Title
a. Receive a status report on the New Juvenile Hall, Project 8811;
b. Adopt a resolution to:
1. Authorize and direct the Auditor-Controller to amend the FY 2019-20 Resource Management Agency Adopted Budget, Fund 404, Appropriation Unit RMA015, to increase appropriations by $2,298,916 and revenue by $815,637, where the financing source is unassigned fund balance of $1,483,279 and an operating transfer in of $815,637 from the General Fund 001, Contingencies Appropriation Unit CAO020 (4/5ths vote required), including costs for Change Orders (#157-#198), Building 7 (boiler, roof repairs, HVAC), Soft Costs, and Security Fencing between the Gym and Buildings 1A and 1B;
2. Authorize the Contracts/Purchasing Officer, under the terms of the cooperative agreement with NJPA (Sourcewell) contract #031715, to approve purchase orders for detention facility furniture for the New Juvenile Hall (Project No. 8811) in an amount not to exceed $94,619; and
c. Take such other actions as may be necessary or appropriate regarding funding for the New Juvenile Hall Project, Project 8811, including Change Order #200 ($28,664.03 for irrigation) and Security Fencing around staff parking ($250,000).
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Receive a status report on the New Juvenile Hall, Project 8811;
b. Adopt a resolution to:
1. Authorize and direct the Auditor-Controller to amend the FY 2019-20 Resource Management Agency Adopted Budget, Fund 404, Appropriation Unit RMA015, to increase appropriations by $2,298,916 and revenue by $815,637, where the financing source is unassigned fund balance of $1,483,279 and an operating transfer in of $815,637 from the General Fund 001, Contingencies Appropriation Unit CAO020 (4/5ths vote required), including costs for Change Orders (#157-#198), Building 7 (boiler, roof repairs, HVAC), Soft Costs, and Security Fencing between the Gym and Buildings 1A and 1B;
2. Authorize the Contracts/Purchasing Officer, under the terms of the cooperative agreement with NJPA (Sourcewell) contract #031715, to approve purchase orders for detention facility furniture for the New Juvenile Hall (Project No. 8811) in an amount not to exceed $94,619; and
c. Take such other actions as may be necessary or appropriate regarding funding for the New Juvenile Hall Project, Project 8811, including Change Order #200 ($28,664.03 for irrigation) and Security Fencing around staff parking ($250,000).
SUMMARY/DISCUSSION:
The Resource Management Agency (RMA) manages the New Juvenile Hall, Project 8811 (Project), for the Monterey County Probation Department. The Project has been under construction since April 2017. The Phase I Project Close Out began in October 2019. The Phase I Project Close Out consists of addressing final construction punch list items, fine tuning security cameras, staff training, and commissioning prior to transitioning the youth out of the old facility into the new buildings. Once Phase I is completed and the buildings are occupied, two (2) original buildings will be demolished and replaced with two (2) new Phase II facilities. Initially, Phase I was scheduled to be completed in July 2018. Currently, completion is anticipated by December 31, 2019. Phase II, the final project phase, entails construction of two (2) additional buildings, Building 2-High Security Housing and Building 5-Cafeteria/Service Building, and is scheduled for completion within one (1) year from the date construction begins, which is currently estimated for December 2020.
The Project, including Phase I and Phase II, currently has an overall construction budget of $59,582,935. A total of $45,444,632 in Project costs has been expended through June 30, 2019, including the allocated project contingency. Though the Project is technically within the overall construction budget, Phase II construction has not started. Additionally, Building 7, an original building retained within the boundaries of Phase I, will require work prior to occupancy that is not included in the original Project scope.
All major projects are subject to ongoing change orders through project completion that impact costs and/or timeline. An extensive number of challenges involving multiple change orders and requests for additional time have impacted Phase I costs, both construction and soft costs (project management). The Project Team is working diligently to control budgetary/time overruns by restricting Project change orders wherever possible to scope revisions and legal requirements. RMA has dedicated additional resources to the Project to ensure the County is able to react quickly to change requests to keep the project moving forward and minimize any schedule delays.
The Project budget includes approved funding for furniture, fixtures, and equipment; however, the agreements and purchase orders necessary to procure these items also require Board of Supervisors approval if the dollar amount exceeds $100,000. On September 10, 2019, the Board of Supervisors approved purchase orders for detention facility furniture for the Project in an amount not to exceed $168,379. This allowed staff to purchase a portion of the budgeted furniture. Action item (c) will authorize execution of purchase orders and contracts as needed, in compliance with the County’s procurement policy, for purchase of furniture within the approved Project budget. Costs for these furniture purchases are included in the current Project budget and are not part of the additional funding request. Due to the expense of storing furniture on-site, Staff recommends purchasing Phase II furniture in late 2020, closer to the installation date. Even with possible price increases factored in, purchasing Phase II furniture in late 2020 is expected to cost less than storing furniture for an extended time. A cost-escalation factor has been added to the purchase order authorization request to account for these potential increases.
Staff presented reports to the Capital Improvement Committee and Budget Committee (BC) that identified multiple capital funding needs (Attachment B). On October 24, 2019, the BC voted to support recommendations for Change Orders (#157 through #198), Building 7 (not included within the project scope), soft costs, and security fencing between the Gym and Buildings 1A and 1B.
Attachment A provides a description of the Project Scope, Project Team Members, Recent Construction Progress, and Project Schedule & Time Impact Analysis Status. Attachment B discusses the Project budget and funding request supported by the BC. Attachment C provides a detailed description of each change order and additional cost in the funding request supported by the BC. Attachment D is the resolution authorizing the funding request. Attachment E includes two (2) Peninsula Business Interiors quotes for Project furniture.
OTHER BOARD OPTIONS - CAPITAL FUNDING NEEDS - REQUESTS FOR SPECIAL CONSIDERATION:
Staff Parking Area Fencing. During the October 24 meeting, the BC requested data to support a funding request for fencing around the staff parking area. Although this funding request was not supported by the BC pending the presentation of data and information to support the funding request for fencing around the staff parking area, the Chief Probation Officer requests special consideration and recommends that the requested funding allocation include an additional amount sufficient to pay for fencing around the staff parking area for the reasons set forth below.
In the current design, parking for Probation Department staff moved from its current location along Natividad Road to Chaparral Street. This places the staff parking area in an unsecured area within the release path for inmates at the County Jail. There is concern that without a secured parking area, staff and their personal vehicles may be exposed to unsafe retaliatory or confrontational situations, especially during non-business hours. This safety measure will provide for a safer, more secure parking area for County employees during shift changes, which often occur during the late night and early morning and coincide with detainee release times. Fencing the staff parking area is estimated to cost $250,000, in addition to other recommended costs. County Counsel-Risk Management supports this request.
Change Order #200. Following the October 24, 2019 BC meeting, staff was presented with Change Order #200 for additional irrigation work. This work is associated with Phase II but is connected to an irrigation system for hydroseeding/landscaping being installed with Phase I. Change Order #200 was not included with the October 24, 2019 BC report because staff was presented with said change order following the BC meeting. Because the irrigation system needs to be installed before the Phase I hydroseeding/landscaping work can begin, staff is now requesting Board approval due to time constraints.
OTHER AGENCY INVOLVEMENT:
RMA and the Probation Department continue to work jointly with the Board of State and Community Corrections to meet all State requirements to maintain the conditional award. The State Water Resources Control Board and State Fire Marshal construction phase inspections will continue throughout the construction duration. RMA continues to work closely with the County Administrative Office (CAO) to review any additional project funding needs and financing sources.
FINANCING:
Funding Request
The current Project budget is $59,582,935, which consists of the State lease revenue bond of $35,000,000 and County Match of $24,582,935. The original County Match requirement for the conditional SB 81 grant award was $17,791,824 (Resolution 14-895). The County Match was financed by $332,927 from the Facility Master Plan Projects, Fund 404, along with $24,250,008 from General Capital Assignment. Previous increases of $320,681 and $590,963 are included in this budget amount, which were financed by Unused Discretionary Funds from the tenant improvement project for the East/West Wing from FY 2018-19. To date, the County has claimed $34,485,812 from the State. The recommended Project budget increase would be funded from the remaining unused East/West Wing project discretionary funds and the balance from General Fund contingency. The revised project budget for the New Juvenile Hall will increase by $2,298,916 to $61,881,851.
Fencing for the staff parking area has an estimated cost of $250,000. Change Order #200 includes a final cost of $28,664.03. If the additional funding for Change Order #200 and the fencing around the staff parking area is approved, the revised Project budget would increase an additional $278,664, for a total of $62,160,515.
The General Fund contingencies balance is $4,487,868. The balance does not include several requests to utilize contingencies that are pending consideration by the Board of Supervisors.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
Provision of a New Juvenile Hall facility supports the Board of Supervisors Administration, Infrastructure, and Public Safety Strategic Initiatives by enhancing the safety of County staff, facility occupants, and the public.
Economic Development
X Administration
Health & Human Services
X Infrastructure
X Public Safety
Prepared by: John Snively, Management Analyst II (831)759-6617
Reviewed by: Neville Pereira, PE, CBO, Chief of Building Services
Shawne Ellerbee, RMA Deputy Director of Administrative Services
Approved by: Carl P. Holm, AICP, RMA Director
Attachments:
Attachment A-Project Construction Overview
Attachment B-Project Budget
Attachment C-Funding Request Detail
Attachment D-Draft Resolution
Attachment E-PBI Quotes
Attachment F-Map of Staff Parking
(Attachments are on file with the Clerk of the Board)
cc: Marcia Parsons, Chief Probation Officer