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Brentwood City Commission Agenda

Meeting Date:	09/09/2019
Resolution 2019-86 - Amendment to Agreement w/The Parent Company to Establish Guaranteed Maximum Price for Ph 1 Work for PD Headquarters
Submitted by:	Kirk Bednar, Administration
Department:	Administration

Information

Subject

Resolution 2019-86 - Amendment to Agreement with The Parent Company to Establish Guaranteed Maximum Price for Phase 1 Work for Police Headquarters Project

Background

On December 10, 2018, the Board of Commissioners approved an agreement with The Parent Company to serve as the construction manager for the Police Department Headquarters project. Under this method of construction, the construction manager is selected during the design phase and serves as the third member of the project team, along with the owner and architect, to successfully complete a complex construction project. The construction manager’s role is divided into two phases – Pre-Construction services and Construction services.

The Pre-Construction services performed by the Construction Manager include the following:

Work alongside the architect to assess project constructability and identify construction efficiencies and value engineering options to maintain the project budget;
Prepare preliminary project budget estimates based on schematic design and update the budget throughout the final design and value engineering process;
Develop construction phasing plans;
Prepare subcontractor scopes of work and bid packages; and
Competitively bid all subcontractor work packages.

Once the various subcontractor packages have been bid, the construction manager will present a guaranteed maximum price (GMP) for construction of the project. Once the GMP is accepted by the City, the construction manager then initiates the Construction phase of the project and oversees all aspects of construction to final completion.

Since December, The Parent Company has been performing its services under the Pre-Construction phase of the contract. It was originally anticipated that the Construction phase of the project would be bid all at the same time and the total GMP would be established prior to any construction being initiated. However, we have since decided to bid the project in phases, with the initial site grading, storm drain installation, utilities installation, and paving work bid as Phase 1. With this work now ready to begin, we need to amend the agreement with The Parent Company to establish the GMP for this Phase 1 work.

The GMP for this phase includes the subcontractor bid amounts, five months of General Conditions (overhead) costs for the Parent Company, temporary construction site costs (fencing, parking area maintenance, temporary utilities, etc.), bonds, and The Parent Company fee. The total of these costs plus a $100,000 contingency allowance is $2,378,849. A breakdown of these costs is included in the attached AIA Exhibit A.

Staff Recommendation

Staff recommends approval of Resolution 2019-86.

Previous Commission Action

The agreement with The Parent Company was approved by the Board of Commissioners via Resolution 2018-96 on December 10, 2018.

On July 2, 2019, the Board of Commissioners approved Resolution 2019-77 authorizing The Parent Company to accept the low bids for the Phase 1 site work.

Fiscal Impact

Amount :	$2,378,849
Source of Funds:	Capital Projects Fund
Account Number:	311-45200-5028

Fiscal Impact:

Sufficient funds have been budgeted in the FY 2020 Capital Projects Fund budget for this project.

Attachments
Resolution 2019-86
Amendment No. 1 to COB Contract 2018-082
Building Elevations and Floor Plans
Signed Resolution & Amendment