HomeMy WebLinkAbout09/25/2002city Council Agend
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Wednesday, September 25, 2002
SPECIAL MEETING
4:00 p.m. — Conference Room A
City Hall
21825 East Copley Drive
Diamond Bar, CA 91765
Mayor Wen P. Chang
Mayor Pro Tem Debby O'Connor
Council Member Carol Herrera
Council Member Bob Huff
Council Member Bob Zirbes
City Manager Linda C. Lowry
City Attorney Michael Jenkins
City Clerk Lynda Burgess
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CITY OF DIAMOND BAR
SPECIAL CITY COUNCIL AGENDA
September 25, 2002
Conference Room A
Diamond Bar City Hall
21825 E. Copley Drive
CALL TO ORDER: 4:00 p.m.
ROLL CALL: Council Members Herrera, Huff, Zirbes, Mayor
Pro Tem O'Connor, Mayor Chang
2. COUNCIL CONSIDERATION:
2.1 DISCUSSION OF OPTIONS FOR CONSTRUCTION OF THE
COMMUNITY/SENIOR CENTER
Recommended Action: Discuss option presented for reducing construction
costs and authorize staff to develop Change Order No. 1 reducing the scope
of the project.
Requested by
Agenda #
Meeting Date: _ September 25, 2002
CITY COUNCIL AGENDA REPORT
TO: Honorable Mayor and Members of the City Council
VIA: Linda C. Lowry, City Manager
TITLE: Discussion of Options for Construction of the Diamond Bar Community/Senior Center
RECOMMENDATION:
It is recommended that the City Council discuss the options presented for reducing the construction
costs for the Community/Senior Center and authorize staff to develop Change Order No. 1 to reduce
the scope of the project.
FINANCIAL IMPACT:
The original budget for the total project is $12.6 million. This cost includes grading, engineering and
architectural fees, construction management services, site utilities, associated fees from outside
agencies (Water District/Edison/etc.), furniture fixtures & equipment, specialty inspection services and
all other costs associated with the project.
The City Council has appropriated approximately $12.4 million for the Community/Senior Center. The
City is anticipating the receipt of approximately $200,000 of Roberti-Z'berg Harris 2000 funds from the
State. Once these funds are received, it is recommended the funds be allocated to the
Community/Senior Center for a total appropriation of $12.6 million.
To date, the City has expended approximately $2.2 million on the project. The Walnut Valley Water
District recently notified the City that it will cost $250,000 to replace the District's reclaimed water line
on site. Therefore, there is a remaining budget of $10.15 million to complete the project.
BACKGROUND:
On Friday, September 6th the City received a total of seven (7) bids to construct the project ranging
from a low bid of $9,881,670 to the high bid of $11,167,600. In addition to the $9.8 million
construction costs, the City will also need to provide funds for 8% contingency ($784,000), furniture
fixtures and equipment ($335,000), specialty inspections ($75,000), other utility design fees for gas,
telephone, etc. ($25,000), increase to EIR consultant ($50,000).
0 0
It should be noted that the project team is continuing to explore other cost saving options such as
changing the specified light fixtures, conducting value engineering on the HVAC and electrical
systems, and additional modifications to the landscape plan. These numbers are estimated cost
savings actual cost saving may vary based on the contractors actual cost.
OPTIONS
At this point, the City has the following options to move forward with the project:
1. Accept the bid and award contract based on this price. There are sufficient funds in the project
budget for this option. However, there are other project costs that will be incurred which will
need additional appropriations such as specialty inspection services, cost of Walnut Valley
Water system, furniture fixtures and equipment, contingency of 5%, etc. There is currently
about $10.15 million available in the project budget. The true fiscal impact of this option would
require the City Council to appropriate an additional $1 million for this project.
2. Reject all bids, redesign building to reduce the scope of project and re -bid. This may be
required if the City does not want to issue a contract based on the current bids and/or the
contractor is unwilling to negotiate a reduction in the overall project bid through a change
order. The true fiscal impact of this option would require the City to increase the cost reduction
options to offset any increase architect and engineering fees to redesign the project. Also, this
would delay the project by 3-4 months.
3. Issue a change order after award of contract to devalue the project by approximately $1 million
by changing certain specifications, eliminating elements for landscape/hardscape and/or
replacing specific elements with less costly items (as identified above). This option, assuming
the contractor concurs with the value of the change order items would allow the project to
proceed without additional appropriations.
We are currently pursuing option 3 and we recommend that the Council concur with selecting this
option. We further recommend that if the cost savings can not be achieved through the change order
approach, that the City reject all bids, devalue the scope of the project in the plans and specifications
and re -bid the project. If the City is required to re -bid the project it will extend the project timeline by
approximately 3-4 months.
Our goal is to reduce the cost of the construction by $1 million (plus or minus) while maintaining the
Council's vision for the project. If you have any questions regarding this process, please contact me
at your convenience.
PREPARED BY:
Deputy City Manager
Attachment:
The published engineer's estimate for the project was $8.5 million; however, the real estimate for the
construction work was $8.9 million. Unfortunately the low bid came in about $1 million over what we
anticipated.
Attachment A identifies the areas of construction where the costs have increased from the original
construction document cost estimates. As you can see, the significant cost increases occur in the
following areas:
Site Utilities
$119,765
HVAC
$154,000
Electrical
$267,982
These areas along with the 15% contractor's profit mark up account for an increase of
$623,000.
The remaining cost increases are found in items such as flashing ($28,000), insulation
($23,000), AC pavement ($18,000), SWPP — Storm Water Prevention Program ($20,000),
Masonry ($20,000) and the contractor's profit mark up for these items.
Since most of the cost increase can be attributed to items such as HVAC and electrical that can not
be reduced or exchanged for lower cost items, the project team began to explore other options to
reduce the cost of the project.
COST REDUCTION ITEMS
In an effort to reduce the cost of the project, the project team identified the following items that can
either deferred for later construction, substitute lower quality materials, or eliminate from the project
all together.
1. Changing the electric partitions through out the building to manual partitions ($100,000)
2. Change custom milled carpet to high quality carpet
($ 30,000)
3. Replace stone veneer at select locations with stucco
($ 80,000)
4. Replace copper roof screen with perforated metal
($ 8,000)
5. Delete exterior metal window screen at Sr. Center & Banquet Room
($ 50,000)
6. Change electric window shade to manual shades for lower windows
($ 30,000)
7. Change the current wood veneer to another less costly veneer
($ 20,000)
8. Replace ground cover along slopes & other select areas with hydro -seed
($100,000)
9. Defer construction of the water feature until construction of library
($100,000)
10. Delete 2 small manual partitions in banquet room
($ 77,000)
11, Delete Closed Circuit TV equipment
($ 40,000)
12. Defer construction of western parking lot
($150,000)
13. Change Parlex 1000 on rear of building to stucco
($ 20,000)
14. Building Management System
($150,000)
15. Contractor profit mark up of 15% on the above items
($143,250)
TOTAL COST SAVINGS
($1,089,250)
Construction Cost Estimate 9/25/2002
(D Diamond Bar Civic 1 Senior Center
Am"Cel Diamond Bar, CA
Plenni"
Services Scope Reduction Alternates
Inc.
Description
Grand Total
005. Change the electrical acoustical partitions to manual
(99,386)
008. Custom mill to high quality carpet
(29,433)
010. Stone veneer to stucco, North & West %Trace Waft
(79,027)
012. Copper screen to painted metal
(7,346)
016. Delete steel window screens
(42,154):
018. Automatic shade screens to manual, lower level
(36,746),
020. Repalce Sycamore veneer with Birch
(70,349)
028. Eliminate ground cover, retain hydro seed
(98,228)
030. Parklex 9000 to stucco
(20,340)
036. Delete Water Feature and change stone to DG
(136,603)
040. Delete Two Small Manual Partitions
(76,946)
042. Wood Exter Fascia and Crown to Rdwd to Cedar
(12,279).
046. Delete CCN Camera / Monitors
(39,393):i
.052. Defer construction of west end parking area, including lights
(142,889)
058. Delete Building Management System
(178,081)
060.. Defer planting of 50% of non required trees , , ,
12732
Partial Totals
(1.196,523) (1A96,523)
Partial Total (1,196,523)
Diamond Bar Community/Senior Center Page 1
Estimate Totals
7,839,935 8,544,897 (704,962E
General Contractor Profit it occurred while reading from or writing to(98,017)
Total 8 9130 000 9, 732 979 802 9791
ATTACHMENT
A
Variance Report
Page 1
City of Diamond Bar
9/16/2002
Community 1 Senior Center
AnalyticalAPSI
vs. APSI WlRevisions
Planning
Services
Inc.
Item Description
r�_._ Total
Diamond Bar Diamond Bar
Variance
CSC CD APSI CSC CD
APSI_W_Revs
01.00 Surveying
22,518 22,518
0
02.00 SWPP
20,000
(20,000)
05.00 Site Utilities
748,256 868,021
(119,765)
07,00 AC Pavement
271,507 289,435
(17,928)
09.00 Landscaping
745,273 745,265
8
10.00 Water Feat
63,880 63,880
0
11.00 CIP Concrete
668,041 668,041
0
12.00 Arch precast
717 717
0
15.00 Masonry
404,109 423,675
(19,566)
16.00 Structural
587,702 593,830
(6,128)
17.00 Metal Decking
45,694 55,088
(9,395)
19.00 Rough Carp
325,573 332,198
(6,625)
20.00 Finish Carpentry
296,927 296,927
0
22.00 Waterproofing
11,614 11,614
0
23.00 Insulation
45,988 70,588
(23,600)
27.00 Built up rig
96,540 97,213
(673)
28.00 Flashing
161,452 209,321
(27,869)
29.00 Doors
102,432 102,432
0
31.00 Glass/Glazing
293,252 305,108
(11,856)
3300 Drywall
199,620 199,620
0
34.00 Ceramic tile
131,557 131,557
0
36.00 Acoustical
81,707 81,707
0
38.00 Flooring
99,586 100,748
(1,162)
40.00 Painting
58,950 58,950
0
42.00 RR Acc/Part
22,733 22,733
0
44.00 Flagpoles
10,790 10,790
0
45.00 Display Case
11,822 11,822
0
46.00 Signs
67,987 73,093
(5,106)
47,00 Fire Exting
2,246 2,246
0
48,00 Aco Partitions
299,339 299,339
0
49.00 Vertical lift
23,126 23,126
0
50.00 Proj Screen
2,210 6,010
(3,800)
51.00 Food Sery Eqp
129,308 135,308
(6,000)
52.00 Wind Treat
237,284 237,284
0
53.00 Fire Sprinkler
75,631 75,631
0
54.00 Plumbing
233,131 236,646
(3,515)
55.00 HVAC
532,948 686,947
(154,000)
56.00 Electrical
681,287 949,270
(267,982)
57.00 Fire Alarm
26,199 26,199
0
Total
7,839,935 6,544,898
(704,963)
Estimate Totals
7,839,935 8,544,897 (704,962E
General Contractor Profit it occurred while reading from or writing to(98,017)
Total 8 9130 000 9, 732 979 802 9791
ATTACHMENT
A