City of Culver City, California
City Council Agenda Item Report
RECOMMENDATION:
Staff recommends the City Council authorize the payment of $58,885.85 for non-
disputed outstanding invoices to Fast-Track Construction Inc. (“Fast Track”) for the
Firing Range Rehabilitation Project, P-832
BACKGROUND:
In January 2007 the City Council awarded a design-build contract to Fast Track for
the design and construction of the Police Firing Range Project in the amount of
$581,772.25. After the award of the Project, soundproofing design was added. The
soundproofing design provided by Fast Track would require the entire project cost to
increase to $1,015,368. While staff anticipated an increase to the Project cost, the
final figure was beyond the available budget. More importantly, staff reviewed the
proposed soundproofing design and questioned the need for all of the proposed
components. Staff solicited the independent architecture firm of McClaren, Wilson
and Lawrie Incorporated (MWL) to evaluate the proposed design by Fast Track and
provided a peer review. The architect’s opinion was that the proposed
soundproofing system was over designed and more costly to construct than other
soundproofing systems for similar firing ranges. MWL recommended that a more
cost effective soundproofing system could be designed and constructed that would
meet the existing budget and operational needs of the Police Department.
On August 25, 2008, the City Council terminated the design-build contract with Fast
Track and directed staff to re-evaluate the soundproofing design and construction
options so that the project can be completed.
Meeting Date: 03/09/2009 Item Number: C-8
AGENDA ITEM: Authorization of Payment of Non-Disputed Outstanding Invoices
to Fast-Track Construction Inc. for the Firing Range Rehabilitation Project, P-832
Contact Person/Dept.: Elaine Jeng/PW Phone Number: 310-253-5621
Fiscal Impact: Yes [X] No [] General Fund: Yes [] No [X]
Public Hearing: [ ] Action Item: [] Attachments: [X]
Public Notification: Fast-Track Construction Corporation on March 2 2009; Master E-
Mail Notification List (03/04/09)
Department Approval:
Charles D. Herbertson 02/26/2009
City Attorney Approval:
Carol Schwab (by H. Baker) (03/02/09)
Chief Financial Officer Approval:
Jeff Muir (by N. Kimball) (03/03/09)
City Manager Approval:
Jerry B. Fulwood (03/04/09) City of Culver City, California
City Council Agenda Item Report
DISCUSSION:
The General Condition provision of the contract document indicates that upon
contract termination, the City shall pay the Design-Builder for the work already
performed under the Design-Build Contract up to the point of termination. After
detailed review of the outstanding invoices from Fast Track, staff determined the
outstanding final payment owed to Fast Track is $58,885.85, including a retention of
one of the already paid invoices of $2,822.52.
Attached to this report is a list of the items for the total outstanding payment of
$58,885.85. Primarily, the final payment is comprised of the direct costs to the
project subcontractors (electrical, HVAC, ballistic trap, architectural, and etc). Fast
Track disputes this amount, contending they are entitled to the entirety of the
general conditions (profit) for their involvement in the project rather than a portion of
the general conditions based upon the percentage work completed. Staff disagrees
with this assessment.
Staff is recommending the City Council approve the payment of $2,822.52 for the
retention held on an already paid invoice and the non-disputed subcontractor direct
cost of $56,648.61 for a total payment of $58,885.85. This undisputed amount due
to Fast Track has been reduced by $5,467.23, an amount that is being withheld due
to a stop notice that was recently filed by a subcontractor.
FISCAL ANALYSIS:
The Firing Range project (P-832) is funded by Asset Seizure Fund 416. The original
budget for this project in FY 2004/05 was $630,000, which was subsequently
increased to $930,000 in FY 2005/06. To date, approximately $230,000 has been
expended including the demolition phase and lead abatement phase of the Project,
which was performed under a different contract with another contractor. Of the total
expended amount, approximately $65,400 was paid to Fast Track during the course
of their contract. The remaining Project funding is approximately $700,000 of which
$102,300 is set aside for the re-design services.
ATTACHMENTS:
A. Breakdown of Final Payment to Fast-Track
City of Culver City, California
City Council Agenda Item Report
MOTION:
That the City Council:
1. Authorize the payment of $58,885.85 for non-disputed outstanding invoices to
Fast-Track Construction Inc. for the Firing Range Rehabilitation Project, P-832 ;
and
2. Authorize the payment of the amount withheld for the Stop Notice ($5,467.23)
upon resolution of the Stop Notice by the contractor.
MEETING DATE: 3/9/09
AGENDA ITEM:
Authorization of Payment of Non-Disputed Outstanding
Invoices to Fast-Track Construction Inc. for the Firing
Range Rehabilitation Project, P-832
ATTACHMENTS
Pages|109| Breakdown of Final Payment to Fast-Track 1Culver City Police Firing Range Project P-832
Calculation of Un-Disputed Amount of Final Payment
to Fast-Track Construction
Payment App Description Direct Cost
APP 'I Architectural PAID
APP 2 CCO 11 & CCO 2 PAID
APP 3 Bond $11,635.45
APP 4 Electrical $3,775.00
APP 5 HVAC $5,000.00
APP 6 Ballistic Steel $9,838.87
APP 7 Architectural $1,656.86
APP 8 Acoustic Arch $21,919.91
APP 8A Acoustic Arch $1,457.27
APP 9 Demobilization $750.00
APP 10 Retention on APP I' $2,822.52
Total $58,855.88