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CRA AGENDA TRANSMITTAL
Subject: Agenda No. 07,dg
Indian River Drive/Main Street Project Department Ori•' • Manager
Schulke, Bittle & Stoddard Professional City Attorney:
Engineering Agreement City Clerk:
•
Ap• ove• •r Submittal by:
Date Submitted: 3 May 07
in ° , ity Manager
Exhi- ts: Professional Engineering Agreement and Cost Estimate
EXPENDITURE REQUIRED: AMOUNT BUDGETED: APPROPRIATION REQUIRED:
$236,113.75 $801,242 $0
SUMMARY
At the March 28, 2007 meeting of the CRA, the CRA Board authorized staff to enter into contract
negotiations with Schulke, Bittle & Stoddard based on the results of the CCNA process.
As a result of those negotiations, Schulke has provided a contract in the amount of$190,065.25
for professional design fees and $46,052.5 for professional construction administrative service
fees. The total contract is in the amount of$236,117.75. Please note that the professional
design fees concern basic services needed to design and permit the project. The Construction
Administrative Services will be required during construction for project monitoring and inspection.
These cost are estimated based on time and standard fees and may increase or decrease.
However, at this time, it was important to bench mark services and costs so that a formal budget
can be established up-front; thereby, limiting the need for additional professional costs going
forward.
Concerning the initial design phase of the contract, staff negotiated a reduction in price by$7,050
by eliminating irrigation system design. While irrigation is critical, the general contractor can
accomplish this item without a need for formal engineering. Additionally, while most of the
services are needed, many additional items have been "pre-negotiated" in case permitting or
circumstances that are unknown now, require the need for additional service later. For example,
the total cost may drop if services such as (1) UMAM analysis-$1,200; (2) Mitigation Plan -
$2,000; (3) Phase 1 Archeological Survey-$4,500 and, (4)Wetland Flags-$450 are not
required. These items total $8,150 or 3% of the contract. Coupled with the irrigation savings, the
original contract price has the potential to be reduced by$15,200 or 6%.
As a general rule of thumb, professional service costs should equal 10% - 12% of total project
costs. The updated cost estimate for the project is $1,936,972. Hence, the Schulke proposal is
12% of the estimated project costs and within an acceptable budget envelope. This is a very
acceptable amount, especially considering that construction services are already included in the
total engineering cost.
Going forward, the FY 07 CRA budget of$801,242 for the IRD/Main Street project certainly
covers the cost for these services. To date, approximately$644,717 has now been spent or
potentially allocated for the project leaving $156,525.
ITEM AMOUNT
Purchase w/Closing Costs $395,000
Appraisals $6,350
Preliminary Engineering Concepts(Neel-Schaffer) $7,250
Proposed Engineering Costs(Schulke) $236,117
TOTAL $644,717
As we move into the FY 08 budget process, additional plans can be made for allocating money
for the$1.9 million project with avenues for short-term financing, grants and cash outlays to be
planned in the coming months.
RECOMMENDED ACTION
Move to award the Indian River Drive/Main Street Professional Services Agreement to Schulke,
Bittle &Stoddard in an amount of$236,117.