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24-86455
CITY OF GLENDALE, CALIFORNIA
REPORT TO THE CITY COUNCIL
AGENDA ITEM
Report: Increase to Construction Contract Contingency Amount for Central Library Youth Services Renovation Project
1. Motion authorizing an increase to the PCL Construction Services, Inc., approved contract (8002260) contingency amount from 10% to 15%, for a new total contract contingency amount of $979,074
COUNCIL ACTION
Item Type: Consent Calendar
Approved for August 27, 2024 calendar
EXECUTIVE SUMMARY
The Central Library Youth Services Renovation project is nearly 80% completed with a scheduled completion date of October 2024. Due to the complexity of the work, there have been unforeseen conditions encountered and resulted in several cost line items exceeding the initial contingency allowance including audio-visual (AV) and furniture, fixtures, and equipment (FFE) systems.
To complete the project per plan and schedule, it is necessary to increase the contingency amount from 10% to 15% to complete additional work items and materials.
RECOMMENDATION
Authorize an increase to the PCL Construction Services, Inc., approved contract (8002260) contingency amount from 10% to 15%, for a new total contract contingency amount of $979,074, to ensure the project is completed per plans and schedule.
ANALYSIS
On June 27, 2023, the City Council awarded a construction contract to PCL in the amount of $6,527,157 following a competitive bidding process whereby PCL was the lowest responsive and responsible bidder. At this time the City Council approved a 10% contract contingency in the amount of $652,716.
The Notice to Proceed was issued on September 26, 2023, and the onsite work began on October 16, 2023, under public works construction contract 8002260 and is scheduled to be completed in October 2024.
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During the construction, the team encountered numerous concealed utilities within the existing walls and ceilings that had to be relocated and/or removed, including fire sprinkler piping and alarm devices, electrical conduits, water lines, and mechanical ducts.
Additionally, concrete amphitheater seating below the wooden stage was revealed that had to be removed. In compliance with local building codes, the necessary adjustments are mandatory and have resulted in considerable additional unanticipated work.
Despite the impact these unforeseen conditions have had on the project's scope, timeline, and budget, the project team was able to quickly adjust, mitigate the issues and ultimately keep the project on track. However, to continue the project to completion, additional funding is now needed.
STAKEHOLDERS/OUTREACH
The Public Works Department staff will continue to collaborate with Library, Arts & Culture staff to minimize the disruption this construction will cause to Central Library operations.
Staff and the architect, Johnson Favaro held multiple meetings with the community and City Council. During these meetings Council’s and community’s feedback were incorporated into the design.
FISCAL IMPACT
Increasing the contract contingency from 10% to 15% for PCL Construction Services, Inc. will result in a cost difference of $326,359, which was approved as a part of the FY 2024-25 approved budget. Therefore, no new appropriation is requested at this time.
The City Council approved funding is outlined below:
Existing Appropriation
Amount Account String Funding Source
$326,359 GL: 43110-2750-LAC-0020-P0000
PL: LAC00942FG
Library Fund
ENVIRONMENTAL REVIEW (CEQA/NEPA)
This project is Categorically Exempt under California Environmental Quality Act (CEQA) Guidelines §15301, existing facilities. The existing facilities exemption applies to “the operation, repair, maintenance, permitting, leasing, licensing or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.” (CEQA Guidelines §15301). Here, there is no expansion of use, the Project entails the renovation of approximately 11,000 square feet of interior space on the second floor of the existing library and is essentially a tenant improvement.
CAMPAIGN DISCLOSURE
This item is exempt from campaign disclosure requirements. {{section.number}}e3
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ALTERNATIVES TO STAFF RECOMMENDATION
Alternative 1: Do not approve the Motion, which would prevent approval of the additional needed work items thereby leaving the project incomplete.
Alternative 2: Consider any other alternative not proposed by Staff.
ADMINISTRATIVE ACTION
Submitted by:
Daniel Hernandez, Interim Director of Public Works
Prepared by:
Arthur Asaturyan, Project Manager
Approved by:
Roubik R. Golanian, P.E., City Manager
EXHIBITS/ATTACHMENTS
None