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AMENDMENT NO.ONE TO CONTRACT K-1920-133: BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, THE NORMAN MUNICIPAL AUTHORITY, AND CROSSLAND CONSTRUCTION COMPANY, INC., INCREASING THE CONTRACT AMOUNT BY $6,392,330 TO PROVIDE FOR THE GUARANTEED MAXIMUM PRICE FOR THE CONSTRUCTION OF THE DEVELOPMENT CENTER PORTION OF THE MUNICIPAL COMPLEX RENOVATION PROJECT.
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BACKGROUND: City Council, in its meeting of January 22, 2019, approved Contract K-1819-99 with the McKinney Partnership Architects (McKinney) to provide the initial assessment and schematic design services related to the renovation of the Norman Municipal Complex. Norman voters approved funding for the renovation of the Municipal Complex in a May, 2008 General Obligation Bond (GOB) referendum (Ordinance O-0708-33). The Council approved the issuance of the GO bonds, pursuant to Ordinance O-1920-50 on June 9, 2020 and the Bond purchase was awarded to FHN Capital Markets on June 23, 2020 (Resolution 1920-88).
DISCUSSION: The Municipal Complex Renovation Project includes the renovation of all buildings on the Municipal Campus located on Gray Street. The former Norman Public Library, Central building will become the Development Center housing all departments included in the development process, to create a seamless method for applicants going through that process. The vacating of those departments from other buildings on the Municipal Complex campus will allow for renovations for a new Municipal Court building and improvements to the Police Department (“Building B”), Human Resources (“Building C”), and City Hall to address space needs for each department and City function.
On March 24, 2020, City Council approved Contract K-1920-133 with Crossland Construction Company, Inc. to provide construction management at risk (CMaR) services for the Municipal Complex Renovation Project. The initial contract amount of $32,390 was approved for the purpose of providing pre-construction services which, to date, have included plan review, design assistance, bidding services and value engineering.
Construction bids were opened for this project on March 9, 2021. Initial estimates received from Crossland during the design process indicated the project was over budget and as a result, the project team conducted a value engineering process to eliminate items from the project that could possibly be added at a later time, but still provide for the basic needs of each department. Alternates were also considered as part of the bid process to allow for some of the items to be put back into the project if bids were favorable. Favorable bids were received, and ten (10) alternate items are proposed to be added back to the contract. The base bid was in the amount of $6,240,927 with alternates totaling $151,403 for a total bid amount of $6,392,330. Alternates in the project include the catering kitchen to accommodate public gatherings and employee meals; ceiling-mounted partitions in the bathrooms; gallery signage and lighting; window film within the building to provide for some level of privacy in offices and conference rooms; automatic flush toilets; sensor faucets; data outlets; installation of antifreeze loop at boiler/chiller; an electrical fault current study; and commissioning.
Through this project, a guaranteed maximum price (GMP) of $6,392,330 for construction has been established and can now be awarded by amendment to the current contract. The GMP includes all pricing for all items of work, as well as the CMaR’s general conditions and profit on the work.
Funding for the Development Center is through the 2008 General Obligation Bonds included in Municipal Complex Renovation/Expansion, Construction (Account 50196644-46101; Project BP0045).
Project Management consultants, ADG, have participated throughout the entire process up to our current point of beginning construction of the project. Further, the amendment documents have been reviewed and approved by the City Attorney’s Office.
RECOMMENDATION: It is recommended that City Council approve Amendment No. One to CMaR Contract K-1920-133 with Crossland Construction Company, Inc. in the amount of $6,392,330 for construction costs for the Development Center portion of the Municipal Complex Renovation Project.