14-0506_FRIEES COMPANY BUILDERS_Agenda Report_D11TO:
FROM: Keith VanDer Maaten, E., Public Works and Utilities Director
Prepared by: Steve Kooyman, P.E., Assistant Public Works Director
DATE: May 6, 2014
516/2014
011
SUBJECT: Consideration of Award of a Construction Contract and Appropriation of
Funds to Reorganize the Office Spaces in the Finance Services, Public
Works and Development Services Departments and Implement Building
Code Requirements (Friess Company Builders, Inc.)
RECOMMENDATION:
By motion,
1. Award a Construction Contract to reorganize the office work spaces in the
Finance Services, Public Works and Development Services departments and
implement Building Code requirements to the lowest responsible and responsive
bidder, Friess Company Builders, Inc., in the amount not to exceed $99,964 and
reject all other bids; and,
2. Authorize the City Manager to approve change orders in a total amount up to
10% of the Construction Contract amount not to exceed $9,996; and,
3. Appropriate an additional $34,960 for Fiscal Year 2013-2014 from the Facilities
Operations Internal Service Fund reserves for a total budget amount of
$109,960.
EXECUTIVE SUMMARY:
The goal of this project is to improve the City's business delivery model by moving
Finance Services Department staff from out of the exterior modular units into the main
City Hall building and reorganizing the locations of the Public Works and Development
Services departments to provide better business operations, efficiency and customer
service all under one roof. Staff workstations are currently located in different locations
and in exterior modular units throughout the City Hall Complex and in order to increase
operational effectiveness, staff will be relocated to one central area with the focus in
collaboration in departmental performance.
City Council Agenda Report
May 6, 2014
Pa e 2 of 3
This project includes various improvements as well as the elimination of an existing
modular unit that will result in a reduction of operational costs in the future. On March
10, 2014, the City received two bids for this project as follows:
Contractor
Friess Company Builders, Inc.
Insley Construction, Inc.
Bid Results
$99,964 (including Bond Amount)
$109,290 (excluding Bond Amount)
Staff recommends that the City Council award a Construction Contract to Friess
Company Builders, Inc. in the amount not to exceed $99,964 and authorize the City
Manager to approve change orders to the Contract up to 1 0% of the Construction
Contract amount not to exceed $9,996, for a total budget amount of $109,960.
DISCUSSION/ANALYSIS:
As part of the reorganization of staff, and implementation of building code requirements,
the following Scope of Work was developed to accomplish the proposed project
(Attachment 1, Exhibit A):
1) Replacement of carpet that is necessary due to wall removal and placement in the
Finance Services, Public Works and Utilities, and Development Services areas.
2) Demolition of a modular unit, Trailer "D" (the existing Information Technology
trailer).
3) Removal and construction of new interior walls within the Finance Services, Public
Works and Utilities, and Development Services areas.
4) Painting various walls.
5) Installation of various electrical outlets and switches.
6) Installation of several supply and return air ducting.
7) Installation of "Exit" signs as required by the building code.
8) Installation of programmable electronically lockable thermostats.
9) Relocating and moving various office furniture and office items within the Finance,
Public Works, and Development Service areas.
The work is scheduled to begin on May 12, 2014, and is expected to be completed by
June 30, 2014.
FISCAL IMPACT:
The City's Fiscal Year 2013-2014 Operating budget included $75,000 to complete the
reorganization of staff office work stations and various improvements. Therefore, an
additional $34,960 is needed from the Facilities Operations Fund Reserves to complete
the project and the implementation of building code requirements, inclusive of a 10%
contingency amount, for a total budget amount of $109,960. The projected available
fund balance in the Facilities Operations Internal Service Fund is $1,892,429 for June
30, 2014.
City Council Agenda Report
May 6, 2014
Pa e 3 of 3
The removal of the modular unit (Trailer "D") will eliminate the electrical and
maintenance costs necessary to keep the modular unit operational. Additionally, the
installation of the programmable lockable thermostats will also help to reduce electrical
costs as they are more efficient than the existing non-programmable thermostats.
ENVIRONMENTAL IMPACT:
The City's Environmental Administrator completed a preliminary review of this project in
accordance with Section 15061 of the California Environmental Quality Act Guidelines.
Based on the review, the Environmental Administrator has determined the project to be
Categorically Exempt (Class 1, Existing Facilities) under Section 15301 (c).
PRIOR CITY COUNCIL REVIEW:
Not applicable.
COMMISSION/COMMITTEE/REVIEW AND RECOMMENDATIONS:
Not applicable.
NOTIFICATION:
Insley Construction, Inc.
Friess Company Builders, Inc.
A TT ACHMENT(S):
Attachment 1 -Construction Contract
Enclosure 1 -Proposed Modification Plans
CONSTRUCTION AGREEMENT
THIS AGREEMENT is made, entered into, and shall become effective this __ day of
-::--'---::-:::-: 2014, by and between the City of City of San Juan Capistrano (hereinafter referred to as
the "City") and Friess Company Builders, Inc. (hereinafter referred to as the "Contractor").
RECITALS:
WHEREAS, City desires to retain the services of Contractor regarding the City's proposal
to reorganize City staff workstations in the Finance Services, Public Works and Development
Services departments and implement building code requirements; and
WHEREAS, Contractor is qualified by virtue of experience, training, education and
expertise to accomplish such services.
NOW, THEREFORE, City and Contractor mutually agree as follows:
Section 1. Scope of Work.
The scope of work to be performed by Contractor shall consist of the plans as set forth in
Exhibit "A," attached and incorporated herein by reference. To the extent that there are any
conflicts between the provisions described in Exhibit "A" and those provisions contained within this
Agreement, the provisions in this Agreement shall control.
Section 2. Term.
This Agreement shall commence on the effective date and shall terminate, and all services
required hereunder shall be completed, no later than July 15, 2014.
Section 3. Compensation.
3.1 Amount.
Total compensation for the services hereunder shall not exceed $99,964, as set
forth in Exhibit "A," attached and incorporated herein by reference.
3.2 Method of Payment.
Subject to Section 3.1, Contractor shall submit monthly invoices based on total
services which have been satisfactorily completed for such monthly period. The City will pay
monthly progress payments based on approved invoices in accordance with this Section.
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3.3 Records of Expenses.
Contractor shall keep complete and accurate records of all costs and expenses
incidental to services covered by this Agreement. These records will be made available at
reasonable times to City.
Section 4. Independent Contractor.
It is agreed that Contractor shall act and be an independent contractor and not an agent or
employee of City, and shall obtain no rights to any benefits which accrue to City's employees.
Section 5. Limitations Upon Subcontracting and Assignment.
The experience, knowledge, capability and reputation of Contractor, its principals and
employees were a substantial inducement for City to enter into this Agreement. Contractor shall
not contract with any other entity to perform the services required without written approval of the
City. This Agreement may not be assigned, voluntarily or by operation of law, without the prior
written approval of the City. If Contractor is permitted to subcontract any part of this Agreement
by City, Contractor shall be responsible to City for the acts and omissions of its subcontractor as it
is for persons directly employed. Nothing contained in this Agreement shall create any contractual
relationships between any subcontractor and City. All persons engaged in the work will be
considered employees of Contractor. City will deal directly with and will make all payments to
Contractor.
Section 6. Changes to Scope of Work.
For extra work not part of this Agreement, a written authorization from City is required prior
to Contractor undertaking any extra work. In the event of a change in the Scope of Work provided
for in the contract documents as requested by the City, the Parties hereto shall execute an
addendum to this Agreement setting forth with particularity all terms of the new Agreement,
including but not limited to any additional Contractor's fees.
Section 7. Familiarity with Work and/or Construction Site.
By executing this Agreement, Contractor warrants that: ( 1) it has investigated the work to
be performed; (2) it has investigated the work site(s), and is aware of all conditions there; and (3)
it understands the facilities, difficulties and restrictions of the work to be performed under this
Agreement. Should Contractor discover any latent or unknown conditions materially differing from
those inherent .in the work or as represented by City, it shall immediately inform the City of this
and shall not proceed with further work under this Agreement until written instructions are received
from the City.
Section 8. Time of Essence.
Time is of the essence in the performance of this Agreement.
Section 9. Compliance with Law.
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Contractor shall comply with all applicable laws, ordinances, codes and regulations of
federal, state and local government.
Section 10. Conflicts oflnterest
Contractor covenants that it presently has no interest and shall not acquire any interest,
direct or indirect, which would conflict in any manner or degree with the performance of the
services contemplated by this Agreement. No person having such interest shall be employed by
or associated with Contractor.
Section 11. Time of Work
All work within Exhibit "A" shall be performed during the work hours of 5:30 PM until 7:30
AM Monday through Friday and 7:30AM to 5:30 PM on Saturdays. No holiday or Sunday work
will be allowed.
Section 12. [RESERVED].
Section 13. Indemnity.
To the fullest extent permitted by law, Contractor agrees to protect, defend, and hold
harmless the City and its elective and appointive boards, officers, agents, and employees from
any and all claims, liabilities, expenses, or damages of any nature, including attorneys' fees, for
injury or death of any person, or damages of any nature, including interference with use of
property, arising out of, or in any way connected with the negligence, recklessness and/or
intentional wrongful conduct of Contractor, Contractor's agents, officers, employees,
subcontractors, or independent contractors hired by Contractor in the performance of the
Agreement. The only exception to Contractor's responsibility to protect, defend, and hold
harmless the City, is due to the negligence, recklessness and/or wrongful conduct of the City, or
any of its elective or appointive boards, officers, agents, or employees.
This hold harmless agreement shall apply to all liability regardless of whether any insurance
policies are applicable. The policy limits do not act as a limitation upon the amount of
indemnification to be provided by Contractor.
Section 14. Insurance.
On or before beginning any of the services or work called for by any term of this
Agreement, Contractor, at its own cost and expense, shall carry, maintain for the duration of the
agreement, and provide proof thereof that is acceptable to the City, the insurance specified below
with insurers and under forms of insurance satisfactory in all respects to the City. Contractor shall
not allow any subcontractor to commence work on any subcontract until all insurance required of
the Contractor has also been obtained for the subcontractor. Insurance required herein shall be
provided by Admitted Insurers in good standing with the State of California and having a minimum
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Best's Guide Rating of A-Class VII or better.
14.1 Comprehensive General liability.
Throughout the term of this Agreement, Contractor shall maintain in full force and
effect Comprehensive General Liability coverage in an amount not less than one million dollars
per occurrence ($1 ,000,000.00), combined single limit coverage for risks associated with the work
contemplated by this agreement. If a Commercial General Liability Insurance form or other form
with a general aggregate limit is used, either the general aggregate limit shall apply separately to
the work to be performed under this agreement or the general aggregate limit shall be at least
twice the required occurrence limit.
14.2 Comprehensive Automobile Liability.
Throughout the term of this Agreement, Contractor shall maintain in full force and
effect Comprehensive Automobile Liability coverage, including owned, hired and non-owned
vehicles in an amount not less than one million dollars per occurrence ($1 ,000,000.00).
14.3 Workers' Compensation.
If Contractor intends to employ employees to perform services under this
Agreement, Contractor shall obtain and maintain, during the term of this Agreement, Workers'
Compensation Employer's Liability Insurance in the statutory amount as required by state law.
14.4 Proof of Insurance Requirements/Endorsement.
Prior to beginning any work under this Agreement, Contractor shall submit the
insurance certificates, including the deductible or self-retention amount, and an additional insured
endorsement naming City, its officers, employees, agents, and volunteers as additional insureds
as respects each of the following: Liability arising out of activities performed by or on behalf of
Contractor, including the insured's general supervision of Contractor; products and completed
operations of Contractor; premises owned, occupied or used by Contractor; or automobiles
owned, leased, hired, or borrowed by Contractor. The coverage shall contain no special
limitations on the scope of protection afforded City, its officers, employees, agents, or volunteers.
14.5 Notice of Cancellation/Termination of Insurance.
The above policy/policies shall not terminate, nor shall they be cancelled, nor the
coverages reduced, until after thirty (30) days' written notice is given to City, except that ten (1 0)
days' notice shall be given if there is a cancellation due to failure to pay a premium.
14.6 Terms of Compensation.
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Contractor shall not receive any compensation until all insurance provisions have
been satisfied.
14.7 Notice to Proceed.
Contractor shall not proceed with any work under this Agreement until the City has
issued a written "Notice to Proceed" verifying that Contractor has complied with all insurance
requirements of this Agreement.
Section 15. Termination.
City shall have the right to terminate this Agreement without cause by giving thirty (30)
days' advance written notice of termination to Contractor.
In addition, this Agreement may be terminated by any party for cause by providing ten (10)
days' notice to the other party of a material breach of contract. If the other party does not cure the
breach of contract, then the agreement may be terminated subsequent to the ten (10) day cure
period.
Section 16. Notice.
All notices shall be personally delivered or mailed to the below listed addresses, or to such
other addresses as may be designated by written notice. These addresses shall be used for
delivery of service of process:
To City:
To Contractor:
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
Attn: Steve Kooyman, P.E., Assistant Public Works Director
Friess Company Builders, Inc.
32332 Camino Capistrano, Suite 102
San Juan Capistrano, CA 92675
Attn: Ken Friess
Section 17. Prevailing Wages.
The CITY has been advised that the Prevailing Wages Law applies to the work. Contractor
shall be responsible for Contractor's compliance in all respects with the prevailing wage rates to all
the laborers involved, and with California Labor Code Section 1770 et seq., including the keeping
of all records required by the provisions of Labor Code Section 1776 and the implementing
administrative regulations. The City shall be a third party beneficiary of the forgoing covenant with
rights to enforce the same as against the Contractor.
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Section 18. Surety Bonds
Contractor shall, before entering upon the performance of this Contract, furnish bonds
approved by the City Council--one in the amount of one hundred percent (100%) of the Contract
price bid, to guarantee the faithful performance of the work, and the other in the amount of one
hundred percent (1 00%) of the Contract price bid to guarantee payment of all claims for labor and
materials furnished. This Contract shall not become effective until such bonds are supplied to and
approved by the City.
Section 19. Dispute Resolution.
In the event of a dispute arising between the parties regarding performance or
interpretation of this Agreement, the dispute shall be resolved by binding arbitration under the
auspices of the Judicial Arbitration and Mediation Service ("JAMS").
Section 20. Entire Agreement.
This Agreement constitutes the entire understanding and agreement between the parties
and supersedes all previous negotiations between them pertaining to the subject matter thereof.
[SIGNATURE PAGE FOLLOWS]
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement
CITY OF SAN JUAN CAPISTRANO
By: ______________________ ___
Sam Allevato, Mayor
CONTRACTOR
By: ________________________ __
Ken Friess, Owner
ATIEST:
Maria Morris, City Clerk
APPROVED AS TO FORM:
Hans Van Litgen, City Attorney
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EXHIBIT B
(SELECTED BID)
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April22, 2014
Steve Kooyman
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
Proposal for Construction Services
City of San Juan Capistrano
City Hall Renovations
REVISED
Scope of Work and Cost for Same:
City Hall Renovations per Description and Plans Provided by Mr. Bret Caulder
Dated: February 13, 2014.
Building Work:
1. Demolition and installation of walls and doors as indicated on the floor plan:
FRIESS
COMPANY BUILDERS, INC,
$40,200.00
Demolition and installation of walls/doors/ceiling (Includes reconfiguration of ceiling grid):
• Phase I -Finance
• Phase 2-Development Services
2. Installation ofADA compliant ramp at Trailer C: $ 3,600.00
3. Installation of carPet and painting:
a) Caepet -3,041 Square feet ($25 per square yard allowan~e plus sales tax and mark up): $11,406.00
(Allowance)
b) Painting (areas receiving carpet only):
4. Furniture Relocation:
· S. Provide and install fifteen (15) photo luminescent exit signs ($200 per sign):
6. Demolition for Trailer D:
32332 CAMINO CAPISTRANO, SUITE 102
SAN JUAN CAPISTRANO, CALifORNIA 92675
TELEPHONE: 949-487-9700
fACSIMILE: 949-Z48-8433
$10,000.00
$ 7,200.00
$ 3,000.00
$ 9,100.00
EXHIBIT A
Meebanlcal Work FRIESS
CONSTRUCTION. INC.
1. Programmable electronically lockable thermostats to be installed for Trailers A, B,
and C (Total3): $1,690.00
2. Programmable electronically lockable thermostats to be installed in hallways of Public Works,
Finance and Developm\nt Serv:ices Departments (Total3): $1,690.00
3. Air handling unit filters to he upgraded to filters that have a MERV of at least 7 or 8
(Assume 15 ruters@ $90 each): $1,350.00
4. Provide supply and return dueling for two (2) new offices as indicated on floor plan: $1,820.00
5. Provide additional returns in Development Services and Public Works hallways as indicated
on floor plan: $ 910.00
Eleelrical Work
I. Receptacle Installation (13 locations @$200 each):
2. Add da!a stub into accessible ceiling space {4locations@ $149.50 each):
3. New switch installation (41ocations @$260 each):
4. Add 2x4 prismatic lights (41oeatlons @$390 each):
Sub Total:
Bond Fee:
Total Project Cost:
Quallfieatlons and Exclusions:
$97,764.00
$2,200.00
$99,964.00
I. Assumes no asbestos or lead paint present in project area.
2. Asbestos and lead testiog and abatement are excluded.
$2,600.00
$ 598.00
$ 1,040.00
$ 1,560.00
3. Cost of city fees and permits are excluded. If required for penuitting, fees will be invoiced to the client at actual
cost.
4. Design, engineering, and architectural services and fees are excluded.
5. A specific allowance for carpet replacement identified on plans is provided in the amount of $11,406.00. The
allowanee is based on replacing 3041 square feet (338 sq. yards) of carpet at $25.00 per squsrc yard plus 8% sales
tax aod 25% mark up. Actual type and color of carpet along with price for same to be approved by ciient prior to
installation.
6. Application of new paint is to be limited to new work and areas identified as receiving new carpet. Any additional
paintiog is tc be considered a change order. Colors are assumed to match existing.
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FRIESS
CONSTRUCTION, INC.
7. Relocation of furniture
a. Prior to furniture relocations, client will box all loose items for moving and shall be responsible for
unloading and placing materials.
b. Relocation of furniture assumes that it is sufficiently sound to be moved. Any problem with systems
will be logged and reported to client.
c. Client will provide contractor.with placement plan for relocated furniture.
8. Work shall be performed per a client approved schedule (attached). Physical work will be limited to the hours
from 5:30PM until 7:30 AM Monday through Friday and 7:30AM until5:30 PM on Saturdays. No work is planned
on Sundays.
9. IT installations are specifically excluded. Client is o have system appliances prepared for transfer.
10. Project is assumed to require six (6) calendar weeks for completion.
11. Scope of work is specifically limited to the items identified in this proposal. Any additional work shall be by
approved change order.
Respectfully submitted,
if:~
Friess Company Builders, Inc.
Date: /lktt-;> J .:)..{)[1{ I .
Accepted By:
City of San Juan Capistrano
Date:. _________ _
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