HomeMy WebLinkAbout04.h. Set public hearing to increase construction contract retention to 10 percent (2)Central Contra Costa Sanitary District f�
' BOARD OF DIRECTORS
1.
POSITION PAPER
Board Meeting Date: September 6, 2012
Subject: ESTABLISH SEPTEMBER 20, 2012, AS THE DATE FOR A PUBLIC
HEARING TO RECEIVE COMMENTS ON INCREASING THE CONSTRUCTION
CONTRACT RETENTION AMOUNT TO 10% FOR THE SEISMIC IMPROVEMENTS
FOR HOB, DP 8226
Submitted By: Initiating Dept. /Div.:
Nathan Hodges, Associate Engineer Engineering /Capital Projects
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
Q L
N. Hodges P. Seitz A. Antkowiak K. Alm An—n-11f. Farrell
General Manager
ISSUE: The California Public Contract Code was amended to establish that the
maximum a public agency may hold as the construction contract retention is 5 %.
However, a public agency may find at a properly noticed and normally scheduled public
hearing that a project is substantially complex to justify that a higher amount of
retention should be withheld.
RECOMMENDATION: Establish the Board's regularly scheduled meeting on
September 20, 2012, as the date the Board holds a properly- noticed public hearing to
find that DP 8226 is substantially complex to justify an increase to the construction
contract retention to 10 %.
FINANCIAL IMPACTS: None related to this action.
ALTERNATIVES /CONSIDERATIONS: The Board may elect to not hold the hearing
and keep the retention amount at 5 %. However, this is not recommended due to the
substantial complexity of the project.
BACKGROUND: In 2011, the Legislature changed the Public Contract Code to
establish the maximum amount a public agency could withhold on a construction
contract as 5 %. The new maximum retention amount became effective January 1,
2012. A public agency may increase the retention amount on a specific project upon
finding that the project is sufficiently complex to justify the increased retention.
Staff believes that DP 8226 is sufficiently complex to justify 10% retention. The
planned seismic improvements require modification to the HOB's structural support
system, including the use of temporary shoring. Other critical building systems will
require modifications to accommodate the seismic work, including electrical, HVAC, and
fire suppression. Staff anticipates that a number of sub - contractors and suppliers will
be used by the general contractor.
N: \PESUP \Position Pape rs \Hodges \8226 set 10% retention 9 -20 -12 Final.DOC Page 1 of 2
POSITION PAPER
Board Meeting Date: September 6, 2012
Subject: ESTABLISH SEPTEMBER 20, 2012, AS THE DATE FOR A PUBLIC
HEARING TO RECEIVE COMMENTS ON INCREASING THE CONSTRUCTION
CONTRACT RETENTION AMOUNT TO 10% FOR THE SEISMIC IMPROVEMENTS
FOR HOB, DP 8226
The seismic retrofit generally consists of welding in additional plates on each of the
9 columns. The new plates will run the full height of HOB. In addition, small braces will
be welded on to nearly all beam - column connections. These braces will be installed at
64 of the total possible locations (112 total beam - column connections). There is a large
amount of welding requiring various techniques, including full penetration, partial
penetration, and fillet. New steel will have to be cut and welded around existing steel
components, and some floor joist detailing will be modified to accommodate the new
steel.
The perimeter of HOB is supported by cantilevered beams. These beams will require
temporary shoring during the welding work, because the cantilevered connection may
weaken as the steel is heated during the welding process. The contractor will be
responsible for designing the specific shoring system to accommodate the given
loading.
With the addition of the new structural steel, there will be several instances where
building support systems will require permanent relocation. This will effect electrical,
HVAC, and fire suppression systems, including relocation of fire sprinkler lines. These
lines will have to be tested and approved by the fire marshal before HOB is re- opened.
With the addition of new fittings, the fire system will have to be carefully analyzed and
tested to assure fire suppression design parameters are satisfied.
The general contractor, subcontractors, and suppliers will have to carefully coordinate
the work to ensure the timely and safe completion of the project. In the event that
claims arise from sub - contractors or suppliers, 10% retention will likely provide sufficient
funds to address claims. Finally, it is critical that this project be completed on time,
because most of the District's employees must be relocated to leased temporary
offices.
RECOMMENDED BOARD ACTION: Establish the Board's regularly scheduled
meeting on September 20, 2012, as the date for a public hearing to receive comments
on increasing the retention amount to 10% for the Seismic Improvements for HOB,
DP 8226.
NAPESUP \Position Papers \Hodges \8226 set 10% retention 9 -20 -12 Final.DOC Page 2 of 2