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HomeMy WebLinkAboutCOW 2019-05-28 Item 5B.2 - Public Safety Plan - Fire Station 52 Schematic Design EstimateCOUNCIL AGENDA SYNOPSIS 11, eetingDate Prepared by Ala r' revjew Council review 0 28 19 RB , ITEM INFORMATION ITEM No. 5B.2 Si Alt' SPONSOR: RACHEL ANCHI ORIGINAL, AGUND 1 DALE: 5/28/19 Ac I AD \ I l'kM TIT1E Schematic Design cost estimating update for Fire Station 52. CA n4,GORY Discussion 5/28/18 111 Motion AN Date Ei Resolution AN Date I Ordinance El Bid Award AltDate El Public eari n,g Mtg Date [I] Other 'AN Date Alts Date Mg tDate SPONSOR Council Mayor EHR EiDCD F inane? EFire TS EP&R Police •1)117 Court SPONSOR'S Staff is seeking consensus to continue forward with the design of Fire Station 52 SUMMARY RI,,V11,,WI'LD 1-iY E C.O.W. Mtg. El CDN Comm E Finance Comm. El] Trans &Infrastructure E Arts comm. E Parks Comm. DATE: 5/20/19 COMMI l'ITE CHAIR: a Public Safety Con-u-n, [1] Planning Comm. ROBERTSON RECOMMENDATIONS: SPoNsoR/ADmiN, CONIMITIRE Mayor's Office Forward to Committee of the Whole COST IMPACT / FUND SOURCE EXPI:NDITURF, RI 7,QU1R1, D AMOUNT BUDGETED APPROPRIATION REQUIRED $ $ $ Fund Source: Comments: MTG. DATE RECORD OF COUNCIL ACTION 5/28/19 MTG. DATE ATTACHMENTS 5/28 9 Informational e orandum dated 5/ 9 Public Safety Plan Presentation Minutes from the Public Safety Committee Meeting May 20, 2019 89 90 City of Tukw►ila Administrative Services Department- Rachel Bianchi, Deputy CityAdministrator INFORMATIONAL MEMORANDUM TO: Public Safety Committee CC: Mayor Allan Ekberg FROM: Rachel Bianchi, Deputy City Adminis DATE: May 15, 2019 SUBJECT: Fire Station 52 Schematic Design Est a or ate Allan Ekberg, Mayor ISSUE As a part of our ongoing work to design Fire Station 52, the project team is providing the Council with an update of the design and estimated costs. BACKGROUND The new Fire Station 52 is to be located on the City Hall Campus just north of the 6300 Building in the upper parking lot. With Fire Station 51 moving further south, the FACETS study determined that it would be important for Fire Station 52 to move further south to maximize coverage and response times throughout the City. Fire Station 52 will become the new headquarters station and thus is a larger, more complex building than Fire Station 51. With the Schematic Design phase complete, the project team began estimating the project. In addition, the group used the bids received for the Fire Station 51 project, currently under construction, to inform the estimating process, Fire Station 52 is above the adjusted budget adopted by the Council in July of 2018. The project team spent considerable time and discussion identifying places to value engineer the project in order to ensure the best value for the City. The team identified nearly $670,000 in savings that would not affect the functionality of the building. However, it was determined that no additional savings could be found that would not significantly impact the building's usability and long- term functioning. The construction budget is estimated to be over budget by $4.23 million once construction costs, sales tax and contingency are accounted for. The full build out of the Administration space, which has been carried as an alternate since early on in the project, is expected to cost an additional $1.25 million, which would include construction, sales tax, contingency and furniture, fixtures and equipment (FF&E). While this percentage is higher than the overage on Fire Station 51, this project is significantly more complex. It is a two-story building requiring much more structural support and use of steel and has a significant earthwork component. The most volatile costs on this project is associated with earthwork, Because of the current market, the unknowns about what contractors would potentially bid on this project and the very real escalation in the market, particularly for earthwork services, the project team elected to include a 30% contingency in the budget for earthwork alone, which is over $1 million, Tukwila City Hall • 62t 05a thcenterBoulevard • Tukwila, WA 98188 « 206-433-1800• Website; TukwiCaWA.gov 91 Due to the significant amount of value engineering work, this most recent estimating phase took longer than normal, and the project is now finished up with the Design Development (DO) phase. Both Robinson, the outside estimators, and Lydig will be doing another round of estimating on the DD plan set to refine these numbers. As with any project, the final numbers will be known once the bid results are received and compiled,. RECOMMENDATION The Administration recommends filling the $4.23 million gap largely with unanticipated Streamlined Sales Tax (SST) Mitigation payments the City will receive over the next four years, which total more than $4 million, Previously the State Legislature had ended the SST mitigation payments and the City did not include them moving forward from their sunset date of 2019. However, during this past session, the Legislature restored the payments for another four years, Because these are one-time funds that should not be programmed for ongoing programs or personnel, using this for a one-time cost such as this project makes sense, In addition, if there is interest in fully building out the Administration space at Fire Station 52, the Administration has recommendations on how that could be accomplished, There is an additional $167,00 in Fire Impact Fees collected last year that have not been allocated to the Public Safety Plan, These is also $525,000 in the Council's 16% of one-time revenue contingency account, which could be used for this. Finally, the 2019/2020 exceeds the City's policy of ending fund balance, which could cover the remainder of the cost. Fire Station 52 has been proposed to be a two-part MACC process, similar to what the City did with the Justice Center. The purpose of this is to maximize the construction season and begin this summer while the remaining design and engineering to construct the actual building is finalized. In order to maximize the City's schedule and move as much earth as possible in the summer, the team has developed the following timeline: • Mini-MACC - Public Safety July 1, 2019; COW July 8; Council July 15 Includes earthwork, site utilities, electrical, foundation, structural • Final MACC — Public Safety October 28, 2019; COW November 11; Council November 18 Includes construction of building It has been previously discussed that delay will add additional costs to this project, estimated at more than $1.3 million if the City was to delay construction until spring of 2020, These additional costs include more escalation of the market, bidding premiums and the costs associated with retaining the construction team during the delay. Additionally, after the completion of bidding for the Mini-MACC in June, if we do not experience as much bid inflation as expected, the Final MACC pricing may potentially be lower as a result, Staff recommends that the Fire Station 52 project continue to move through the Construction Documents (CD) phase, During this time, staff proposes to work with the Finance Committee to determine the best way to fully -fund the project, The true cost of the project will be known when the bids are opened, and given that the most volatile work is in the mini-MACC, there will be much more clarity on the final budget at that time. Steve Goldblatt, the Council's Project Management Quality Assurance consultant has reviewed the project status and agrees with this recommendation. ATTACHMENTS Public Safety Plan presentation Phone: 2.06-433- .30© • Email: l ayar@TukwilaWA.gov • Website: TukwilaWA.gav 92 ACC Consideration Status update on Fire Station 52 otto f Justice Cent r on budget Fire tation 52 estimate over budget Team carrying large contingency for earth orl Actual bids will provide certainty • -t me unexpected funds are ava able o ake up the del Justice Center Justic C-nter • Total ACC on budget after value engengineeringng o oren without affect on public or end users • Technology scope r moved from he Furniture, Fixtures and Equipment (FF&E) budget to as well c associated moved Justice Center Construction Costs Pre -construction Mini- ACC City of Tukwila PUBLIC SAFE P AN Preconstructi©n services, demolition of former Sahara Restaurant and 563,671 Travelodge (with sales tax) Demolition and abatement of remaining buildings, foundations/structures and water proofing, and earthwork and utilities Total MACC Masonry, casework, siding, roofing, doors, frames and hardware, aluminum systems, elevator, fire protection, mechanical, electrical, site concrete, insulation, acoustical, floor coverings, painting, specialties and equipment, window coverings, paving and striping, irrigation and landscaping 0,894,458 2 Total Construction Cost Sales Tax Contingency 34,562,427 3,456,244 Total 3,446,455 38,018,671 Justice Center Construction Budget City of Tukwila PUBLIC SAFE A/E Services 3,500,000 Permits/Fees Construction (Pre -Con, Cosst & Tax) 0 Construction Related Costs (incl. bond & FF&E) 2,087,364 PM Services (incl other prof services) $2,082,596 Contingency (incl const and proj) Contingency for site Contamination Land Acquisition $4,795,518 $550,000 $13,710,562 Contingency for Land Acquisition Total $1,550,000 $66,994,711 The low -voltage wiring scope of work was moved into the Construction budget, which was originally held in the FF&E budget. The budget amount of $238,075 was also moved from the FF&E budget to Construction. No change in overall project budget. Justice Center Council Consideration: City of Tukwila P BLIC SAFE • The Council is being asked to provide the mayor the authority to: • To sign a contract with BNBuilders for $23,155,541 for the remaining construction of the Justice Center • To spend $3,456,244 in sales tax associated with the contract discussed above • To spend, if needed, the full project's contingency for change orders, budgeted at 10% of the total construction cost, or up to $3,446,455* *The Public Safety Committee was agreeable to this with the condition that contingency funds not be used to "buy back" items that were previously value engineered without Council approval. Fire Station 52 Fire Station 52 • Estimating began after c a i c Design phase; Fi e S a on 51 bids used inform s i in: • Project value i e re $668,000 u • Team determinedadditional savings significant impac s Fir- St.tion 52 Est Estimated at $4.23 m Ilion over the rev sed budget ,260,000; includes tax contingency Estimate includes y r n con ngency for earth ork Overage due to: complexity of u l d n Continued market escalation Volatile costs of earthwork • AIt `r t 1, full buildout s r ton space es t ted at $1.25 million; includes tacontingency Opportunity to fit gap ith unanticipated, one- e funds of Streamlined Sales Taxmitigation funds restored by the Legislature this session. Other sources of funds to pay for the gap and/or alternate exist, including; unallocated Fire Impact Fees one-time contingency funds ending fund balance in excess of City policy dedicate project sales tax issue additional debt additional options discussed during previous PSP discussions Recommend staff works with the Finance Committee in June to identify potential additional na funding. Fir Stati.n 52 Tim -line Project constrained by market escalation. Timeline critical 0 ensure ability to contain costs. Projected escalation if the i y delays until May of 2020 in excess of an additional million. i ni-MACC. Earthwork, site ti ities, e ectric ! al July 1: Public Safety Committee July 8: Committee of the Whole July 15: Full council consideration Final ur in construction October 28: Public Safety Committee November Committee of the Whole November 1 Full Council consideration R t tion uncil Cons" erabon. • :ove for • Staff to w ar e project e to id n fy otential so rces of revenue to ap ork with Finance Co solve delta d� consi• eration mini CC d scuss on a O a) ity •f Tu ila City Council Public Safety Committee PUBLIC SAFETY COMMITTEE Meeting Minutes May 20, 2019 - 5:30 p.m. - Hazelnut Conference Room, City Hall Councilmembers: Dennis Robertson, Chair; Kate Kruller, Zak ldan Staff: David Cline, Rachel Bianchi, Jay Wittwer, Todd Rossi, Laurel Humphrey Guests: Justine Kim & Ethan Bernau, Shiels Obletz Johnsen; Steve Goldblatt, PMQA CALL TO ORDER: Chair Robertson called the meeting to order at 5:30 p.m. I. ANNOUNCEMENT II. BUSINESS AGENDA A. Contract Amendment: Maximum Allowable Construction Cost for the Justice Center Staff is seeking Council approval of a contract amendment with BNBuilders in the amount of $23,155,541 for the final construction phase of the Justice Center. Construction has begun and all remaining buildings have been abated and demolished, earthwork is underway and underground utilities are being installed. The total Maximum Allowable Construction Cost (MACC) includes all of the remaining work and is within the existing adopted project budget. The Council is asked to sign the contract amendment, to spend $2,315,554 in sales tax associated with the amendment, and to spend, if needed, the full project's contingency for change orders, budgeted at 10% of the total construction cost (up to $3,446,455). Change orders would be related to unforeseen conditions such as contaminated soils. Mr. Goldblatt stated that he supports the proposal as it is a standard approach with the correct contingency. Councilmembers discussed the proposal with particular focus on the Council's role with regard to spending contingency. Ms. Kim stated that every dollar in the contingency budget is negotiated with the contractor, and that her best estimate for a project of this size is 4-8% in change orders. Committee members agreed that no contingency dollars should be used to add value engineered items back in without Council approval. Unused contingency will return to the Public Safety Plan budget. Councilmember Kruller asked that the Committee be briefed on the status of change orders and staff agreed that this will be highlighted as part of the construction report. NO RECOMMENDATION. FORWARD TO MAY 28, 2019 COMMITTEE OF THE WHOLE. B. Schematic Design Estimate: Fire Station 52 Staff updated the Committee on the schematic design estimate on Fire Station 52. Including tax and contingency, the estimate is $4.23 million over the revised budget of $19,260,000 due to building complexity, market escalation, and earthwork volatility. Full buildout of the Administration Space, estimated at $1.25 million, is identified as an alternate. Staff recommends working through the City Council's Finance Committee to identify funding, which could include use of the unbudgeted and unexpected one-time Streamlined Sales Tax 107 Public Safety Committee Minutes May 20, 2019 mitigation restored by the Legislature and estimated at $4 million over four years. The mini- MACC for earthwork, site utilities, electrical, and structural will be presented to Public Safety and Council in July, and the final MACC for construction will be presented in October and November. At that time, the City will know more about contingency costs for both the Justice Center and Station 51. DISCUSSION ONLY. C. Contract Amendment: Additional Services on Fire Station 52 Staff is seeking Council approval of an amendment to the contract with Weinstein AU in the amount of $20,840 to provide Stormwater Detention Vault Design, Shoring and Retaining Wall Design, and an Inadvertent Discovery Plan for Fire Station 52. These costs were expected, within budget, and have the concurrence of the Council's PMQA. UNANIMOUS APPROVAL. FORWARD TO JUNE 3, 2019 REGULAR CONSENT AGENDA. III. MISCELLANEOUS Adjourned 6:20 p.m. Committee Chair Approval Summary by LH 108