To: Board of Supervisors
From: Public Works
SUBJECT:
title
Humboldt County Eureka Veterans Memorial Building Seismic Repair Project, Change Order Number 5.0, Project Number 210502, DSR (Disaster Survey Report) 2987, 2946, 3401, 3724 (4/5 Vote Required)
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RECOMMENDATION(S):
Recommendation
That the Board of Supervisors approve and authorize the Public Works Director to execute, Change Order Number 5.0 for a $347,038.08 cost increase and a time extension of 73 days (4/5 Vote Required); approve use of the 2016 Finance Plan for the Eureka Veteran’s Memorial Seismic Repair Project for $155,900 to secure the county’s anticipated 25 percent match requirement and ineligible costs per the future supplemental California Office of Emergency Services for Damage Survey Report; and adopt the following supplemental budget (4/5 Vote Required) for FY 2018-19: Revenue:1100170-708250 Proceeds from Finance Plan $155,900 Expenditure: 1100170-8823 Eureka Veterans Memorial $ 155,900.
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SOURCE OF FUNDING:
California Governor's Office of Emergency Services (Cal-OES); 2016 Finance Plan
DISCUSSION:
On April 18, 2017, the Board of Supervisors authorized the Humboldt County Eureka Veterans Memorial Building Seismic Repair Project award to Adams Commercial General Contracting, Inc. in the amount of $6,848,000 and a four hundred and fifty (450) calendar day completion schedule.
The scope of construction work includes all work necessary to bring the building up to current building code standards. In addition to repairing seismic damage and making structural improvements, the project includes eliminating Americans with Disabilities Act of 1990 (ADA) accessibility barriers, improving the life-safety and exiting systems of the building, performing hazardous materials abatement, installing fire sprinklers throughout and replacing mechanical and electrical equipment with new equipment to meet building code requirements. All work and upgrades are related to building code requirements and is work that will need to happen in any event to bring the building up to code. The project is designed to rehabilitate the historic facility and provide for safe and efficient use into the future. In addition to new concrete steel and wood structural reinforcements, repairs generally utilized epoxy injection and high strength non-shrink grouting methods. Repair circumstances are described by crack or spall size, location or both and associated costs are be determined by unit pricing based on actual lineal footage or volume of repair area.
The increase in cost for construction is directly related to the work necessary to repair and restore the building as a result of making the proper seismic repairs using methods described in the construction documents. It was anticipated that additional costs would be encountered during construction, which is the rationale for establishing unit pricing for some items such as concrete crack and spall repair. Additional accessibility issues were encountered during the course of construction and require additional work to make public use areas accessible including widened doorways, accessible hardware and accessibility to trash enclosure areas. Deviations from the original 1930 era drawings and anticipated construction methods and detailing have made a number of changes necessary to resolve unanticipated structural, mechanical and architectural issues.
Change Order (CO) Numbers 1.0, 2.0, 3.0 & 4.0 were processed previously and consisted of additional work in the basement to resolve sub-surface water intrusion issues, additional hazardous materials abatement, additional seismic bracing, preliminary work to remediate an underground heating oil tank discovered during the course of construction, and changes to roofing materials and details. The cost of the four previous change orders was $512,205.66, and the contract time was increased by thirty-three (33) days for a total of four hundred and eighty-three (483) days. Supplemental DSR # 3724 was processed through Cal-OES for change orders 1.0, 2.0 & 3.0 adding $409,322 to their obligation towards the Seismic Repair Projects. Change order 4.0 will be included with this change order 5.0 in an anticipated supplemental DSR.
Each previous Change Order (1.0-4.0) aggregated a large number of smaller, integral portions of work and changes to the work that were necessary during the course of construction and required timely execution. Many of the additional concrete repair tasks were included as unit costs and were bid at the time of the original project bid. These change orders were processed according to the requirements of both the construction agreement and government code.
Change Order Number. 5.0 provides for the removal of a previously unknown underground fuel storage tank, additional structural reinforcement, additional accessibility revisions, sprinkler revisions and additional minor plumbing and electrical reconfiguration. Change Order Number. 5.0 will increase the construction cost by $347,038.08 and add seventy-three (73) days to the construction schedule.
Change Order Number 5.0 combines a number of necessary modifications and changes to integrated previously bid work and systems that arose as a result of unforeseen conditions in the existing building. These changes to the work are both additive and deductive, the nature of which are all integral to the timely progress of the project. For these changes to be aggregated and bid separately rather than processed as a single change order under the terms of the existing construction agreement would necessitate an inordinate amount of delay and cost. Construction work would be required to cease for a number of weeks or months while documents are prepared and the public bidding process performed, with compensable delay time being added to the overall construction contract as a result. This would likely negate any minor savings that may be realized through a separate bid process and would constitute an impractical method for administering the construction work. Additionally, the possibility of a separate general contractor or subcontractor taking over installation of portions of systems or areas of work would negate or complicate the administration of any warranties for the work, which would create an undesirable outcome for the County.
Approval of Change Order Number 5.0 will result in a revised total contract sum of $7,707,243.74 and a total of five hundred and fifty-six (556) calendar days for the construction schedule.
Change Order Number 5.0 will be reviewed by Cal-OES and is expected to be accepted as fair and reasonable for the work described and included in the eligible project cost prior to project close-out. It is anticipated that Cal-OES will cover 75 percent of the eligible costs plus 10 percent of the 75 percent of the cost of the change order. In the event that Cal-OES does not provide matching funds, the cost of Change Order Number 5.0 will need to be funded through Proceeds from the Finance Plan. The County Administrative Officer (CAO) has the authority to approve funding from the Finance Plan. A request was made to the CAO on September 24, 2018, to approve funding in the amount of $155,900 from the 2016 Finance Plan. This request was approved on September 26, 2018. Therefore it is recommended that the Board of Supervisors approve the attached change order without obtaining bids for the work covered thereby, and authorize the Public Works Director to sign Change Order Number 5.0.
The anticipated adjusted overall design and construction costs for the project are $9,182,782.
FINANCIAL IMPACT:
All expenditures related to the requested change order should be offset by expected revenues from Cal-OES in the amount of $263,934 (75 percent of eligible costs) and required county match funding of $79,980 (25 percent of eligible costs) plus ineligible costs of $75,920 including underground fuel tank remediation and other costs not anticipated to be eligible.
The recommended actions conform to the Board of Supervisors’ Core Roles of providing and maintaining county infrastructure to enhance safety of county facilities.
OTHER AGENCY INVOLVEMENT:
Cal-OES
ALTERNATIVES TO STAFF RECOMMENDATIONS:
Not proceed with undertaking additional earthquake damage repairs. This is not recommended as the earthquake damage repairs in the above-named project are necessary to provide a safe and accessible environment for both staff and the public.
ATTACHMENTS:
1. Change Order Number. 5.0, 3 pages, dated 8/23/2018
PREVIOUS ACTION/REFERRAL:
Board Order No.: H-3; C-18; D-15; C-16; C-27; C-17
Meeting of: 4/10/12; 9/25/12; 4/19/16; 4/18/17; 2/6/18; 5/22/18