Memorandum

City of Lawrence

City Managerís Office

 

TO:

Mayor and City Commission

FROM:

City Manager, David L. Corliss

DATE:

November 9, 2014

RE:

Lawrence Public Library

 

Background

Lawrence voters approved Charter Ordinance No. 40 in 2010 providing the City with general obligation bond debt authority in the amount of $18,000,000 for the proposed library project.† Additionally, the Lawrence Public Library Foundation pledged $1,000,000 for the project.† Gould Evans served as the project architect and B.A. Green as the construction management firm for the project.††† The adopted project budget, attached, served as the guideline for ensuring the delivery of a quality project and that the project would not exceed the authorized bonded funding.††† Large funding approvals for the project included:

         City Commission approval of the parking garage project ($5,274,345) on November 20, 2012;

         City Commission approval of the library project ($9,709,509) on November 20, 2012; and;

         †City Commission approval of the additional level of the parking garage (after successful establishment of the special assessment benefit district) in the amount of $834,806 on January 15, 2013.†† The extra level of the parking garage was not included in the $18 million bond authority, although the project was executed by the same design and construction team as the rest of the project.

 

As expected, when the project was authorized there were several change orders to the project which were made daily/weekly by project managers, all with the direction that they not exceed the $18 million project budget.†† These construction change orders, totaling $690,983, included both items at the parking garage and the library building, and some elements which utilized the construction team on-site but paid by other City sources.† For example, the City Commission approved the parking garage pay stations and security camera project on January 16, 2014 in the amount of $68,488.96, and while this contract was thru the existing BA Green contract, it was not included in the library project budget of $18 million.† Other examples include traffic signal improvements, bulb-out at 7th and New Hampshire, fire station pavement improvements, replacing sidewalk in various areas along this City owned block, and additional street light poles which should be added before the project concluded.† Items totaling $171,431 (included in the $690,983 change orders) were not funded from the $18 million because they were viewed as additional project improvements beyond the planned library project and were viewed as appropriate while the block was under construction.† This also allowed the project managers to concentrate the highest quality on the library building, while site and parking garage needs were viewed as secondary to the library itself.†† Similarly, there were $67,653.84 in design change orders from Gould Evans, as shown on the attached budget.† This work was primarily focused on library building items including move management and furnishing selection coordination.† Gould Evans also did not invoice $25,000 worth of services as a donation to the project (hence the project budget showing $975,000 in donations from the library foundation versus $ 1 million).

 

Remaining Contingency from Library Project $52,041

 

With the project expenses now finalized, the project has a remaining contingency of $52,041 from the $18 million bond.†† Staff recommends that these unexpended funds be placed in the Cityís capital improvement reserve fund and allocated for future library maintenance needs.† Staff believes this is appropriate pursuant to the library vote and Charter Ordinance No. 40 because it does not authorize those funds for non-library related items.

 

Recommended Action:

Approve change orders for BA Green in the amount of $ 690,983, and change order for Gould Evans Architects in the amount of $ 67,653.84, and authorize final payments to BA Green and authorize final payments to Gould Evans Architects, upon successful completion of the punch-list items.†† Authorize placement of the unspent contingency funds from the $18 million bond issuance of $52,041 in the Cityís capital improvement reserve fund allocated for future library maintenance needs.†