HomeMy WebLinkAboutHA29410B - CO14 - COV 825-11 Contract No. HA294106
PALM DESERT HOUSING AUTHORITY
STAFF REPORT
REQUEST: APPROVE CHANGE ORDER NO. 14 TO CONTRACT NO.
HA294106 WITH OPTIMUS CONSTRUCTION, INC., IN THE
AMOUNT OF $13,454.35 FOR CONSTRUCTION OF THE CARLOS
ORTEGA VILLAS (PROJECT NO. 825-11)
SUBMITTED BY: Heather Buck, Project Administrator
CONTRACTOR: Optimus Construction, Inc.
440 Western Avenue, Suite 202
Glendale, CA 91201
DATE: November 12, 2015
CONTENTS: Change Order No. 14
Request for Time Extension from Optimus dated 10/28/2015
Recommendation
By Minute Motion, that the Authority Board:
1. Approve Change Order No. 14 to Contract No. HA294106 in the total
amount of$13,454.35 for the Carlos Ortega Villas (Project No. 825-11);
2. Authorize the transfer of$13,454.35 from contingency to base;
3. Authorize a thirty-three (33) calendar-day extension to the contract
(excluding City-observed holidays) which will revise the contract
completion date to December 21, 2015;
4. Authorize the Chairman to execute Change Order No. 14.
Funds are available in Account Nos. 8718691-4400100 and 7038691-4400100, Capital
Improvements, for this purpose.
Commission Recommendation
The Housing Commission reviewed the recommendation at the meeting of November 4,
2015. Staff will provide a verbal report upon request of the Authority Board.
Staff Report
Approve CO No. 14 to Contract No. HA294106 (Optimus)for the COV project
Page 2 of 3
November 12, 2015
Backqround
On July 10, 2014, the Authority Board authorized award of the contract for construction of
the Carlos Ortega Villas to Optimus Construction, Inc. The Notice to Proceed was issued
on September 4, 2014.
Optimus is requesting a thirty-three (33) calendar day time extension (excluding City-
observed holidays) which will revise the contract completion date to December 21, 2015
(see attached letter). The contractor has been very accommodating in adjusting the
contract schedule to meet the requests of staff and/or adjust to the availability of utility
drawings and other changes. Staff recommends approval of the requested time extension.
This Change Order incorporates revisions to the following items. Costs for the additional
labor and materials are within industry standards.
• SCE: Net generation (solar) changes due to new guidelines
• Grading/irrigation changes to comply with drought restrictions, improve efficiency,
and reduce future maintenance
• Added waterproof backing at mop sinks to minimize maintenance
• Structural conflicts
• Field paint exterior light trim. Material not available in color to match building.
Fiscal Analysis
Below is a summary of the approved and proposed change orders:
Descri tion Contin enc ` Contract
Ori inal Contract $1,542,335.13 $15,423,351.39
Previousl A roved Chan e Orders $322,361.42 $322,361.42
Chan e Order No. 14 $13,454.35 $13,454.35
Revised Contract Total $1,206,519.36 $15,759,167.16
If Change Order No. 14 is approved, total Change Orders to date represent 2.18 percent of
the contract.
The estimated costs for the project are listed on ROPS lines 171 and 186. Although the
Housing Authority will initially advance the funds for this work, the SARDA may reimburse
the Authority for the costs from bond proceeds. The 2007 Housing Set-Aside bond
issuance included the Carlos Ortega Villas as a project in the bond covenants.
:�
� Staff Report
� Approve CO No. 14 to Contract No. HA29410B (Optimus)for the COV project
Page 3 of 3
November 12, 2015
As a requirement of the State Department of Finance, a Bond Proceeds Funding
Agreement was approved to facilitate this purpose by the Oversight Board on October 7,
2013, and by the Authority Board on October 10, 2013.
Submitted By:
Heat er Buck roje t Administrator a M. Moore, Director of Housing
�
� Martin Alvarez Rudy costa, Assistant City Manager
� Director of Economic Development
Rev' d:
Paul S. Gibson, Director of Finance CITYCOUNCILACT N
APPROVED,__..�DENTED
p roval: RECEIVED OTHER
� MEETING DATE � -�Z^
hn M. Wohlmuth, Executive Director AYES: +}�u��r�ort�o�r����e�-e�;�t�Hrw'� �f�x�'
NOES:._I�-....� _
ABSENT:
ABSTAIN��._. . ',
VERIFIED BY: ��� rl'^� '
Original on File with City Clerk'a Office I,
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PALM����RT HOUS�NG AU'�'SORITY Contract#/P.o.# HA29410B P0112010
Change Order No. 14
CONST�t�TC'I'�4N C�ANGE ORDER Contingency: YES N�
contract Purpose Carios Ortega Villas Account►vo. 8718691-4400100
7038691-4400100
ConsultanYs Name Optimus Construction Inc. P�oieot No. g25-��
Add�ess: 440 Western Avenue, Suite 202 vendor rvo. 13425
Glendale, California 91201
You are hereby requested to comply with the following changes from the contract plans and specifications:
DESCRIPTION OF CHANGES DECREASE INCREASE
Optimus COR Nos. 36, 59, 61, 62, 63, 64, 65 In Contract Price In Contract Price
Column base structural conflict at Building 120 3,834.18
Garden wall at Building 100 2,624.64
Irrigation master valve 226.96
Paint light base 3,186.23
Security gate posts 985.32
FRP at mop sinks 194.92
Disconnect at Building 120 for NEM 2,402.10
100% Housing Authority
TOTALS: - 13,454.35
NET CHANGE IN CONTRACT PRICE: 13,454.35
JUSTIFICATION: Additions to the scope of the contract.
OTAL BUDGET FOR PROJECT: + 15,759,167.16 CONTINGENCY:
Less: Expend. & Encumb. To Date: - 15,745,712.81 Amount Approved by Council: + 1,542,335.13
Less: This Change Order Amount: - Less: Prior Change Order(s): - 322,361.42
BALANCE OF BUDGET Less:This Change Order: - 13,454.35
REMAINING FOR PROJECT: 13454.35 Balance Remainin of Contin enc : 1,206,519.36
The amount of the Contract will be Increased by the Sum of: Thirteen Thousand Four Hundred Fifty-four and
35/100 Dollars ($13,454.35).
G:\PubWaks\PROJECTS�B25-11 Carlos Ortega Villas\Staff Reports�2015-11-12 SR-Optimus OCO 14\Contrad Change Orcier No.14.docx See reverse ...
Contract HA294106 Change Order No. 14 Continued from front
This Change Order covers changes to the subject contract as described herein. The Contractor shall construct, furnish
equipment and materials, and perform all work as necessary or required to complete the Change Order items for a
lump sum price agreed upon between the Contractor and the City of Palm Desert, otherwise referred to as Owner.
Contract Time Extension: 33 Days
Revised Contract Total: $15,759,167.16
The undersigned Contractor approves the foregoing Change Order No. 14 as to the changes, if any, in the contract
price specified for each item including any and all supervision costs and other miscellaneous costs relating to the
change in work, and as to the extension of time allowed, if any, for completion of the entire work on account of said
Change Order No. 14. The Contractor agrees to furnish all labor and materials and perform a►I other necessary work,
inclusive of that directly or indirectly related to the approved time extension, required to complete the Change Order
items. This document will become a supplement of the contract and all provisions will apply hereto. It is understood
that the Change Order shall be effective when approved by the Owner.
Execution of this Change Order by the Contractor constitutes a binding accord and satisfaction that fully satisfies,
waives, and releases the Owner from all claims, demands, costs, and liabilities, in contract, law or equity, arising out of
or related to the subject of the Change Order, whether known or unknown, including but not limited to direct and
indirect costs and/or damages for delay, disruption, acceleration, loss of productivity, and stacking of trades, as well as
any and all consequential damages.
This document will become a supplement to the Contract and all provisions will apply hereto, all items included above
must have required signatures as per the purchase resolution.
1. REQUESTED BY: 2. ACCEPTED BY:
DEPARTMENT HEAD CONTRACTOR Date Accepted
3. CERTIFIED
FUNDS AVAILABLE: 4. APPROVED BY:
FINANCE DIRECTOR SUSAN MARIE WEBER, CHAIRMAN Date Approved
NOTE: No payments will be made prior
to Executive Director and Housing
Authority approval EXECUTIVE DIRECTOR Date Approved
G:\PubWaks\PROJECTS�825-11 CaAos Ortega Villas\StaH Reports�201S11-12 SR-Optimus OCO 14\Contrad Change Order No.14.docx See reverse ...
440 Westem Ave.,Ste.202
Glendale,('A 91201
O��'�� (voicc)818.Si0.8411
Ifax1818.5i0.941 I
C O N S T R U C i 1 O N �N C.
_ - -
Vin Email:hbuckCcityofpalmdeseR.org
Via Certified Mail 7014 2870 0002 0663 3337
October 28, 2015
Heather Buck
City Council
City of Palm Desert
Palm Desert Civic
73-510 Fred Waring Drive
Palm Desert, CA 92260
Re: Carlos Ortega Villas Request for Time Extension
Dear Ms. Buck:
Optimus Construction, Inc. "Optimus" respectfully requests an extension of Contract
Time to December 21, 2015 for the Carlos Ortega Villas project. The schedule has
been prolonged through a series of delays we believe would be categorized as
Excusable Delays by the General Conditions. Optimus will not be seeking
compensation for this time extension. The delays leading up to this request are outlined
below.
The project schedule had anticipated that the offsite to onsite low voltage would be
complete prior to beginning vertical construction. Due to the late issuance of the low
voltage design, the onsite dry utilities were postponed by two months conflicting with the
framers' operations.
Traffic circle work had been scheduled for January 2015. The City requested that we
delay this work to June 2015 in order to mitigate the effect of street work during the
busy season. By accommodating this request, the grader was working in the traffic
circle for the period of June 2015 instead of doing the schedule onsite grading.
Power to the site and setting of ineters was expected to be complete by October 19,
2015. To date, six meters have been set and the power remains inactive. Delays in
power have hindered the final cleaning and inspections. Subcontractors have moved
on to other projects and Optimus is unable to provide them with a timeline as to when
they will be able to return and finish work that requires power.
Page 1 of 2
The pool deck has been redesigned per Architectural Supplemental InfoRnation 34
issued October 25, 2015. Optimus is currently obtaining pricing from the subcontractors
for the work and developing a schedule.
We appreciate your consideration of this matter.
Sinc I
��
e en
Pe '
Page 2 of 2