RTC 23-0588:
Increase Construction Contingency
for the Civic Center Phase 1 Project
Allison Boyer, Assistant City Engineer
December 12, 2023
2City of Sunnyvale – Increase Construction Contingency for the Civic Center Phase 1 Project – December 2023 Project Background
• October 27, 2020- City Council Awarded
construction contract to Hensel Phelps
(RTC 20-0799)
• Contract Value: $174,116,999.92
• Contingency (8.2%): $14,277,594
• November 10, 2020- Contract Executed
• December 2020- Construction Began
3City of Sunnyvale – Increase Construction Contingency for the Civic Center Phase 1 Project – December 2023 Contract Amount
• Unexpected Construction Cost
Increases
• Covid-19 Related Supply
Chain/Material Issues
• City Requested Changes
• PG&E Delays
4City of Sunnyvale – Increase Construction Contingency for the Civic Center Phase 1 Project – December 2023 Project Closeout
• Increase total contract value by $3.6M
• Execute Change order for $4,393,708.92
• $3.6 New Contract Contingency
• $56,000 unspent allowance for “Off
Haul of Hazardous Soils”
• $737,208.92 remaining original contract
contingency
• Hensel Phelps indemnifies the City from all
known claims and potential change orders
to date and agrees to not submit any new
claims from themselves or
subcontractors/material suppliers.
5City of Sunnyvale – Increase Construction Contingency for the Civic Center Phase 1 Project – December 2023 Timeline per the Change Order
Oct Nov Dec Jan Feb Mar
2023
2024
DPS Tenant
Improvements
Project Substantial
Completion
(open and complete)
Site Substantially
Complete
Final Acceptance
(up to 90 days after
Substantial Completion)
6City of Sunnyvale – Increase Construction Contingency for the Civic Center Phase 1 Project – December 2023 Recommendation
Staff Recommendation
1. Increase Construction Contract Contingency with Hensel Phelps Construction Co. by $3,600,000 from $14,277,594 to $17,877,594 for the Civic Center Phase 1 Project and Authorize the City Manager or Designee to Execute Change Order Number 254 in the amount of $4,393,708.92.
7City of Sunnyvale – Increase Construction Contingency for the Civic Center Phase 1 Project – December 2023 Thank you