Title
Adopt a Resolution to Appropriate $1,450,000 from General Fund Reserves to the Police Building and South Offices Modifications Project, Project No. 2014.0481
Staffreport
COUNCIL PRIORITY
• Public Safety
• Infrastructure
SUMMARY
This action appropriates $1,450,000 from General Fund Reserves to the Police Building and South Offices Modifications project to cover project costs through completion of the work.
RECOMMENDATIONS
Staff recommends the appropriation of $1,450,000 from General Fund Reserves to the subject project in account 210-18-137.
BACKGROUND
The project involved remodeling both the South Offices Building and the San Leandro Police Building. Construction of this project was scheduled for completion in Summer 2020 but was not substantially complete until June 2024; a delay of 46 months.
In September of 2022 staff anticipated that the work would be completed at the end of 2022, a delay of 33 months, and the City Council authorized additional funding for the project to cover this extended construction period. Subsequently, additional delays were encountered including a delay of 6 additional months to obtain PG&E service, delays in making the new uninterrupted power source operational, and delays in construction of various contract and extra work items.
The construction work by the general contractor, DL Falk Construction, Inc. is now complete.
Analysis
The project budget is currently $11,134,983. Additional funding is required to complete the project as described herein.
Description Amount
Staff and consultant costs for extended duration of work $622,000
Construction costs in excess of budget $828,000
Total Required $1,450,000
Current Agency Policies
• Public Safety
• Maintain and enhance the City’s infrastructure
Previous Actions
• On November 7, 2016, the City Council by Resolution No. 2016-145, approved a CSA with Indigo for design services related to the Police Building and South Offices Modifications Project
• On July 3, 2017, the City Council by Resolution No. 2017-093 approved Amendment No. 1 to the CSA with Indigo for design services to convert the theater space inside the South Offices Building to a new community meeting room
• On November 5, 2018, the City Council by Resolution No. 2018-136 awarded a $6,268,000 Construction Contract to D. L. Falk Construction, Inc.; authorized the City Manager to Negotiate and Approve Individual Change Orders Up to 5% and Cumulative Change Orders up to 15% of the Original Contract Amount; and appropriated $943,000 from the 2018-19 CIP Bond.
• On November 19, 2018, the City Council by Resolution No. 2018-139 approved a CSA with Indigo in the amount of $394,090 for construction support services related to the subject project
• On February 18, 2020, the City Council by Resolution 2020-017 appropriated $775,000 to the project as part of the Budget Amendments to the City Budget for Fiscal Year 2019-20 General Fund, Special Revenue Fund, and Enterprise Fund.
• On September 20, 2021, the City Council by Resolution No. 2021-139 approved a NPSA with Watson Consoles to furnish and install new dispatch consoles related to the subject project
• On September 6, 2022, the City Council by Resolution No. 2022-137 approved Amendment 4 to a consulting services agreement with Indigo, Hammond & Playle Architects for construction support services and appropriate $942,000 in funding to the project
• On September 6, 2022, the City Council by Resolution No. 2022-138 approved Amendment 1 to a consulting services agreement with Jason R. Zalinski for inspector of record services
• On June 20, 2023, the City Council by Resolution 2023-071, authorized Increases in Individual and Cumulative Change Orders from 15% to 20% (from $940,200 to $1,253,600; an increase of $313,400) for the Construction Contract with D. L. Falk Construction, Inc.
• On November 20, 2023 the City Council by Resolution 2023-159, approved Amendment No. 1 to the Non-Professional Services Agreement with Watson Consoles and to Approve Increases in Cumulative Change Orders up to 37% of the Original Not to Exceed Amount of $119,386.58.
• On December 2, 2024 the City Council approved, under a closed session, a Settlement Agreement with DLF Falk for resolution of all claims on their construction contract.
Applicable General Plan Policies
GOAL CSF-1: Provide and maintain high-quality police, fire, and emergency medical services.
Permits and/or Variances Granted
Building permits were issued for the construction of the subject project by the City’s Building and Safety Services Division of the Community Development Department.
Environmental Review
This project was deemed Categorically Exempt per California Environmental Quality Act (CEQA) section 15301 (A and C) - Existing Facilities.
Financial Impacts
This Council action was not budgeted and will require an appropriation of $1,450,000 for the project from the General Fund Reserve for Fiscal Year 2024-2025 into Account 210-18-137.
The funding for this project is as detailed below:
Account No. Source FY/Approp. Amount
210-18-137 CIP Fund FY15/16 $208,000
210-18-137 CIP Fund FY16/17 $1,556,983
210-18-145 CIP Fund, CIP Bond FY18/19 $5,000,000
210-18-137 CIP Fund FY17/18 $560,000
210-18-146 CIP Fund, CIP Bond FY18/19 $1,150,000
210-18-146 CIP Fund, CIP Bond Reso 2018-136 $943,000
210-18-145 CIP Fund, CIP Bond Reso 2020-017 $775,000
210-18-137 CIP Fund Reso 2022-137 $942,000
Current approved funding: $11,134,983
Appropriation approved by this action:
210-18-137 CIP Fund Balance FY 24/25 $1,450,000
Total Project Funding: $12,584,983
ATTACHMENT
A: Resolution for Appropriation
PREPARED BY: Mark Goralka, Associate Engineer, Public Works Engineering Division