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HomeMy WebLinkAboutPW TL Poolhouse Renovation Agenda Item No: 4.e Meeting Date: January 19, 2016 SAN RAFAEL CITY COUNCIL AGENDA REPORT Department: Public Works Prepared by: Dean Allison, City Manager Approval: ____ Director of Public Works File No.: 06.01.215 TOPIC: TERRA LINDA POOL HOUSE RENOVATION PROJECT BUDGET INCREASE SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL INCREASING THE PROJECT BUDGET AND AUTHORIZING ADDITIONAL CONSTRUCTION CONTINGENCY FOR THE TERRA LINDA POOL HOUSE RENOVATION PROJECT, CITY PROJECT NO. 11229 RECOMMENDATION: Adopt resolution BACKGROUND: The Terra Linda Pool House Renovation Project, City Project No. 11229, includes and ing a new family restroom, constructing additional storage and adding a new classroom on the north end of the pool house. On December 15, 2014, the City Council adopted Resolution No. 13854 which awarded a construction contract to Murray Builders, Inc. The staff report noted that construction would not begin until October, 2015 because there was insufficient time to complete the renovations prior to the start of the swim season and that the contractor agreed to postpone the start of construction. A Notice to Proceed was issued in September 2015. Construction began in September 2015 and is scheduled for completion in March 2016. When the contract was awarded, the City Council authorized a construction contract of $616,993 and a contingency of $93,007 for a total authorization of $710,000. An additional authorization of $150,000 is needed due to the schedule adjustment described above. ANALYSIS: The construction delay resulted in increased labor and material costs. In addition, the contractor requested additional payment for extended insurance and bond costs. The contractor has presented information supporting all increases to prevailing wage and new sick leave compensation, material cost increases, additional premiums for extended insurance and bonds, and the roof sub- contractor backing out of the project completely. Staff believes these added expenses are justified based on the and the fact that these charges would be incurred if the project were rebid. ____________________________________________________________________________________ FOR CITY CLERK ONLY File No.: 4-1-660 Council Meeting: 01/19/2016 Disposition: Resolution 14057 SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2 The following change orders are also required: This project includes installation of a new classroom facility next to the existing pool house. After the start of the construction, soil material below the area was found to be unsuitable and needed to be removed. After award of construction, Marin Municipal Water District (MMWD) notified the City that the new restroom facilities must utilize recycled water for some plumbing features. To accommodate this requirement, the original plan must be modified. Additional costs will be incurred for the designer to modify the plans and for the contractor to implement this change. The actual MMWD water line connection in the street is not in the location identified in the construction plans. Additional trenching to connect to is needed, adding expense to the project. Excavation, paving and sidewalk work will be necessary to provide water and recycled water service to this facility. The leading items causing cost overruns are as follows: Item Amount Comment Prevailing wage and roofing sub- Construction delay $61,692.07 contractor increase Removal of unsuitable material $13,981.94 Slab was thicker than noted on the Removal of foundation required $15,499.20 existing plans Recycled water system & water Designer developing plumbing plan; connection $50,000.00 contractor estimate to follow. Miscellaneous $8,826.79 TOTAL $150,000.00 C continue to work collaboratively to complete construction. The current completion date is March 14, 2016. Staff examined the proposed changes and anticipated modifications likely needed to complete the project. Based on this analysis, we recommend that the City Council approve the increase in the project budget and contingency. FISCAL IMPACT: To complete construction, an additional $150,000 is requested. The funding source is the Building Fund (#603). The revised construction budget is as follows: Category Amount Construction award $616,993.00 Construction contingency $93,007.00 Additional authorization $150,000.00 Total Construction Budget $860,000.00 SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 3 Funding sources: Initial Project Funding Sources Amount Parkland Dedication Fund No. 240 $354,927.00 Building Fund No. 603 ($232,427 of original $587,500 expended thus far, leaving a balance of $355,073) $355,073.00 Building Fund No 603 (Additional Allocation) $150,000.00 Total Available Construction Funds $860,000.00 The December 15, 2014 project budget of $942,427.68 included $232,427.68 for non-construction costs, e.g., design, construction management, community outreach, etc. This additional authorization of $150,000 raises the overall project budget to $1,092,427.68. Completion of construction is critical to meet the 2016 Swim Season. The Department of Public Works is working closely with Community Services to accommodate the groups that will be utilizing this facility in early March, 2016. We anticipate that a delay in opening the restroom facility in March, while inconvenient, will not deter the aquatic team from utilizing the pool. DPW staff presented this information to the City Council Finance Committee on January 7, 2016. In the future, Public Works award recommendations will be contingent upon the construction occurring immediately after the Council action. OPTIONS: The City Council may choose to: 1. Approve the Resolution authorizing the additional project funding. 2. The Council may choose not to authorize additional project funding and to conduct additional communications with the contractor. Staff believes those discussions would not be productive, and the pool and pool house would not be completed in time for the 2016 swim season. Increasing the Project Budget and RECOMMENDED ACTION: Approve the Resolution Authorizing Additional Contingency for the Terra Linda Pool House Renovation Project ATTACHMENTS: 1. Resolution RESOLUTION NO. 14057 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL INCREASING THE PROJECT BUDGET AND AUTHORIZING ADDITIONAL CONTINGENCY FOR THE TERRA LINDA POOL HOUSE RENOVATION PROJECT, CITY PROJECT NO. 11229 th WHEREAS, on the 15 day of December, 2014, the City Council of the City of San Rafael awarded the contract for the Terra Linda Pool House Renovation Project, City Project No 11229, to Murray Builders, Inc. in the amount of $616,993; and WHEREAS , the City Council authorized an initial contingency in the amount of $93,007 for this project; and WHEREAS , additional contingency funds in the amount of $150,000 are necessary for various increases in the project cost as well as additional modifications to the project scope; and WHEREAS , there are sufficient funds in the Building Fund No. #603 to support this allocation; and WHEREAS, an additional appropriation of $150,000 from Building Fund #603 is required. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RESOLVES as follows: 1.The project budget and the allotted contingency for Terra Linda Pool House Renovation Project, City Project No 11229 is hereby increased in the amount of $150,000. 2.An additional $150,000 of available Building Funds will be appropriated for this project at this time. 3.The Director of Public Works is hereby authorized to take any and all such actions and make changes as may be necessary to accomplish the purpose of this resolution. I, ESTHER C. BEIRNE , Clerk of the City of San Rafael, hereby certify that the foregoing Resolution was duly and regularly introduced and adopted at a regular meeting of the th City Council of said City held on Tuesday, the 19 day of January, 2016 by the following vote, to wit: AYES: COUNCILMEMBERS: Bushey, Colin, Gamblin, McCullough & Mayor Phillips NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None ESTHER C. BEIRNE, City Clerk File No.: 06.01.215