Okaloosa County BOCC — February 16, 2016 — No Cost Change Order with Ajax for the Crestview Courthouse Design — agenda request

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: February 16, 2016 TO: Honorable Chairman and Members of the Board FROM: Jason Autrey SUBJECT: No Cost Change Order with Ajax for the Crestview Courthouse Design Work DEPARTMENT: Public Works BCC DISTRICT: 3 STATEMENT OF ISSUE: Currently the scope of work outlined in the contract with Ajax Building Corporation contemplates remodeling of the existing facility with an addition. At the October 2, 2015 Board of County Commissioners meeting direction was provided to the design team to proceed with the full redevelopment of the parcel. Though much of the information gathered by the design team was still relevant to the project (end user needs), additional work effort was required to start anew considering the revised project scope. Ajax has proceeded with that effort and now requests a change order to the contract based on the revised scope direction. BACKGROUND: On October 2, 2015 the Board of County Commissioners (BCC) provided direction to staff and the design team to proceed with the complete reconstruction of the Crestview Courthouse due to discovered mold and asbestos related issues. This change in project scope altered the overall construction costs and required some redevelopment of conceptual designs. Since the design-build contract with Ajax is based on the total construction costs, an adjustment to the contract approved is warranted. Fees associated with the revised scope and construction costs would equate to a warranted increase of $777,487; that would cover all previously completed work, required design work and pending construction management based on the estimated project total. In an effort to minimize the funds encumbered as part of this project, change order 2 is proposed to reallocate existing approved funds (i.e. no increase in the current approved amount) and extend the current contract date. In order to accomplish this Ajax has included a cost allocation document showing the current funds utilized for the design and pre-construction fees only. At such time as a Guaranteed Maximum Price (GMP) is agreed upon, these values will again be adjusted because they are determined as a percentage of the project construction costs. Payments made during the design and pre-construction period will be accounted for when the GMP contract is prepared. OPTIONS: Approve/deny Change Order 2 with Ajax Building Corporation for work related to the Crestview Courthouse. Change Order 2 has no dollar value adjustment, but extends the design portion of the contract to July 15, 2016. RECOMMENDATIONS: Approve Change Order 2 with Ajax Building Corporation for work related to the Crestview Courthouse. Change Order 2 has no dollar value adjustment, but extends the design portion of the contract to July 15, 2016. RECOMMENDED BY: APPROVED BY: John Hofstad, County Administrator