Okaloosa County BOCC — December 2, 2014 — Action Item Printout

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: December 2, 2014 TO: Honorable Chairman and Members of the Board FROM: Don Turner SUBJECT: New SO Building - Deductive Change Order 14-04 DEPARTMENT: Facility Maintenance BCC DISTRICT: 2 STATEMENT OF ISSUE: Requests BCC approval of Deductive Change Order 14-04 to the Lord & Son Contract on the Sheriff's New Building. BACKGROUND: The Guaranteed Maximum Price (GMP) for the Sheriff's new building included all the materials necessary to construct the building. In order to reduce the sales tax cost on the project, the county is purchasing a large quantity of the materials directly through its Owner Direct Purchase (ODP) program. Since the materials cost, along with the sales tax, was included in the Construction Manager's contract, a deductive change order is necessary. This will reduce the CM's contract by the amount purchased through the ODP program including the sales tax on that amount. Over $23,600 in sales tax has been saved as a result of the use of the ODP program on this project to date. Staff recommends approval of Deductive Change Order 14-04. RECOMMENDATIONS: Request BCC approval of Deductive Change Order 14-04 in the amount of $399,786.06 to the Lord & Son Contract on the Sheriff's New Building and for the Board to authorize the Chairman to execute all related documents. RECOMMENDED BY: APPROVED BY: John Hofstad, Interim County Administrator