Impact
WARD: 4
COMMITTEE: Parks & Recreation
$ IMPACT: $1,500,000.00
Title:
Approval of Guaranteed Maximum Price (GMP) for the Historic Reed House Event Center renovation in the amount of $1,500,000.00. The GMP will include $1,000,000.00 to Peachtree Construction Services for maintenance and code compliance construction, $300,000.00 for CDBG improvements and site work, and $200,000.00 in project contingency and to authorize the Mayor to sign and execute all related documents.
Body
ISSUE: Guaranteed Maximum Price (GMP) for the Historic Reed House Event Center renovation in the amount of $1,500,000.00. The GMP will include $1,000,000.00 to Peachtree Construction Services for maintenance and code compliance construction, $300,000.00 for CDBG improvements and site work, and $200,000.00 in project contingency and to authorize the Mayor to sign and execute all related documents.
BACKGROUND: Following the issuance of the Construction Manager at Risk (CMAR) contract, the processes began to evaluate in detail the current state of the residence. Peachtree Construction brought in their subcontractor's to each evaluate necessary repairs and/or improvements to either restore to original condition or bring to current codes and specification their respectable fields of expertise. Concurrently, Lyman Davidson Dooley put their approved conceptual plans into production to make the residential structure meet commercial codes. Peachtree Construction submitted an initial breakdown of costs based on their investigations and the plans drafted by LDD, Inc. in early July. These costs were broken down further into phases. Throughout July and early August, meetings between Croy, LDD, and Peachtree took place to value engineer any savings in cost that could occur as well as develop phases that made logical sense throughout construction processes. For example, all demolition and site preparation could occur simultaneously. Lift installation could take place with re-wiring and interior construction. ADA improvements as well as other CDBG related tasks should run parallel whenever possible.
Throughout the phasing and budgeting process, non-compulsory items were removed from the current scope to be included in future improvements. These items include re-insulating the attic and crawl space, the replacement of the dilapidated shed, and miscellaneous plumbing, roofing, and painting that is outside the necessary scope. With the completion of the architectural plans, a final cost of improvements was determined. It was decided to remove the contractor contingency and carry an owner contingency of $200,000 rather than float two redundant contingencies. Through the removal of the contractor contingency line item, the non-compulsory items, and the site improvements the team was able to get Peachtree’s scope to $1,000,000. Of the $1,000,000 total, approximately $289,000 makes up operational costs, exterior rehabilitation makes up about $283,000, and the balance of $428,000 will be used for interior improvements. The CDBG improvements and site improvements are estimated at $300,000.
RECOMMENDATION/REQUESTED ACTION:
Parks & Recreation staff recommend Mayor and Council approve the Guaranteed Maximum Price of $1,500,000.00 for the Historic Reed House Event Center renovation and authorize the Mayor to sign and execute all related documents.