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17-0307_TL VETERANS CONSTRUCTOIN, INC._Agenda Report_E18TO : FROM : SUBMITTED BY : DATE : SUBJECT: City of San Juan Capistrano Agenda Report Honorable Mayor and Members of the City Council ~n Siegel, City Manager Steve May, Public Works and Utilities Director df/lfA- March 07, 2017 3/7/2017 E18 Consideration of a Resolution for Notice of Completion for the San Juan Capistrano Public Library Exterior Repairs and Painting Project (CIP 15302) (TL Veterans Construction, Inc.) RECOMMENDATION : By motion, 1. Adopt a Resolution declaring the work to be completed in accordance with the plans and specifications for the San Juan Capistrano Public Library Exterior Repairs and Painting Project (CIP 15302); and, 2. Direct the City Clerk to forward a Notice of Completion to the County of Orange for recordation; and, 3. Direct the City's Chief Financial Officer to issue a request for payment in the amount of $76,852 to the County of Orange to cover its fair share of the costs of the improvement; and, 4. Authorize staff to release the project retention of $11,857, 35 days after the recordation of the Notice of Completion. EXECUTIVE SUMMARY: Work has been completed on the San Juan Capistrano Public Library Exterior Repairs and Painting Project (Project), and staff recommends adoption of a resolution accepting the work as complete. On October 18, 2016, the City Council awarded a contract for the Project to the lowest responsible bidder, TL Veterans Construction Inc. (TL), in the amount of $79,145. The City Council also authorized the City Manager to approve City Council Agenda Report March 07, 2017 Page 2 of 3 change orders up to 10% of the awarded contract amount. TL commenced the Project on November 7, 2016, and has worked in an acceptable manner through completion on January 11, 2017. The final construction cost after change orders were approved for additional repairs during performance of the work was $84,725. Before and after photographs of the Project are included as Attachment 1 . Based on the findings above, staff recommends that the City Council take the following actions: 1) Adopt a Resolution accepting the Project as complete (Attachment 2); 2) Direct the City Clerk to forward the Notice of Completion to the County of Orange for recordation; 3) As explained in the Fiscal Impact section below, direct the Chief Financial Officer to issue a request for payment in the amount of $76,852 to the County of Orange; and, 4) Authorize staff to release the Project retention of $11,857, 35 days after recordation of the Notice of Completion. DISCUSSION/ANALYSIS: In accordance with the Lease Agreement with the County, it is the City's responsibility to maintain the exterior paint of the Library. The Library was in extreme need of exterior wall repairs and repainting. Staff worked with the original architectural firm, Michael Graves Architecture and Design, and the Design Review Committee to ensure that the paint colors specified held true to the architect's original vision for the building. During the repair work on the project, dry-rot and termite damage were discovered in some of the wood trellis structure that accents the building. The cost for the additional repairs was $5,580, bringing the total construction cost to $84,725. FISCAL IMPACT: The project funding and costs are as follows: Project budget Canst. Contract (TL Veterans Canst. Inc.) Change orders Staff Costs (Design, Canst. Mgmt., Admin.) Total Project Cost Budget Surplus ($ 79, 145) ($ 5,580) ($ 25.063) $190,745 ($109.788) $ 80,957 The City's Lease Agreement with the County of Orange states that "County shall reimburse City for 70% of the reasonable cost of the exterior painting within 60 days after City has delivered a written request for payment to the County's General Service Agency/Real Estate Division." The County's 70% share of the project cost is $76,852. Pending Council approval of the recommended action, the City will submit a request for payment to the County in this amount. The City's 30% share of the Project cost is $32,936. City Council Agenda Report March 07, 2017 Page 3 of 3 ENVIRONMENTAL IMPACT: The present action of approving and accepting the work is not subject to CEQA pursuant to Section 15060(c)(3) of CEQA Guidelines because the action is not a project as defined in Section 15378 of the CEQA Guidelines, and the action has no potential for resulting in physical change to the environment, directly or indirectly. PRIOR CI T Y COUNCIL REV IEW: • On October 18, 2016, the City Council approved a construction contract with TL Veterans Construction in the amount of $79,145, and authorized the City Manager to approve costs for changes to the project up to 10% of the contract amount. COMMISSION/COMMITTEE/BOARD REVIEW AND RECOMMENDATIONS: • On July 14, 2016, the Design Review Committee provided recommendations regarding the exterior paint colors for the Project. NOTIFICATION: Ericka Reeb (Librarian) Heather Condon (County of Orange Contract Development and Management) Maureen Gebelein (Friends of the Library) TL Veterans Construction, Inc. (contractor) ATTACHMENT(S): Attachment 1: Attachment 2: Attachment 3: Before and After Photos Resolution Notice of Completion Library-North Elevation 2016 Library-North Elevation 2017 Attachment 1 Page 1 of 1 RESOLUTION NO. 17-03-07-xx A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN CAPISTRANO, CALIFORNIA, DECLARING WORK TO BE COMPLETED AS TO PLANS AND SPECIFICATIONS FOR THE SAN JUAN CAPISTRANO PUBLIC LIBRARY EXTERIOR REPAIRS AND PAINTING PROJECT (CIP 15302). WHEREAS, on the 18th day of October 2016, the City of San Juan Capistrano entered into a contract with TL Veterans Construction , Inc., 18345 Sierra Highway, #7, Santa Clarita, CA 91351, for construction of the San Juan Capistrano Public Library Exterior Repairs and Painting Project; and, WHEREAS, the Public Works and Utilities Director has evaluated the final quantities and cost figures and recommends approval. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of San Juan Capistrano, does resolve as follows: ATTEST: SECTION 1. That the work required to be performed by said Contractor has been completed . SECTION 2. That the total cost of said work is $84,725 . SECTION 3. That the work is hereby accepted and approved . SECTION 4. That the City Clerk is directed to forward forthwith a Notice of Completion to the County Recorder of the County of Orange for Recording. PASSED, APPROVED, AND ADOPTED this 7th day of March, 2017 . Kerry K. Ferguson, Mayor Maria Morris, City Clerk Attachment 2 Page 1 of 1 RECORDED AT REQUEST OF AND RETURNED TO : City of San Juan Capistrano City Clerk's Office 32400 Paseo Adelanto San Juan Capistrano , CA 92675 RECORDING FEES EXEMPT DUE TO GOVERNMENT CODE SECTION 6103 Maria Morris, City Clerk San Juan Capistrano , CA NOTICE OF COMPLETION NOTICE IS HEREBY GIVEN that a contract was heretofore awarded by the City of San Juan Capistrano to TL Veterans Construction , Inc ., 18345 Sierra Highway #7, Santa Clarita , CA 91351 for construction of the San Juan Capistrano Public Library Exterior Repairs and Painting (CIP 15302). That the said work completed on January 11, 2017 , by said company according to plans and specifications , and to the satisfaction of the City Engineer of the City of San Juan Capistrano, and that said work was accepted by the City Council of the City of San Juan Cap istrano as owner , 32400 Paseo Adelanto , San Juan Capistrano, California 92675 , at a regular meeting thereof held on the 7th day of March, 2017, by Resolution No . 17-03-07-XX. That upon said contract, Indemnity Company of California was the surety for the bonds given by the said company as required by law. Dated at San Juan Capistrano this J'h day of March, 2017 . STATE OF CALIFORNIA COUNTY OF ORANGE CITY OF SAN JUAN CAPISTRANO ss Maria Morris , City Clerk City of San Juan Capistrano I, MARIA MORRIS, the duly appointed and qualified City Clerk of the City Council of the City of San Juan Capistrano, California, DO HEREBY CERTIFY , under penalty of perjury, that the foregoing Notice of Completion is true and correct , and that said Notice of Completion was duly and regularly ordered to be recorded in the Office of the Orange County Recorder by said City Clerk . Dated at San Juan Capistrano this J'h day of March, 2017 Maria Morris, City Clerk City of San Juan Capistrano Attachment 3 Page 1 of 1