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HomeMy WebLinkAboutAgenda - 08-19-2008- 4eeORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: August 19, 2008 Action Agenda Item No. ~' -~~ SUBJECT: Animal Services Facility -Second Amendment to Agreement for Construction Manager at Risk DEPARTMENT: Purchasing PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Second Amendment to Agreement for Construction Manager at Risk INFORMATION CONTACT: Pam Jones, 919-245-2652 PURPOSE: To consider approving a Second Amendment to the Agreement for Construction Manager at Risk; and authorize the County Manager to execute future change orders. BACKGROUND: On June 3, 2008, the Board approved the First Amendment to the Agreement for Construction Manager at Risk (CMAR) for the building construction phase of the Animal Services Facility. The attached Second Amendment allows $104,000 of the contingency funding in the project to be available to the Contractor for change order items as they may occur during construction. There was no contingency approved in earlier Board action. As with other contingency funds, should the $104,000 not be used by the end of the project, the funds would revert to the County. Further, it is requested that the Manager be authorized to execute change orders that might arise during the project and which may be charged against the contingency funds. The expediency of response to change order approval is particularly critical to this project given the window during which the project must be completed in order to comply with the University's desire for the County to vacate the existing site by December 31, 2008. While no change orders are pending at this time, contingency requests are expected during the course of the project, hence the request for Manager authorization. As is typical, the authorization would extend only to the extent of funding available for the project. FINANCIAL IMPACT: This action incorporates the joint contingency funds of $104,000 into the Amended CMAR contract, yielding a total contract cost of $7,458,500. The contingency was calculated in the project budget and requires no additional funding. RECOMMENDATION(S): The Manager recommends that the Board approve the Second Amendment to the Agreement for Construction Manager at Risk for the Animal Services Facility; and authorize the County Manager to execute future change orders to the extent of project funding. 2 ORANGE COUNTY NORTH CAROLINA SECOND AMENDMENT TO AGREEMENT FOR CONSTRUCTION MANAGER AT RISK SERVICES THIS SECOND AMENDMENT TO AGREEMENT FOR CONSTRUCTION MANAGER AT RISK SERVICES (this "Amendment") is made effective this day of 2008, (the "Execution Date") by and between ORANGE COUNTY, NORTH CAROLINA ("Owner"), and CLANCY & THEYS CONSTRUCTION CO., a North Carolina corporation ("CHAR") (Owner and CHAR to sometimes be referred to together herein as the "Parties"). WITNESSETH: WHEREAS, Owner and CHAR entered into an Agreement for Construction Manager at Risk Services made effective February 19, 2008 (the "Agreement') and a First Amendment to the Agreement made effective June ~ 2008 (the "First Amendment") which Agreement and First Amendment together provide for the total construction of an Animal Services Facility to be located in Chapel Hill, North Carolina (the "Facility"); and WHEREAS, the Agreement, as amended by the First Amendment, contained a Guaranteed Maximum Price of $7,354,500.00 for the completion of the Facility Project Work; and WHEREAS, the Parties now desire to further amend the Agreement as amended by the First Amendment to add a CHAR contingency amount of $104,000 to the Guaranteed Maximum Price as described herein. NOW, THEREFORE, in consideration of good and valuable consideration, the mutual receipt and legal sufficiency of which are hereby acknowledged, the parties agree as follows: 1. Incorporation of Preamble and Recitals. The preamble and recitals to this Amendment are hereby incorporated herein by reference and made a part of this Amendment. 2. Definitions. All capitalized terms used and not otherwise defined herein shall have the meanings ascribed to them in the Agreement. All references in the Agreement to "this Agreement" shall be deemed to be the Agreement as amended by the First Amendment and this Amendment unless the context requires otherwise. 3. Guaranteed Maximum Price. The Parties agree that the Guaranteed Maximum Price for the CMAR's Work as of the date hereof shall be the sum of $7,458,500.00 (the "GMP"), the components of which are set out and described on Exhibit "A" attached hereto and incorporated herein by reference. The Parties further agree that the $104,000 added as CHAR contingency to Exhibit "A" and to the Guaranteed Maximum Price can be made available to CHAR for use by the CHAR under the following conditions: 1) that the contingency need is a 3 condition communicated to the Owner by the CMAR and approved per the Agreement as a change order; 2) that the condition is not part of the CMAR's general conditions, profit or overhead; 3) that the condition is not a scope change directed by the Owner; and 4) that at the completion of the Work, any amount of the $104,000 CMAR contingency not approved for CMAR contingencies will revert to Owner and will not be included in the request of CMAR for final payment. 4. Continued Force and Effect. The Parties confirm the Agreement as amended by the First Amendment and acknowledge and agree that, as further amended by this Amendment, the Agreement is binding and is and remains unchanged and in full force and effect. 5. Counterparts. This Amendment may be executed in any number of counterparts and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding that all Parties have not signed the same counterpart. Any. signature delivered by a party by facsimile transmission or by sending a scanned copy of the executed Amendment by electronic mail shall be deemed, and shall have the same force and effect as, an original signature hereto. [Signature Page to Follow) 4 IN WITNESS WHEREOF, the Parties hereunto, intending to be legally bound, and with the signatories representing they are empowered to bind their principals, have executed this Amendment on the day and year hereinafter first written. CMAR: Clancy & Theys Construction Co. 516 West Cabarrus Street Raleigh, NC 27603 By: Joel T. Clancy, Executive Vice President Attest: By: Title: (Secretary) (Manager) (Witness) OWNER: ORANGE COUNTY, NORTH CAROLINA P. O. Box 8181 Hillsborough, N.C. 27278 By: Barry Jacobs, Chair of Orange County Board of Commissioners Attest: Donna S. Baker Clerk to the Board This instrument has been pre-audited in the manner required by the local Government Budget and Fiscal Control Act. Orange County Finance Officer This instrument is approved as to Form. Geoffrey E. Gledhill, Orange County Attorney F:\Lisa\orange county\Sewnd Amendment to OCAS CMAR contract prep by GEG 62008.doc