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VIA:
FROM:
DATE:
Placentia Cit Council
AGENDA REPORT
CITY COUNCIL
CITY ADMINISTRATOR
DEPUTY CITY ADMINISTRATOR / PUBLIC SERVICES AND INFRASTRUCTURE JUNE 21, 2022
SUBJECT: AMENDMENT TO PURCHASE ORDER FOR TWO FABRICATED STEEL GARAGE STRUCTURES FOR FIRE STATION #2, CITY PROJECT NO. 5105 FISCAL
IMPACT: EXPENSE: $ 83,515.00 APPROVED PURCHASE ORDER
$ 34,185.00 INCREASE IN PRICE
$117,700.00 ADJUSTED PURCHASE ORDER AMOUNT
AVAILABLE
BUDGET $ 88,966.77 GENERAL FUND (105105-6185 & 6850)
$ 96,345.00 MEASURE U FUND (795105-6185)
$185,311.77 AVAILABLE BUDGET
SUMMARY:
On January 26, 2021, the City Council approved a purchase order to United Carports, LLC ("United Carports") for the purchase of two (2) custom manufactured garage structures for Fire Station No. 2. These garage structures will store the City's Reserve Fire Engine, Reserve Battalion Chief Unit, and support vehicles. United Carports does not begin fabrication of their garage structures until the concrete foundations are poured. The City Council awarded a construction contract for the installation of these concrete building foundations on May 3, 2022.
The concrete foundations are scheduled to be completed this month. Staff contacted United Carports regarding the next steps for payment and fabrication of the two (2) garage structures.
United Carports submitted to the City an updated purchase price due to increases in costs for materials and transportation since January 2021 (Attachment 1 and 2). As such, Staff is recommending that City Council approve a change order to the purchase order for United Carports LLC in the amount of $34,185 for a revised purchase order amount of $117,700.00.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Authorize the City Administrator to approve a change order in the amount of $34,185 for a revised purchase order amount of $117,700.00; and
2. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.
1.g.
June 21, 2022
City Council Agenda
June 21, 2022
DISCUSSION:
On January 26, 2021, the City Council approved the purchase of two (2) custom manufactured garage structures for Fire Station No. 2 to provide onsite storage for the City's reserve apparatus, command unit, and support vehicles and equipment.
Since January 2021, Staff has been coordinating with United Carports on the design and fabrication of the garage structures. United Carports has not commenced the fabrication of the garage structures since these structures required reinforced concrete foundations and extension of existing water and electrical lines. As a result, Staff experienced delays with the preparation of the required structural plans for these structures. United Carports will start the fabrication of the structures once the concrete foundations are poured.
On May 3, 2022, the City Council awarded a construction contract to Corner Keystone Construction Corporation ("Corner Keystone Construction") for the installation of these concrete building foundations. Corner Keystone Construction is scheduled to complete the concrete foundations by the end of this month. Staff contacted United Carports regarding the next steps for payment and fabrication of the two (2) garage structures. United Carports submitted to the City revised quotes with a balance due of $104,908.50 to commence the fabrication of the structures.
These quotes reflect a revised purchase price of $117,700.00 that amounts to a change of $34,185 in costs for materials and transportation since January 2021.
Staff evaluated the alternatives of soliciting bids from other vendors for the garage structures.
Since the City has issued deposits to United Carports, soliciting new bids will further delay the project and it is unlikely to result in a reduced cost since the cost increases related to raw materials has increased for all manufacturers. Staff is recommending that City Council approve a change order in the amount of $34,185 to the purchase order for United Carports to a total amount of $117,700.00. To date, the City has issued a total of $12,791.50 in payments to United Carports for plan design and a 10% deposit.
FISCAL IMPACT:
The revised total cost for this Purchase Order amounts to $117,700. This cost consists of the original encumbered amount of $83,515.00 that was previously approved by the City Council and the requested change order from United Carports in the amount of $34,185.00. Sufficient funds are budgeted and available in the Fiscal Year 2021-22 Capital Improvement Program Budget to cover this expense. As such, sufficient funds exist for the recommended actions.
Prepared by:
a4 L4r, fit
Masoudepahi, P.E.
City Engineer
Reviewed and approved:
Jennifer Lampman
Director of Finance
City Council Agenda
June 21, 2022
Reviewed an`ppro- d Reviewed and approved:
Luis Estevez
Deputy City Administrator
Damien -R. Arruta
City Administrator
Attachments:
1. Updated Quote from United Carports LLC for 24' X 40' X 12' Garage
2. Updated Quote from United Carports LLC for 30' X 55' X 12' Garage