AGENDA TITLE:
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Accept Improvements Under Contract for Fire Station 3 and Fire Station 4 Security Gates and Generator Project (PW)
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MEETING DATE:
February 21, 2024
PREPARED BY:
Public Works Director
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RECOMMENDED ACTION:
Accept Improvements Under Contract for Fire Station 3 and Fire Station 4 Security Gates and Generator Project.
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BACKGROUND INFORMATION:
This project provided Fire Station 3, located at 2141 South Ham Lane, and Fire Station 4, located at 180 North Lower Sacramento Road, with an automated vehicular gate at each site to provide site security; and, it replaced a 46-year old generator at Fire Station 3, photos are attached as Exhibit A.
On December 1, 2021, Council approved plans and specifications for this project and authorized the City Manager to award contract to the lowest responsive bidder not-to-exceed $240,000 and execute change orders not-to-exceed $15,000. The bid opening was held January 19, 2022 and the City received four bids, all significantly above the City Manager’s limit to award. On March 2, 2022, the Council awarded the project to Sauren Construction, of Newcastle, in the amount of $374,972 and authorized the City Manager to execute change orders up to $37,000. On November 16, 2022, Council authorized the City Manager to execute additional change orders up to $61,000.
All work was completed in substantial conformance with the plans and specifications approved by City Council. The final contract total was $455,877.20, which included four (4) change orders authorized over the life of the contract and a deduction for liquidated damages for (-12,450.00).
Change Order 1 (-8,733.00) provided a credit for an equivalent generator set with a smaller lead time than originally specified.
Change Order 2 ($19,860.00) provided an unforeseen waterline replacement at Fire Station 3 along with necessary related site repairs.
Change Order 3 ($60,299.50) used the contract for related work to install an automated transfer switch and permanent backup generator at the water tower site, which now provides backup power to the public safety radio during an electrical outage. This change order was approved by Council on November 16, 2022.
Change Order 4 ($21,929.00) accounted for unforeseen contract costs including installing gate keypads.
The project was not completed on a timely basis. The Contractor had difficulty with subcontractor’s performance and could not provide or maintain an updated project schedule as required by the contract. By August 17, 2023, all work was completed in substantial conformance with the plans, specifications and change orders, including a working generator at Fire Station 3 with only punch list items remaining to be addressed by the Contractor. As the Contractor provided additional services to the City in change order work, staff recommends this date as a fair beginning of contract date for calculation of liquidated damages. Per executed contract, the time of completion was set at 90 calendar days and liquidated damages at $150 per each and every calendar day above that prescribed amount. The deducted amount for Liquidated Damages is outlined below:
Date Substantial Complete: 08-17-23
End Date of Contract (90 days): 11-15-23
Date of Punchlist Sign-off: 02-06-24
Count of Calendar Days Overdue: 83 Days (calendar days between 11-15-23 and 2-6-24)
Total Subtracted from the Contract @ $150/day: -$12,450
Following acceptance by the City Council, as required by law, the City Engineer will file a Notice of Completion with the County Recorder’s office. The notice serves to notify vendors and subcontractors that the project is complete and begins their 30-day period to file a stop notice requiring the City to withhold payments from the prime contractor in the event of a payment dispute.
STRATEGIC VISION:
5C. Infrastructure: Address deferred maintenance.
FISCAL IMPACT:
The new gates will provide security and reduce the likelihood of equipment being stolen. Replacing the 46-year-old generator will reduce maintenance and repair costs and improve reliability. This project will impact the General Fund.
FUNDING AVAILABLE:
This project was funded by General Fund and IT Operations (water tower).
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Charles E. Swimley
Public Works Director
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Andrew C. Keys
Interim City Manager