Item:
Title
Capital Project Amendment No. 20CPA000015 - Appropriating $10,029,049 to the Administration Building I Renovation Project No. 4730DC137 with Funding Source of Limited Obligation Bonds (LOBs) Funding and approve the Execution of the Construction Contract with Resolute Building Company for the Durham County Administration 1 Building Renovations Project No.: 4730DC137.
Body
Date of BOCC Meeting: December 9, 2019
Request for Board Action:
Agenda Text
The Board is requested to approve Capital Project Amendment No. 20CPA0000015 appropriating $10,029,049 to the Administration Building I Renovation Capital Project and to authorize the County Manager to enter into a contract with Resolute Building Company of Chapel Hill, N.C. for the construction of renovations to the Durham County Administration 1 Building, located at 200 E. Main Street, Durham, in the negotiated amount of $8,410,000.00 (Base bid as negotiated for Phase 1 and 2 only) and to execute any other related contracts including change orders, if necessary, not to exceed the current construction budget of $8,914,000.00 (See Attachment 2, Pages 1 - 15).
General Fund dollars will fund purchases made before future financing of Limited Obligation Bonds (LOBs) funds are available through an interfund loan not to exceed $10,029,049 and will be reimbursed/repaid as the financing funds become available.
The construction of the Durham County Administration 1 Building Renovations project was advertised in local newspapers on June 11, 2019. A pre-bid conference was held on June 19, 2019 and a bid opening was held on July 25, 2019. No bids were received. The project was re-advertised for bid (IFB 20-001R1) on July 1, 2019, and three (3) bids were received on August 20, 2019. Resolute Building Company submitted the lowest base bid of $10,970,300.00 plus an additional $1,121,675.00 for the Alternates, totaling $12,091,975.00 (Base bid plus Alternates).
Due to the strong construction market, combined with the complexity of changing out building systems in an occupied building where the existing systems must remain operational, the construction costs came in significantly higher than anticipated. Value engineering efforts were undertaken but were ineffective in making a significant impact in the overall construction cost.
The architect team, in conjunction with the contractor, felt that the best way to proceed was to divide the implementation into two stages - the first being the implementation of Phases 1 and 2 of the project, effectively addressing the renovation of the Ground, 1st, 4th, and 4M floors, which constitute the first two planned phases of the project. No alternates would be included, and additionally, the Wellness Center, planned to be relocated from Human Services to the renovated First Floor of the Admin 1, would not be implemented at this time.
This initial work will replace the main building systems infrastructure, as well as the architectural and systems work on each of the renovated floors. Accommodations will be made to allow the building to remain occupied during the phased construction period with minimal impact to personnel. The renovation phasing plan is designed to allow for a single relocation of personnel from their current office to their newly renovated floor. The first phase will renovate the Ground and 1st floors, upon which relocation of Internal Audit, Budget & Management to the Ground floor and Human Resources to the 1st floor will free up floors 4 and 4M for the next phase of renovation. Renovation of these two floors will allow the Attorney’s Office and personnel to relocate to the 4th floor and IS&T to move personnel from the 5th floor to 4M to relieve current congestion issues and to repatriate staff currently residing in CJRC.
The completion of this initial stage, funding through this AAF, would primarily leave floors 2 and 3 unrenovated. The Attorney’s Office would have relocated to their renovated space on the 4th floor, leaving the 2nd Floor Attorney’s space available for use as expansion space for the Manager’s Office. The Third Floor will have been vacated as well and could be used for various touchdown areas or temporary office space as needed until the final renovation takes place.
The reduced scope contract for Phase 1 and 2 would be awarded in December 2019 and work would be completed during 3Q2020. The board would have the option during the 2020-2021 FY budget cycle to consider additional funding to continue construction of phases 3 through 5, or any part thereof, to address the remaining components of the overall renovation.
The project will improve department consolidation and adjacencies along with addressing other building issues identified during the programming/evaluation phase, including replacement of all major building system components.
This agenda item has been reviewed and approved by the Purchasing Division. After the review of IFB 20-001R1, Durham County Administration 1 Building Renovations, Resolute has met the minimum 50 points required by GS 143-128, and has satisfied the necessary Good Faith Efforts. Resolute has identified 24.35% M/WBE participation of the total 25% M/WBE goal for construction subcontracting. For M/WBE Participation, see Attachment 4. However, the vendor has committed to working with Durham County to seek additional M/WBE participation if the opportunity prevails.
The Engineering Department has reviewed the bid proposals with the Purchasing Division, General Services, County Manager staff, and DTW Architects & Planners, Ltd., the Project Architects, and recommends that the County proceed with the base bid (as negotiated for Phase 1 and 2 only) and award a contract to Resolute Building Company. Funding for this project is available through the Administration Building Renovation Capital Project Account, pending the approval of additional funding through Capital Project Amendment No. 20CPA0000015. Completion of this project will provide a better facility for service delivery.
Alignment with Strategic Plan: This aligns with Goal 4: Environmental Stewardship - through the improvement of the environmental performance of County buildings to reduce energy use and greenhouse gas emissions from the built environment. The relocation of various departments into this facility also addresses Goal 5: by providing more efficient service delivery and better customer service.
Resource Persons: Peri Manns, ASLA, LEED GA, Deputy Director of Engineering and Environmental Services, Engineering Department; James Faress, P.E., Senior Project Manager; Robert Sotolongo, AIA, DTW Architects & Planners, Ltd.
County Manager’s Recommendation: The County Manager recommends that the Board approve the approve Capital Project Amendment No. 20CPA0000015 appropriating $10,029,049 to the Administration Building I Renovation Project No. 4730DC137 with Funding Source of a Future Financing of Limited Obligation Bonds (LOBs) and authorize the County Manager to enter into a contract with Resolute Building Company of Chapel Hill, N.C. for the construction of renovations to the Durham County Administration 1 Building, located at 200 E. Main Street, Durham, in the negotiated amount of $8,410,000.00 (Base bid as negotiated for Phase 1 and 2 only) and to execute any other related contracts including change orders, if necessary, not to exceed the current construction budget of $8,914,000.00 (See Attachment 2, Pages 1 - 15).
Signature
County Manager: ____________________________