REPORT TO COUNCIL
SUBJECT
Title
Agreement for Construction and Repair Work with Belfor USA Group, Inc. and Related Budget Amendment
Report
BACKGROUND
On August 8, 2017, a fire occurred in the early morning at the Santa Clara Convention Center Exhibit Hall B exhibitor's display area during the "Flash Memory Summit". It appears that the fire was accidental and originated within one of the exhibition booths. The sprinkler system activated and the City Fire Department responded and extinguished the fire. There were no reported injuries; however, the incident resulted in extensive smoke damage to walls, ceilings, ventilation system and water damage to the underfloor electric and communications facilities in three Exhibit Halls.
The City of Santa Clara carries property damage insurance through the Alliant Property Insurance Program (APIP). The City immediately reported the loss to APIP, and APIP quickly moved to assist the City with remediating the damage through its claims administrator, McLaren's Global Claims Services ("McLarens"). This included completion of an Air Quality Assessment Report completed by an Industrial Hygienist to ensure that City and Convention Center staff, along with other exhibitors, could safely enter the Exhibit Hall.
DISCUSSION
The restoration service provider authorized by APIP/McLarens is Belfor USA, Inc. ("Belfor"). APIP/McLarens, through their established practices and in accordance with the terms of the City's insurance policy, arranged for Belfor to promptly begin work, and the City Manager authorized the emergency services. While the work continued, APIP/McLarens and its various inspectors and estimators worked with City staff and Belfor to create a comprehensive scope of work and budget. That scope of work and budget has been incorporated into the proposed Agreement. The total not to exceed amount of the Agreement is $1,650,000 which includes $1,400,000 for base services and an additional $250,000 for any additional ser...
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