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File #: 13-1463    Version: 1 Name: 12/2/13 - Award Abatement Contract - Emergency Restoration Co.
Type: Resolution Status: Passed
File created: 12/2/2013 In control: City Council
On agenda: 12/2/2013 Final action: 12/2/2013
Enactment date: 12/2/2013 Enactment #: R-13-381
Title: Resolution to Approve a Contract with Emergency Restoration Company for the Asbestos Abatement and Restoration of Floors 3, 4 and 5 in the Guy C. Larcom City Hall Building ($729,000.00) (ITB No. 4310) and to Appropriate Funds ($400,000.00) (8 Votes Required)
Attachments: 1. ITB 4310 Bid Tab.pdf, 2. ITB 4310 Bid Response - Emerg Restoration Co.pdf, 3. Emerg Restoration Co Contract.pdf
Title
Resolution to Approve a Contract with Emergency Restoration Company for the Asbestos Abatement and Restoration of Floors 3, 4 and 5 in the Guy C. Larcom City Hall Building ($729,000.00) (ITB No. 4310) and to Appropriate Funds ($400,000.00) (8 Votes Required)
Memorandum
We recommend your approval of the attached resolution authorizing a contract in the amount of $729,000.00, with Emergency Restoration Company, for the removal of asbestos and the restoration of floors 3, 4 and 5 at City Hall.  This is the first of two phases to complete the removal of asbestos containing materials in City Hall.  The second phase will complete the removal on the 2nd floor in late Fall, 2014.  At that point, all floors of City Hall will have been abated.  Floors basement, 1, 6 and penthouse were abated in previous projects.  
 
Funding for both phases of the proposed abatement project was included in the approved FY14 Capital Improvements Plan. The timing of the two phases of the project make it necessary to combine the work that was projected to occur over two fiscal years.  This resolution amends the approved FY14 General Fund Budget to cover both phases of the project (including air monitoring, relocation and contingency).  Funding for the abatement project in the proposed FY15 General Fund Budget would be eliminated resulting in no net change in expense over the two year budget cycle.  
 
Phase one of this project involves the removal and disposal (as hazardous materials) of the lighting and ceilings on each floor; abatement of asbestos containing flooring and spray-on fireproofing above the ceilings; re-application of non-asbestos fireproofing materials; and the installation of new flooring and ceiling products. Air monitoring services were bid separately and are included later on this City Council agenda.  Installation of new light fixtures is being funded through the City's Energy Fund Loan Program as we improve the light levels and energy efficiency of the building.   The lighting loan will be repaid from operating funds offset by energy savings from the new fixtures.  Finishes (flooring, ceilings and lighting) will be consistent with the work done on the floors renovated during the recent Municipal Center Project.  This will also support our effort to standardize finishes in the Ann Arbor Municipal Center (City Hall and Justice Center) location to minimize repair/replacement time and reduce material inventories.  
 
The abatement and restoration work on floors 3, 4 and 5, expected to start in mid-January, is scheduled to occur one floor at a time to minimize impact on City operations, the public and staff.  All staff and operations will be maintained at the Municipal Center site during the project.  Relocation and communication planning for the project is already underway.  
 
Requests for bids for the proposed abatement and restoration work (lighting replacement will be handled as a separate bid/contract) were advertised and bids were received from four contractors on November 6, 2013.  Staff evaluated the bids and determined that the prices were competitive and recommends that Emergency Restoration Company of Troy, MI, as the lowest responsible bidder, be awarded the contract. The bid tabulation is attached.  
 
The resolution recommends that the existing capital project budget established in fund 00CP be increased by the general fund appropriation of $400,000 for a total project budget of $1,000,000.00 to cover asbestos abatement, fireproofing, restoration (floors and ceilings), air monitoring, relocation and contingency for floors 2-5 of the Guy C. Larcom building.  The resolution includes a recommended 10% project contingency of $72,900.00 to cover potential contract change orders to be approved by the City Administrator if necessary.
 
Emergency Restoration Company received Human Rights and Living Wage approval on November 18, 2013.
Staff
Prepared by:  Matthew J. Kulhanek, Fleet & Facility Manager      
Reviewed by:  Craig Hupy, Public Services Area Administrator
Approved by:  Steven D. Powers, City Administrator
Body
Whereas, There is a need to remove asbestos containing materials from the Guy C. Larcom City Hall building for the safety and welfare of staff and the public;
 
Whereas, The project to remove the remaining asbestos containing materials from the building is planned in two phases during 2014;
 
Whereas, Four bids for phase one of this work, which includes floors 3, 4 and 5, were opened November 6, 2013, and Emergency Restoration Company, submitted the lowest responsible bid under ITB No. 4310;
 
Whereas, Emergency Restoration Company, received Human Rights and Living Wage approval on November 18, 2013;
 
Whereas, Funding for the entire project was included in the approved FY14 Capital Improvements Plan; and
 
Whereas, The timing of the proposed work makes it necessary to move the entire project funding into the approved FY14 General Fund Budget and eliminate the funding in the proposed FY15 General Fund Budget, resulting in no unanticipated impacts to the General Fund over the current two-year budget cycle;
 
RESOLVED, That City Council amend the FY14 General Fund Budget by appropriating $400,000.00 from the General Fund balance for this project;
 
RESOLVED, That City Council increase the fund 00CP established project budget by the $400,000.00 additional general fund appropriation for a total project amount of $1,000,000.00 to cover both phases of the proposed abatement project including asbestos abatement, fireproofing, air monitoring, restoration, relocation and contingency for floors 2-5 of the Guy C. Larcom City Hall building;
 
RESOLVED, That City Council approve a contract, per ITB No. 4310, with Emergency Restoration Company, in the amount of $729,000.00;
 
RESOLVED, That City Council authorize a construction contingency of $72,900.00 to cover potential contract change orders, subject to the approval of the City Administrator;
 
RESOLVED, That the project funds are available for the life of the project without regard to fiscal year;
 
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said contract after approval as to substance by the City Administrator and approval as to form by the City Attorney; and
 
RESOLVED, That the City Administrator be authorized to take all necessary actions to implement this resolution, including the approval and execution of change orders within the approved contingency amount.