AGENDA CAPTION:
Title
Consider approval of Resolution 2021-259R, approving a Change Order to the construction contract with Hunt San Marcos Development, LLC in the amount of $84,874.10 to reimburse the company for utility fees it paid to Bluebonnet Electric Cooperative, Inc. for electric service for the Public Services Center to avoid disruption of the construction schedule; authorizing the City Manager or his designee to execute the appropriate documents relating to the Change Order on behalf of the City, and declaring an effective date.
Body
Meeting date: December 15, 2021
Department: Utilities - Tyler Hjorth, Director (by Lynda Williams, Purchasing Manager)
Amount & Source of Funding
Funds Required: $84,874.10
Account Number: C132 51536080.70200 ($30,554.68), 52036080.70200 ($28,857.19), 51036012.70200 ($2,546.22), 50036080.70200 ($22,916.01)
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Fiscal Note:
Prior Council Action: December 3, 2019, Resolution 2019-249R - Approval of Predevelopment Services Agreement with Hunt Companies, Inc. in the not-to-exceed amount of $1,500,000, June 16, 2020, Resolution 2020-121R - Approval of Ground Lease and Acquisition Agreement for Public Services Center in the not-to-exceed amount of $44,400,000.
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Background Information:
On December 3, 2019, a Predevelopment Services Agreement for the Public Services Complex was awarded to Hunt San Marcos Development, LLC in the not-to-exceed amount of $1,500,000. The services included in this agreement are for design, finance and construction.
On June 16, 2020, a Ground Lease and Acquisition Agreement for the Public Services Complex was awarded to Hunt San Marcos Development, LLC in the not-to-exceed amount of $44,400,000. This agreement includes financial close with Key Bank by Hunt to secure project funding and completing the design and begin construction phase services.
This agenda item is to approve a change order to the agreement with Hunt San Marcos Development LLC for reimbursement of the Bluebonnet Electric Cooperative, Inc. fee in the amount of $84,874.10. The utility fee is the City’s responsibility however it was paid directly by Hunt in order to maintain the critical path construction schedule.
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Recommendation:
Staff recommends approval of change order in the amount of $84,874.10.