Item 28 - Construction Management for the State Building Demolition Project

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Public Works Agency www.santa-ana.org/public-works Item # 28 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report August 20, 2024 TOPIC: Construction Management at Risk Services for the State Building Demolition Project AGENDA TITLE Agreement with Bernards Bros, Inc., for Construction Management at Risk Services for the State Building Demolition Project (Project No. 24-9002) (Non -General Fund) RECOMMENDED ACTION Authorize the City Manager to execute an agreement with Bernards Bros, Inc. to perform Construction Management at Risk services for the State Building Demolition Project in the amount of $765,481, with a contingency of $84,519, for a total amount of $850,000, for a two-year term beginning August 20, 2024 and expiring August 19, 2026, with an option for two, one-year extensions (Agreement No. A-2024-XXX). GOVERNMENT CODE §84308 APPLIES: Yes DISCUSSION The Public Works Agency (PWA)'s Engineering Division is responsible for the administration and oversight of all Capital Improvement Projects in the city. The City received grant funding from the State for the acquisition of the State Building and modernization of the Civic Center. On December 28, 2023, the City of Santa Ana purchased the State Building located at 28 Civic Center Plaza (Exhibit 1) and is proposing to demolish the building with the intent of facilitating future development. The State Building consists of an 8-story concrete structure with 191,832 square feet, approximately 183 ft. by 131 ft. To facilitate an expedited timeline for demolition, a Construction Manager at -Risk (CMAR) delivery method was recommended. This will allow for a single entity to prepare the plans, publicly bid the project, and oversee the demolition. The demolition will be implemented in two phases. The first includes the pre - demolition planning including environmental analysis and preparation of plans and specifications for the demolition. At the completion of the construction document phase, Bernard Bros, Inc. will prepare a Guaranteed Maximum Price (GMP) for the demolition and site work. Staff will negotiate with Bernard Bros, Inc. and, if mutually agreed upon, will return to the City Council with a recommendation to amend the contract for the phase two demolition and site work scope. The first phase is expected to be completed in six months, with the second phase finishing by December 2025.