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05. Review Bids/Contract Approval - Central School RenovationAgenda -December 1, 1997 AGENDA ITEM 5 - REVIEW BIDS/CONTRACT APPROVAL -CENTRAL SCHOOL RENOVATION PROJECT BACKGROUND/CONSIDERATION: I have enclosed two letters from the James McDonald firm summarizing the bids that were received for this project. The bids were within the budget as estimated by the firm and as budgeted for within our 97/98 budget. Not withstanding the discussion generated by the Rich DeJana questions, the project is ready to move ahead. At the writing of this report (Wednesday AM,11/25), I have not received a response from the City Attorney regarding those questions. However, in reviewing the "historical" budget process that the City has used for adopting the City budget, reviewing changes that have been placed into effect by the state legislature, and in reviewing the urban renewal codes, it appears to my "untrained, non -legal" mind that we are discussing "legal semantics" more than any legal shortcomings in the process. In terms of the ADD Alternates letter, I have inquired about the 3 alternates and the priority of completing those alternates. In considering the project, I believe we should revise the priority of the alternates if the project is authorized. Uwe reconstruct the building, it is my opinion that, we should include within the contract ADD Alternate #2 and delete the other two alternates. Finishing the attic will allow additional storage and potential use area from the opening of the building. The refinishing of the attic will be extremely difficult in the future if the building is occupied. Disruption of operations, noises, potential damage to already refinished items, and finding $49000 are all reasons to complete this alternate before occupancy has taken place. The kitchen area and the south lawn improvements are both items that can be completed in the future without major problems and/or Agenda -December 1, 1997 disruptions sometime in the future. This will also allow us to have an additional $14,000 for reserve to apply to unknown conditions costs. ACTION REQUIRED: At this time, the bid award should be tabled, by MOTION, until the December I S' meeting. JAMBS R. McDONALD ARCHITECTS J 24 November 1997 Mr. Clarence Krepps City Manager The City of Kalispell P.O. Box 1997 Kalispell, Montana 59903-1997 Re: Bid Results and Recommendations Central School, Kalispell, Montana Dear Clarence: The historic preservation firm of James R. McDonald Architects, and our team of consultants, have reviewed the bid proposals received for the Renovation of Central School in Kalispell, Montana. Our objective was to determine the lowest bidding contractor that would work cooperatively with our team, as representatives of the Northwestern Montana Historical Society and The City of Kalispell, to renovate the building as the Heritage, Education Center. We respectfully provide you with the following information regarding the bids received for the project: Contractor Base Bid Alternate No. 1 Kitchen Alternate No. 2 Attic Total Alternate No. 3 (not included in total) Swank Enterprises 2,130,000.00 14,000.00 49,000.00 $2,193,000.00 29,000.00 Mark Buck Construction, Inc. 2,206,400.00 12,800.00 57,900.00 $2,277,100.00 30,400.00 Hammerquist & Casaleguo 2,367,595.00 13,426.00 60,750.00 $2,441,761.00 33,745.00 Martel Construction, Inc. 2,270,000.00 15,000.00 41,000.00 $2,326,000.00 30,000.00 As evidenced above, there were four bids submitted and opened. All bid proposals were proper and complete as per the Project Manual. We recommend acceptance of Swank Enterprises base bid of $2,130,000, along with Add Alternate No. 1: Catering Kitchen for $14,000, and Add Alternate No. 2: Attic Finishes for $49,000, for a total project construction cost of $2,193,000. P.O. Box $163 / 224 NORTH HIooms / MISSOULA. MONTANA 59907 Phone 406 721 5643 1 Fax 406 721 1887 Mr. Clarence Krepps 24 November 1997 Page 2 We recommend forgoing Add Alternate No. 3: South Plaza for $29,000. If, at a later date, monies become available and an assessment can establish pedestrian usage and traffic patterns in the plaza, we would like to re-evaluate Add Alternate No. 3. Our recommendation is further based on the completeness and proximity of Swank Enterprises base bid and add alternates to James R. McDoradd Architects original cost estimate of $2,236,575, and allowed project construction budget of $2,255,000. We understand all change orders for this project shall be reviewed and approved by the Kalispell City Council; however, given the unique nature and historical context of the structure we recommend the following: - A designated amount of $20,000 be set aside as a 'Field Change Order Reserve'. This reserve will allow additive Field Change Orders with a maximum cost of $2,000 per request to proceed without delay to the project upon written authorization of the Kalispell City Manager, Architect and General Contractor. - No Field Change Order request shall alter the established project Date of Substantial Completion or schedule. _ - Authority for deductive Field Change Orders shall be given the same consideration as above. - Changes to the contract time and changes to the work, additive or deductive which exceed $2,000 shall be submitted to Kalispell City Council for review and action as a Change Order, signed by the Architect and the General Contractor. Generally, the bidding process has been a successful one, indicated by the range of cost proposals submitted We look forward to continuing to work with you and again, pledge our best personal and professional efforts to the Renovation of Central School and the City of Kalispell. If you have any questions or require additional iriformation please do not hesitate to call. Sincerely, Paul Filicetti, AIA cc: R. Plambeck - Redevelopment file 9708 .JAMBS R. MCDONALD ARCHITECTS 0 24 November 1997 Mr. Clarence Krepps City Manager The City of Kalispell P.O. Box 1997 Kalispell, Montana 59903-1997 Re: Add Alternates Central School, Kalispell, Montana Dear Clarence: From our telephone conversation of Friday, I wish to follow up on your suggestion to revise the order of Add Alternates for the Central School Renovation. Pursuant to Article 5- Consideration of Bids of Instructions to Bidders (Item 5.5, page rrB-5), the Owner is given the right to waive informality and irregularity in the bids. To clarify, the add alternates (as established by the Northwest Montana Historical Society Committee) are as follows: Add Alternate No. 1=- Catering°Kitclieh, (Swank Enterprises bid of $14,000): The complete installation of the Catering Kitchen, Room 203B as indicated on Sheet A3.2, and the Mechanical, Electrical and Plumbing Drawings and Schedules. This Alternate will include cabinets, appliances, and sinks, final electrical and mechanical systems, fixtures and installation. Add Alternate No. 2 - Attic Finishes, (Swank Enterprises bid of $49,000): Provide and install final floor, wall and ceiling finishes, wall base and final mechanical and electrical requirements to the attic areas. It is our understanding Alternate No. 1 - Catering Kitchen, shall be moved to Alternate No. 2 position, and Alterant No. 2 - Attic Finishes, shall become Alternate No. 1. It has been our goal to see that available funds are put to their best possible use to improve the buildings overall integrity, use and function On closer inspection of the order of alternates, we encourage the revision. Moving the Attic Finishes Alternate to the Number 1 position will ensure a completed, usable attic area, minimize future construction debris in an otherwise finished, working building, and allow the building tenant full use and access of the ■ P.O. Box 8163 / 224 NORTH HIGGINS / MISSOULA, Moxreae 59807 Phone 406 721 5643 / Fax 406 721 1887 Mr. Clarence Krepps 24 November 1997 Page 2 attic area as museum storage or potential sub -leasable storage/off ce space. The low bidder's base bid includes refinishing existing finishes in the area proposed as the Catering Kitchen. So this will be a usable finished space for a seating/vending machine area, even if the Kitchen Alternate No. 2 is not accepted. The tenant could sub -lease the area to a vendor for completion as a catering facility, or finish the area at a later date as funding becomes available. In the event the Kitchen Alternate No. 2 is accepted, the entire catering kitchen installation of code compliant finishes and fixtures would be completed under this project budget. This change in the order of Add Alternates, will again ensure the completion of functioning, usable areas within the building while creating potential income sources ie, sub- leasing the attic and catering kitchen. If you have any questions or require additional information please do not hesitate to call. Sincerely, Paul Filicetti, AIA cc: R. Plambeck - Redevelopment file 9708