Agenda - Council - 03/25/2014 - Laserfiche WebLink

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CC Regular Session 4. 7. Meeting Date: 03/25/2014 By: Mark Riverblood, Engineering/Public Works Information Title Amend the Requirement for Performance Bonding From Two Years to One, for the Elmcrest Park Building. Purpose/Background: After contact signing, Howard Jacobson of American Liberty Construction, the Construction Manager for Elmcrest Park's community building noted that the term for the Performance Bond was for a two-year term and not the more standard one year. Bruce Bissonnette, the architect for the City, confirmed that this is standard for buildings of Elmcrest's scope, and that he and Mr. Jacobson overlooked this detail within the sample document provided by the American Institute of Architects (AIA). American Liberty Construction requested that the requirement be adjusted from the two years specified to one year, as it would represent a cost savings to the Construction Manager of approximately $1,800. The City Attorney supports the change as identified in the attached AIA Document G701. This 'change order' does NOT amend the Guaranteed Maximum Price up or down, nor any other term approved by the city. Observations/Alternatives: While a longer bond term would generally be advantageous to the City, staff considers this a clerical error, and in good faith would recommend that the modification be made to require the standard performance bond term for projects of this type. However, given the nature of the signed contract, the City is not obligated to make the revision. Recommendation: Approve a motion authorizing the City Administrator to approve AIA Document G701, amending the terms of the bonding to not less than one year, from a term that previously read 'not less than two years'. Action: Motion to authorize the City Administrator to approve AIA Document G701, amending the terms of the bonding to not less than one year, from a term that previously read 'not less than two years'. Attachments Change Order Elmcrest Form Review Inbox Reviewed By Date Grant Riemer Grant Riemer 03/20/2014 08:04 AM Kurt Ulrich Kurt Ulrich 03/20/2014 08:32 AM Form Started By: Mark Riverblood Started On: 03/07/2014 09:56 AM Final Approval Date: 03/20/2014