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APPROVE RESOLUTION TO AUTHORIZE THE TENANT IMPROVEMENTS FOR POLICE ADMINISTRATION AT THE STEWART/EBERHARDT BUILDING, PROJECT NO. PW1535
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RECOMMENDATION
It is recommended that the City Council adopt a resolution authorizing the City Manager to:
1. Approve the plans and specifications for the Tenant Improvements for Police Administration at the SEB, Project No. PW1535.
2. Award a Construction Contract in the amount of $1,044,000 to Marko Construction Group, Inc. of Fresno, CA, for the Tenant Improvements for Police Administration at the SEB, Project No. PW1535.
It is also recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this resolution.
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Summary
The Stewart/Eberhardt Building (SEB) is an essential services building that currently houses sections of the Police and Public Works Departments. The fourth floor currently has approximately 9,500 square feet of undeveloped space. The FY 2015-2020 Capital Improvement Plan (CIP) allocated funding for a project to develop this space to accommodate administration and command staff for the Police Department. LDA Partners was retained to design the Tenant Improvements for Police Administration at the SEB project.
On August 4, 2016, the City received four bids for the construction of the project. The recommended resolution will approve the plans and specifications for the project, and award a Construction Contract to the lowest responsible bidder, Marko Construction Group, Inc., of Fresno, CA, in the amount of $1,044,000.
It is anticipated that construction will begin by fall 2016, and be substantially completed by summer of 2017.
DISCUSSION
Background
The SEB, located at 22 East Weber Avenue, is a four-story essential services building that currently houses sections of the Police and Public Works Departments (Attachment A - Vicinity Map). The building consists of four floors with an attached vehicle parking structure. Each floor contains approximately 25,000 square feet of space.
The Police Dispatch Center is located on a portion of the fourth floor of the SEB and was constructed in 2011. The remaining 9,500 square feet of the fourth floor is undeveloped. This undeveloped portion is a shell consisting of a concrete floor, unsurfaced exterior walls and ceiling, water lines, sprinkler lines, and limited conduit for electrical and network cables.
The increase in Police staffing resulting from Measure A and implementation of the Marshall Plan created a need for additional office space to support the operations of the Police Department. The FY 2015-2020 CIP allocated funding for a project to develop the remainder of the fourth floor of SEB to accommodate the Police Administration, including the Chief’s Office and command staff.
On January 7, 2016, the City entered into a contract with LDA Partners to design the Tenant Improvements for Police Administration at the SEB (Project No. PW1535). The project was advertised for construction bids on July 7, 2016.
Present Situation
On August 4, 2016, four bids were received with the following results:
|
COMPANY NAME |
BID AMOUNT |
LOCAL PREFERENCE |
|
Marko Construction Group, Inc. (Fresno, CA) |
$1,044,000 |
$1,044,000 |
|
Diede Construction, Inc. (Woodbridge, CA) |
$1,123,600 |
$1,101,128 |
|
Haggerty Construction, Inc. (Stockton, CA) |
$1,199,200 |
$1,139,240 |
|
Bobo Construction, Inc. (Elk Grove, CA) |
$1,163,000 |
$1,163,000 |
|
Engineer's Estimate |
$1,345,291 |
$1,345,291 |
The project is locally funded and, therefore, requires the use of the Local Employment Ordinance (Stockton Municipal Code (SMC) section 3.68.095), and the Local Business Preference (SMC section 3.68.090). SMC section 3.68.090 gives a five percent bid preference to businesses located within the city of Stockton, and a two percent bid preference to businesses located within San Joaquin County. After application of the local preference to Diede Construction, Inc. of Woodbridge, CA, and Haggerty Construction, Inc. of Stockton, CA, Marko Construction Group, Inc. of Fresno, CA, remains the lowest bidder for the project. The bid from Marko Construction Group, Inc. was 22 percent lower than the engineer’s estimate.
The bid from Marko Construction Group, Inc. is responsive and regular in all respects. Marko Construction Group, Inc. has the proper license to perform the work. Staff recommends approving the plans and specifications for the project, and awarding the Construction Contract to Marko Construction Group, Inc. of Fresno, CA, in the amount of $1,044,000.
It is anticipated that construction will begin by fall 2016, and be substantially completed by summer of 2017.
On July 26, 2016, Council adopted a Community Workforce and Training Agreement (CWTA). The CWTA became effective August 25, 2016, and applies to all Public Works projects over $1 million that are bid after the effective date noted above. Because this project was bid on May 19, 2016, the CWTA does not apply.
FINANCIAL SUMMARY
There is currently an unencumbered balance of $1,422,000 in the Capital Projects Fund (301-3020) for the portion of the project related to the Tenant Improvements for Police Administration at the SEB. Therefore, sufficient funds are available to award this contract. The remaining funding allocated to these improvements will be expended on change orders, contingencies, construction management, and staff costs.
Attachment A - Vicinity Map