.
CITY OF SAN LUIS OBISPO
A Municipal Corporation
David F. Romero,Mayor
ATTEST:
Lee Price, C.M.C.
City Clerk
APPROVED AS TO FORM: CONTRACTOR
ttorney Print Name:
G:/Contracts&RFPs/Marsh Street Expansion/Contract Amendments/Amendment 3—Harris&Assoc.
Exhibit A
August 1, 2003
Mr. Keith Opalewski
Parking Services Manager
City of San Luis Obispo
1260 Chorro Street
San Luis Obispo, CA 93401
Re: City of San Luis Obispo
Marsh Street Garage Expansion Project
Additional Inspection Services for Leak Repairs& Final Close-out
Dear Keith,
This letter is to request that the City consider Harris' proposal to provide additional inspection
services pursuant to the subject project. The additional services are required to provide roof
leak repair inspections and final close-out punchlist inspections.
The extended duration of services is approximately 1.5 to 2 months beyond the original
anticipated duration. These additional costs have been caused by the Contractor's non-
responsive approach to closing out the project. The Contractor had been non-responsive to the
required remaining work items in support of their claim against the City, which has now been
settled.
Harris & Associates' estimated cost for the required additional inspection services is $17,000.
A breakdown of this estimated cost is as follows: 261.5 hrs X$65= $17,000 (Kleinfelder costs).
The 261.5 hours is the estimated actual amount of billing hours required. Additional costs for on-
going Construction Management services are not required.
As we have discussed, Harris &Associates will continue to provide the necessary project
services while the City reviews and processes our request.
Thank you for your consideration and please do not hesitate to contact me at 805.890.0128 if
you have any questions, comments, or wish to discuss this matter.
Sincerely,
HARRIS &ASSOCIATES
Steve Mimiaga, P.E.
Project Manager
Attachment 2
AMENDMENT NO. 9
AGREEMENT WITH PHILLIPS METSCH SWEENEY MOORE ARCHITECTS
The AGREEMENT dated July 7, 1998 between the CITY OF SAN LUIS OBISPO, a municipal
corporation, hereinafter referred to as "City" and "Phillips Metsch Sweeney Moore Architects",
hereinafter referred to as"Contractor", is hereby amended to as follows:
A. DESCRIPTION OF WORK
2. Workscope
Preparation and revisions of record drawings& cost of revisions: stair tower, planters, additional
site visits by the structural engineer, coordination with the construction management firm. The fee for
record drawings is$12,000 and the additional work is $6,500.
The services outlined above and detailed in Exhibit"A" are to be performed for a total fee not to
exceed Eighteen thousand five hundred dollars ($18,500), based on the hourly rate in CONTRACTOR'S
accepted original proposal.
All other terms and conditions of the AGREEMENT remain the same.
Both CITY and CONTRACTOR do covenant that each individual executing this addendum on
behalf of each party is a person duly authorized and empowered to execute Agreements for such part.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed on this
day of 2003.
CITY OF SAN LUIS OBISPO
A Municipal Corporation
David F. Romero, Mayor
ATTEST:
Lee Price, C.M.C.
City Clerk
APPROVED AS TO FORM: CONTRACTOR
Ci omey
Print Name:
GIContracts&RFPs/Amendment 9-PMSM
' I Exhibit A
METSCH
SWEENEY
July 25, 2003
ARC H ITE'CTS
Mr..Keith Opalewski _
Parking Operations Manager
City of San Luis Obispo
1260 Chorro Street, Suite B
San Luis Obispo,CA 93401
Re: Marsh Street Parking Garage Expansion
PMSM Job No.98028.05
Dear Keith:
This letter is intended to summarize the situation with regard to Phillips Metsch
Sweeney Moore's work on the Marsh Street Parking Garage. PMSM has completed the
primary construction administration services associated with the garage.
On the main construction administration portion of the project,encompassing PMSM
project number 98028.05,we have billed all but$337,of our amended limit of
$157,289.44. However,we have identified an additional amount of$6,500 of work to
complete the project that was not within the original scope of our work and has not been
billed: Under the same project number we have yet to bill.f6r our contracted amount of
$12,000 on Record Drawings as we are awaiting contractor's information. Such,work
included revisions to the stair tower,revisions to planters,additional site visits by the
structural engineer,and coordination with the construction management fum.,
Si ely,
e een AIA
nclosure
cc: Anthony Palazzo,PMSM
Greg Wookey, PMSM
Debra Smith, PMSM
V.
ROGER A.PHILLIPS AIA
2020 ALAMEDA PADRE SERRA,SUITE 220 SANTA BARBARA, CA 93103 TEL 805 963-1955 FAX 805 564-8582 STEPHEN METS
AIA
FRED L SWEENEY AIA
935 RIVERSIDE AVE., #20 PASO ROBLES,CA 93446 TEL 805"227-0540 FAX 805 227-0712 JAMES E.MOORE IV AIA
(� Attachment J
CITY OF SAN LUIS OBISPO,CALIFORNIA
CONTRACT CHANGE ORDER
Sheet I of 1 sheets
Change Order No. 48
Project: Marsh Street Garage Expansion Project
Date 6/19/03
Specification No. 99684
To: ARB,Inc.: Contractor
You are hereby authorized and directed to make the herein-described changes from the plans and specifications;
and/or to increase or decrease contract quantities,as follows:
ARB Construction Delay and Extended Overhead
ARB Inc. is herein compensated for all costs and impacts resulting from Delays and Extended Overhead
This Change Order shall encompass:
• The City agrees to a settlement with ARB Inc.for$165,000 and 50 calendar days.
This Change Order shall encompass all impacts,delays,loss of efficiencies,direct and indirect costs,time
extensions,extended overhead costs,and any other effect whatsoever.resulting from all issues and matter associated
with the project. This Change Order is necessary to gain ARB's complete waiver of all potential change orders
and/or claims associated with the project.
As requested.by City of San Luis Obispo.
We,the undersigned contractor,have given careful
consideration to the changes proposed and hereby agree,if this
proposal is approved,that we will provide all equipment, Total cost of change not to exceed`.
furnish all materials,except as may noted above and perform
all services necessary for the work above specified,and will $165,000
accept as full payment therefore the prices shown above.
S a
By reason of this proposed change 50 days extension of
time will be allowed(calendar days).
Ptb'ec -
ted date �� - 2003
i eer
gn o tors thorized nt 7`���
Je y H.Owens Director of Operations Dae proved
Mayor David F. Romero