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Brentwood City Commission Agenda
Meeting Date: 07/08/2019  
Resolution 2019-72 A Resolution Authorizing an Agreement with Mac Constructors LLC to Remove the Structural Remains Located at 7 Medalist Court
Submitted by: Jeff Dobson, Planning & Codes
Department: Planning & Codes  

Information
Subject
Resolution 2019-72 requests approval of an agreement with Mac Constructors, LLC for the demolition of the structural remains, located at 7 Medalist Court in the Governors Club Subdivision.  
Background
As you are aware, on August 12, 2018, the residence located at 7 Medalist Court within the Governors Club Subdivision was involved in a structure fire. The home was badly damaged and has been determined to be a total loss. The fire has been under investigation by both law enforcement and the insurance company for several months. Since the fire, the site has become a safety concern for the neighbors. Efforts to get the responsible property owner, Ms. Stacey Stevens, to arrange to have the site properly secured have been unsuccessful.  

On February 4, 2019, the Brentwood Board of Construction Appeals (BBCA) made a preliminary determination that the structural remains located at 7 Medalist Court are unfit and unsafe for human occupancy. As part of the decision, the BBCA directed staff to issue a complaint to all parties who have an interest in the property. The complaint was drafted and sent to the owners of the property and all parties with an interest (including Bank of America as the mortgagee and the Governors Club Property Owners Association (POA)). 

On March 25, 2019, the BBCA voted to issue a final order that the structural remains located at 7 Medalist Court are unfit and unsafe for human occupancy and are dangerous or injurious to the health and safety of neighboring structures or other residents of the City, increasing the hazards of accident or other calamities at the site.  The order was signed by Chairman Vines on March 28, 2019. The order required the owners to remove the structural remains within 60 days. The 60-day time period lapsed on May 28, 2019.

In anticipation of the City having to take action to remove the remains of the home, demolition bids were opened on April 19, 2019.  Three firms responded to the bid proposal, which are detailed in the following table. 
 
BIDS TABULATION FOR 7 MEDALIST COURT -- 4-19-2019 
COMPANY OPTION 1 OPTION 2
Mac Constructors  $  101,960.00  $    72,210.00
Modern Day Wrecking   $  123,290.00  $    62,590.00
Contractor Services Unlimited  $    39,660.00  $    35,694.00
Option 1 = Complete demo of the structure and grading the property back to natural contour.
Option 2 = Demo & removal of construction debris, including footing, foundation & retaining walls, driveways, sidewalks, concrete steps and basement slabs.
 
On June 10, 2019, the Board of Commissioners approved Resolution 2019-57 awarding a contract to the low bidder, Contractor Services Unlimited.  The agreement was signed on June 10, and it required that the successful bidder meet certain bond requirements and obtain surety in a form acceptable to the City Attorney.  The contractor was notified that the City would accept a performance bond for the full amount of the contract. On June 28, the City was notified that the insurance company for Contractor Services Unlimited would be unable to issue the required performance bond. Because Contractor Services Unlimited is in violation of the terms and conditions of the agreement, another item on the July 8, 2019 agenda recommends termination of that agreement.

With cancellation of the original contract, staff now recommends that the agreement be awarded to the second lowest bidder -- Mac Constructors, LCC, a local company, for Option One, as described in the bid documents for the total amount of $101,960.00. Mac Constructors, LLC has agreed to extend their original bid of $101,960.00 for the removal of the remains. See the authorization letter, attached below.

If the Board of Commissioners approves the award of the bid to the second lowest bidder, staff will attempt to recover all associated expenses of the demolition by billing the property owners and placing a lien on the subject property.  The City will be a subordinate lienholder, meaning the lien will be satisfied after other previously filed liens (including the mortgage) are paid off. This means that recovery by the City is not necessarily guaranteed. While recovery of costs is not guaranteed, leaving the burned out remains of the home and attempting to force the nonresponsive owners to act is not a realistic option for the benefit of surrounding neighbors.

Should you have any questions or require additional information, please contact the Building Official or the Planning and Codes Director.  
 
Staff Recommendation
Staff recommends award of the contract to the second lowest bidder -- Mac Constructors, LLC in the amount of $101,960.00 for Option One, which stipulated the complete demolition of the remains and grading the property back to the natural contour of the site.   
Previous Commission Action
On June 10, 2019 the Board of Commissioners voted to approve Resolution 2019-57 to award the contract for the removal of the structural remains located at 7 Medalist Court in the Governor's Club subdivision to Contractor Services Unlimited.  

Fiscal Impact
Amount : $101,960
Source of Funds: Receivable
Account Number: 110-13224
Fiscal Impact:
The source of funds is a receivable account that has been set up in anticipation of recovery of the $101,960 via the lien that will be filed against the property.  If this amount remains unrecoverd at the end of the fiscal year, a budget amendment will be necessary to create an expenditure in the FY 2020 budget.
Attachments
Resolution 2019-72
Bid Extension Notice -- Mac Constructors
COB Contract No. 2019-080
Bid Forms -- Mac Constructors
Images of Structural Remains -- 7 Medalist
Signed Resolution

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