Title
South Parking Lot at 24th Street Sky Train Station - Construction Manager at Risk Construction Services Amendment 4 - AV15000076 (Ordinance S-46959)
Description
Request to authorize the City Manager, or his designee, to execute an amendment to Agreement 145419 with Hensel Phelps Construction Co. (Hensel Phelps) to provide additional Construction Manager at Risk (CMAR) Construction Services for the South Parking Lot at 24th Street Sky Train Station project. Further request to authorize execution of amendments to the agreement as necessary 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 $14 million.
Report
Summary
The purpose of this project is to construct a public parking lot of approximately 1,600 parking spaces, providing easy access to the 24th Street Sky Train Station. The entire lot will be asphalt-paved surface parking with access control, security cameras, electric car charging stations, pedestrian emergency duress stations, lighting, and fire hydrants per code, plus provisions for future guard shack/security booth and bus stops.
This amendment will provide for construction of a new public parking lot south of the 24th Street Sky Train Station. Originally the City embarked on a Public Private Partnership (PPP) project for the private sector to build a hotel, commercial property, and parking structures at the corner of Buckeye and 24th Street. Since the private sector (PPP) was going to build the project at the time, the parking lot was removed from the scope of the City of Phoenix’s construction contract with Hensel Phelps. The Parking and Hotel Development Concession Opportunity has been cancelled with no intention to re-issue. Consequently, the scope to build the South Parking Lot at 24th Street Sky Train Station must be added back into the Sky Train Project for construction. This amendment will provide additional funds and time to the agreement.
Hensel Phelps Construction Co.'s additional services include, but are not limited to: Guaranteed Maximum Price preparation, investigating utility conflicts, arranging for the procurement of materials and equipment, providing quality controls, and constructing the new parking lot. Hensel Phelps will be responsible for construction means and methods related to the project and fulfilling the Small Business Enterprise program requirements. Hensel Phelps will be required to solicit bids from pre-qualified subcontractors and to perform the work using the City’s subcontractor selection process. Hensel Phelps may also compete to self-perform limited amounts of work.
This Agreement is essential to the health, safety and welfare of the public and critical operations for the City.
Contract Term
The term of this amendment increases the contract to five years from the original Notice to Proceed. 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 CMAR construction services agreement and Amendment 1 were approved for an amount not-to-exceed $60 million, including all subcontractor and reimbursable costs.
- Amendments 2 and 3 increased the not-to-exceed agreement value by an additional $265 million, including all subcontractor and reimbursable costs.
- Amendment 4 will increase the agreement by an additional $14 million, for a new total not-to-exceed agreement value of $339 million, including all subcontractor and reimbursable costs.
Funding for this 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 the agreement termination.
Concurrence/Previous Council Action
The City Council approved:
- CMAR Preconstruction Services Agreement 145418 (Ordinance S-43669) on June 21, 2017; and
- CMAR Construction Services Agreement 145419 (Ordinance S-43680) on June 21, 2017; and
- CMAR Construction Services Agreement 145419 Amendment 2 (Ordinance S-44576) on May 16, 2018.
Location
Buckeye Road and 24th Street
Council District: 8
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua, the Aviation Department, and the City Engineer.