Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Ann M. Stillman, Director of Public Works
Subject: Increase the Not to Exceed Amount of the Agreement with Siemens Industry, Inc. for the San Mateo Medical Center Fire Alarm System Upgrade Project (PF308)
RECOMMENDATION:
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Adopt a resolution increasing the Director of Public Works’ or Director’s designee’s authority to execute change orders to the Agreement with Siemens Industry, Inc. for the San Mateo Medical Center Fire Alarm System Upgrade Project, increasing the not-to-exceed amount by an additional $210,000 for a new not-to-exceed amount of $2,112,450.
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BACKGROUND:
On December 10, 2019, this Board adopted Resolution No. 077117 authorizing an agreement with Siemens Industry, Inc. for the San Mateo Medical Center Fire Alarm System Upgrade Project (Project) for a not-to-exceed amount of $1,902,450 through December 9, 2021.
By authority of Resolution No. 077117, the designee for the Director of Public Works extended the term of the agreement through June 28, 2024.
The Project has faced numerous challenges due to design compliance changes and restrictions set forth by Health Care Access and Information (HCAI). Additionally, the Project Development Unit had projects underway, which required a delay to the Project’s start date due to the interconnectivity of the systems. During construction of the Project, it was discovered that modifications to some of the device locations were required as the plans for the existing fire alarm system were not always consistent with field conditions, which affected the Project schedule. Construction in multiple buildings simultaneously was limited by HCAI, which has caused the Project to incur additional costs for the contractor to mobilize and demobilize crews for each building in construction.
DISCUSSION:
As the Project nears completion, the Department of Public Works (Department) anticipates additional costs in an amount not to exceed $210,000 will be required to complete the Project. The Department recommends that this Board consider these unanticipated conditions and approve the recommended contract increase. Construction issues or conflicts often arise during construction projects, which must be addressed immediately to keep the project moving forward. In some cases, these issues require additional compensation. The Department has worked diligently through the construction of this Project to minimize additional costs and develop solutions that were timely, effective, and financially responsible.
County Attorney has reviewed and approved the resolution as to form.
FISCAL IMPACT:
The new not-to-exceed amount of Siemens Industry, Inc. contract is $2,112,450. The recommended increase of the Project agreement by $210,000 will allow for payment to the Contractor for unanticipated work. Funding for this agreement is included in the Capital Improvement Program Budget for FY 23-24.
There is no impact to the General Fund.