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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Subject: Authorization to execute Change
Orders No. One and Two to contract with
Solpac, Inc. d.b.a. Soltek Pacific for the San
Dept: Development Services 0 R 1 G 1 N A LBernardino Historic Santa Fe Depot Renovation
and Restoration project per Plan No. 10446 and
authorization to increase the project
contingency.
MCC Date: 04/07/2003
From: James Funk, Director
March 27, 2003
Date:
File: 6.7225
Synopsis of Previous Council Action:
12/04/00 Adopted Resolution No. 2000-340 awarding contract to JANUS Corporation for abatement of lead-based
paint. asbestos, PCB abatement, and clean-up at the San Bernardino Santa Fe Depot.
11/20/00 Adopted Resolution No. 2000-327 awarding contract to Architect Milford Wayne Donaldson, Inc. for
preparing final plan, specifications and estimates for renovation of the San Bernardino Santa Fe Depot.
10/02/00 Agreement for Professional Environmental Inspection Services approved with Earth Tech for providing
inspection of hazardous waste removal at the San Bernardino Santa Fe Depot.
3106/00 Approval of the Rehabilitation and Adaptive Reuse Plan for the San Bernardino Santa Fe Depot.
3/20/01 Approval of Contract Change Order No. One to the contract with JANUS Corporation for abatement of
lead-based paint, asbestos, PCB, and clean-up at the San Bernardino Santa Fe Depot.
Approval of Contract Change Order No. Two to the contract with Earth Tech., a Tyco International
L TD company, for Professional Environmental Inspection Services for lead-based paint, asbestos, PCB
abatement, and clean-up at the San Bernardino Santa Fe Depot.
OS/21/01 Approved Agreement with Transteeh Engineers, Inc. to provide professional construction management,
plan review, and inspection services for the Santa Fe Depot Renovation Project.
09/09/02 Adopted resolutions awarding contract to Solpac, Inc. d.b.a. Soltek Pacific for the San Bernardino
Historic Santa Fe Depot Renovation and Restoration project, per Plan No. 10446; approving Agreement with
Omnitrans for obtaining Federal Transit Administration funding; ratifying a grant application for TEA funding;
and authorize the Director of Finance to amend the FY 2002/03 budget.
Recommended Motion:
I. Authorization for the Finance Director to increase the project contingency fund by an amount of $250,000
from $480,000 to $730,000, utilizing the savings in construction management costs addressed in another
agenda item and,
2. Authorization to execute Change Order No. One to contract with Solpac, Inc. d.b.a. Soltek Pacific in the
amount of $41,373 for the San Bernardino Historic Santa Fe Depot Renovation and Restoration project, per
Plan No. 10446, leaving a new balance in the contingency of $688,627 and,
3. Authorization to execnte Change Order No. Two to contract with Solpac, Inc., d.b.a. Soltek Pacific in the
amount of $658,194 for the San Bernardino Historic Santa Fe Depot Renovation and Restoration Project, per
Plan No. 10446, leaving a balance in the contingency of $30,433. ~ /;:;L; f'T?
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Contact person:
Mike Grubbs, Field Engineer
Phone:
5179
Supporting data attached: Staff Report, CCO #1, CCO #2
Ward(s):
I
FUNDING REQUIREMENTS:
Amount:
$ 699,567.00
Source: (Acct. No's) 123-558-5504-717R
Acct. Description: Restoration of San Bernardino Santa
Fe Depot
Finance:
'iJ7/JJ
Agenda Item No. J to
CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Staff Report
Subject:
Authorization to execute Change Orders No. One and Two to contract with Solpac, Inc. d.b.a.
Soltek Pacific for the San Bernardino Historic Santa Fe Depot Renovation and Restoration
project per Plan No. 10446 and authorization to increase the project contingency fund.
Backl!;round:
Bids were received for the San Bernardino Historic Santa Fe Depot Renovation and
Restoration project, per Plan No. 10446, and a contract for the work was awarded to Solpac,
Inc. d.b.a. Soltek Pacific on September 9, 2002. Construction work has been proceeding on
schedule and is approximately 20% completed.
Together with the architect, the construction management firm and later the contractor, staff
has completed several exhaustive rounds of value engineering processes associated with the
Santa FE Depot Restoration Project. The initial phase of value engineering successfully
reduced the estimated cost of the final phase of reconstruction from about $13 million to about
$9 million, resulting in a low bid in that approximate amount. Once the contract was let to
Soltec, Inc., staff initiated another round of value engineering, now including the contractor,
resulting in substantial savings to the contract in a number of areas including HV AC,
structural, trim and exterior work. However, in the course of completing early phases of the
work, asbestos was encountered in several locations that were not identified during the
investigation phase of the project and must be removed at a significant additional cost to the
project. In addition, there was extensive asbestos piping found in the tunnels under the Depot,
which were designed to be used as utility chases in the restoration project.
The original design called for removal of all hazardous materials in the series of tunnels under
the Depot so that the new utilities (sewer, water, electric, etc.) could be installed and
maintained in the tunnels. When staff learned of the extensive work that was being undertaken
to accomplish this, we reviewed the project costs and directed the contractor and construction
manager to complete the removals in the south tunnel, redesign the utilities to all be placed in
the south tunnel or outside the building, and seal up the north tunnel, as well as the other
north/south oriented tunnels under the building.
The contingency amount approved for the renovation contract as part of the contract award is
$480,000.00. Staff is recommending that the savings which will be realized by the approval of
Amendment No. 1 to Agreement with Transtech Engineers, Inc. be transferred to increase the
contingencies for the renovation project, establishing a total construction project contingency of
$730,000.00. Soltek Pacific is currently requesting a change order for asbestos removal and
other items of extra work that will increase the contract cost by approximately $699,567.
Change Order No. One in the amount of $41,373 consists of various items, which were
unknown at the time of bidding.
Change Order No. Two in the amount of $658,194 consists of various items, which were
unknown at the time of bidding.
2
CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Staff Report (Continued)
The details of these change orders are described in the attached Change Orders No. One and
Two.
Financial Impact:
All costs incurred for this project are charged to Account No. 123-558-5504-7178 (Restoration
of the San Bernardino Santa Fe Depot).
The revised project costs are as follows:
Original contract amount....................................................................... $ 9,296,000.00
Contract Change Order No. One............................................................ 41,373.00
Contract Change Order No. Two............................................................ 658,194.00
Revised Construction Contract cost................................................. ....... $ 9,995,567.00
Change Order No.1, in the amount of $41,373 is (0.45%) of the original contract amount.
Change Order No.2, in the amount of $ 658,194 is (7.08 %) of the original contract amount.
Recommendation:
I. Authorization for the Finance Director to increase the project contingency fund by an
amount of $250,000 from $480,000 to $730,000, utilizing the savings in construction
management costs addressed in another agenda item and,
2. Authorization to execute Change Order No. One to contract with Solpac, Inc. d.b.a. Soltek
Pacific in the amount of $41,373 for the San Bernardino Historic Santa Fe Depot
Renovation and Restoration project, per Plan No. 10446, leaving a new balance in the
contingency of $688,627 and,
3. Authorization to execute Change Order No. Two to contract with Solpac, Inc., d.b.a.
Soltek Pacific in the amount of $658,194 for the San Bernardino Historic Santa Fe Depot
Renovation and Restoration Project, per Plan No. 10446, leaving a balance in the
contingency of $30,433.
3
DEVELOPMENT SERVICES DEPARTMENT
300 North "D" San Bernardino CA 924t8~OOl
Planning & Building 909.384.5057 Fax: 909.384.5080
Public Works/Engineering 909.384.5111 Fax: 909.384.5155
CONTRACT CHANGE ORDER NO. ONE
DATE:
PROJECT:
April 7. 2003
HISTORIC DEPOT RENOV A nON PROJECT, CITY PROJECT NO: HDREN-1,
FEDERAL PROJECT NO: 08-4105584L
TO:
SOL TEK PACIFIC
2424 Congress Street
San Diego, CA 92110
DELETED ITEMS
ITEM NO: DESCRIPTION OF CHANGE
1-6 Watkins Environmental Time & Material
1-7 Added demolition scope at exterior
Total value of Added items
COST
$ (213,551.00)
$ (49,350.00)
$ (48,290.00)
$ (8,860.00)
$ (62,400.00)
$ (382,451.00)
COST
$ 389,434.00
$ 34,390.00
$ 423,824.00
$ 41,373.00
1-1 Credit for Vaiue Engineered HV AC System
1-2 Delete Inspection requirements
1-3 Revise Arcade Redwood to Construction Grade
1-4 Revise HVAC Catwalk materials
1-5 Interior Demolition Revised scope
Total value of deleted items
ADDED ITEMS
ITEM NO: DESCRIPTION OF CHANGE
NET COST (CREDIT) OF CHANGE ORDER NO.1
Justifications:
Item #1-1
Credit for Value Engineered HVAC System - Contract Document called for a Air Handling
with Chillers Mechanical system. Thru the value engineering process system has been
changed to a water source heat pump system for a credit back to the City of San Bernardino.
Item #1- 2
Delete Inspection requirements -Contract Document called for the General Contract to
obtain the services of a Testing and inspection firm. Thru the negotiation process this
requirement has been deleted. Credit back to the City of San Bernardino.
Item #1-3
Revise Arcade Redwood to Construction Grade - Contract Documents called for clear
heart redwood. Thru the value engineering process the clear heart redwood has been
changed to a construction grade redwood. Credit back to the City of San Bernardino.
Item #1-4
Item #1-5
Item #1-6
Item #1-7
Revise HVAC Catwalk materials - Contract documents called for the HVAC cat walk
system to be Manufactured by Ohio Gratings, product to be Aluminum anodized. Thru the
value engineering process the requirement has been changed to a McNichols cat walk
system. Credit back to the City of San Bernardino.
Interior Demolition Revised scope - Per the Contract documents scope of interior
demoiition was reduced. Credit back to the City of San Bernardino.
Additional Hazardous Material Removal (labor) - Additional locations and aounts of
interior and exterior lead and asbestos abatement.
Added demolition scope at exterior - Per the contract documents exterior demolition
scope increased including but not limited to the removal of brick paver, cleaning and
palletizing at the East End of the Parking Lot. Relocation of brick to be used for the
replacement of brick at the front of the buildings court yard area.
Summary Of Contract Costs
The estimated revised contract cost is as follows:
Signature:
Name:
Signature:
Name:
Date:
Executed by:
Name/Signature
Date:
Recommended by:
Name/Signature
Date:
Item Number
Date:
.$ 9,296,000.00
. $ (382,451.00)
.$ 423,824.00
Original Contract amount..... .......... ....................... ................. ......
Decrease due to CCO # 1...........................................................
Increase due to CCO # 1.............................................................
Revised Contract Amount
9,337,373.00
. APPROVED BY MAYORANO COMMON COUNCIL." .' . . .
April 7, 2003
DEVELOPMENT SERVICES DEPARTMENT
300 North "0" San Bernardino CA 92418-001
Planning & Building 909.384.5057 Fax: 909.384.5080
Public Works/Engineering 909.384.5111 Fax: 909.384.5155
CONTRACT CHANGE ORDER NO. TWO
DATE:
PROJECT:
April 7, 2003
HISTORIC DEPOT RENOV AnON PROJECT, CITY PROJECT NO: HOREN. I ,
FEDERAL PROJECT NO: 08-4I05584L
TO:
SOLTEK PACIFIC
2424 Congress Street
San Diego, CA 92110
ITEM NO:
DELETED ITEMS
DESCRIPTION OF CHANGE
2-1
2-2
2-3
2-4
2-5
2-6
2-7
Remove brick fa<;ade on mechanical building
Structural Steel Savings
HV AC Catwalk Savings
Electrical Fixture Change from Fluorescent to Incandescent Lighting
Alternate Demolition (Roof)
Exterior Painting ($75,000.00) Credit
Reduction in Site Civil Work
Total value of deleted items
ADDED ITEMS
ITEM NO: DESCRIPTION OF CHANGE
2-8 install new roof covering
Rernediate newly discovered and additional quantities of hazardous
2-9 material
Total value of Added items
NET COST (CREDIT) OF CHANGE ORDER NO.1
Justifications:
Item #2-1
COST
$ (57,000.00)
$ (85,000.00)
$ (11,060.00)
$ (30,000.00)
$ (42,605.00)
$ (75,000.00)
$ (65,000.00)
$ (365,665.00)
COST
$ 180,678.00
$ 843,181.00
$ 1,023,859.00
$ 658,194.00
Delete Brick Facade - The original bid documents called for the installation of a brick fa~ade
facing the separate mechanical building. This is simply an aesthetic element that has no
historic relevance. The architect now supports the deletion of the facade brick work in
deference to budgetary concerns.
Item #2-2
Structural Steel Savings. The value engineering process resulted in
a reduction in HV AC equipment needed in the entire roof substructure
area, which resulted in a reduction in the costs to "shore up" the
existing substructure.
Item #2-3
HVAC Catwalk Savings. The value engineering process resulted in a
reduction in HV AC equipment needed in the "catwalk" area, which
then resulted in savings in structural costs to "shore up" the existing
"catwalk."
Item #2-4
Item #2-5
Item #2-6
Item #2-7
Item #2-8
Item #2-9
Electrical Fixture Change from Fluorescent to Incandescent
Lighting
Alternate Demolition (Roof) - Original scope was to demolish and
repair failed sections of the roof. It was learned that the damage was
too severe to warrant trying to repair the roof and the recommendation
is now to replace the entire roof sheeting.
Exterior Painting Credit - Original scope was to include painting the
exterior of the building. It is now recommended that the existing
stucco be power washed, repaired as required, and cleaned at a net
savings of $75,000.
Reduction in Site Civil Work - The value engineering process also
resulted in some changes in the proposed site work design that
included savings in utility costs, including sewer and dry utiiities.
Install New Roof - The original bid documents authorized repair of 2000 square feet of
localized areas of the existing roof. It has become apparent that the roof has too many leaks
and gaps, and complete replacement is required to protect the City's tenant improvements
planned for the interior of the structure.
Remediate Newly Discovered Hazardous Material - During demolition of areas within the
building, and in the process of preparing the tunnels beneath the Depot to be used as utility
chases, a significant amount of previosuly unknown asbestos and lead paint was
discovered. In order to occupy all areas of the building as planned and provide adequate
"clean" space for utility chases, this hazardous material must be remediated.
Summary Of Contract Costs
The estimated revised contract cost is as follows:
Signature:
Name:
Date:
Signature:
Name:
Date:
Executed by:
Name/Signature
by'
Name/Signature
Date:
Item Number
Date:
Original Contract amount........ ....... ... ......... ........... ....... ..... ...........
Decrease due to CCO # 1...........................................................
Increase due to CCO # 1.............................................................
Decrease due to CCO #2.............................................
Increase due to CCO #2.................. ....................... ........ .............
Revised Contract Amount
APPROVED BY MAYOR AND CQMMONCOUNCIL .'
April 7. 2003
.$ 9,296.000.00
..$ (382,451.00)
.$ 423,824.00
$ (365,665.00)
$1,023,859.00
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