Title
Phoenix Sky Harbor International Airport Terminal 4 Baggage Handling System Upgrades - Construction Manager at Risk Services Amendment - AV21000109 (Ordinance S-52495) - District 8
Description
Request to authorize the City Manager, or his designee, to amend Agreement 157694 with The Weitz Company, LLC to provide additional construction services for the Phoenix Sky Harbor International Airport Terminal 4 Baggage Handling System Upgrades project. Further request to authorize the execution of amendments to the Agreement as necessary within the Council-approved expenditure authority provided below, and for the City Controller to disburse all funds related to this item. The additional fee for services included in the amendment will not exceed $26 million.
Report
Summary
The purpose of the project is to modernize the Phoenix Sky Harbor International Airport Terminal 4 (T4) Baggage Handling System (BHS). The project is necessary because the BHS used by American Airlines and the various Common Use systems are largely obsolete and operating on controls using technology at end of life at more than 25 years old. The scope of the amendment is part of the larger effort of Terminal 4 BHS modernization.
The amendment is necessary for additional Construction Phase Services for the modernization of the T4 North Concourse 4 Recheck BHS. The amendment will provide additional funds to the Agreement.
Contract Term
The term of the Agreement remains unchanged. Work scope identified and incorporated into the Agreement prior to the end of the term may be agreed to by the parties, and work may extend past the termination of the Agreement. No additional changes may be executed after the end of the term.
Financial Impact
- The initial Agreement for Construction Manager at Risk Services was approved for an amount not to exceed $300,000, including all subcontractor and reimbursable costs.
- An amendment to the Agreement for Construction Manager at Risk Services was approved for an additional amount not to exceed $8.2 million, including all subcontractor and reimbursable costs.
- An amendment to the Agreement for Construction Manager at Risk Services was approved for an additional amount not to exceed $48.1 million, including all subcontractor and reimbursable costs.
- The amendment will increase the cost of the Agreement by $26 million for a new total amount not to exceed $82.6 million, including all subcontractor and reimbursable costs.
Funding for the amendment is available in the Aviation Department's Capital Improvement Program budget. The Budget and Research Department will separately review and approve funding availability prior to the execution of any amendments. Payments may be made up to Agreement limits for all rendered Agreement services, which may extend past expiration or termination of the Agreement.
Concurrence/Previous Council Action
The City Council approved:
- Construction Manager at Risk Preconstruction and Construction Services Agreement 157694 (Ordinance S-49323) on January 25, 2023.
- Architectural Services Agreement 157695 (Ordinance S-49328) on January 25, 2023.
- Construction Manager at Risk Preconstruction and Construction Services Amendment to Agreement 157694 (Ordinance S-50050) on July 3, 2023.
- Architectural Services Amendment to Agreement 157695 (Ordinance S-50048) on July 3, 2023.
- Construction Manager at Risk Preconstruction and Construction Services Amendment to Agreement 157694 (S-50915) on May 29, 2024.
Location
2485 E. Buckeye Road, Phoenix, AZ
Council District: 8
Department
Responsible Department
This item is submitted by City Manager Ed Zuercher, Deputy City Manager Amber Williamson, the Aviation Department and the City Engineer.