REPORT TO COUNCIL
SUBJECT
Title
Action to Authorize the City Manager to Negotiate and Execute Change Orders for the Raymond G. Gamma Dog Park, Increase Change Order Authority for the Reed & Grant Streets Sports Park Project and Related Budget Amendment
Report
BACKGROUND
On June 4, 2019, City Council adopted Ordinance No. 2001 approving the Raymond G. Gamma Dog Park (Dog Park) schematic design update. The approval followed significant public outreach and Council action on May 21, 2019 to consider the schematic design update and pass an ordinance for purpose of publication. The approved schematic design increases the overall size of the Dog Park, adjusts the respective sizes of the small and large dog areas, changes the surfacing from natural turf to synthetic, and adjusts the ground for lower mound heights.
Design work to develop detailed plans and specifications for the revised Dog Park started immediately following the June 4 ordinance adoption and is currently in progress with expected completion by late August/early September 2019.
The Reed & Grant Street Sports Park Project (Sports Park Project) is currently under construction with an anticipated completion date of January 2020. The original scope of work for the Sports Park Project, in addition to the primary objective to provide new sports fields, consists of modifications to the existing Dog Park area including a new paved parking lot, permanent restroom building, and lighting to enable night-time use. Once construction began it was clear that temporary impacts to the Dog Park were going to be more significant than originally envisioned. Because of this, a temporary dog park was opened at Larry Marsalli Park which later became permanent, and the need to revamp the Dog Park adjacent to the Sports Park became paramount based on construction impacts, community input and Council direction to explore installation of synthetic turf and address community needs.
DISCUSSION
City staff is working with the contractor, O.C. Jones and Sons, Inc., (OCJS) on the Sports Park Project, to evaluate the Dog Park changes resulting from the schematic design approval and determine the feasibility of incorporating them into the Sports Park Project. Two major factors to this evaluation include: 1) the timing of the work and how it integrates into the current construction schedule, and 2) the estimated cost of the scope changes. Incorporating these modifications into the Sports Park Project will allow the improvements to be completed quicker and has the potential to save additional mobilization costs since OCJS is on site already. However, efficiently incorporating the work into the current construction schedule will require expeditious approval of any change orders to the Sports Park contract. For this reason, it is recommended that the City Manager be authorized to negotiate and execute change orders related to the Dog Park modifications.
The schematic design cost estimate for the Dog Park changes is approximately $1.5 million which does not include costs for administration, mobilization, general conditions, bonding, permits, insurance, escalation, or contingency. Adding these additional costs brings the total to approximately $2 million and with a 10 percent construction contingency the final estimate is $2.23 million. The Department of Public Works expects to be able to negotiate a change order to perform the Dog Park work within this estimate limit. It is recommended that the City Manager be authorized to execute change orders for the Dog Park up to a maximum aggregate total amount of $2.23 million. If pricing acceptable to the City cannot be negotiated with OCJS, then City staff will not move forward with change orders for the Dog Park modifications under the Sports Park Project, and the work will be bid out and performed under a separate contract.
The current City Council authorized contingency for the Sports Park Project is $2,019,500 based on the original contract award amount of $20,195,000. Therefore, it is recommended that the authorized construction contingency for the Sports Park Project be increased from $2,019,500 to $4,249,500 to accommodate the Dog Park modifications.
ENVIRONMENTAL REVIEW
The action being considered is exempt from the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15301 “Existing Facilities”, 15302 “replacement or reconstruction”, and 15303 “new construction or conversion of small structures” as the activity consists of the operation, repair, maintenance, permitting or minor alteration of existing public facilities or topographical features involving negligible expansion of use beyond that existing at the time of the lead agencies determination.
FISCAL IMPACT
The Reed & Streets Sports Park Project did not contemplate the extent of improvements to the Dog Park as approved by Council action on June 4, 2019 in the Dog Park schematic design update. As such, the available funding in the Project is not sufficient. A budget amendment transferring $2,230,000 from the Unallocated Quimby Act Fees account to the Reed & Grant Streets Sports Park Project (CIP 532-3177) is recommended. Funds from the Quimby Act are collected from new housing development for the acquisition and development of neighborhood and community parkland and may be used for rehabilitation of existing parks. The Dog Park serves the entire Santa Clara Community, will include additional park space, and the construction of the improvements (rehabilitation) will provide for additional park use to serve the residents of the projects from which funds were collected.
Budget Amendment
FY 2019/20
|
|
Current |
Increase/ (Decrease) |
Revised |
|
Parks and Recreation Capital Fund |
|
|
|
|
|
|
|
|
|
Reserves |
|
|
|
|
Ending Fund Balance |
3,913,726 |
(2,230,000) |
1,683,726 |
|
|
|
|
|
|
Expenditures |
|
|
|
|
Youth Soccer Fields & Athletic Facilities - Reed & Grant Street |
*403,793 |
2,230,000 |
2,633,793 |
|
* Carryover balance |
|
|
|
COORDINATION
This report has been coordinated with the Finance Department, Parks and Recreation Department and the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Authorize the City Manager to negotiate and execute change orders up to $2,230,000 to implement the Council-approved schematic design for the Raymond G. Gamma Dog Park;
2. Increase the City Manager’s authority to execute change orders to the Reed Street - Grant Street Sports Park contract with O.C. Jones and Sons, Inc. from $2,019,500 to $4,249,500;
3. Approve the budget amendment of $2,230,000; and
4. Find that the Dog Park service area is the entire Santa Clara community and the construction of the improvements will provide for additional park use to serve the residents of the projects from which funds were collected.
Staff
Reviewed by: Craig Mobeck, Director of Public Works
Approved by: Deanna J. Santana, City Manager