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SR 06-12-2018 3M City Council Report City Council Meeting: June 12, 2018 Agenda Item: 3.M 1 of 2 To: Mayor and City Council From: Susan Cline, Director, Public Works Subject: First Modification to Contract with Best Contracting Services for the Airport Roof Acrylic Application Project Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a first modification to agreement #10560 (CCS) in the amount of $220,000 with Best Contracting Services, Inc., a California-based company, to provide additional roofing repairs to facilities located at the Santa Monica Airport. This will result in a one- year amended agreement with a new total amount not to exceed $2,180,123, with future year funding contingent on Council budget approval. Executive Summary For decades, many of the buildings at Santa Monica Airpo rt (SMO) were leased to long- term aviation tenants. These, in turn, often subleased these properties to other aviation and non-aviation users. With the change in policy to assume direct leasing control over all tenants, there is a need to address deferred maintenance issues. The Airport Roof Acrylic Application Project is currently addressing roof leaks at approximately 75% of facilities located at SMO. Since the contract for the project was awarded to Best Contracting Services, Inc. in October 2017, the City has assumed management of additional Airport properties. Staff recommends a first modification to construction contract #10560 (CCS) with Best Contracting Services, Inc. to increase the contract amount by $220,000 for roofing repairs to these additional Airport properties. Background Due to deferred maintenance and heavy rains in early 2017, the Santa Monica Airport experienced various roof leaks at a large number of facilities and tenant spaces. Staff determined that a roofing contractor was needed to repair the roof leaks. 2 of 2 On October 10, 2017, Council authorized the City Manager to negotiate and execute a construction contract with Best Contracting Services, Inc. for the Airport Roof Acrylic Application Project (Attachment A). The base contract amount was $1,960,123, which included $316,265 in contingency. Discussion Early this year, the Airport was assigned to manage 31 additional hangars previously managed by Atlantic Aviation. The roofs of these hangars, totaling 82,500-square-feet, need to be repaired. The work would include repairing leaks, replacing heavily rusted sheet metal, replacing downspouts and gutters, and sealing gutter and coping seams. The original contract did not account for this added scope. To complete this added roof work, staff recommends adding $220,000 to contract #10560 with Best Contracting Services, Inc., thereby increasing the contract amount to $2,180,123. Financial Impacts and Budget Actions The contract modification to be awarded to Best Contracting Services, Inc. is $220,000, for an amended contract total not to exceed $2,180,123. Funds are available in the FY 2017-18 Capital Improvement Program budget in account M339088.589000. Prepared By: Phillip Ticun, Construction Specialist Approved Forwarded to Council Attachments: A. October 10, 2017 Staff Report (Web Link) B. Best Contracting Oaks Initiative Form 0 REFERENCE: Modified Agreement No. 10560 (CCS)