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Amendment No. 2 to Construction Project Agreement With Manhattan Construction Company, LLC, for Construction Management Services for County Fire Station No. 15 Prototypes and Associated Budget Amendment (Contract No. 23-RFQ00466/AP; Amount: $8,660,404.00)
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BRIEF OVERVIEW
On September 24, 2024, the Board approved the award to Manhattan Construction Company, LLC for Construction Management Services for the Hernando County Fire Station Prototypes Project.
At that time, the Board also approved the Pre-Construction Fee for Fire Station No. 15 in the amount of $59,418.00, which allowed the firm to review design concepts, develop a bid package and prepare construction cost budget estimates.
On January 14, 2025, the Board approved Amendment No. 1 in the amount of $67,709.83 for the Pre-Construction Fee for Fire Station No. 16.
As required, Manhattan Construction Company, LLC presented a Guaranteed Maximum Price Proposal (GMP) for Fire Station No. 15, located at Parcel Key No. 1385325, adjacent to Spring Lake Highway and Spike Road, Brooksville, Florida 34602.
Staff has concluded the negotiations for the GMP and per contract requirements, the Construction Management Firm has provided a GMP construction cost proposal in the total amount of $8,660,404.00 for Fire Station No. 15.
Amendment No. 2 establishes the proposed GMP amount which includes a contingency in the amount of $201,209.00 for unexpected events that may be encountered during construction. The total construction contingency amount of $201,209.00 is included in the total GMP amount of $8,660,404.00. Examples of such construction contingencies would be unforeseen conditions and scope of work modifications.
Manhattan Construction Company, LLC has obtained bids from subcontractors for materials and services and the bids are based on the construction documents as prepared by Wannemacher Jensen Architects, Inc. The GMP pricing proposal is based on the results of the subcontractor bids received.
Upon approval of the GMP proposal, construction for Fire Station No. 15 would commence with Manhattan Construction Company, LLC utilizing the subcontractors who provided the pricing.
The Chief Procurement Officer (CPO) has reviewed this requirement for conformance to the Hernando County Procurement Ordinance and the Hernando County Procurement Department Policies and Procedures.
FINANCIAL IMPACT
Hernando County Fire Rescue and Emergency Services (HCFR) is requesting funds to be transferred from Reserves until a bond is received. At the time the bond is received, funding will be placed back into the reserve accounts.
A Budget Amendment is attached to this agenda item impacting the following accounts:
Fund: 1691 - HC Fire Rescue- Rescue, Department: 02491 - HC Fire Rescue Account: 5909917 - Budget Res-Capital projc in the amount of $(4,330,202)
Fund: 1691 - HC Fire Rescue- Rescue, Department: 02491 - HC Fire Rescue Account: 5606233 - BLDGS-HCFR in the amount of $4,330,202
Fund: 1661 - HC Fire Rescue-Fire, Department: 02261 - HC fire rescue-Fire, Account: 5909910 - Budget Res for Contingnc in the amount of $(4,330,202)
Fund: 1661 - HC Fire Rescue-Fire, Department: 02261 - HC fire rescue-Fire, Account-5606233- Bldgs HCFRD in the amount of $4,330,202
LEGAL NOTE
The Board has the authority to take the recommended action pursuant to Part II, Chapter 2, Article V, of the Hernando County Code of Ordinances.
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RECOMMENDATION
It is recommended that the Board approve and authorize the Chairman’s signature on attached Amendment No. Two (2) to Contract No 23-RFQ00466/AP Construction Management Services for Hernando County Fire Station No. prototypes for GMP proposal from Manhattan Construction Company, LLC in the amount of $8,660,404.00 which includes a total contingency amount of $201,209.00 and for the approval of the budget amendment.
It is also recommended that the Board authorize the CPO to approve change orders as they become necessary and required up to allowable budget amounts.