TO:
Honorable Mayor Powell and Members of the City Council
THROUGH:
David N. Carmany, City Manager
FROM:
Jim Arndt, Public Works Director
Steve Finton, City Engineer
Ish Medrano, Engineering Technician
SUBJECT: Title
Final Payment in the Net Amount of $81,700.00 to Harbor Construction Co. Inc.; Formal Acceptance of the Joslyn Center, Begg Pool Locker Room and Manhattan Heights Community Center Renovation Project as Complete; and, Authorization to File a Notice of Completion and Release Retention in the Amount of $170,729.60.
APPROVE
Body
____________________________________________________________________
RECOMMENDATION:
Staff recommends that the City Council authorize the City Manager to:
a) Approve the issuance of a final payment in the net amount of $81,700.00 to Harbor Construction Co. Inc. the Joslyn Center, Begg Pool Locker Room and Manhattan Heights Community Center Renovation Project;
b) Formally accept the Joslyn Center, Begg Pool Locker Room and Manhattan Heights Community Center Renovation Project as complete; and,
c) Authorize filing of the appropriate Notice of Completion and the release of retention in the amount of $170,729.60.
FISCAL IMPLICATIONS:
Capital Improvement Funds in the amount of $3,610,145 have been appropriated for this project by City Council. Total project costs are $3,609,611.05. Please see Attachment 1 for budget and expenditure details in tabular format.
BACKGROUND:
On December 6, 2011, City Council authorized the City Manager to:
1. Award a contract in the amount of $3,173,000.00 to Harbor Construction Co., Inc. for the Joslyn Center, Begg Pool and Manhattan Heights Community Center Renovation Projects;
2. Approve Change Order Number 1 deleting roofing work at the Begg Pool Locker Room facility and providing a credit in the amount of $69,115; and,
3. Approve additional work, if necessary, in an amount not to exceed of $310,389 (9.78% of contract amount).
4. Appropriate Capital Improvement Funds in the amount of $1,678,145 for the Joslyn Center, Begg Pool and Manhattan Heights Community Center Renovation Projects
The Contractor started work on January 23, 2012 and was substantially completed on October 5, 2012.
DISCUSSION:
The Contractor has completed the entire scope of the project. The project was declared substantially complete on October 5th and the Joslyn Center was open to the public on October 6th and 7th for Home Town Fair activities. A grand opening ceremony was held at the Joslyn Center on October 25, 2012.
Major Elements of the completed project are as follows:
Joslyn and Manhattan Heights Community Centers
Commercial kitchens
Heating, ventilation and air conditioning systems
Handicap accessible restrooms
Handicap accessible stage (Joslyn Center)
Stage curtains (Joslyn Center)
Tile Flooring
Carpeting (Manhattan Heights)
Audio Visual system improvements
Energy efficient windows
Interior architectural features enhancing aesthetics
Interior and exterior paint throughout
Repair of termite and dry-rot damage (Manhattan Heights)
Fire sprinklers
Fire alarm system
Handicap parking and access
Room dividers (Joslyn Center)
Asbestos and Lead abatement
Begg Pool Locker Room
New lockers, benches, interior and exterior paint, flooring, new windows and doors, handicap parking and access and drainage improvements.
Delays
Problems with flooring installations at the Joslyn and Manhattan Heights Centers caused delays during July and August. Those flooring problems have been resolved. Prior to the flooring problems, four change orders were issued addressing required additional work and granting 61additional working days. These change orders revised the project completion date to July 20, 2012. During the flooring delay, staff placed the contractor on notice that liquidated damages would be assessed.
In late August, however, after an inspection of the fire protection systems the Fire Marshal's office requested a review of the fire sprinkler/fire alarm system plans of the Joslyn and Heights facilities. It was determined that the fire protection systems plans were correct, but the required fire alarm panel, alarm warning strobe, and central monitoring phone line to the alarm company had not been installed. The contractor was given an allowance for each facility to purchase and install these items. The actual costs to purchase these items exceeded the estimated allowance. The alarm panels were ordered and built to the system's specification. The lead time to delivery and installation of the system caused delays through August, September and early October. The fire alarm systems installation was completed and approved by the Fire Marshal on October 5, 2012. The fire alarm requirement created a concurrent delay condition and established the fire alarm as the controlling item on the project schedule; therefore, assessment of liquidated damages would not be appropriate. Change Order No. 5 granted 54 additional working days bringing the completion date to October 5, 2012.
Staff and the Contractor have negotiated a final change order (Change Order No. 5) to address remaining work performed by the contractor that was in addition to the original contract scope of work. This change order is in the amount of $86,000 and will resolve all outstanding contractual issues between the City and Contractor. The change order includes the following:
Fire alarm systems (Joslyn/Heights) - $29,694
Switch and controls for kitchen hoods - $9,855
Miscellaneous electrical system modifications (15 locations) - $27,094
Dance floor refinishing - $2,880
Additional carpentry - $4,185
Additional painting - $2,931
Door modifications - $3,083
Additional plumbing - $2,794
Curtains and shades - $1,174
Kitchen modifications to meet Health Department requirements - $713
Credit for not installing display case - -$2,500
Interior concrete work at Begg Pool Locker Room - $4,097
Total Change Order No. 5 = $86,000
This change order will bring the final contract amount to $3,414,592.04. With design expenses and other miscellaneous project expenses, total project expenses will be $3,609,637.85 which is within the budget amount of $3,610,145. Please see Attachment 1 for budget and expenditure details in tabular format.
The Contractor has submitted a request for Progress Payment No. 9 and final in the amount of $81,700. This is full payment for all work completed under the contract with the exception of the release of retention. All work completed by the contractor has been reviewed by the Public Works Department and found to be in conformance with the plans and specifications. If so directed by City Council, staff will complete and record a Notice of Completion with the County Clerk. Retainage in the amount of $170,729.60 would be released to the contractor 35 days after recordation of the Notice of Completion.
Attachments:
1. Tables 1, 2, 3 and 4 Budget & Expenditures