RESOURCE MANAGEMENT AGENCY - J. GUERTIN

Approve additional change order authority for RMA Director in the amount of $630,000.00 or approximately (3) three percent of the contract total for the construction of the Jail Expansion Project.

SBC FILE NUMBER: 120.5

The Jail Expansion project has been under construction for nearly 11 months and has 7 months remaining.  At the time of contract award, the Board delegated change order authority to the RMA Director in the amount of $210,000, or approximately 1% of the total construction cost of $20,139,852.  This amount has nearly been exhausted and staff requests an additional change order authority amount of $210,000 be delegated to the RMA Director.  This has been an extremely successful project thus far, with executed change orders far below the industry average for a project of this type.

To ensure timely response to issues as they arise during construction, staff is requesting Board approval of an additional $630,000 (approximately 3%) in additional delegated change order authority for the RMA Director.  Taking this action allows staff to quickly address any issues that arise in the field, avoiding possible delays to the project.  Without this action, all proposed change orders would require Board approval which could greatly impact the project's schedule, which would in turn create additional costs.

Two change orders have been approved by staff thus far (Change Order 1 was approved by the Board at time of contract award for purchasing insurance):

Change Order 2 included 20 items with an extra cost of $145,157.46 and credits of $55,564.16, for a net extra cost of $89,593.30.

Change Order 3 included 16 items with an extra cost of $103,883.26 and credits of $1,624.51 for a net extra cost of $105,507.77.

The project's contingency amount is more than sufficient to cover this requested change order authority.  Additionally, in the coming months, staff will be bringing FF&E items (Fixtures, Furnishings & Equipment) to the Board for purchase approval.