` Board Meeting at East Center GVR Pickleball Center Contract - - PowerPoint PPT Presentation

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Board Meeting at East Center GVR Pickleball Center – Contract Presentation June 26, 2019

Scenario 24-A Scenario 24-B Scenario 24-C Scenario 16 Scenario 12 Scenario 8

24 at-grade PB Courts with meeting hall building and Instructional Court 24 at-grade PB Courts with smaller RR building and Instructional Court 24 at-grade PB Courts with smaller RR building, Instructional Court deferred 16 at-grade PB Courts with smaller RR building, Instructional Court deferred 16 at-grade PB Courts with smaller RR building, Instructional Court deferred 8 at-grade PB Courts with smaller RR building, Instructional Court deferred

Sitework and at-grade Courts $1,111,850 $1,111,850 $1,111,850 $911,850 $811,850 $511,850 Instructional Court $200,000 $200,000 $0 $0 $0 $0 Building $541,248 $185,943 $185,943 $185,943 $185,943 $185,943 Total Construction Cost: $1,853,098 $1,497,794 $1,297,794 $1,097,794 $997,794 $697,794 Project Development Costs $98,000 $98,000 $98,000 $98,000 $98,000 $98,000 Project Contingency @ 10% $185,310 $149,779 $129,779 $109,779 $99,779 $69,779 Total Project Budget $2,136,408 $1,745,573 $1,525,573 $1,305,573 $1,195,573 $1,085,573

WSM Architects, Inc. | 06-26-19

Cost Estimates per Phasing Options as presented at January 17, 2019 Meeting: Phasing date extrapolated by WSM from October 2018 Cost Estimate by Compusult Professional Cost Estimators

Scenario 24-A Scenario 24-B Scenario 24-C Scenario 16 Scenario 12 Scenario 8

24 at-grade PB Courts with meeting hall building and Instructional Court 24 at-grade PB Courts with smaller RR building and Instructional Court 24 at-grade PB Courts with smaller RR building, Instructional Court deferred 16 at-grade PB Courts with smaller RR building, Instructional Court deferred 16 at-grade PB Courts with smaller RR building, Instructional Court deferred 8 at-grade PB Courts with smaller RR building, Instructional Court deferred

Sitework and at-grade Courts $1,111,850 $1,111,850 $1,111,850 $911,850 $811,850 $511,850 Instructional Court $200,000 $200,000 $0 $0 $0 $0 Building $541,248 $185,943 $185,943 $185,943 $185,943 $185,943 Total Construction Cost: $1,853,098 $1,497,794 $1,297,794 $1,097,794 $997,794 $697,794 Project Development Costs $98,000 $98,000 $98,000 $98,000 $98,000 $98,000 Project Contingency @ 10% $185,310 $149,779 $129,779 $109,779 $99,779 $69,779 Total Project Budget $2,136,408 $1,745,573 $1,525,573 $1,305,573 $1,195,573 $1,085,573

WSM Architects, Inc. | 06-26-19

• Min. of 8

Courts Max Budget $1.25M Total Project Budget was confirmed by GVR Board approved Minutes on March 19, 2019 Construction Contract Cost Estimate High Contingency allowance used because project not yet Bid.

Phasing Direction to WSM at January 17, 2019 Board Work Session:

$2.14M $1.75M $1.53M $1.31M $1.2M $1.09M

$.M $.5M $1.M $1.5M $2.M $2.5M

Pickleball Complex Scenario Comparison Total Project Budget

24-A 24-B 24-C 16 12 8

WSM Architects, Inc. | 06-26-19

$1.25M

• Max. approved total project

budget

Phasing Direction to WSM at January 17, 2019 Board Work Session:

Total Project Budget was affirmed by Approved Minutes January 17 on March 19, 2019

$2.14M $1.75M $1.53M $1.31M $1.2M $1.09M

$.M $.5M $1.M $1.5M $2.M $2.5M

Pickleball Complex Scenario Total Project Cost Est. vs. Construction Bid Comparison

24-A 24-B 24-C 16 12 8

WSM Architects, Inc. | 06-24-19

Actual Bids vs. Cost Estimates

Bid: $1.19M Construction Contract Low Bids:

$1,097,794

• Const. Cost Est.

The Bids were higher than the anticipated cost. $1.25M

• Max. approved total project

budget

Bid: $1.39M Bid: $1.31M

Bid 24% higher than anticipated Bid 25% higher than anticipated $997,794

• Const. Cost Est.

$897,794

• Const. Cost Est.

Bid 21% higher than anticipated

Bids averaged 23% higher than anticipated

Why are the May 2019 bids higher than anticipated?

• 1. Cost estimates are statements of probable cost.
• We estimate cost using professional judgement in locating and using reliable sources
• f information, based on knowledge of the project and experience.
• Compusult and WSM have no control over the costs of labor, equipment or materials
• r the Contractor’s method of pricing.
• 2. Market conditions are currently considered volatile:
• WSM and our local partners are seeing higher than anticipated costs on many of our

current projects.

• Busy market – ongoing demand
• Material costs high due to demand, existing tariffs / potential “tariff wars”
• Fuel costs affect const cost, incl. asphalt
• High cost of concrete and earthwork
• 3. Escalation due to inflation
• Cost estimate was performed in October 2018 with escalation to April 2019.
• The current bid is scheduled to start construction in July 1, 2019.

WSM Architects, Inc. | 06-26-19

Bids – May 29, 2019

Low Bid: $1.19M High Bid: $1.58M Bid: $1.40M Bid: $1.30M Bid: $1.36M

Bid Comparison Adjusted for EIGHT (8) Courts – Total Construction Contract

WSM Architects, Inc. | 06-24-19

Division II Construction Company (G.C.) and Renner (Court Contractor) Excellent Response - received responsive Bids from all FIVE (5) invited prequalified General Contractors (G.C.s)

WSM Architects, Inc. | 06-26-19

Successful Contractors

Division II Construction Co., Inc., Tucson, AZ, was founded in 1982, and has been recognized several times as Contractor of the Year for successful work in Southern Arizona. Past successful clients include the University of Arizona. Renner, based in Denver, CO, has specialized in sports court construction for over 30 years and will supply the Courts turn-key, from the post-tensioned slabs, coatings, gate, fencing, nets and other accessories. Renner is a member of the ASBA and staff are Certified Tennis Court Builders. Renner constructed the GVR Pickleball Courts at Canoa Ranch. General Contractor (G.C.): Pickleball Court Sub-Contractor:

Updated Total Project Budget – June 26, 2019

Project Development Costs

ITEM PROJECTED COST

Permits & Fees 11,216.00 $ Special Inspections 9,000.00 $ Owner's Contingency 29,924.28 $ Project Development Costs Subtotal 50,140.28 $ Construction Costs ITEM BID Project Manual A - Division II Construction Co. 959,873.00 $ Project Manual B - Renner for Phase I - eight (8) pickleball courts 239,720.00 $ Construction Contract Total 1,196,971.00 $ Total Project Cost (Line G + J) 1,247,111.28 $ Total Approved GVR Funding - Min. 8 courts, not to exceed $1.25M 1,250,000.00 $

GVR Pickleball Center Project Costs

Construction contract presented today

Provision to add additional courts, should non-GVR funds become available:

• 1. Additional funds beyond the Contract amount may be raised

by third-parties and held in escrow for the construction of additional pickleball courts. Any escrowed funds not used to construct additional courts will be returned to the third- parties that raised the funds.

• 2. As a bid alternate option, Division II and Renner can provide

additional pickleball courts within the same mobilization if notified no later than September 1, 2019. Completion date for additional courts to be determined.

• 3. Cost for four additional courts is approximately $85,000 and

cost for eight additional courts is approximately $166,000.

WSM Architects, Inc. | 06-24-19

BASE BID: 8 COURTS & RESTROOM BLDG

ALT: +4 ALT: +4 ALT: +4 ALT: +4

Summary of Bid Process

• 1. The project received five responsive bids., with Division II Construction
• Co. and Renner as the low bidder.
• 2. The contract presented is $1,196,971.00 for all site work, building and

eight (8) pickleball courts. It allows for construction of additional courts if future non-GVR funding is available. Funding provided through escrow account.

• 3. As an alternate option, Division II and Renner can provide additional

pickleball courts within the same mobilization if notified no later than September 1, 2019. Cost for four additional courts is approximately $85,000 and cost for eight additional courts is $166,000.

• 4. Contract type: AIA 105-2017 Standard Short Form of Agreement

Between Owner and Contractor, as prepared by Mesch Clark and Rothschild Attorneys (Tucson, AZ)

• 5. If approved, Division II ready to mobilize July 1, 2019, with GVR

groundbreaking tentatively scheduled for mid-July.

WSM Architects, Inc. | 06-26-19

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Thank you!