R2007-216 AUTHORIZING ADDENDUM TO PROFESSIONAL SERVICES AGREEMENT

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, ENGINEERING & INFRASTRUCTURE MEMORANDUM NO. 2007 - 69 November 13, 2007 TO: Honorable Mayor Osborne and City Council FROM: Steve Gar , City Manager Greg Crow Assistant City Manager for Economic & Urban Developme� Richard G. arley, P.E., Director of Engineering & Infrastructure�� SUBJECT: Amendment to the Professional Services Agreement with Phillip W. Cochran for Additional Design Services for North Water Street Streetscape Improvements, City Project 07-03 SUMMARY RECOMMENDATION: It is recommended the City Council approve an addendum to the agreement with Phillip W. Cochran Engineering(PWC) far engineering services to add the option of demolishing all buildings fronting the west side of the 300 block of North Water Street. The proposed amendment is for an additional fee not to exceed $51,000 for a total project cost of$119,500. BACKGROUND: On October 16, 2006, the City Council authorized a redevelopment agreement with Reynolds Development, LLC, to develop the east side of the 300 block of North Water Street. As part of the agreement the City agreed to reconstruct this portion of North Water Street to allow two-way traffic, demolish selected buildings on the west side of the street, and make other streetscape improvements. On March 5, 2007, the Council authorized an agreement with PWC to provide engineering services to perform the required design work at a cost of$68,500. The design work has progressed to a point where demolition plans are being prepared in order to begin building demolition in the January- February time period. At this point the City has no credible redevelopment proposals for the buildings fronting the 300 block of North Water Street. In order to be prepared to demolish all buildings along the west side of 300 North Water Street, it is necessary to begin work now on demolition bidding documents. Staff believes that if no credible redevelopment proposal emerges, it will be most practical to demolish all of the buildings at the same time. Completing the demolition all together will reduce costs significantly due to the proximity of the buildings with each other and having to address their structural interaction. City staff approached PWC for an amendment to provide the additional engineering for the full demolition design, assist in the review and examination of bids, provide experienced professional inspection services and air quality monitoring for the demolition work. The bidding documents will be prepared in a manner that permits Council to decide whether to demolish all the buildings along the west side of 300 North Water, or only those specifically included in the redevelopment agreement. The proposed amendment cost is $51,000 which includes $13,500 for full demolition design and examination of bids; $37,500 for professional inspection services and air monitoring.