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CITY OF SEWARD, ALASKA
RESOLUTION 2011 -051
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING ACCEPTANCE OF THE GUARANTEED
MAXIMUM PRICE PROPOSAL FROM PCL CONSTRUCTION TO
CONSTRUCT THE SEWARD MUSEUM /LIBRARY, APPROPRIATING
$7,399,999 TO FUND THE PROJECT, ISSUANCE OF THE NOTICE TO
PROCEED AND APPROVAL OF AMENDMENT NO.1 TO THE
CONSTRUCTION PHASE WORK CONTRACT
WHEREAS, the City of Seward entered into a construction manager general contract with
PCL on November 1, 2010 with Council resolution 2010 -098 for the Seward Museum /Library; and
WHEREAS, under the terms of the contract PCL provided the City of Seward with a
guaranteed maximum price (GMP) for the construction of $7,399,999 based on the 100% building
design documents; and
WHEREAS, the City of Seward now needs to appropriate funds, accept the GMP and issue a
notice to proceed under a mutually accepted schedule; and
WHEREAS, the PCL GMP is within the proposed budget and engineering estimates set for
the project; and
WHEREAS, the City of Seward has received funding in the amounts of $5,100,000 from
the State of Alaska, $500,000 from the Rasmussen Foundation, $500,000 from the National
Endowment for Humanities and a pledge of $500,000 in private donations; and obligated with
Council Resolutions 2010 -129 and 2011 -047, a not to exceed $3,700,000 in a general obligation
bond for the project; and
WHEREAS, the PCL is willing to work with the City of Seward on a construction schedule
that accommodates the project funding availability.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is authorized to accept the GMP submitted by PCL
Construction for $7,399,999 to construct the Seward Museum /Library.
Section 2. The following amounts are appropriated from the following funds:
626- 6261 -5xxx - $3,000,000
626- 6262 -5xxx - $ 500,000 Private Grant (Rasmussen)
626- 6263 -5xxx - $ 199,999 Federal Grant (NEH)
626 - 6264 -5xxx - $3,700,000 G.O. Bond
CITY OF SEWARD, ALASKA
RESOLUTION 2011 -051
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Section 3. The City Manager is authorized to issue a notice to proceed, enter into
Amendment 1 to the Construction Phase Work Contract with PCL Construction, in substantially the
form presented at this meeting, and negotiate a construction schedule based on funding availability.
Section 4: This resolution will take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 20
day of June 2011.
THE CITY OF SEWARD, ALASKA
• illard E. Dunham, Mayor
AYES: Valdatta, Bardarson, Smith, Keil, Shafer, Casagranda, Dunham
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST:
ohanna Kinney, CMC
City Clerk
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Council Agenda Statement
Meeting Date: June 20 , 2011
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To: Phillip Oates, City Manager u a
From: Michelle Weston, Assistant City Manager 1 P
Agenda Item: Acceptance of PCL guaranteed maximum price,
appropriation of funds, authorizing the notice to
proceed and Amendment 1 to the Construction Phase Work Contract
for the Seward Museum/Library
BACKGROUND & JUSTIFICATION:
The City of Seward entered into a construction manager at risk construction contract for the museum/library on
November 1, 2010 with Council Resolution 2010 -098. Under the terms of this contract, PCL then provides the
City of Seward with a guaranteed maximum price (GMP) to construct the building. PCL has proposed a GMP
of $7,399,999 for construction the building. As outlined in Resolution 2010 -098, the City of Seward is now
required to seek Council approval for approval of the GMP, appropriation of funds and authorizing the
issuance of notice to proceed. RISE has been retained as the project manager for the project.
INTENT: To authorize the City Manager to give PCL notice to proceed with construction of the Seward
Museum/Library under a two phased schedule for construction with Phase 1 consisting of site preparation and
foundation work in 2011 and Phase 2 consisting of building construction in 2012, with the City retaining the
ability to consider a full phased construction schedule if full project funding is available.
CONSISTENCY CHECKLIST: Where applicable, this agenda statement is consistent with the Seward City
Code, Charter, Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures or
Other Plans or Policies:
FISCAL NOTE: The City of Seward has received $5,100,000 for this project from the State of Alaska,
$500,000 from the Rasmussen Foundation, $500,000 from the National Endowment for Humanities and a
pledge of $500,000 in private donations. The City of Seward has approved with Council Resolution 2011 -047
a general obligation bond not to exceed $3,700,000. It is anticipated that there will be increased annual
operating costs with the new larger Museum/Library building.
626 - 6261 -5xxx $3,000,000
626 - 6262 -5xxx $ 500,000 Private Grant (Rasmussen)
626- 6263 -5xxx $ 199,999 Federal Grant (NEH)
626 - 6264 -5xxx $3,700,000 G.O. Bond
Approved by Finance Department: • , ;, �. ' ! LA
ATTORNEY REVIEW: Yes X o
RECOMMENDATION: r
Recommend approval of Resolution 2011 - a ccepting the GMP submitted by PCL, appropriation of funds,
authorizing the issuance of notice to proceed and Amendment 1 to Construction Phase Work Contract with
PCL Construction Services, Inc.
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