File #: 24-2913   
Type: Ordinance-S Status: Adopted
Meeting Body: City Council Formal Meeting
On agenda: 1/22/2025 Final action: 1/22/2025
Title: Phoenix Sky Harbor International Airport Terminal 4 Vertical and Horizontal Transportation System Modernization Phase II - 2-Step Construction Manager at Risk Construction Services Amendment - AV21000110 FAA (Ordinance S-51613) - District 8
District: District 8

Title

Phoenix Sky Harbor International Airport Terminal 4 Vertical and Horizontal Transportation System Modernization Phase II - 2-Step Construction Manager at Risk Construction Services Amendment - AV21000110 FAA (Ordinance S-51613) - District 8

 

Description

Request to authorize the City Manager, or his designee, to execute an amendment to Agreement No. 160212 with CHASSE Building Team, Inc. to provide additional Construction Manager at Risk Construction Services for the Phoenix Sky Harbor International Airport Terminal 4 Vertical and Horizontal Transportation System Modernization Phase II project. Further request to authorize the City Manager, or his designee, to execute amendments to the Agreement as necessary and within the Council-approved expenditure authority as provided below, and for the City Controller to disburse all funds related to this item. The additional fee for services included in this amendment will not exceed $5 million.

 

Report

Summary

The purpose of this project is the modernization and replacement of critical vertical and horizontal transportation systems as part of on-going airport efforts to improve terminal operation, enhance passenger experience, and work towards achieving the airport's net-zero carbon emissions goals. The project is Phase II, as part of a multi-year effort, to address the modernization of a mixture of different types of equipment, including elevators, escalators, and moving walkways. When completed, all equipment is expected to receive a new useful life with updated finishes and new technology.

 

This amendment is necessary to increase the spending authority due to the latest update of the construction estimate conducted at the construction document development stage. This amendment will provide additional funds and time to the Agreement.

 

Contract Term

The term of the Agreement remains unchanged from the original term. 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 2-Step Construction Manager at Risk Preconstruction and Construction Services was approved for an amount not to exceed $45 million, including all subcontractor and reimbursable costs.
  • This amendment will increase the Agreement by an additional $5 million, for a new total amount not to exceed $50 million, including all subcontractor and reimbursable costs.

 

Funding for this amendment is available in the Aviation Department's Capital Improvement Program. The Aviation Department anticipates grant funding for the project. 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 the termination of the Agreement.

 

Concurrence/Previous Council Action

The City Council approved 2-Step Construction Manager at Risk Preconstruction Services Agreement 160211 and Construction Services Agreement 160212 (Ordinance S-50666) on March 20, 2024.

 

Location

2485 E. Buckeye Road

Council District: 8

 

Department

Responsible Department

This item is submitted by Deputy City Managers Mario Paniagua and Inger Erickson, the Aviation Department and the City Engineer.