Title
Resolution to Approve a Contract with Emergency Restoration Company for the Asbestos Abatement and Restoration of the 2nd Floor in the Guy C. Larcom City Hall Building ($177,900.00) and to Appropriate Funds ($75,000.00) (8 Votes Required)
Memorandum
We recommend your approval of the attached resolution authorizing a contract in the amount of $177,900.00 with Emergency Restoration Company, for the removal of asbestos and the restoration of the 2nd floor of City Hall. This is the second of two phases to remove asbestos containing materials in City Hall. The first phase completed asbestos removal and restoration of floors 3, 4 & 5 in July of this year. Floors basement, 1, 6 & penthouse were abated in previous projects.
The funding for both phases of the abatement project was included in the amended General Fund Capital Budget amendment approved by City Council via #R-13-381. Completion of this project will exceed the original budget by approximately $75,000.00. This is in part because of actual abatement costs and relocation costs being higher than the original estimates and two unanticipated issues that came up during the project. All of the HVAC duct insulation had to be removed as the overspray of fireproofing containing asbestos was much worse than expected. The other problem was that the pneumatic distribution system that controls the individual HVAC boxes on each floor was beyond repair and these boxes had to be converted to electronic controls.
Phase two of this project involves the removal and disposal (as hazardous materials) of the lighting, HVAC duct insulation and ceiling; abatement of accessible asbestos containing flooring and spray-on fireproofing above the ceiling; re-insulation of HVAC duct work; re-application of non-asbestos fireproofing materials; and the installation of new flooring and ceiling products. Air monitoring services are being bid separately and will be provided by a certified, independent outside firm. 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 other floors of the building. 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 the 2nd floor is expected to start shortly after the November 6, 2014 Council meeting and be finished prior to the first Council meeting in January, 2015. Alternative meeting space for City Council and other City Committees, Boards and Commissions has already been arranged and is being coordinated by the City's Communications Office.
The Clerk's Office and west hallway were previously abated during the Municipal Center Project. Normal operations of the Clerk's office will not be impacted by this project. Air monitoring by an outside firm and the City's Safety Manager will be ongoing in this area to ensure a safe environment for staff and the public.
Requests for bids for the proposed abatement and restoration work (lighting replacement will be handled as a separate bid/contract) were advertised and only one bid was received on August 5, 2014. Staff evaluated the bid and determined that the price was consistent with expectations and recommends that Emergency Restoration Company of Troy, MI, as the lowest responsible bidder, be awarded the contract.
The resolution recommends that the original project budget of $1,000,000.00 be increased to $1,075,000.00 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 $17,800.00 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 asbestos containing materials from the building was planned in two phases during 2014;
Whereas, One bid for phase two of this work, which includes the 2nd floor, was opened August 5, 2014, and Emergency Restoration Company, submitted the lowest responsible bid under ITB No. 4340;
Whereas, Emergency Restoration Company, received Human Rights and Living Wage approval on November 18, 2013; and
Whereas, Funding for the project was included in the amended General Fund Capital Budget;
RESOLVED, That City Council amend the FY2015 General Fund Capital Budget by appropriating $75,000.00 from the General Fund balance for this project;
RESOLVED, That City Council increase the 00CP established project budget from $1,000,000.00 to $1,075,000.00 with an additional $75,000.00 general fund appropriation to cover both phases of the 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. 4340, with Emergency Restoration Company, in the amount of $177,900.00 and authorize a construction contingency of $17,800.00 to cover potential contract change orders;
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 project budget.