HomeMy WebLinkAboutAward of bid to BN Builders, Inc
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: James Goehrung, Facilities Director
Debbie Arkell, Director of Public Services
Chuck Winn, Assistant City Manager
SUBJECT: Award of bid to BN Builders, Inc. for the construction of the City’s
portion of the Lower Yards Vehicle Maintenance Shop (part of the Human Resource
Development Council (HRDC) Bus Storage Joint Facility.)
MEETING DATE: October 5, 2009
AGENDA ITEM TYPE: Action
RECOMMENDATION: Authorize the City Manager to sign the award of bid to BN Builders,
Inc. for the construction of the City’s portion of the Lower Yards Vehicle Maintenance Shop
(part of the HRDC Bus Storage Joint Facility.)
BACKGROUND: Bids were opened for this project on August 11, 2009, and ten bids were
received. The award of bid was postponed until HRDC received formal verification of the
federal funding for the HRDC side of the project. They have now received that verification.
The Project: The project involves the construction of a joint facility for the city vehicle
maintenance shop and the Streamline/HRDC bus storage facility on city owned land located at
1812 North Rouse Avenue. Final Site Plan and Subdivision for Lease or Rent have been
approved. A 99-year lease agreement with HRDC has been approved by the Commission. The
joint facility to be constructed is approximately 25,600 sq. ft. A Memorandum of
Understanding is in place that relates to the construction, operations, and maintenance of the
facility.
The Project TOTAL 25,562 sq ft
City Vehicle Maintenance Shop 10,112 sq. ft.
HRDC Bus Barn 10,040 sq. ft.
Wash Bay 1,270 sq. ft.
Shared Areas 4,140 sq.ft.
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The City’s Share: The City’s share of the BN Builders construction contract is estimated at
$1,070,848. This includes four bid alternates that we recommend awarding. In addition, due to
the prior use and excavation concerns on the site, we are recommending that a 12% project
contingency be established, which will be managed by city staff.
Since inception, the costs of construction have been allocated between the City and HRDC by
the project architects. These estimated percentages are 52.5% to the City and 47.5% to HRDC.
The architects continue to work with BN Builders to formalize the cost distribution, now that
exact prices (labor and materials) are known. We expect that the cost allocation may change
slightly before the construction contract is signed. We believe these amounts will be relatively
small and intend to utilize our project contingency for any adjustments
There are a number of owner supplied items and soft costs that are outside the BN Builders
contract. See the attached “Budget Estimate – September 30, 2009.” Costs for the Remodel of
Current City Shops and the Site Plan have been added to that budget estimate, see below.
City’s Vehicle Maintenance Project Costs
Base Bid $ 906,098
Alternates
#1 - Bridge Crane $ 36,600
#2 - Exhaust System $ 7,900
#3 - Hydraulic lift $ 92,400
#5 - City Shops Skylights $ 12,200
Pre-construction Change Orders $ 15,650
City Share of BN Builders Construction Contract $ 1,070,848
Project Contingency - 12% $ 128,502
Miscellaneous Items $ 58,300
Soft Costs $ 181,458
Owner FF&E $ 22,363
Remodel of Current City Shop Site
(separate contracts, later time-frame)
$ 340,000
Site Plan COA without Deviations $ 1,167
Total Uses: $ 1,797,238
This brings the total estimated cost of the City’s share of the project to $1,797,238.
The actual costs for the remodel of the area vacated by Vehicle Maintenance at the current City
Shop site have not yet been determined. Once a move-in date is established, we will begin the
design and bid of the repair/remodel. The budget allocates $340,000 for this purpose.
Timeline: The construction project at the Lower Yards is expected to take between 9 and 12
months, and is planned to begin in mid-October.
FISCAL EFFECTS: The proposed sources and uses of funds for the city’s share of the project
are as follows:
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Project Sources & Uses
Source:
Water Fund - Fill Station 330,000
Water Fund - From $1.5M CIP Approved Project 275,000
Wastewater Fund - From $1.5M CIP Approved Project 275,000
Stimulus Dollars - HB645 277,000
Insurance Proceeds Fund 186 - FEMA Tree Event 252,000
Water & Sewer Funds - 2 Vacant Water/Sewer Positions, 2
Years 202,765
Forestry Fund 44,600
Proceeds of Land Lease 140,873
Total Sources: $ 1,797,238
Use:
City Share of Construction Contract 1,070,848
Project Contingency - 12% 128,502
Miscellaneous 58,300
Soft Costs 184,591
Owner FF&E 13,830
Remodel of Current City Shop Site
(separate contracts, later time-frame) 340,000
Site Plan COA without Deviations 1,167
Total Uses: $ 1,797,238
When originally estimated in April 2009, we planned to spend $1,859,436 on our share of the
project and did not include the bid alternates in our costs. We also had not negotiated a price for
the land lease.
As a result of the favorable construction bids and the inclusion of the land lease payment, we are
able to award the bid alternates and reduce the contributions made by the Forestry, Water and
Wastewater Funds; we fully anticipate not having to use $55,000 of the Forestry Fund
contribution (originally at $100,000) and $75,000 each from the Water Fund and the Wastewater
Fund (originally at $350,000 each.)
ALTERNATIVES: As suggested by the City Commission.
Attachments: Project Budget Estimate – September 28, 2009
Report compiled on: September 29, 2009
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Project Item C.O.B. HRDC Total
Project Construction Bid 52.50% 47.50%
BN Builders $906,097.50 $819,802.50 $1,725,900.00
1
Alternates
#1 - Bridge Crane $36,600.00 $36,600.00
#2 - Exhaust system $7,900.00 $7,900.00
#3 - Hydraulic Lift $92,400.00 $92,400.00
#4 - HRDC Radiant Slab $32,600.00 $32,600.00
#5 - City Shops Skylights $12,200.00 $12,200.00
Pre-Construction Change Orders 2
MEP Correction $7,150.00 $7,150.00 $14,300.00
Water/ Sewer lines $3,000.00 $3,000.00 $6,000.00
Vent Hood $5,000.00 $5,000.00
Additional wash bay int. paneling $500.00 $500.00 $1,000.00
Project Contingency @ 12% $128,501.70 $103,566.30 $232,068.00 3
Miscellaneous
Water Fill Station $30,000.00 $30,000.00 4
Special Inspections $4,000.00 $4,000.00 $8,000.00 5
NW Energy Hookup $9,300.00 $9,300.00 $18,600.00
HRDC Land Lease $150,000.00 $150,000.00
City to install phone/ data $15,000.00 $15,000.00
Soft Costs
Programming/ Master planning $45,235.00 $45,235.00
6
Architectural Fees $82,900.00 $102,500.00 $185,400.00 7
Design Reimbursibles $8,500.00 $4,390.00 $12,890.00
Civil Engineering $21,994.00 $21,994.00 $43,988.00
7
Impact Fees $19,299.45 $19,299.45 $38,598.90 8
Permitting Fees $2,950.43 $2,950.43 $5,900.85
Plan Review Fee $3,711.83 $3,711.83 $7,423.65
Owner supplied FF&E by owner by owner 9
Shops Bulk Fluid System $13,821.25
Totals $1,456,061.15 $1,284,764.50 $2,740,825.65
Notes:
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9 FF&E includes furniture, fixtures and equipment not installed directly during construction (task
lighting, desks, etc.) and supplied by owners.
Bozeman Lower Yards/ HRDC Joint Project
Budget Estimate- September 28th, 2009
Owner percentages are derived from previous cost estimates. This breakdown can be revised
once the contractor has supplied their schedule of values, and costs have been more precisely
broken out between owner areas. HRDC has included cost of Wash Bay construction in their
budget.
Architectural fees are designated by individual contracts between each owner and their
architect, and include all structural, mechanical and electrical design. Civil engineering fees
have been updated to more current estimates (reduced.)
Impact fee estimates are as follows: Fire – $4,734.13; Street – classed as manufacturing -
$16,896.04; Water – 1 inch due to wash bay, $8,964.84; Sewer – $8,003.89 = $38,598.90. Any
buildings removed would have a 1:1 sq.ft. credit for fire. Need to compare uses for streets but
there would be a credit on streets.
Indicates omissions or changes to the drawings not accounted for during bidding, and estimated
cost impact on project as a change order.
Special inspections include building concrete and structural testing. Geotechnical inspections for
sitework are included in project bid. Number of inspections and costs will be verified with
Nishkian based on City input.
Water fill installation is included in BN Builder's construction bid. City to supply water fill unit,
currently $26,120 for unit, rounded to $30,000 for shipping and handling.
Project contingency is higher than average due to extent of site work and unknowns on site.
This fee is for preliminary design work done for a new city shops complex prior to inclusion of
HRDC for a joint facility. Work was completed in August, 2008.
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