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HomeMy WebLinkAbout01-08-2002 City Council Adjourned Agenda PacketC~ AGENDA ADJOURNED MEETING/JOINT SESSION SARATOGA CITY COUNCIL YOUTH COMMISSION LIBRARY COMMISSION JANUARY 8, 2002 CLOSED SESSION- 6:00 P.M. -ADMINISTRATIVE CONFERENCE ROOM, 13777 FRUITVALE AVENUE. ANNOUNCEMENT OF CLOSED SESSION ITEMS CALL MEETING TO ORDER- 6:00 P.M. ARCHIVE COPY ADJOURNED TO CLOSED SESSION - 6:00 P.M. Conference With Legal Counsel -Existing Litigation: (Government Code section 54956.9(a)) Name of case: Saratoga Fire Protection District v. City of Saratoga (Santa Clara County Superior Court No. CV-803540) • ADJOURNED MEETING/JOINT SESSION 7:00 P.IVI. -ADULT CARE CENTER - 19655 ALLENDALE AVENUE CALL MEETING TO ORDER - 7:00 P.M. PLEDGE OF ALLEGIANCE ROLL CALL REPORT OF CITY CLERK ON POSTING OF AGENDA (Pursuant to Gov't. Code 54954.2, the agenda for this meeting was properly posted on January 4, 2001) COMMUNICATIONS FROM COMMISSIONS & PUBLIC Oral Communications on Non-A~endized Items Any member of the public will be allowed to address the City Council for up to three (3) minutes on matters not on this agenda. The law generally prohibits the council from discussing or taking action on such items. However, the Council may instruct staff accordingly regarding Oral Communications under Council Direction to Staff. ~. Communications from Boards and Commissions None t Written Communications None Oral Communications -Council Direction to Staff Instruction to Staff regarding actions on current Oral Communications. 7:00 P.M. -JOINT MEETING WITH YOUTH COMMISSION I. a. Introduction b. Overv iew of Accomplishments and Future Projects: • Annual Appeal • Grants • Dances • Warner Hutton House • Website • Skate Park - Presentation by Ron Powers • League of California Cities • Concerts • Ski Trips • Restaurant Night • Spring Creek Clean up • Food Drive • Corner Stone Project • Civic Center Expansion 5:00 P.M. -ADJOURNMENT TO JOINT MEETING WITH LIBRARY COMMISSION 2. a. Introduction b. Overview of Accomplishments and Future Projects OLD BUSINESS 3. Interest Income on Library Investments Recommended action: Accept report and direct staff accordingly. NEW BUSINESS 4. Saratoga Library Project -Award of Construction Contract to Thompson Pacific for Phase II and Authorization to City Manager to Execute Contract Recommended action: Award bid and authorize execution of contract and change orders. CITY COUNCIL ITEMS OTHER n LJ • i 2 ~, • CITY MANAGER'S REPORT ADJOURNMENT In compliance with the Americans with Disabilities Act (ADA), if you need special assistance to participate in this meeting, please contact the City Clerk at (408) 868-1269. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting (28 CFR 35.102-35.104 ADA Title II) SCHEDULED CITY COUNCIL MEETINGS • January 16, 2002 Regular Meeting/Council Chambers 7:00 p.m. 13777 Fruitvale Avenue Saratoga, California January 22, 2002 Adjourned Meeting -Joint Session 7:00 p.m. Planning Commission/Heritage Preservation Commission Adult Day Care Center 19655 Allendale Avenue Saratoga, California February 6, 2002 Regular Meeting%Council Chambers 7:00 p.m. 13777 Fruitvale Avenue Saratoga, California February 12, 2002 Adjourned Meeting -Joint Session 7:00 p.m. Public Safety Commission, Saratoga Union School District, Cupertino School District, Campbell Union School District Adult Day Care Center 19655 Allendale Avenue Saratoga, California SARATOGA CITY COUNCIL MEETING DATE: January 8, 2002 AGENDA ITEM: ~ / _ ORIGINATING DEPT: City Manager's Office CITY MANAGER: ~~G~--= - PREPARED BY: Lorie Tinfow DEPT HE ~- ati ~% SUBJECT: Interest Income on Library General Obligation Bond Investments ACTION(S): Continue to hold in reserve the estimated $400,000 to $500,000 in interest income which will lie earned on the Library General Obligation bonds. At this time, these funds aze not needed fir renovating and expanding the Saratoga Library. However, unanticipated costs or additional expenditures could be identified in the future. REPORT SUMMARY: The City Council has directed staff and the Library Expansion Committee to limit tkie expenditures on the Library renovation and expansion project to $14.5 million of the $15 million bond, thus allowing for an extra contingency of $500,000. Subsequently, the bond proceeds have been received and are invested until they are needed to pay for construction costs. Staff h:is revised the interest income estimates to reflect the current economic trends and now estimatF:s that between $400,000 and $500,000 in interest income will be earned on the bond proceeds during the eighteen-month construction period. Bond counsel for the City confirmed that the interest earnings can, only be spent for the same items for which the principle could be spent, and it cannot be used for such things as furniture, computer equipment or books. Staff recommends that the interest income continue to be held in reserve for a number of reasons. First, the funds would provide an additional buffer against unexpected or unbudgeted expenses. At this time, the $14.5 million with the possible $500,000 held as a Council mandated budget reduction seem adequate to cover costs. However, remodeling projects create numerous opportunities for unanticipated additional costs. While there are built-in contingency funds, . holding the interest income in reserve for library expenses would provide extra security as tine project progresses. Staff recommends revisiting fund use farther along in the library project timeline. FISCAL IMPACTS: The City was earning about 5.2% on most of the bond proceeds. Recently, interest rates dropped to about 3.7%. Approximately $260,000 has been earned to date. CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION(S): The new Saratoga Library would not have the additional funding buffer against unforeseen or unbudgeted expenses nor the possibility of project enhancements that the additional funds would' allow. ALTERNATIVE ACTION(S): 1. Allocate for specific construction purposes. 2. Use the funds to reduce property tax rates in the year after construction is completed. FOLLOW UP ACTION(S): Staff will continue to monitor interest earned activity and return to Council with an update in the future. ADVERTISING, NOTICING AND PUBLIC CONTACT: Nothing additional. ATTACHMENTS: None 2of2 SARATOGA CITY COUNCIL MEETING DATE: January 8, 2002 AGENDA ITEM: 4 ORIGINATING DEPT: City Manager's Office CITY MANAGER: ~^-~~~- PREPARED BY: Lorie Tinfow .DEPT HEAD. -e ''l i SUBJECT: Saratoga Library Project -Award of Construction Contract for Phase II ~~ Change Order Authorization RECOMMENDED ACTION(S): 1. Move to award a construction contract to Thompson Pacific in the amount of $8,898,000 with the possible addition or deduction of alternates, and authorize the City Manager to execute the same. 2. Move to authorize staff to execute change orders to the contract up to $450,000. 3. Move to authorize staff to execute change orders for pre-design and design work performed by Field Paoli and therefore increase their contract in the amount of $49,439. 4. Increase the contract with Field Paoli for reimbursable expenses by $8,000. REPORT SUMMARY: Phase II Bids The cost estimate provided by Field Paoli Architecture for Phase II was $9,320,000. Sealed bid:. for the Saratoga Library Project Phase II were due and opened on January 3, 2002, at 2:00 pm. We received the following eight (8) bids: Com an Name Total Base Bid Thom son Pacific $8,898,000 SJ Amoroso $8,937,000 Gonsalves & Stronck $9,000,777 FedCon $9,041,000 DJ Amoroso $9,089,000 Roebbelen $9,448,000 Zolman $9,801,450 Ral h Larsen $9,824,000 Gilbane and Field Paoli have reviewed the bids and recommend the project be awarded to Thompson Pacific for the total base bid of $8,898,000. Staff concurs. In addition, there were a number of additive and deductive alternates included in the bid process. A quick summary follows (A = additive; D =deductive): Bid ?tmount $50,000 Al: Replace existing windows with double-paned for energy savings. $40,000 A2: Substitute McQuay HVAC units in place of Trane $75,000 A3: Install "Tree" Sculpture in Children's Room $75,000 A4: Provide DDC (digital) controls for HVAC Equipment $15,000 Dl: Delete stone site seat walls $10,000 D2: Substitute linoleum countertops in place of stone in specified locations $3,000 D3: Substitute hollow metal door and window frames with no wood trim in lieu of aluminum frames with wood trim at the staff area windows and doors, at windows and doors as indicated. Al, A2 and A4 would result in energy savings once the building is operating; A3, the tree sculpture is fixed interactive art. D1-3 were suggested as possible cost cutting measures. Staff will bring recommendations for your consideration to the meeting after gathering input from both Gilbane and Field Paoli. Change Order Authorization for Construction Gilbane estimates change orders aze likely to run approximately 5-7% of the total contract amount. Staff requests authorization for change orders in the initial amount of $450,000 (5%). This amount is consistent with the contingency funds already budgeted. Construction change orders are examined by both Gilbane and Field Paoli staff, and both make recommendations on work scope and costs before they are presented to staff for consideration. Change Order Authorization for Design Work In the course of the library project, additional services from Field Paoli were needed to complete the design work for Phase I and II as well as the temporary library. A breakdown follows: 10/26/00 $2,100 Additional parking study 10/26/00 $3,200 Survey, siting and staking of proposed building footprint and parking lot 3/27/01 $2,400 Lot line adjustment 12/5/00 $3,700 survey work 10/2/01 $5,725 Design for Energy Saving Measures in Phase II various $18,974 Temporary Library: civil/plumbing/electrical/design services 11/12/01 $1,950 Design work for donor signs 11/12/01 $6,860 Design work to transfer transformer-related work from Phase I to Phase II 12/7/01 $3,680 Civil engineering needed to meet San Jose Water and Fire Dept. changes 1/02/02 $850 Survey work resulting from bunker discovery Subtotal $49,439 2of3 Contract Increase for Reimbursables The additional funds requested for reim miscellaneous costs Field Paoli expects additional design services from Field Pa for change order authorization for those FISCAL IMPACTS: bursable expenses will cover travel, copying and other to accrue over the next yeaz. Phase II will likely require oli and/or their subcontractors. Staff will bring a request costs separately. Funding for this work is programmed in the adopted budget in CIP No. 0103 Library Expansion -Account No. 4010 Contract Services. Staff and Gilbane prepared the attached budget summary for the Citizen's Oversight Committee. It reflects all known costs at this time and includes the bid recommendation. CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION(S): Construction of the library expansion project would be delayed. ALTERNATIVE ACTION(S): Council could reject all bids and begin the bid process again. However, staff believes that no additional advantage would be obtained by doing so. • FOLLOW UP ACTION(S): The contract will be executed and the contractor will be issued a Notice to Proceed. Work will be scheduled to begin in January 2002. ADVERTISING, NOTICING AND PUBLIC CONTACT: Nothing additional. ATTACHMENTS: Copy of the Citizen's Oversight Committee Budget Summary. 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'; <s i_~ P"; ~i'n: `~.N i, o. N 'v 13777 Fruitvale Ave. Saratoga, CA 95070 Phone: 408-685-4721 Fax: 408-741-1013 January 3, 2002 Ms. Lorie Tinfow Assistant City Manager City of Saratoga 13777 Fruitvale Ave. Saratoga, CA 95070 Reference: Saratoga Public Library GBC Job Number 2995 Subject: Phase II Bid Recommendation Dear Ms. Tinfow: Upon completion of the Phase II Bid reviews Gilbane Building Company recommends awarding the Phase II portion of the Library Project to the low bidder, Thompson Pacific Constmction, for the amount of $8,898,000.00. Upon review of all received bids six out of eight bids did not indicate the percentage on the subcontractor list as indicated, Thompson Pacific omitted this information. Gilbane considers this a waivable omission. The final determination rests with the City of Saratoga. Enclosed please find Gilbane's Bid Comparison Spreadsheet. Please do not hesitate to contact me should you have any questions. 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