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17 Staff Report.Tucker Construction ARC ADA RR project closeout with Attachments PREPARED BY: Dan Keller Facilities & Environmental Services Manager Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Finance Director, and Parks and Public Works Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 08/06/2024 ITEM NO: 17 DATE: August 1, 2024 TO: Mayor and Town Council FROM: Laurel Prevetti, Town Manager SUBJECT: Americans with Disabilities Act (ADA) Upgrade Public Restroom – Adult Recreation Building (CIP No. 821-2601): a. Authorize the Town Manager to Execute a Certificate of Acceptance and Notice of Completion for Construction of an Americans with Disabilities Act (ADA) Compliant Public Restroom in the Adult Recreation Building Completed by Tucker Construction, Inc., and Authorize the Town Clerk to File for Recordation (CIP No. 821-2601); b. Authorize an Expenditure Budget Decrease of Community Development Block Grant (CDBG) Funds in an Amount of $218,979; and c. Authorize an Expenditure Reclassification from Grant Fund to General Fund Appropriated Reserve (GFAR) in an amount of $50,361.26 RECOMMENDATION: Americans with Disabilities Act (ADA) Upgrade Public Restroom – Adult Recreation Building (CIP No. 821-2601): a. Authorize the Town Manager to Execute a Certificate of Acceptance and Notice of Completion (Attachment 1) for Construction of an Americans with Disabilities Act (ADA) Compliant Public Restroom in the Adult Recreation Building Completed by Tucker Construction, Inc., and authorize the Town Clerk to File for Recordation (CIP No. 821-2601); b. Authorize an Expenditure Budget Decrease of Community Development Block Grant (CDBG) Funds in an amount of $218,979; and c. Authorize an expenditure reclassification from Grant Fund to General Fund Appropriated Reserve (GFAR) in an amount of $50,361.26. PAGE 2 OF 3 SUBJECT: Americans with Disabilities Act (ADA) Upgrade Public Restroom – Adult Recreation Building (CIP No. 821-2601) DATE: August 1, 2024 BACKGROUND: The Adult Recreation Building services seniors and having an accessible ADA-compliant public restroom is essential to the functioning of the building. This project was created to provide an ADA-compliant public restroom on the ground floor of this building. On June 20, 2023, Town Council authorized the Town Manager to execute a Construction Agreement with Tucker Construction Inc. for the construction of an ADA compliant restroom for a total agreement in the amount of $274,439, including a 10% contingency for unforeseen services. Construction start was delayed to November 2023 so the most substantial work would occur during the holiday break between Christmas and the New Year. The contingency amount was used for unforeseen plumbing work during the project. On June 4, 2024, a first amendment to the Construction Agreement in the amount of $13,538 was authorized by Council to allow for Tucker Construction, Inc. to complete additional unforeseen work. The total agreement amount authorized by Council was $287,977. During the project development, Community Development Block Grant (CDBG) funds in an amount of $218,979 were identified and staff brought the draft CDBG funding agreements to Council for authorization of receipt and use of the funds. Ultimately, the CDBG funding agreement was not fully executed by the County, resulting in the funds not being available. County staff has confirmed that for the CDBG funds are listed as cancelled in the County’s system, indicating they are no longer available for the Town’s use. During the project development, Council also authorized receipt and use of a $250,000 grant from the County of Santa Clara as proposed by Supervisor Simitian. The Town received the funds in the full amount and credited them to the project through the Town’s General Fund Appropriated Reserves (GFAR). DISCUSSION: Tucker Construction Inc. began work in November 2023 and as of June 5, 2024, has satisfactorily completed all contracted work items, for a final construction cost of $287,977. Five percent of the faithful performance bond will remain in effect for a period of two years as a guarantee for any needed repair or replacement caused by defective materials and/or workmanship for the project. The execution and recordation of the Certificate of Acceptance is now required to finalize the Town’s acceptance of the project and to release the retention funds withheld from the contractor. PAGE 3 OF 3 SUBJECT: Americans with Disabilities Act (ADA) Upgrade Public Restroom – Adult Recreation Building (CIP No. 821-2601) DATE: August 1, 2024 DISCUSSION (continued): This work was the final component to the project and the project will now be considered complete, closed out, and removed the Capital Improvement Program. CONCLUSION: With Council’s authorization of the recommendations, the contract with Tucker Construction will be closed out and staff will proceed with other close out steps. FISCAL IMPACT: CDBG funds in the amount of $218,979 were not available and a budget adjustment is necessary to document this fact. Project expenditures include $50,361.26 which were expensed to grant funds that were not received. Staff is requesting Council to authorize an expenditure reclassification from grant fund to General Fund Appropriated Reserve (GFAR) in the amount of $50,361.26 to correctly reflect the funding source of the expense. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and not further action was required. Attachment: 1. Certificate of Acceptance and Notice of Completion Budget Costs GFAR 183,000$ Grant Funds - Santa Clara County Board of Supervisors 250,000$ Grant Funds - Community Development Block Grant (CDBG)78,979$ Grant Funds - Community Development Block Grant (CDBG)140,000$ Budget Decrease of Community Development Block Grant (CDBG) Funds (Requested with this Staff Report)(218,979)$ Total Budget 433,000$ Costs Project Expenditures 353,136$ Total Costs 353,136$ Available Balance 79,864$ Americans with Disabilities Act (ADA) Public Restroom Upgrade - Adult Recreation Center CIP No. 821-2601 Recording Requested by: TOWN OF LOS GATOS WHEN RECORDED MAIL TO: TOWN CLERK TOWN OF LOS GATOS 110 E MAIN ST LOS GATOS, CA 95030 ______________________________________________________________________________ (SPACE ABOVE BAR FOR RECORDER’S USE) (RECORD WITHOUT FEE UNDER GOVERNMENT CODE SECTIONS 27383 AND 6103) TYPE OF RECORDING CERTIFICATE OF ACCEPTANCE AND NOTICE OF COMPLETION PPW JOB NO. 421-821-2601 Adult Recreation Center ADA Restroom TO WHOM IT MAY CONCERN: I do hereby certify that Tucker Construction, Inc. completed the work called for in the agreement with the Town of Los Gatos dated July 12, 2023. The work is outlined in the Town’s bid process prepared by the Town of Los Gatos and generally consisted of furnishing all labor, materials, tools, equipment, and services required for completion of the PPW Job No. 421-821-2601 located in the TOWN OF LOS GATOS, County of Santa Clara, State of California and was completed, approved and accepted June 5, 2024. Bond No.: 4458735 Date: 6/20/23 TOWN OF LOS GATOS By: __________________________________ Laurel Prevetti, Town Manager Acknowledgment Required ATTACHMENT 1