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Staff Report.Corp Yard Building Replacement - S&H Const. Inc PREPARED BY: Dan Keller Facilities and Environmental Services Manager Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Interim Finance Director, and Acting Director of Parks and Public Works 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 08/02/2022 ITEM NO: 14 DATE: July 15, 2022 TO: Mayor and Town Council FROM: Laurel Prevetti, Town Manager SUBJECT: Authorize the Town Manager to Execute an Agreement for Services with S & H Construction Inc. for the Corporation Yard Building Replacement Project (CIP No. 821-2302) at 41 Miles Avenue for a Total Agreement Amount Not to Exceed $999,180 Including 30% for Unanticipated Services RECOMMENDATION: Authorize the Town Manager to execute an Agreement for Services with S & H Construction Inc. for the Corporation Yard Building Replacement Project (CIP No. 821-2302) at 41 Miles Avenue for a total agreement amount not to exceed $999,180 including 30% for unanticipated services. BACKGROUND: This project includes the construction of a replacement building at 41 Miles Avenue which will be utilized entirely for storage for Parks and Public Works (PPW) equipment and Police evidence. DISCUSSION: Originally this project was scoped to include the demolition of the existing building and was advertised in January 2022. Only 1 bid was received at that time and the cost proposal was over the allotted budget amount. On March 3, 2022, as recommended by staff, the Town Council rejected the single bid and approved an additional $600,000 for the project. In order to facilitate a more competitive bidding process, the existing building was demolished on July 5, 2022 to help reduce the costs for the overall project. The Town advertised and received two bids for the revised project on July 12, 2022. S & H Construction Inc. had the most cost- effective proposal for the building construction within our revised budget. PAGE 2 OF 2 SUBJECT: Authorize the Town Manager to Execute an Agreement for Services with S & H Construction Inc. for the Corporation Yard Building Replacement Project (CIP No. 821-2302) at 41 Miles Avenue for a Total Agreement Amount Not to Exceed $999,180 Including 30% for Unanticipated Services. DATE: July 15, 2022 CONCLUSION: Authorize the Town Manager to execute an Agreement for Services with S & H Construction Inc. for the Corporation Yard Building Replacement Project (CIP No. 821-2302) at 41 Miles Avenue for a total agreement amount not to exceed $999,180 including 30% for unanticipated services. FISCAL IMPACT: ENVIRONMENTAL ASSESSMENT: In accordance with CEQA Guidelines Section 15302, this contract approval is categorically exempt from CEQA as replacement or reconstruction of existing facility. Attachments: 1. Agreement for Services Budget Costs GFAR 1,237,483$ Total Budget 1,237,483$ Costs Agreement with S&H Construction (Approved with this Staff Report)999,180$ Total Costs 999,180$ Available Balance 238,303$ Building Replacement at Corporation Yard CIP No. 821-2302