HomeMy WebLinkAboutRes2013-061 Sponsored by: Hunt
imw i CITY OF SEWARD, ALASKA
RESOLUTION 2013 -061
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
CONSTRUCTION CONTRACT WITH HARMON CONSTRUCTION TO
ERECT A STEEL BUILDING ON A PREPARED FOUNDATION, AND
DESIGN AND INSTALL THE LIGHTING AND HEATING SYSTEMS, IN AN
AMOUNT NOT TO EXCEED $478,000, ESTABLISHING A 10 %,
CONTINGENCY FUND AND APPROPRIATING FUNDS
WHEREAS, the council approved Resolution 2007 -085 which authorized the City Manager
to pursue funding for two electric generators and associated components and design/build proposals
for the Fort Raymond generator building and a warehouse with office space; and
WHEREAS, the council approved Resolution 2012 -028 accepting a grant from the Alaska
Energy Authority to upgrade and update generation facilities at the Fort Raymond Generation Plant
for $3,960,000 and appropriating funds; and
WHEREAS, a line item in that grant specifies that $1,400,000 of the grant was to be used to
build an office /warehouse; and
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WHEREAS, the city developed a scope of work and advertised a competitive bid package
according to SCC 6.10.210 and SCC 6.10.215; and
WHEREAS, one bid was received by the required deadline of 2:00 p.m. on June 28, 2013;
and
WHEREAS, the city reviewed the bid and concluded Harmon Construction was the lowest,
most qualified and responsive bidder with a base bid amount of $478,000; and
WHEREAS, the city believes that a ten percent (10 %) contingency is necessary for a project
of this magnitude to address the potential for unforeseen project costs.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is hereby authorized to enter into a construction contract not -to-
exceed $478,000 with Harmon Construction to erect a steel building on a prepared foundation and
design and install the lighting and heating systems.
Section 2. Funding for this contract in an amount not -to- exceed $478,000 is hereby
i„� appropriated from account no. 505 -5052 -5930.
CITY OF SEWARD, ALASKA
RESOLUTION 2013 -061 j
Section 3. The City Manager is authorized to draw additional funds as needed to cover
contingencies, in the amount not to exceed $47,800 from account 505 -5052 -5930.
Section 4. This resolution shall take effect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 22
day of July, 2013.
THE CITY OF SEWARD, ALASKA
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David Seaw Mayor
AYES: Valdatta, Bardarson, Keil, Shafer, Terry, Seaward
NOES: None
ABSENT: Casagranda
ABSTAIN: None
ATTEST:
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renda J. Bal ( u
Actin�jt, M -
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Agenda Statement
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Meeting Date: 22 July 2013 0 �% 7 4 1 :5
To: City Council p
Through: City Manager Jim Hunt
From: John Foutz, Electric Department Manager
Agenda Item: To authorize the City Manager to enter into a construction contract with
Harmon Construction to erect a steel building on a prepared foundation and
design and install the lighting and heating systems.
BACKGROUND & JUSTIFICATION:
At the August 13, 2007 work session, the City Council gave direction to the administration to begin
working to replace two generators, and to construct a building to house the generators and a
warehouse with office space at the Fort Raymond site.
On August 27, 2007, Council approved Resolution 2007 -085 which authorized the City Manager to
pursue funding for two electric generators and associated components and design/build proposals for
Fort Raymond generator building and a warehouse with office space. This project has been divided
into two phases, with the generation building being Phase I and the warehouse as Phase II. Phase I is
ongoing at this time. The current resolution relates to Phase II.
Resolution 2012 -028 accepted a $3,960,000 grant from Alaska Energy Authority for the purpose of
completing Phase I and beginning Phase II. A line item of that grant dictates that $1,400,000 of that
grant will be spent on the Warehouse.
The City developed a scope of work and advertised a competitive bid package according to SCC
6.10.210 and SCC 6.10.215. Out of six Plan Holders, there was one responsive proposal. The
proposals were opened and analyzed according to the criteria presented to Council in the City
Manager's report on June 10th. The successful proposer was Harmon Construction with a bid of
$478,000.
INTENT: To authorize the City Manager to enter into a construction contract with Harmon
Construction to erect a steel building on a prepared foundation and design and install the lighting and
heating systems in an amount not to exceed $478,000 and establishing a 10% contingency and
appropriating funds from account number 505 -5052 -5910.
CONSISTENCY CHECKLIST: Yes No N/A
1. Comprehensive Plan (1.3, 3.7.3.1, 3.7.3.2): X
2. Strategic Plan (document source here): X
3. Other (list): X
56
FISCAL NOTE: Total amount not to exceed $525,800, being the sum of $478,000 and a 10%
contingency of $47,800 from account 505 -5052 -5930, funded in from AEA Grant #7910011,
already accepted.
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Approved by Finance Department: / ,, :/3 . . c ji �
•
ATTORNEY REVIEW: Yes X No
City Attorney provided contract template.
RECOMMENDATION: eR k i 2 , 01 . 5-0(0 t
Authorize the City Manager to enter into a cons ruction contract with Harmon Construction to erect a
steel building on a prepared foundation and design and install the lighting and heating systems in an
amount not to exceed $478,000 and establishing a 10% contingency fund and appropriating funds
from account number 505 -5052 -5930.
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