OB - Item 3D - Review of Expenditures - Downtown Plaza ProjectROSEMEAD OVERSIGHT
BOARD STAFF REPORT
TO: THE HONORABLE CHAIR AND BOARD MEMBERS
FROM: MATTHEW HAWKESWORTH, ASSISTANT CITY MANAGER
DATE: FEBRUARY 9, 2015
SUBJECT: REVIEW OF EXPENDITURES — DOWNTOWN PLAZA PROJECT
SUMMARY
As a part of July 2010 tax increment bond issuance by the former Redevelopment
Agency, the City included funding for the "Rosemead Downtown Plaza Project," which
improved the space between City Hall and the Library and created a public space in the
downtown area. The project, which included new, decorative hardscape, new trees
and landscaping, as well as multiple water features is now complete. As is common with
construction projects, additional elements and expenses have been added to this
project as it was in progress. Included in this report is a summary and a request for
confirmation of all project expenses that were not previously presented to the Oversight
Board.
Staff Recommendation
It is recommended that the Oversight Board approve Resolution 2015 -0004 confirming
the expenses associated with the Downtown Plaza Project.
DISCUSSION
Included for the review and confirmation of the Oversight Board is a summary of
expenditures related to the Downtown Plaza Project that have not previously been
reviewed by the Oversight Board. All of these products and services were procured
consistent with the City's purchasing guidelines and have been completed to the
satisfaction of staff.
Plaza Construction — E.C. Construction
A contract for the construction of the plaza was issued to E.C. Construction in
October 2013 after approval of both the Oversight Board and the City Council. At the
time of award of contract a contingency amount is requested to cover the cost of any
unforeseen construction expenses. Typically, staff requests a contingency amount of
fifteen percent of the construction contract for all capital projects. Due to an
oversight, the contract for E.C. Construction had a contingency amount of fifteen
percent approved by the City Council, however, the contingency amount approved
by the oversight board was ten percent. At its completion, the construction required
the entire contingency amount authorized by the City Council ($201,930.80). At this
ITEMNO. 3D
Rosemead Successor Agency Oversight Board
February 9, 2015
Paqe 2 of 4
time, staff is requesting that the Oversight Board confirm the expenditure of the
additional $ 67,310.27 as a part of the contract contingency.
• ContractAmount: $ 1,346,205.34
• 10% Contingency $ 134,620.53
• 15% Contingency: $ 201,930.80
• Difference $ 67,310.27
2. Project Inspection — SCB Inspections
At the time of approval of the project, it was assumed that the project would be
completed in approximately five months and the budget for project inspection and
oversight reflected that. The inspection budget for the entire project was $57,000.00.
Based on the extended time frame of the project and several weeks of weekend
work or extended days, the final inspection expense is $93,148.00, a difference of
$36,148.00.
• Initial Approval: $ 57,000.00
• Actual Expense: $ 93,148.00
• Difference: $ 36,148.00
3. Fence Enclosure — HVAC Equipment
During construction, it was determined that the fence enclosing the HVAC
equipment on the west side of the plaza needed to be replaced with wrought iron.
Staff solicited a proposal from the general contractor as well as one wrought iron
contractor in town. JRC Wrought Iron of Rosemead, CA offered a more competitive
proposal and completed the fence replacement for a cost of $6,510.00.
RANK PROPOSER COST
1 JRC Wrought Iron $ 6,510.00
2 E.C. Construction $ 9,343.00
4. Monument Refurbishing and Relocation
The previous plaza contained two monuments dedicated to military veterans from
the community that were integrated in to the design of the new plaza. During the
construction phase, it was determined that the two monuments were in need of
refurbishing and maintenance work, due to their age and exposure to the elements.
Staff contacted Jem's Monuments of South El Monte who was able to refurbish both
monuments for $2,800.00. Additionally, as the monuments were being integrated
into the new plaza design, new walls and footings to hold the monuments needed to
be constructed. The engineering and design of these walls and footings was
completed by E.C. Associates Engineering for a cost of $2,000.00. CEM
Construction built the walls and footings to hold both Vietnam War memorials for
$8,000.00 each for a total cost of $16,000.00.
• Jem's Monuments Monument Refurbishing $ 2,800.00
• E.C. Associates Engineering Design — Monument Walls $ 2,000.00
• CEM Construction Walls /Footings for Monuments $ 16,000.00
Rosemead Successor Agency Oversight Board
February 9, 2015
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5. Installation of Water Service
The construction of the plaza, which contains three water features and extensive
irrigation, required the installation of a new water service and meter. Additionally, a
new fire hydrant was installed per updated building and construction codes. Water
service at this location is provided for by California American Water, who is
responsible for the installation of the water service and meter at the customer's
expense. The cost for the installation of a new, 2" water service and a fire hydrant by
California American Water was $ 23,600.00.
• California American Water Water Service Installation $ 23,600.00
6. City Hall Door Removal
During the replacement of the walkway entrance to the City Hall building, it was
determined that in order to properly pour the concrete flush with the building, the
storefront doors would have to be removed while the concrete was installed. City
staff contacted Pasco Doors, the contractor who initially installed the doors and
provides routine maintenance, to perform the removal and replacement of the doors
during the concrete installation.
• Pasco Doors Door Removal & Replacement $ 3,307.50
7. Supplemental Landscape Work
TruGreen Landcare, the City's landscape maintenance contractor, provided
supplemental landscape assistance in and around the plaza prior to the ribbon
cutting ceremony and project completion. These services included the addition of
extra plant material and two trees at a cost of $2,869.00.
• TruGreen Landcare Landscape Work $ 2,869.00
8. Skateboard Deterrents
Staff has procured some skateboard deterrent devices for use in the plaza. Although
the design did include some skateboard deterrents in the plaza, the area continues
to attract many skateboarders. As staff continues to observe skateboarding activity
in the plaza, which may cause damage to the concrete or fixtures, these devices will
be installed to prevent skateboarding and the damage it may cause.
• Barrett Robinson, Inc. Skateboard Deterrents $ 1,230.47
This list provides a comprehensive review of additional expenses that were incurred,
relevant to the Downtown Plaza Project, during the construction phase.
FINANCIAL REVIEW
This project is being funded entirely through tax increment bond proceeds from the
former Redevelopment Agency and has a budget of $2,250,000.00.
Rosemead Successor Agency Oversight Board
February 9, 2015
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Submitted By:
Attachment:
1. Resolution 2015 -0004
RESOLUTION NO. 2015 -0004
A RESOLUTION OF THE OVERSIGHT BOARD FOR THE SUCCESSOR AGENCY
TO THE ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION CONFIRMING
THE AWARD OF CONTRACTS AND RELATED SUPPORT COSTS FOR THE
DOWNTOWN PLAZA PROJECT
WHEREAS, THE Rosemead Successor Agency received the Finding of Completion
on April 18, 2013 from the Department of Finance; and
WHEREAS, the Finding of Completion states that the Rosemead Successor Agency
may utilize proceeds derived from bonds issued prior to January 1, 2011 in a manner
consistent with the original bond covenants per Health and Safety Code section
34191.4(c); and
WHEREAS, the Rosemead Successor Agency is holding approximately $7.1 million
in bond proceeds derived from bonds issued prior to January 1, 2011 for Capital
Improvement Projects identified in the bond covenants; and
WHEREAS, the Rosemead Successor Agency will be required to provide oversight of
the completion of the Capital Improvement Projects to ensure compliance with the bond
covenants; and
WHEREAS, the approved Capital Improvement Projects have been included on each
Recognized Obligation Payment Schedule filed by the Rosemead Successor Agency;
and
WHEREAS, the Oversight Board of the Rosemead Successor Agency previously
adopted Resolution 2016 -0006 on June 12, 2013 confirming the project and a contract
with E.C. Construction, related project management, and staffing.
NOW, THEREFORE, THE OVERSIGHT BOARD FOR THE SUCCESSOR AGENCY
TO ROSEMEAD COMMUNITY DEVELOPMENT COMMISSION HEREBY RESOLVES:
The Rosemead Successor Agency Oversight Board confirms the additional use of
$161,775.24 of 2010 Tax Increment Bonds for change orders and related
expenditures related to the Downtown Public Plaza Project.
E.C. Construction Orders $67,310.27
Project Inspections $36,148.00
Fence Enclosure $6,510.00
Monument Refurbishment $20,800.00
Water Meter $23,600.00
City Hall Door Removal $3,307.50
Supplemental Landscape Work $2,869.00
Skateboard Deterrents $1,230.47
Total $161,775.24
2. Successor Agency staff is directed to submit documents to the Department of
Finance as necessary.
3. Successor Agency staff is directed to provide a copy of this Resolution to the
County Auditor - Controller, the State Controller's Office and the State Department
of Finance.
PASSED, APPROVED AND ADOPTED this 9t" day of February, 2015.
Pat Wallach
Chair
ATTEST:
Matthew Hawkesworth
Successor Agency Staff