8.2. SR 10-01-2012 Elk REQUEST FOR ACTION
River
TO ITEM NUMBER
Mayor and City Council 8.2
AGENDA SECTION MEETING DATE PREPARED BY
General Business October 1, 2012 Justin Femrite, City Engineer on
behalf of the Public Works Committee
ITEM DESCRIPTION REVIEWED By
Public Works Facility Construction and Consideration of Tim Simon, Finance Director
Construction Contingency Expenditures REVIEWED BY
Cal Portner, City Administrator
ACTION REQUESTED
Consider and approve the construction and funding of the fuel canopy and building remodeling on the
Public Works Facility project.
BACKGROUND/DISCUSSION
The Public Works Facility expansion project has been progressing extremely well. The target move in
date is scheduled for mid-November. At tonight's meeting, staff will give a short presentation on the
current state of construction.
As you may recall, the bids for the construction of the facility came in below the target budget. At the
time of award there were certain alternatives added to the base bid. These additions still kept the project
under the overall budget. The alternative for the fuel island canopy was rejected at the time of award but
was held to see where the overall project budget came in. The other alternative that was held included
interior renovations to the existing facility to meet the needs of its repurposed use. A line item in the
budget in the amount of$70,000 was included in the already awarded amount for existing building
renovations. Any remodeling costs over the $70,000 would have to come from the construction
contingency.
With about 90% of the construction complete, RJM advises that the risk for additional large ticket items,
that would need to be funded through the construction contingency,is very low. They are not expecting
any large surprises with the final completion of the remaining work. The remaining construction
contingency balance for the project is $127,476.60. To date,the most significant use of contingency on
the project was for soil corrections.
The Facility Committee is recommending moving forward with the fuel island canopy and a portion of
the building renovations at this time. The cost for these changes would be deducted from the
contingency account and not increase the overall project budget.
FINANCIAL IMPACT
Quotes were obtained for the fuel island canopy with the lowest being$27,681. The building remodeling
plan has been revised and quotations have been received for the work. The sum of all the remodeling
prices received is $116,763 or $46,763 over the $70,000 that was already authorized in the project budget.
P Q W E A E D e r
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The Public Works Facility Committee has reviewed the costs and advises holding the remodeling of the
woodshop until later in the project if Contingency Budget would allow for it to be completed. This
reduction in scope would result in a$40,000 savings. This change would reduce the building remodeling
costs to $76,763 or $6,763 over the already included$70,000. If approved, the two project modifications
would be deducted from the remaining contingency lowering the current balance to $93,032. We have
reviewed this amount with RJM. RJM is comfortable that they can deliver the project on budget with the
remaining contingency.
ATTACHMENTS
None
Action Motion by Second by Vote
Follow Up
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