HomeMy WebLinkAbout9A Bids-Contract New PD-C Hall
16200 Eagle Creek Avenue S.E.
Prior Lake, MN 55372-1714
MEETING DATE:
AGENDA #:
PREPARED BY:
AGENDA ITEM:
DISCUSSION:
CITY COUNCIL AGENDA REPORT
September 19, 2005
9A
Frank Boyles, City Manager
CONSIDER APPROVAL OF A RESOLUTION ACCEPTING BIDS AND
AWARDING A CONSTRUCTION CONTRACT FOR THE CONSTRUCTION
OF THE POLICE STATION I CITY HALL BUILDINGS
Introduction
The purpose of this agenda item is to receive City Council approval to
award bids and authorize execution of the necessary contracts for the
construction of the police station I city hall buildings. At the meeting I will
provide an overview of the history of this important project. Owner's
representative, Bill Wolters, will discuss the base bid. Wold Architect, Mike
Cox, will review the alternates and I will address funding.
History
Because of the significance of the police station / city hall project, great care
has been taken at every step of the construction planning process. The
City Council established a building committee of Mayor Haugen and Council
member LeMair. The two of them have worked with City Attorney Suesan
Lea Pace, staff members Bill O'Rourke, Steve Albrecht, Jane Kansier, Kelly
Meyer and me.
The committee evaluated various construction approaches including
general contractor, project manager and owner's representative, and
selected owner's representative, Bill Wolters, who joined the building
committee. The committee then interviewed architectural firms based upon
their experience with similar buildings and cost, and chose Wold Architects.
Mike Cox of Wold joined the building committee.
Once the committee was complete, they initiated a thorough process for
planning and designing the buildings:
. Square footage needs were re-calculated and verified based upon
anticipated organizational growth to assure that we didn't build
structures any larger or smaller than our future needs dictate.
. Square footage was reserved to assure additional public meeting rooms
which would meet the public's needs for groups of 2 to 100.
. An evaluation of ten building sites was performed including downtown
and non-downtown locations as well as City and privately owned
property.
. The existing downtown site, together with property on Dakota Street
was selected in order that the city hall / police station could act as the
gateway to downtown and support the redevelopment already underway
in accordance with the 2030 vision.
www.cityofpriorlake.com
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· Owing to the small size of the two parcels, two buildings were proposed
which is also more consistent with the scale of buildings downtown.
· Building specifications were prepared calling for greater investment in
energy efficiency in heating and lighting for optimum operating costs.
· Specifications were drawn so that a base bid with nine separate
alternates was defined to assure a conservative budget approach.
Current Circumstances
On September 13, 2005, at 2 p.m., bids were opened. Thanks to
aggressive encouragement work by Bill Wolters and Mike Cox, ten of
fourteen contractors who expressed an interest submitted a bid. The bid
tabulation is attached for information. The bids are divided into base bid,
which includes both buildings, and nine alternates which provide for building
or property enhancements.
Base Bid
As the attached bid tabulation shows, base bid amounts were submitted
from a low of $10,356,000 to a high of $11,414,000. The fact that ten
contractors bid confirms that competition was great and that the bids
reflect the actual cost of the project.
Jorgenson was initially confirmed to be the low bid at $10,356,000.
However, on September 14, 2005, Jorgenson confirmed their intent to
withdraw their bid by letter (attached). The City Attorney is evaluating the
City's options with respect to the 5% bid bond.
In light of Jorgenson's withdrawal, Shaw-Lundquist is the lowest
responsible bidder at $10,579,700. As the attached base bid budget
confirms, this bid is consistent with our budget. It is also consistent with
the cost estimate of $10,432,150 provided by owner's representative, Bill
Wolters.
This bid amount is gratifying considering the following factors could have
significantly increased the base bid project cost:
· $730,000 of the budget was used to purchase land.
· Two buildings, rather than one, are being built.
· The City invested $247,000 in energy-saving enhancements in the
buildings.
. The costs of fuel have increased dramatically.
. Building supply shortages are expected to occur.
Alternates
Nine alternates were bid together with the base bid (see bid tabulation).
We have evaluated each alternate and recommend the following:
· Alternate #1 - $429,000
This is the community conference room, City Council conference
room and lunchroom. The conference rooms particularly are the
greatest public amenity in the building with the exception of the
council chamber itself.
I\COUNCIL tAGNf\FT 5\2005\091905
bids and
FINANCIAL
IMPACT:
· Alternate #2 - $37,000
This alternate substitutes ceramic tile for carpet in the main entry
and the main hall to the council chambers. Given our experience at
the library, old city hall and fire station, the tile is recommended from
a maintenance cost and durability perspective.
· Alternate #5 - $39,000
The base bid provided for painted walls throughout the building.
This alternate would install vinyl wall coverings. Our experience in
the library recommends installation of the vinyl wall covering rather
than regular repainting of the interior walls as is done at the library.
· Alternate #6 - $8,500
Office doors were not provided with sidelights in the base bid. They
are proposed for addition to bring exterior light into the building
interior and for their utility in determining if an office is occupied or
unoccupied without disturbing the user.
· Alternate #7 - $57,000
The north and south rain gardens are mandated by the Watershed
to provide stormwater drainage for both buildings. These funds
would be drawn from the stormwater fund.
· Alternates #3,4,8 and 9 are not recommended.
These alternates include walk off mats, bi-fold door for the police
garage, site landscaping and porous pavers for the small parking lot.
The site landscaping will be done by City crews as was done for the
library building at a considerable cost savings over the $86,000
quoted. The porous pavers were to be bid as an alternate with the
understanding that the Watershed would pay for them as a
demonstration project for $33,500. They have decided not to
proceed with this project.
Conclusion
The Council should determine whether it wishes to proceed with the base
bid and alternates which have been recommended.
Base Bid
The funding for the base bid is provided through $10 million EDA bonds and
$3.25 million building fund contribution.
Alternates
Funding alternates #1, 2, 5 and 6 ($513,500) together with the $12,539
from the base bid budget will require $526,039. This funding should be
derived from the Enterprise fund and General Fund Reserve. $250,000
should be appropriated from the Enterprise fund (sewer and water) since,
for the first time, all aspects of this operation will be housed at city hall. This
proposal is similar to our long-standing practice of having the Enterprise
fund support the General Fund through an annual contribution for utility-
related personnel services. The remainder of $276,039 should be drawn
from the $3.7 million General Fund reserye. This will leave the reserve at
$3.4 million or 34% of the General Fund which is consistent with City
Council policy.
ISSUES:
ALTERNATIVES:
RECOMMENDED
MOTION:
The police station and city hall buildings have been contemplated for
construction for at least the past 12 years. They are called for in the 2030
vision and in the Capital Improvement program. Careful planning has been
included in the construction project to determine size and location of the
buildings. Most importantly, the construction of the base bid and four
alternates will not impact the 2006 budget whatsoever.
Normally the City uses its standard construction contract. In this case, the
contract has been prepared by the City Attorney using the contract used for
the library and the modified AlA contract.
1. Adopt the attached resolution awarding bid and authorizing execution of
the necessary contracts.
2. Direct the Building Committee to take steps to alter the project in an
effort to reduce the cost.
Alternate 1.
The attached resolution awards the base bid and alternates #1, 2, 5 and 6
to Shaw Lundquist. Payment sources for this work are specified in the
resolution. The resolution authorizes Alternate #7, the two rain gardens
with funding from the Water Quality fund. Finally, the resolution directs the
staff and City Attorney to make a demand upon the bid bond of Jorgenson.
bids
Constructivllldeas, Inc.
901 Jefferson Avenue, Suite 300
St. Paul, Minnesota 55102
(651) 225-4740. Fax 225-4741
Project: Prior Lake Police and City Hall
Prior Lake, Minnesota
BASE BID BUDGET
9/15/2005
Architect: Wold Architects and Engineers
St. Paul, Minnesota
Base Bid Adjustments Current Base
Item Description Budget Since Bid Day Bid Budget Total
1 Fees
Cost of Project Fmandng $256,639 $ 256,639
Arch/Engineering - Base Building $ 660.000 $ 660,000
Architectural Reimbursables $ 35,000 $ 35,000
Arch. Interior Design - In above $ -
Owner's Representative $ 126,000 $ 126,000
Owner's Representative - Reimburasbles $ 4,200 $ 4,200
Survey - Allow $ 10,000 $ 10,000
Soil Borings - Allow $ 12,500 $ 12,500
Wetland Mitigation - not needed $ -
Owner's Special Testina During Construction $ 50,000 $ (10,000) $ 40,000
Subtotal Fees and Reimbursables $ 1,144,339
2 Furniture, Fixtures and Equipment
FF&E from May, 2005 budget $390,000 ($90,000) $ 300,000
Subtotal Furniture, Fixtures and Equipment $ 300,000
3 Special Systems
Voice and Data Wiring $ 20,000 $ 20,000
Audio Visual Equipment $ 75,000 $ 75,000
Phone Equipment $ 50,000 $ 50,000
Paging System $ 25,000 $ 25,000
Misc. Equipment $ 50.000 $ 50,000
Security ( Cameras, etc.) $ 50,000 $ (50,000) $ -
Move Allowance $ 25,000 $ 25,000
Subtotal Special Systems $ 245,000
4 Other Owner Costs
Land Cost $ 730,000 $ 730,000
Sewer or Utility Relocation $ 50,000 $ (50,000) $ -
Allowance for Dump Site Clean-up (Includes State reimbursement) $ 75,000 $ (50,000) $ 25,000
Builder's Risk - by Contractor $ -
Permits - City Permit Fee waived $ -
Legal - Allowance $ 25,000 $ (25,000) $ -
Allowance for Asbestos - Survey and Abatement $ 50,000 $ (30,000) $ 20,000
SAClWAC - Allowance $ 40,000 $ (40,000) $ -
Subtotal - Other Owner Costs $ 775,000
5 Project Continaency . Fixed $400,000 $ (150,000) $ 250,000
Subtotal - Contingency $ 250,000
Subtotal - Items 1 thru 5 $2,952,700 ($238,361 ) $2,714,339 $2,714,339
Total Authorized by City Council - May 2, 2005 $13,250,000 $13,250,000 $13,250,000
Amount Available for Construction - September 13, 2005 $10,297,300 $10,535,661 $10,535,661
Apparent Low Bidder - 2nd Bid - Shaw-Lundquist $10,579,700
Xcel Energy efficiency rebate ($31,500)
Amount Under/lOver) Budget ($12,539)
File: rev 1- Final Prior lake Budget Review on Bid-Day
Page 1
9/16/2005
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""J'Ji<GJ:::NSON CONSTRUCTI ON
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.JORGENSON
CONSTRUCTION INC.
September 9, 2005
MicheaI Cox
Wold Architects and Engineers
305 St. Peter Street
St. Paul, M:N 55102
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\j\JOLu Nm~tt.\J.\:
9255A East lUver Rd. NW ~SC~\1t.C1S & 'C
Coon. Rapids, MN 55433-5727
763-784.3877 FAX 763-784-1583
WWW..JorgensonCOl1structiob.COID
Rc:: Project Name; New PoHce and City Hall, Prior Lake, Minnesota bid on 9/13/05 at 2:00pm
Proejct #0421 81
Dear Mr. Cox:
This letter is to confum with regret that Jorgenson Constroction has made a clerical error in
detennining the final bid amount for the New Police ~d City Hall building bid on 9/13/05 at
2:00pm. Jorgenson Construction reqtlests that our bid be removed from consideration as a result
oia clerical error explained below.
A clerical error was made in the transfer of a phone bid to the bid sheet on the aluminum panels.
The amount included in the bid was $29.000 vs actual bid amount of$329,000 (not included in
base bid), which created a $300,000 clerical error.
If you disagree that this clericaIerror docs not justify withdrawing our bid, please contact me
immediately.
Sincerely
~Oft- f>, )( ~
Dwayne B. Kanne
Vice President
C-6v-,\-vv-eh~ . c~
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09/13/05 TUE 15:35 [TX/RX NO 6651]
16200 Eagle Creek Avenue S.E.
Prior Lake, MN 55372-1714
RESOLUTION 05-xx
A RESOLUTION AWARDING BID FOR THE CONSTRUCTION OF THE POLICE STATION AND
CITY HALL BUILDINGS TO JORGENSON CONSTRUCTION AND AUTHORIZING THE MAYOR
AND CITY MANAGER TO EXECUTE THE CONSTRUCTION CONTRACT
Motion By:
Second By:
WHEREAS, On July 18, 2005, the City Council approved plans and specifications and authorized
solicitation of bids for the police station / city hall buildings; and
WHEREAS, Ten construction firms submitted bids on September 13, 2005, pursuant to public
notice as follows:
Contractor
Jorgenaon Construclton Campan ye, 1,2.3 10,356,000 425,000 33,000 6,500 31,000 30,000 I 8,000 47,000 85,000 29,000 28.75/CY
Shaw Lundquist ye, 1,2.3 10,579,700 429 ,000 37,000 7,600 33,000 39,000 I 8,SOO 57,000 86,000 33,500 35.00/CY
Lund Martin Construction Co. ,.... 1.2,3 10,620,000 559 ,000 40,000 9,000 35,000 28,500 I 13,000 96,000 92,000 29,000 2B.OO/eY
Stehl Construction Co. ye, 1,2,3 10,640,000 450 ,000 39,000 12,000 27,000 31,000 I 12,000 49,000 68,000 30,000 30,OO/GY
eM Construction Company ye, 1,2.3 10,746,000 423,000 27,000 7,300 32,000 16,000 i 3,900 18,900 100,800 _~_J!l5fCY_
Donlar Construction Comp8llY ye, 1,2.3 10,961,000 456,500 28,500 7,390 -~ ____ 38,900 ~. 10,950 69,000 5!,_~~ __"__~_,..",30_00fCY
Arkay Construction Company ye, 1,2,3 11,240,000 560 ,000 40,000 4,000 35,000 32,000 15,000 60,000 105,000 45,000 $32.00 ICY
MMrtens-Brenny Construction Co. ve, 1,2,3 11,245,000 492,000 45,000 10,000 70,000 32,000 I 25.000 i 77,000 55,000 30,000 100.OO/CY
Knutson Construction Company 1,2,3 11,250,000 489 ,000 35,000 _11.000 !____ -~~ ~-,~~q,: , -~~~~ ) 81 ~OOO_!
ye, 12.~~~____ 7~~0~_ 29.00/CY
BorSon Construction Company ye, 1,2,3 11,414,000 467,000 34,600 __~_o.o _~~ .~~9 48,000 10,~~. 6}!300 1?1_,_~~~ 40.100 1280fCY
Merrlmac Construction No Bid
MarCon ConstrucUOO Co. No Bid I
WHEREAS, Jorgenson Construction is declared to be the lowest responsible bidder; and
WHEREAS, Jorgenson Construction has advised the City in writing that it is withdrawing its bid; and
WHEREAS, In light of the withdrawal of Jorgenson Construction, Shaw Lundquist is declared to be
the lowest responsible bidder;
NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE,
MINNESOTA as follows:
1. The recitals set forth above are incorporated herein.
2. The base bid of Shaw Lundquist in the amount of $10,579,700 is hereby accepted as lowest
responsible bid.
3. Funds for the base bid are drawn from the EDA bonds and a $3.25 million Building Fund
contribution.
4. Alternates 1, 2, 5 and 6 are hereby accepted in the amount of $513,500.
5. Funds for payment of the four alternates and the $12,539 for the base bid are to be drawn as
follows: $250,000 from the Enterprise Fund and $276,039 from the General Fund reserve.
pWW!v\llcityOl}DTiorlake.com
Phone 952.447.4230 / Fax 952.447.4245
6. Alternate #7 in the amount of $57,000 is hereby accepted for payment from the Water Quality
Fund.
7. Alternates #3,4,8 and 9 are hereby rejected.
8. The City Attorney and staff are hereby directed to make a demand on the bid bond of Jorgenson
Construction.
9. The Mayor and City Manager are hereby authorized to enter into contracts as approved by the City
Attorney to effectuate this resolution.
PASSED AND ADOPTED THIS 19th DAY OF September, 2005.
HauQen HauQen
FleminQ FleminQ
LeMair LeMair
Petersen Petersen
Zieska Zieska
YES
NO
Frank Boyles, City Manager
R:\RESOLUTI\ADMINRES\2005\091905 award bid for police station city hall.DOC