sr-032211-3hCity Council Meeting: March 22, 2011
Agenda Item: ~J®
To: Mayor and City Council
From: Martin Pastucha, Director of Public Works
Subject: Change Order with West Valley Investment Group, Inc. for City Hall
Seismic Retrofit Project
Recommended Action
Staff recommends that the City Council:
1) Authorize the City Manager to negotiate and execute a second change order to
Contract No. 9143 (CCS) with West Valleylnvestment Group, Inc., aCalifornia-
based company, in the amount of $679,153, for a total contract amount of
$4,513,478.
2) Authorize the Director of Public Works to issue any necessary change orders to
complete additional work within budget authority.
3) Authorize budget changes as outlined in the Financial Impacts and Budget
Actions Section.
Executive Summary
On October 27. 2009, Council approved a construction contract with West Valley
Investment Group, Inc. (West Valley) in the amount of $3,834,325 for the City Hall
Seismic Retrofit Project. Due to delays in the Federal Emergency Management Agency
(FEMA) environmental review process, the City's Building and Safety Division's plan
check application expired and required resubmittal. The new submittal requires
upgrading the design to meet the currently adopted building code. As a result, a second
change order of $679,153 to .Contract No. 9143 (CCS) with West Valley is required for
the added scope of service involved in making the code upgrades. Additional
hazardous material monitoring and inspection services in the total amount of $34,847
are also necessary to complete the project as a result of the code changes that will be
awarded under a separate contract. This project is scheduled to be completed in spring
2012.
Discussion
The City Hall Seismic Retrofit Project is partially funded by the Federal Emergency
Management Agency (FEMA). Due to FEMA funding, the design of the project was
subject to environmental review (Section 106, NEPA equivalent for historic structures).
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The construction documents were completed, including plari check approval based on
2001 building code, and submitted to FEMA for environmental review in spring 2008.
FEMA provided preliminary approval. for bidding and contractor selection in fall 2009,
and completed their final environmental review in January 2010.
On October 27. 2009, Council approved Contract No. 9143 (CCS) for the seismic retrofit
of City Hall with West Valley. Due to FEMA's long environmental review process, the
original plan check application expired and had to be resubmitted for a new review.
Comments received from the new review required that the design be upgraded to meet
the .2007 Uniform Building Code, as opposed to the previous 2001 Uniform Building
Code. City staff requested the design consultant to redesign the plans to reflect the
currently adopted building code in order to receive a new plan check approval.
However, West Valley's bid and executed contract was based on the original
construction documents approved under the 2001 building code. The plans were
modified to be compliant with the 2007 code, which included the additional scope of
work. West Valley submitted a change order request in the amount of $679,153 for the
added scope.
Change Orders
In December 2010, a change order was issued in the amount of $88,978 to Contract
No. 9143 (CCS) with West Valley, which was within authorized budget authority and
therefore, did not require Council action. The change order was .for unforeseen
conditions, including design and scope changes.
Staff is now recommending a second change order, in the amount of $679,153, to West
Valley's contract to fund the necessary structural changes required in the 2007 Uniform
Building Code. An additional $34,847 is also needed to complete hazardous material
monitoring and inspection services as a result of the structural changes.
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Financial Impacts & Budget Actions
In order to fund the additional scope of work for the City Hall Seismic Retrofit Project, an
additional $714,000 of funding is necessary and requires the following budget actions:
1) Release $714,000 from the City Hall Renovation designation account 1.345140.
2) Appropriate $714,000 to the City Hall Seismic Retrofit project account
0012060.589000.
3) Issue second change order amount of $679;153 to Contract No. 9143 (CCS) with
West Valley Investment Group, Inc.
The remaining $34,847 will be used for additional monitoring and inspection services
not provided by West Valley Investment Group, Inc.
Prepared by: Alex Parry, Architect.
Approved: Forwarded to Council:
c
Martin Pastucha
Director of Public Works
Rod Gould
City Manager
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Reference Amended
Contract No. 9143 (CCS).