MEETING DATE:
JULY 25, 2023
SUBJECT:
Title
RESOLUTION NO. 2023-9194 - AUTHORIZING AMENDMENTS TO THE CONSTRUCTION CONTRACT WITH SEMA CONSTRUCTION, INC. FOR THE SAN MARCOS CREEK INFRASTRUCTURE PROJECT (CIP Numbers 88263, 88264, 88265, 88505, 88507, 88529)
Body
Recommendation
Recommendation
ADOPT resolution authorizing amendments to the construction support contract with SEMA Construction Inc. for the San Marcos Creek Infrastructure Project.
Body
Board or Commission Action
Not Applicable
Relevant Council Strategic Theme
Quality of Life
Good Governance
Relevant Department Goal
Not Applicable
Executive Summary
Approval of the attached resolution would authorize amendments to the City’s contract with SEMA Construction Inc.(“SEMA”) for the San Marcos Creek Infrastructure Project (CIP No.’s 88263, 88264, 88265, 88505, 88507, 88529 (“Project”)). The proposed amendment would authorize the Acting City Manager to execute contract amendments increasing the total contract to a not-to-exceed amount of $73,000,000.
Discussion
In September 2019, the City Council authorized the award of the Project to SEMA for $61,555,395.99. Over the duration of the project, change orders have been issued for a variety of issues including unforeseen conditions, third party delay, and impacts due to weather. As the project nears completion, staff has reviewed the current construction contract and anticipates that additional contract capacity will be required to complete the project. In order to allow change orders to be issued by the City Manager pursuant to the Purchasing Ordinance, staff recommends increasing the authorized not-to-exceed amount for the SEMA contract to $73,000,000. An analysis of the existing budget indicates that the proposed amount would be supported with project contingency and would not require a budget amendment.
Environmental Review
This funding item does not constitute a “Project” as defined under Section 15378 of the California Environmental Quality Act, State Guidelines, and is therefore not subject to environmental review.
Fiscal Impact
Approval of the proposed resolution would authorize the Acting City Manager authority to execute contract amendments with SEMA Construction up to $73,000,000. Funding for the proposed amendments would be provided for within the existing approved Project budget funded with Project contingency. No budget amendments are required as part of this action.
Attachment(s)
Resolution 2023-9194
Prepared by: Isaac Etchamendy, Director of Development Services/City Engineer
Approved by: Michelle Bender, Acting City Manager