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HomeMy WebLinkAboutStaff Report 4.A 9/15/2014DATE: September 15, 2014 TO: Honorable Mayor and tubers of the City Council through City Manager FROM: Dan St. To , SCE — Director, Public Works & Utilities Larry Zimmer, P.E., — Capital Projects Division Manager SUBJECT: Resolution Amending the Project Budget and Authorizing Approval of a Contract Change Order to the East Washington Park Project to Construct a Third Field RECOMMENDATION It is Recommended that the City Council Adopt the attached Resolution Amending the Project Budget and Authorizing Approval of a Contract Change Order to the East Washington Park Project to Construct a Third Field. BACKGROUND On June 4, 2007, the City Council reviewed and approved the 100% conceptual master plan for the East Washington Park Project. The approved conceptual plan, which went through an extensive public process, included a description of recreational facilities and park amenities to be constructed on the site at an estimated project cost of approximately $23,000,000. Subsequent to that approval the City Council authorized a Professional Services Agreement with Winzler & Kelly (now GHD) for design services to complete construction drawings, specifications and estimates for Phase 1 of construction, and to complete preliminary design development of the entire park site. On October 18, 2010, City Council approved the plans and specifications for Phase 1 and adopted the CEQA Mitigated Negative Declaration for the project. In 2013, staff down -sized phase 1 of the project to match available funding, estimated at $6.5 million, and to use $2.0 million in Open Space Grant funding prior to its expiration on December 6, 2016. On June 17, 2013, the City Council authorized a Professional Services Agreement with GHD to design and finalize construction documents for the revised Phase 1 project. On May 5, 2014 Council awarded a construction contract to Ghilotti Brother Inc. (GBI) to construct two lighted playing fields along with roadway, walkway, driveway, parking and utility improvements for their bid of $3,828,959. The staff report for that item, and discussion during Council consideration, suggested that staff would fully examine the possibility of adding the sewer utilities and third field, and would return to Council with a recommendation if the third field was feasible. Agenda Review: City Attomev Finance Director City Manager <-:: l DISCUSSION GBI's low bid was more than $900,000 under the consultant engineer's estimate. Immediately after award of the contract staff began working with the contractor to determine the feasibility of adding a third field to the current project. Staff has negotiated a cost of $1,335,750 for the additional artificial turf field which includes lights, additional length of driveway and parking, and extension of utilities past the planned driveway terminus. These costs are in line with the unit costs within the bid for the initial two fields and are assumed to be equal to or better than what would be expected if bid in the future as a separate project. The City will realize savings by avoiding the engineering cost to prepare and bid a separate contract in the future and by eliminating cost for additional contractor mobilization. The additional benefit will be the avoidance of disruption to users of the sports park if the third field was constructed in a future project. If the City Council approves this action, the work will begin immediately and all three fields are anticipated to be completed in December, 2014. Although rain can potentially delay the completion of work, the base material under the turf is designed to drain quickly, allowing the work to proceed through wet weather if needed. FINANCIAL IMPACTS The cost of the change order to add a third field is greater than the unused portion of the project budget. Staff recommends transferring an additional $401,500 to the project in order to fund the change order for the third field and provide sufficient contingency through the remainder of the project. The following two charts show the proposed modified project budget and revised funding sources. PROPOSED PROJECT BUDGET Exp: Item Approved Approved Revised Design $ 115,000 $ 115,000 Legal $ 5,000 $ 5,000 Const. Contract $ 3,828,959 $ 3,828,959 Const. Mangmt $ 140,000 $ 140,000 Phase 2 Element $ 920,000 $ 1,555,000 JSal/Ben $ 195,000 $ 195,000 ICIP OH $ 180,000 $ 180,000 Contingency $ 766,041 $ 532,541 Notal $ 6,150,000 $ 6,551,500 PROPOSED PROJECT FUNDIN Rev. Item Approved Revised Impact Fees $ 3,600,000 $ 3,200,000 �SCIP $ - $ 804,000 lHome/Park Grant $ 550,000 $ 422,500 (Open Space $ 2,000,000 $ 2,000,000 113asin Street $ - $ 125,000 Budget Total $ 6,150,000 $ 6,551,500 Change+ $ 401,500.00 The project budget expense of $1,555,000 for phase 2 elements shown above includes the proposed change order for completion of the third field along with previously approved change orders which allowed the contractor to rough grade a larger portion of the project site (third field prep) and to install the sewer force main and pump station in preparation for future restrooms. The revised/proposed project funding shown above reflects updated reduced amounts from the Parkland Impact Fees and the initial installment of the awarded Housing Related Parks Program Grant. The necessary additional funds are proposed to come from the 2007 Statewide Community Infrastructure Program (SCIP). The City of Petaluma approved a resolution on June 5, 2006 to join the Statewide Community Infrastructure Program. When property owners decided to participate in the program, the development impact fees owed to the City were financed by the issuance of tax-exempt bonds by California Statewide Communities Development Authority (CSCDA). CSCDA imposed a special assessment on the owners' properties to repay the portion of the bonds issued to finance the fees paid with respect to the properties. The current balance available in the SCIP Park Land Acquisition and Development Fees account is $804,093.63. Staff recommends a full expenditure of the no longer active SCIP fund balance for park improvement projects. The $125,000 from Basin Street is a special fee as a result of the agreement to construct a natural turf field rather than the suggested artificial turf field as part of the Riverfront development. These funds will be used last if needed and used only for the construction contingency. All remaining funds from this source will be returned for use on future park improvement projects. ATTACHMENTS 1. Resolution 2. Draft Contract Change Order #3 RESOLUTION AMENDING THE PROJECT BUDGET AND AUTHORIZING APPROVAL OF A CONTRACT CHANGE ORDER TO THE EAST WASHINGTON PARK PROJECT TO CONSTRUCT A THIRD FIELD WHEREAS, Ghilotti Brothers Inc. is actively constructing the East Washington Park Phase 1 Project; and WHEREAS, the City of Petaluma desires to add an additional, lighted, artificial turf field beyond the two within the existing contract; and WHEREAS, the City has negotiated a Contract Change Order to construct the third field along with other necessary improvements for a cost of $1,335,750; and WHEREAS, the project budget must be increased to $6,551,500 due to the Contract Change Order; and WHEREAS, $804,093.63 is the Statewide Community Infrastructure Program (SLIP) Park Land Acquisition and Development Fee Fund balance. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Petaluma hereby: Approves the proposed project budget of $6,551,500. Authorizes the transfer of $804,093.63 from the SC1P Park Land Acquisition and Development Fee Fund to the East Washington Park Phase 1 Project (CO 1400104). Authorizes approval of a contract change order for $1,335,750 to construct an additional (third) artificial turf playing field to the project. 4 CONTRACT NO. C00400104 CONTRACT CHANGE ORDER NO. 3 PROJECT NAME: East Washington Park Phase 1 To: Ghilotti Bros., Inc. 525 Jacoby Street San Rafael, CA 94901 Attachment 2 CITY OF PETALUMA Public Works & Utilities DEPARTMENT Sheet [1] of [1] You are hereby directed to make the herein described changes to the plans and specifications or do the following described work not included in the plans and specifications on this contract. Upon execution by representatives authorized to bind the parties, this Change Order will become a pad of the contract. The consideration specked in this Change Order (whether an adjustment of the contract price, an adjustment of time, and/or other consideration) is the full and sole compensation owed to the contractor as a result of the changes and issues described in this Change Order. Such consideration includes, but is not limited to, any and all direct and indirect costs incurred by the contractor as a result of the changes and issues described in this Change Order for any labor, equipment, materials, overhead (additional, extended, field and home office), profit, or time adjustments. By signing this Change Order the contractor waives and releases the owner from any and all claims for additional compensation concerning any of the changes and issues specified in this Change Order. NOTE: This Change Order is not effective until approved by the Director. To follow is the description of work to be performed, estimate of quantities and prices to be paid, segregated between additional work at contract price, agreed price and force account. Unless otherwise stated, rates for rental of equipment cover only such time as equipment is actually used and no allowance will be made for idle time. Change requested by City of Petaluma. SCOPE OF WORK: 1. Extra Work to construct soccer field #3 and parking lot extension per drawings C-115 C-117, "Final Submittal, East Washington Park Project Phase V dated May 2010, as prepared by Winzler and Kelly. Additional work includes lime treatment of third field and the parking lot extension, paving of parking lot, concrete pathways, field drainage, final grading, rock installation, filter fabric, electrical and irrigation conduits, field lighting, fencing, and Field Turf installation; all per project specificaitons. Cost per the agreed lump sum price of $1,335,749.81 (CCO #3) METHOD OF PAYMENT: Options: ® Lump Sum, ❑ Extra Work at Force Account, ❑ Increase Unit Price, ❑ Decrease Unit Price, ❑ Agreed Unit Price Estimated Cost: Decrease $ or Increase $ 1,335,749.81 By reason of this order, the time of completion will be adjusted as follows: 15 days We, the undersigned contractor, have given careful consideration to the change proposed and hereby agree, if this proposal is approved, that we will provide all equipment, furnish all materials, except as may otherwise be noted above, and perform all services necessary for the work above specified, and will accept as full payment the prices shown above. 0 Contractor Prepared by: Approval Recommended by: [PW, Parks, other] Funding Authorized by: Approved by (up to $20,000): Approved by (over $20,000): Title: Date: Project Manager; Date: Division Manager; Date: [Other Funding Dept] Date: Dept. Director; Date: , City Manager; Date: Originals: Contractor, City Clerk cc: City Manager S\CIP\Projects\East Washington Park Phase 1\Construction\05 Contract Change Orders\CCO#3 Contract Change Order (iManage #1158738) March 2013 5