RECEIVED City Ofsouth Gate
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RECEIVED city ofSouth Gate CITY COUNCIL Item No. 4 JAN A BELL OFFICE FH%0cUXpJ&GE For the Regular Meeting of: Jan uarp 9, 2018 ?ePcM Works Department Head: Arturo ervantes Michael Flad SUBJECT: PROPOSAL TO INCREASE THE SCOPE OF WORK AND BUDGET ON THE CITY HALL INTERIOR REMODEL, CITY PROJECT NO. 567-ARC, TO ADDRESS ISSUES OF DEFERRED MAINTENANCE, OPERATIONAL EFFICIENCY, CUSTOMER SERVICE AND SAFETY PURPOSE: The City Hall Interior Remodel Project is under construction. The Public Works Department is recommending increasing the scope of work and budget on the project to address deferred maintenance issues, and to optimize operational efficiency, customer service and safety at the City Hall. RECOMMENDED ACTIONS: a. Approve Amendment No. 2 to Contract No. 3319 with FMI Office Space Development, LLC., to fund additional improvements proposed for the City Hall Interior Remodel, City Project No. 567-ARC, in an amount not-to-exceed $ 228,982; b. Transfer $272,000 in General Funds from the Building and Infrastructure Maintenance Fund to the City Hall Interior Remodel, City Project No. 567-ARC (Account No. 311-790-49-9906), as necessary to fully fund the project; and c. Authorize the Mayor to execute Amendment No. 2 in a form acceptable to the City Attorney. AL IMPACT: The project has a budget of $600,000 that is funded with General Funds. Staff is recommending transferring $272,000 in General Funds to the Project which funds are currently allocated in the Building and Infrastructure Maintenance Fund. The following table summarizes the proposed budget and expenditures: Description Budget gIncrease Total Professional Services Contract $472,000 $472,000 Contract Amendment No. 1 $47,866 $47,866 Contract Amendment No. 2 $228,982 $228,982 Other Improvements $9,982 $43,018 $53,000 Project Management, Staff time, Misc., etc. $20,000 $20,000 Contingency $50,152 $50,152 Budget $600,000 $272,000 $872,000 ALIGNMENT WITH COUNCIL GOALS: These actions meet the City Council’s goal for “Continuing Infrastructure Improvements.” The goal identified in the Fiscal Year 2017/18 Work Program is to substantially complete construction of the City Hall Interior Remodel Project. 1 ANALYSIS: Staff is proposing to increase the scope of work on the City Hall Interior Remodel Project. The initial project scope was limited to renovating office work stations which achieves the original project objectives (e.g. ergonomics and efficiency). However, staff is recommending that new improvements be implemented as a part of the project. The reason is that it would be less disruptive and more cost-effective to perform the new improvements as a part of the project, when the office spaces are emptied temporarily. This includes changing existing floor plans to optimize operational efficiencies; modif’ing the counters in the Administrative Services Department and City Clerk’s Office to improve customer service; adding a conference room in the Administrative Services Department; adding security features to enhance safety; and replacing the carpet and paint throughout the City Hall. BACKGROUND: On April 25, 2017, FMI Office Space Development, LLC., was awarded Contract No. 3319 for the construction of the City Hall Interior Remodel Project. The scope of work on the contract includes, (a) project coordination services, (b) planning/space assessments, (c) office space design, and (d) renovating office work stations (replacing existing furniture). During the planning phase, staff identified issues and office areas needing improvements that were not a part of the original scope of work of the project. For example, the existing floor plans and customer service counters are inefficient and do not meet today’s demands. These issues are recommended to be resolved as a part of the project as it would be more cost-effective and less disruptive. As such, staff is recommending increasing the scope of work and budget to include the additional improvements. The additional improvements are covered under two contract amendments, as summarized below. This approach was necessary to keep the project on schedule, since the first construction phase was to be completed over the December holidays, when the City Hall was closed. It is noted that Amendment No. 1 was fully funded within the original budget. It is also noted that $9,982 of the cost of the “Other Improvements” were partially funded from the original budget. • Amendment No. I ($47,866.17) — This amendment was administratively approved in accordance with Section 1.54.610 of the South Gate Municipal Code. Work included the following: 1) procurement and installation of carpet ($38,116.17), 2) reconstruction of the customer service counter and opening of one doorway in the Administrative Services Department, and demolition of one wall in the Administration Department ($9,750). • Amendment No. 2 ($228,982.07) — The proposed work includes the following: (1) carpet installation ($48,392.07), (2) construction of walls and doorways in several departments, and counter modifications in the City Clerk’s Office ($70,590), (3) Painting interior of City Hall ($80,000) and (4) additional office furnishings ($30,000). • Other Improvements ($53,000) — Other project related expenditures include the following: (1) security system upgrades ($30,000), (2) new wood doors ($15,000), (3) partition modifications ($4,000), (4) shredding contract ($2,000), (5) IT improvements ($1,500), and (6) moving supplies ($500). Construction of the project began on December 22, 2017 and is anticipated to be completed by May of 2018. ATTACHMENTS: A. Amendment No. 2 B. Amendment No. 1 C. Contract No. 3319 GD:lc 2 AMENDMENT NO.2 Contract No. 3319 AMENDMENT NO.2 TO AGREEMENT FOR PROFESSIONAL SERVICES WITH A FMI OFFICE SPACE DEVELOPMENT, LLC THIS AMENDMENT NO. 2 TO AGREEMENT NO. 3319 FOR PROFESSIONAL SERVICES WITH FMI OFFICE SPACE DEVELOPMENT, LLC (“AMENDMENT NO. 1”), effective as of the date specified in Section 5 hereof, is made and entered into by and between the CITY OF SOUTH GATE (“CITY”), and FMI OFFICE SPACE DEVELOPMENT, LLC (“CONSULTANT”). RECITALS: WHEREAS, CITY and CONSULTANT have previously executed that certain Contract No. 3319 Agreement for Professional Se,vices (‘AGREEMENT’) effective May 5, 2017 in the amount of $472,000 to perform certain technical and professional interior renovation services for the project identified as City Hal Interior Remodel, City Project No. 567-ARC, and WHEREAS, CITY and CONSULTANT have previously executed Amendment No. 1 to Contract No. 3319 Agreement for Professional Sei’vices effective December 12, 2017 in the amount of $47,866.17 to perform certain technical and professional interior renovation services for the project identified as City Hal Interior Remodel, City Project No. 567-ARC. WHEREAS, CITY desires to expand the scope of work as shown on the CONSULTANT’s December 19, 2017 proposal for additional professional services, attached hereto and incorporated herein as Exhibit A; and WHEREAS, CITY and CONSULTANT desire to execute AMENDMENT NO. 2 covering said additional professional service and providing additional compensation to CONSULTANT therefore in an amount of $ 228,982.07 under the terms and conditions of this AMENDMENT NO. 2; WHEREAS, no other provisions of the Agreement are modified, except as specifically modified by this Amendment, all terms and provisions of the Original Agreement and Amendment No. 1 shall remain in full force and effect. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. MODIFICATION OF SCOPE OF SERVICES TO BE PERFORMED BY CONSULTANT. The Scope of Services to be performed by CONSULTANT as set forth in the AGREEMENT shall be modified as follows: 1 3 AMENDMENT NO. 2 Contract No. 3319 a. CONSULTANT shall expand its scope of work, fees and services to the City as set forth on Exhibit “A” hereto. 2. EXTENSION OF TIME FOR COMPLETION OF WORK AND SERVICES. The AGREEMENT is hereby modified to specify that the deadline date for Consultant’s completion of all work and services to be performed under the AGREEMENT is extended to 11:59 p.m. on December 31, 2018, unless further extended by written agreement of the CITY AND CONSULTANT or unless sooner terminated in accordance with Section 9 and/or 10 of the AGREEMENT. Except for the extension of that deadline date, this AMENDMENT NO. 2 in no way affects, nor should it be construed to affect, the timing of any aspect of the work and services to be performed under the AGREEMENT, including any other deadlines contained therein. 3. MODIFICATION OF CONSULTANT’S COMPENSATION. The compensation to be paid by CITY to CONSULTANT for the modified work and services identified in this AMENDMENT NO. 2 shall be as follows: a. The additional compensation payable by CITY to CONSULTANT for the additional work and services identified in Exhibit A here to shall be Two Hundred Twenty Eight Thousand Nine Hundred Eighty-Two Dollars and Seven Cents ($228,982.07) b. As a result, the total compensation payable by CITY to CONSULTANT under the AGREEMENT and Amendment 1 as modified hereby shall not exceed Seven Hundred Forty Eight Thousand, Eight Hundred Forty-Eight Dollars And Twenty-Four Cents ($748,848.24). 4. EFFECT OF AMENDMENT. Except as expressly amended herein, all other terms and conditions of the AGREEMENT and all attachments, and recitals therein and thereto, shall remain in full force. All of the recitals to this AMENDMENT NO. 2 are incorporated into the AGREEMENT as modified by this AMENDMENT NO. 2. The CITY reserves the right to augment or reduce the scope of work as the CITY deems necessary. [Remainder of page left blank intentionally] 2 4 _____________________________________________________________________ AMENDMENT NO. 2 Contract No. 3319 5. EFFECTIVE DATE. Unless otherwise specified herein, this AMENDMENT NO. 2 shall become effective as of January 9, 2018. IN WITNESS WHEREOF, the CITY and the CONSULTANT have caused this Amendment No. 2 to be executed and attested by their respective officers hereunto duly authorized as of the date first set forth below.