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Home My WebLink AboutHA29410B - CO15 - NOC Carlos Ortega Villas 825-11 Contract No. HA294106 PALM DESERT HOUSING AUTHORITY STAFF REPORT REQUEST: APPROVAL OF CHANGE ORDER NO. 15 AND REQUEST FOR ACCEPTANCE OF WORK FOR CONTRACT NO. HA29410B WITH OPTIMUS CONSTRUCTION, INC., 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: January 14, 2016 CONTENTS: Change Order No. 15 Notice of Completion Recommendation By Minute Motion, that the Authority Board: 1. Approve deductive Change Order No. 15 to Contract No. HA29410B in the total amount of $69,084.90 for the Carlos Ortega Villas (Project No. 825-11); 2. Authorize the Chairman to execute Change Order No. 15; 3. Authorize staff to release the remaining landscape maintenance payments included in this contract without withholding retention; and 4. Authorize the City Clerk to file a Notice of Completion for Contract No. HA29410B with the Riverside County Clerk and Recorder. 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 January 13, 2016. Staff will provide a verbal report upon request of the Authority Board. Staff Report Approve NOC and CO No. 15 to Contract No. HA29410B (Optimus) for the COV project Page 2 of 3 January 14, 2016 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. The work was substantially complete on December 21, 2015, allowing the property management company to prepare the site for residents and set up the leasing and maintenance offices. Occupancy is expected to begin the first week in February 2016. This Change Order incorporates revisions to the following items and credits for unused allowances. Costs for the additional labor and materials are within industry standards. This results in an overall deductive change order. • Landscape and irrigation system changes to comply with drought restrictions, improve efficiency, improve accessibility, and reduce future maintenance • Added grab bars in restrooms for functionality and accessibility • Health Department correction • Building and Safety accessibility corrections • Credit for unused allowances for fixtures Staff has inspected the work performed by the contractor and has found said work to be complete (punch list items to be completed prior to release of retention) and in accordance with the contract documents. Fiscal Analvsis 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 $335,815.77 $335,815.77 Deductive Chan e Order No. 15 $69,084.90 $69,084.90 Final Contract Total $1,275,604.26 $15,690,082.26 If Deductive Change Order No. 15 is approved, total Change Orders to date represent 1.73 percent of the contract. Since the Notice of Completion will be filed and retention likely released prior to payment for all of the landscape maintenance (plant establishment period of 90 days), staff recommends that the remaining landscape maintenance payments be released (monthly or at the end of the 90-day period) without withholding retention. 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 Staff Report Approve NOC and CO No. 15 to Contract No. HA29410B (Optimus) for the COV project Page 3 of 3 January 14, 2016 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. 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: . � ._ � ,. � . ` „ � � ��--- � Heather Buck, Proje t Administrator ane M. Moore, Director of Housing Marti Alvarez Rudy Acosta, Assistant City Manager Director of Economic Development �,�, � U�� us��,c��r� ��r C� Revf : �� / � __ ---_ - Paul S. Gibson Director of Finance ��`�� :�� - , 7t� .•�„ . , a , . 117f�?f Se.`:'.� er"ra i�S4w st��.� �a� '� � , r, i ., �.�� ..�f=.�°S :� �?�G��...fi Ppr val� � l��S�. �}Ct�/11k,`��C��1'�`�f��rC�ill1 E��, L�'��'r , �rx� �i�'��( . John . Wo Imuth, Executive Director ,-� �(G�a�,�� I c��v��- �� a � � m � n � � � � � -' CO (D OD �I � CJ� l� W N -� O o CJl A W N -� O � � c0 ?� � � � � Om � � vcn cn � 00 O p m � n n cn v v,' v, � � v v o ° � o fD � :U � cn -� a D m m � � � � v_, � m m n �' � � o G� G� G� v D ' �• � r— � co cn p � � m c� � � � < C) � Cn o � a v. � �' � Q � -o � o o � o a�i D D D � � Q �. v m �. � az• o c�i 2 � v � � r r r o � v co co �' � � � � � -o• m a co � cp � C� C� � � � N m v,, c'n � � u, � o �' o. m v � O O � v' m c � m � s?u c=i Q N cn N � � �. 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Project No. $2�j-�� Ada�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: OPTIMUS COR NOS. DECREASE INCREASE 60R1, 66R2, 67R1 68R1, 69, 70, 71 R1, 72, 73, 74 75R1, 76, 77 In Contract Price In Contract Price Landscape irrigation controller 4,298.63 Revised signage for aquatic therapy deck 588.25 Additional grab bars 7,190.69 Remove asphalt in planting area - unforeseen condition 1,130.15 Cove base in exterior bath - Health Dept correction 623.59 ADA parking stall corrections 1,269.14 Additional tile in public restrooms - ADA correction 3,855.60 Pressure regulator for landscape irrigation system 2,461.51 Grounding for landscape irrigation system 501.66 Temp fencing time extension 389.82 Credit unused allowances for fixtures 104,548.35 Credit for landscape irrigation 512.63 Landscape modifications 14,843.54 100% Housing Authority TOTALS: 105,649.23 36,564.33 NET CHANGE IN CONTRACT PRICE: 69,084.90 JUSTIFICATION: Additions to the scope of the contract. OTAL BUDGET FOR PROJECT: + 15,690,082.26 CONTINGENCY: Less: Expend. & Encumb. To Date: - 15,759,167.16 Amount Approved by Council: + 1,542,335.13 Less: This Change Order Amount: - Less: Prior Change Order(s): - 335,815.77 BALANCE OF BUDGET Less: This Change Order: - 69,084.90 REMAINING FOR PROJECT: -69084.90 Balance Remainin of Contin enc : 1,275,604.26 The amount of the Contract will be DECREASED by the Sum of: Sixty-nine Thousand Eighty-four and 90h00 Dollars ($69,084.90). G:\PubWorks\PROJECTS�825-11 CaAos Ortega Villas\Staff fiepor1s�201 E01-14 SR-Optimus OCO 15 and NOC\Contract Change Ordei No.15.docx See reverse ... Contract HA29410B Change Order No. 15 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: 0 Days Revised Contract Total: $15,690,082.26 The undersigned Contractor approves the foregoing Change Order No. 15 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. 15. The Contractor agrees to furnish all labor and materials and perform all 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 ROBERT A. SPIEGEL, CHAIRMAN Date Approved NOTE: No payments will be made prior to Executive Director and Housing Authority approval EXECUTIVE DIRECTOR Date Approved G:\PubWorks\PROJECTS�825-11 Carlos Ortega Villas\Staff RepoAs�201E0�-td SR-Optimus OCO 15 and NOC\Contrect Change Orde�No.15.docx See reverse ... To be recorded with the Riverside County Recorder within 10 days after completion and acceptance by the City Council. NO RECORDING FEE PER SECTION 6103 OF THE GOVERNMENT CODE. When recorded, return to: Office of the City Clerk City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 NOTICE OF COMPLETION (Cal. Civ. Code § 3093—Public Worksj NOTICE IS HEREBY GIVEN: 1. That the interest or estate stated in paragraph 3 herein in the real property herein described is SOLELY OWNED by the PALM DESERT HOUSING AUTHORITY, A MUNICIPAL CORPORATION, a political subdivision of the State of California, and whose address is 73-510 FRED WARING DRIVE, PALM DESERT, CALIFORNIA, 92260. 2. That the full name and address of the owner of said interest or estate is set forth in the preceding paragraph. 3. That the nature of the title of the stated owner, as set forth in paragraph 1, is FEE. 4. That on the 14th day of January, 2016, a work of improvement described as Carlos Ortega Villas, Project No. 825-11, Contract No. HA294106, on the real property herein described was completed. 5. That the name of the original contractor, if any, for said work of improvement was: Optimus Construction, Inc., 440 Western Avenue, Suite 202, Glendale, California 91201. 6. That the real property herein referred to is situated in the City of Palm Desert, County of Riverside, State of California, and is described as 77915 Avenue of the States, Palm Desert, California 92211 (APN 637-071-003, 637- 170-003, 637-170-004, and 637-170-053). PALM DESERT HOUSING AUTHORITY Dated: January 14, 2016 By: Robert A. Spiegel, Chairman STATE OF CALIFORNIA } }ss COUNTY OF RIVERSIDE } I hereby certify that I am the City Clerk of the governing board of the CITY OF PALM DESERT, CALIFORNIA, the political subdivision which executed the foregoing Notice and on whose behalf I make this verification: That I have read said Notice, know its contents, and that the same is true. I certify under penalty of perjury that the foregoing is true and correct. Executed at Palm Desert, California, on this day of , 2016 RACHELLE D. KLASSEN, CITY CLERK Rev Oct 2015