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Consent

Brentwood City Commission Agenda

Meeting Date:	03/23/2020
Resolution 2020-30 Amendment to Agreement with The Parent Company to Reduce Guaranteed Maximum Price for Police Headquarters Project
Submitted by:	Kirk Bednar, Administration
Department:	Administration

Information

Subject

Resolution 2020-30 - Amendment to Agreement with The Parent Company to Reduce Guaranteed Maximum Price for Police Headquarters Project

Background

The March 23, 2020 City Commission agenda includes a related item (Resolution 2020-31) which authorizes the direct purchase by the City of roofing materials for the Police headquarters project. At the time the final Guaranteed Maximum Price (GMP) for the project was approved on January 14, 2020 (Resolution 2020-04), the GMP included a roof allowance established by The Parent Company because the initial roofing bids were rejected.

The Parent Company has now rebid the roofing package, and the recommended bidder is proposing use of Garland roofing materials. Because these Garland roofing materials are available for direct purchase by the City through an existing cooperative purchasing agreement the City is a member of, this materials cost will not incurred by The Parent Company. Therefore, the attached GMP amendment change order will reduce the contractor's GMP by $191,845, which is the exact same dollar amount as the cost to be incurred by the City to purchase the roofing materials directly.

This change order will reduce the GMP from $24,981,753 to $24,789,908. However, because the City will be incurring the equivalent cost to directly purchase roofing materials, the overall cost of the project is not changed.

If you have any questions, please contact the City Manager.

Staff Recommendation

Staff recommends approval of Resolution 2020-30.

Previous Commission Action

Resolution 2020-04 approved by the Board of Commissioners on January 14, 2020 established the Final Guaranteed Maximum Price for the project.

Resolution 2019-94 approved by the Board of Commissioners on October 14, 2019 established the Phase 2 Guaranteed Maximum Price for the project.

Resolution 2019-86 approved by the Board of Commissioners on September 9, 2019 established the Phase 1 Guaranteed Maximum Price for the project.

Fiscal Impact

Amount :	($191,845.00)
Source of Funds:
Account Number:

Fiscal Impact:

This change order will reduce the Guaranteed Maximum Price (GMP) of the City's contract with The Parent Company for construction of the Police headquarters project. However, this reduction is offset by the City's direct purchase of roofing materials in the same dollar amount, so the overall cost of the project does not change.

Attachments
Resolution 2020-30
GMP Amendment
Signed Resolution