SR-308-006-01 (2)
EPWM:CP:AA:BZ:RS sp1466\cc1466clo.doc
City Council Meeting: March 7, 2000 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Recommendation to Authorize the City Manager to Negotiate and Execute
a Modification to the Professional Services Agreement with Black and
Veatch Corporation to Oversee the Installation of the Restroom Roofs and
the Beacon/Overlook Art Element and to Close-Out the Beach
Improvement Group (B.I.G.) Project
Introduction
This report recommends that the City Council authorize the City Manager to negotiate
and execute a modification to the professional services agreement with Black and
Veatch Corporation to increase the contract in an amount not to exceed $67,802 for
construction management services during the completion of the Beach Improvement
Group Project (B.I.G.), and approve $1,673 in contingency funds for the additional work.
Black and Veatch will provide oversight for the installation of restroom roofs and the
Palisades Park Beacon/Overlook art element, and for the close-out of the B.I.G. Project.
Background
On August 11, 1998, the City Council awarded a contract to Black and Veatch
Corporation, an engineering and construction management firm, for construction
management of the B.I.G. Project comprised of Palisades Park Improvements (Phase
II) and the South Beach Improvements. On August 17, 1999, the City Council approved
a modification to Black and Veatch's contract for construction management services and
engineering-procured construction services for the Beacon/Overlook. The installation of
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the Beacon/Overlook is currently underway. On February 8, 2000, the City Council
deleted the restroom roof installations from Valley Crest's contract and authorized the
City Manager to execute a contract with Maher Development, Inc. for the installation of
the roofs. Valley Crest has nevertheless filed a claim against the City regarding the
change in contract scope which remains to be settled.
Discussion
Due to the extent of the punch list items (corrections to the work), the remaining work on
the installation of the restroom roofs, and the analysis of claim for extra costs by Valley
Crest, the City would benefit with Black and Veatch's history on the job and ability to
respond to the issues being raised by Valley Crest. Black and Veatch will also review
any details and shop drawings related to the installation of the roofs, monitor and
finalize the corrective work that the City requests of Valley Crest, and complete the
project accounting and issue a final change order to balance out Valley Crest's contract
at project close-out. The cost for these services is approximately $40,000.
During the fabrication of and scheduling for the delivery of the Beacon/Overlook, the
fabricator notified Black and Veatch of additional costs not included in the procurement
contract that the City Council approved for Black and Veatch on August 17, 1999.
These additional costs are: sales tax on the Overlook purchase; the Beacon structural
redesign during fabrication; modification of Beacon's support structure; and changing
the wood pattern of the Overlook from horizontal to vertical. The total cost of these
services is $27,802 and that amount is included in this request.
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Financial/Budget Impact
Funds required are: Contract $67,802
Contingency $ 1,673
Total $69,475
Funds are available in account number C01008100.589000.
Recommendation
Staff recommends that the City Council:
1. Authorize the City Manager to negotiate and execute a modification to the
professional services agreement in the amount of $67,802 with Black and Veatch
Corporation for construction management services during the completion of
restroom roofs and the Beacon/Overlook art element, and the close-out of the
Beach Improvement Group Project and approve $1,673 in contingency funds for
the contract; and
2. Authorize the City Engineer to issue and necessary change orders to complete
additional work in accordance with the Administrative Instructions on change
orders.
Prepared by: Craig Perkins, Director, Environmental and Public Works Mgmt. Dept.
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Barbara Stinchfield, Director, Community and Cultural Services Dept.
Anthony Antich, P.E., City Engineer
Bill Zein, P.E., Senior Engineer
Elaine Mutchnik, Acting Beach Manager, CCS
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