Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Raymond J. Hodges, Director of Department of Housing
Subject: First Amendment to Agreement with Kazika Construction Inc
RECOMMENDATION:
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Adopt a resolution authorizing the Director of the Department of Housing, or designee, to execute an amendment to the agreement with Kazika Construction Inc., authorizing additional work for renovations to leased office space at 260 Harbor Blvd. in Belmont, increasing the County’s maximum fiscal obligation by $141,470, for a new total amount not to exceed $706,470.
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BACKGROUND:
Since September 1, 2024, the San Mateo County Department of Housing (“DOH”) has leased office space at 260 Harbor Boulevard, in Belmont in addition to its office space located at 264 Harbor Boulevard in Belmont.
On May 20, 2025, following a competitive procurement process, this Board approved an agreement (the “Agreement”) with Kazika Construction, Inc. (Agreement 79000-25-R081170A) by which Kazika would carry out improvements to the 260 Harbor suite in order to build out the space for DOH staff. The initial scope of work involved all major systems in the suite. Under the Agreement, the County’s payment for the work would not exceed Five-Hundred Sixty-Five Thousand Dollar ($565,000) for the term of May 20, 2025, through December 31, 2025.
Since the time of Kazika’s initial bid, additional requirements were brought to the architect’s attention to bring the restrooms up to regulations based on OLF (occupant load factors) in the building code which will require additional toilets, sinks and fixtures. This work will include additional plumbing work, new sewer, and water lines along with relocating walls to allow for enlarged restrooms plus the additional tile work, insulation, sinks, faucets, toilets, and other associated items.
DISCUSSION:
In accordance with requirements specified by the Department of Planning and Building, Kazika has submitted a change order to make necessary improvements to bring the restrooms at 260 Harbor up to Building Code standards based on OLF. The cost of the additional work under the change order is $84,970.
DOH recommends that this Board approve an amendment to the Agreement to authorize the additional scope of work, increasing the County’s fiscal obligation by $84,970, and to add contingency funds in the event of additional potential work in the amount of $56,500. Any unused contingency funds will remain with the County.
Under the proposed First Amendment to the Agreement, the County’s maximum fiscal obligation would not exceed Seven Hundred Six Thousand, Four Hundred Seventy Dollars ($706,470). In addition, the first amendment adds a more detailed project schedule and budget for the work to ensure timely completion.
The County Attorney’s Office has reviewed and approved the proposed amendment to the agreement and resolution as to form.
COMMUNITY IMPACT:
The DOH distributes federal, state, and local funding to positively impact low- to moderate-income families as well as persons experiencing homelessness in our community by meeting their vital need for safe, decent, and affordable housing. DOH staff engage the community regarding funding priorities and recommended funding activities through multiple public hearings per year.
FISCAL IMPACT:
The County’s maximum fiscal obligation under the First Amendment to the Agreement is not to exceed $706,470. The funding for this Agreement is included in DOH’s approved budget for Fiscal Year 2024-25 and Fiscal Year 2025-26.