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HomeMy WebLinkAbout05. CIP 19-37-01 & 19-37-03 -Approve Change Orders w-PCN3 Construction-Fire Station Nos 1 & 3Rem 1140. L D By TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCILCITY MANAGER FROM: OFFICE OF THE CITY MANAGER : JOHN OSKOUI, P.E., ASSISTANT CITY MANAGER DATE: 2019 APPROVE AN INCREASE FROMf TO 17% IN THE AMOUNT OF CHANGE ORDERS AS RELATED TO THE CONSTRUCTION CONTRACT BETWEEN THE CITY OF DOWNEY i PCN3 CONSTRUCTION FOR . STATION•, AND i iN NO.3 MODERNIZATIONAND EXPANSION PROJECTS •> 19-37-01 AND f It is recommended that the City Council: 1. That the City Council approve an increase from 10% to 17% in the amount of change orders as related to the construction contract between the City of Downey and PCN3 Construction for the Fire Station No.1 and Fire Station No.3 Modernization and Expansion Projects (CIP No. 19-37-01 and CIP No. 19-37- 03). 2. Authorize the Assistant City Manager to execute the Contract Change Orders; On March 26, 2019, the City Council awarded a contract to PCN3 Construction for modernization and expansion of Fire Stations 1 and 3. At the time of the award of the contract, the City Council authorized staff to execute change orders not to exceed 10% of the contract amount. The contract amounts for Station No. 1 and Station No. 3 were $4,619,000.00 and $3,339,000.00, respectively. 71TRqM=6 Staff and the contractor, PCN3 are diligently working on completing the subject projects by the original completion date of December 2019 while confronting many challenges and unforeseen difficulties that typically occur during the course of reconstruction of aged buildings without having the benefit of accurate documents reflecting existing conditions. APPROVE A CHANGE ORDERS AS RELATED TO THE CONSTRUCTION CONTRACT BETWEEN THE CITY OF DOWNEY AND PCN3 CONSTRUCTION FOR THE FIRE STATION NO.1 AND FIRE STATION NO.3 MODERNIZATION AND EXPANSION PROJECTS (CIP NO. 19-37-01 AND CIP NO. 19-37-03). SEPTEMBER 24, 2019 PAGE 2 In addition, during the course of construction, the City elected to make several adjustments and improvements which were not in scope of the original work such as upgrade of the gates, upgrade of the overhead doors, moving the mechanic's shop from Station 1 t the City's Maintenance Yard. A list of the change orders executed to date has been attached to this report (Attachment A). Moreover, within the next week or two; a change order will need to be executed to upgrade the fire suppression system at a cost of about $135,000. The upgrade is required to properly relocate the Fire Department Dispatch Center form the City Hall to Station No. 1. Staff projects that the total amount of the executed change orders and the upcoming change orders would add to about 17% of the original contract amount. Therefore, staff respectfully requests that the City Council approve increasing the change order threshold amount from 10% of the original total contract amount of $7,958,000 which equals $795,800 to 17% of the original contract amount which equals $1,352,800. Quality of Life, Neighborhood & Infrastructure The City's Fiscal Year 2019-20 Capital Improvement Program includes adequate funds for Fire Station No.1 and Fire Station No.3 Modernization and expansion projects. 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