BOARD OF EDUCATION SUMMARY REPORT
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1 DIVISION: BOARD OF EDUCATION SUMMARY REPORT Business Services SUBMITTED BY: Dr. Matt Wayne, Superintendent Agenda Item: J.4 Page: 1 of 37 Board Meeting Date: 03/28/2018 Consent: No SUBJECT: Balfour Beatty Construction Inc., - STEAM Buildings Contract - Deductive Change Order #1 PRIORITY/GOAL: 1.2 Provide safe, clean and modern facilities. HISTORY/BACKGROUND On March 14, 2018, The Board of Education awarded a contract to Balfour Beatty Construction, Inc. in the amount of $60,368, for the STEAM Buildings Project at: - Hayward High School - Mt. Eden High School - Tennyson High School The Board directed staff to partner with the contractor, Balfour Beatty Construction, Inc. and CSDA, Architect of Record, on a Value Engineering process and return with a Deductive Change Order. Vanir and the team has completed the Value Engineering process and has reached an agreement with Balfour Beatty Construction, Inc. on Deductive Change Order #1 in the amount ($6,761,321.00). PURPOSE OF PRESENTATION The purpose of this agenda item is to secure the Governing Board s approval on Deductive Change Order #1 for Bid Project # STEAM Buildings at Three Campuses. IMPLEMENTATION On March 15 and 21, 2018, Vanir met with Balfour Beatty Construction, Inc., CSDA Architects, and staff to review value engineering options to align project costs more closely with budget allocation. The Value Engineering process produced approximately 11.2% ($6,761,321.00) in savings that can be achieved without impacting program or reducing square footage. Modifications will be equitable across all three campuses. Approval of Deductive Change Order #1 will result in an amended contract value of $53,607, Items negotiated include but are not limited to: Change radiant heating to high efficiency VRF heating and air conditioning Change exterior finishes from expensive terra-cotta siding to more traditional stucco plaster and/or cement board siding Reduce interior wood paneling and add drywall with high-grade finish Reduce number and size of exterior awnings and provide interior blinds Replace stainless steel railings with galvanized Reduce landscaping and eliminate cistern Reduce size of skylights Eliminate additional earthquake insurance coverage accepted as Bid Alternate #1 RECOMMENDATION Approved Deductive Change Order #1 for project # STEAM Buildings at Three Campuses to Balfour Beatty Construction, Inc. in the amount of ($6,761,321.00) and proceed with the STEAM Building project.
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10 Hayward Unified School District Building a Culture of Success EXHIBIT J.4. Page 10 of 37 FOR THE BOARD OF EDUCATION CONTRACT AMENDMENT ABSTRACT Board Meeting Date: March 28, 2018 Name of Vendor: Purpose/Scope: Expected Outcomes Balfour Beatty Construction, Inc. Provide the construction of three STEAM buildings Selective demolition, building construction, utility installation and all finishes per DSA approve plans and specifications. ORIGINAL TERMS BOARD APPROVED ON: March 14, 2018 Term: From: 3/15/2016 To: 6/1/2019 Length of Term: 15 Months Cost: Job based quote Total Contract NTE: $60,368, Funding Source: Measure L Bond Fund 21 AMENDED TERMS Term: From: 3/15/2016 To: 6/1/2019 Length of Term: 15 Months Cost: ($6,761,321.00) Deduct from Contract NTE: ($6,761,321.00) Revised Contract NTE: $53,607, Funding Source: Measure L Bond Fund 21 RATIONALE FOR AMENDMENT REQUESTED As directed by the Board on March 14, 2018, the value engineering process has resulted in Deductive Change Order #1 which will result in a revised contract value of $53,607, Verified by Divisional Leader for applicable statute and policy compliance, redundancy, and conflicts of interest contractual or otherwise. Verified by Purchasing Manager for Public Contract Code (PCC) compliance. Verified by Divisional Leader for budgetary compliance. Contract Vendor Contact: David J. Christensen VP Operations Name Title 2335 Broadway, Suite 300t Oakland, CA Mailing/Notice Address City, State, Zip Same Same Physical Address City, State, Zip (510) djchristensen@balfourbeattyus.com Telephone
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