HomeMy WebLinkAboutPR 22219: RECONSTRUCTION OF 4 HOMES INTEROFFICE MEMORANDUM
Department of Development Services
Division of Housing and Neighborhood Revitalization
Date: October 22,2021
To: Ron Burton,City Manager
Mayor and City Council
From: Beverly A. Freeman, Housing&Neighborhood Revitalization Manager
RE: Proposed Resolution No.22219
Mature of Request:
The Housing Division recommends City Council adopt Proposed Resolution No. 22219,
authorizing the City Manager to execute Change Order No. 1 to contract between the City of Port
Arthur and Paramount Design & Development for the demolition, site preparation, and
reconstruction of four (4) homes, increasing the original contract amount by $5,089.00 and
requesting City Council authorization for the expenditure of contingency funds ion the amount of
$15,000.00.
Staff Analysis/Considerations:
The price adjustments for the reconstruction cost of four (4) homes were deemed necessary due to
the increased costs of building materials, (ie. lumber, electrical components, plumbing supplies,
roofing materials, concrete,rebar, and metal). The price adjustments for each home reflects as follows:
(+$4,580.00 for 3847 32ndStreet);(+$4,348.00 for 1013 Neches Avenue);(+$5,029.00 for 1737 Stillwell
Boulevard); & (+$6,132.00 for 1001 W.6th Street) for a total cost increase of$20,089.00.
Budget Consideration:
Funds are available in Account Number 105-13-033-5470.00-40-000, Project Nos. CD5115,
CD6145, CD7145, and the Texas Department of Housing and Community Affairs (TDHCA) State
HOME Disaster Program.
RECOMMENDATION:
The Housing Division recommends City Council adopt Proposed Resolution No. 22219,authorizing
the City Manager to execute Change Order No. 1 to the contract between the City and Paramount
Design&Development as authorized by Resolution No. 20-447.
P.R. No. 22219
10/25/21 BF
RESOLUTION NUMBER
A RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE CHANGE
ORDER NQ 1 TO THE CONTRACT BETWEEN TIE CITY OF PORT'ARI'HUR AND
PARAMOUNT DESIGN & DEVELOPMENT OF BEAUMONT, TEXAS, FOR THE
RECONSTRUCTION OF FOUR (4) HOMES, INCREASING THE ORIGINAL
CONTRACT AMOUNT BY$5,089.00 TO A NEW CONTRACT TOTAL OF$663,814.80,
AND REQUESTING CITY COUNCIL. AUTHORIZATION FOR THE EXEENDITURE
OF CONTINGENCY FUNDS IN THE AMOUNT OF $15,000.00. HINDS WILL BE
PROVIDED FROM ACCOUNT NQ 105-13-033-5470-00-40-000, PROJECT NUMBERS
CD5115, CD6145, CD7145, AND THE TEXAS DEPARTMENT OF HOUSING AND
COMMUNITY AFFAIRS HOME DISASTER PROGRAM
WHEREAS, pursuant to Resolution No. 20-447, the City Council authorized a contract
with Paramount Design & Development of Beaumont, Texas, for the site preparation, demolition,
and reconstruction of four (4) homes in the amount of$658,725.80 (which includes a$15,000.00
contingency fund); and
WHEREAS, price adjustments for the reconstruction cost of the four (4) homes were
deemed necessary due to the increased costs of building materials, (i.e., lumber, electrical
components,plumbing supplies, roofing materials, concrete, rebar and metal); and
WHEREAS,the price adjustments for each home reflects as follows: (+$4,580.00 for 3847
32nd Street); (+$4,348.00 for 1013 Neches Avenue); (+$5,029.00 for 1737 Stillwell Boulevard); &
(+$6,132.00 for 1001 W. 6th Street) for a total cost increase of$20,089.00: and
WHEREAS,$15,000.00 in contingency fund will be utilized to cover a portion of the cost
increase; however, the use of said contingency fund will require prior Council approval; and
WHEREAS, in addition, staff is recommending that City Council approve Change Order
No. 1,attached hereto as Exhibit"A",for an increase of$5,089.00,to cover the remaining portion.
NOW THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PORT ARTHUR:
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. That the City Council hereby authorizes the City Manager to execute Change
Order No. 1, attached hereto as Exhibit "A", to the contract between the City and Paramount
Design & Development to allow for an additional $5,089.00 increase in the original contract
amount to a new contract total of$663,814.80.
Section 3. That the City Council further authorizes the expenditure of contingency funds
in the amount of $15,000.00 to compensate for the total cost increase in building materials of
$20,089.00.
Section 4. That a copy of the caption of this Resolution be spread upon the minutes of the
City Council.
READ, ADOPTED AND APPROVED this day of at the
Regular Meeting of the City Council of the City of Port Arthur, Texas by the following Vote:
AYES:
MAYOR:
COUNCILMEMBERS:
NOES:
THURMAN BILL BARTIE,
MAYOR
ATTEST:
SHERRI BELLARD,
CITY SECRETARY
APPROVED OR FORM:
VAL TIZE 0,
CITY ATTORNE
APPROVED FOR ADMINISTRATION:
RON BURTON,
CITY MANAGER
BEVERLY FREEMAN,
HOUSING &NEIGHBORHOOD REVITALIZATION MANAGER
CLIFT N WILLIAMS, CPPB,
PURCHASING MANAGER
APPROVED AS TO AVAILABILITY FUNDS:
r) �.
KANDY DANI1L,
INTERIM DIRECTOR OF FINANCE
EXHIBIT " A"
alanik....1111.1111stk I ►, ,
adiustments to Home.bids
Price adjustments reflect the increase in budding material since the origination
of the contract. Materials include lumber, electrical components, plumbing
supplies. roofing material, concrete. rebar, and metal.
1013 Neches. $4.348
1001 W 6th St. $6,132
3847 32nd St. $4,580
1737 Stilwell. $5.029
General Contractor
:09 PAFAMOUNTO1cI(;NTEAM4iSiMA:L_COM. WWW.FAHAMQUN 1 ui JIGNTCAM _.OM
.'H!; rr! CMAiL ..DDRF ti;
viccc,I ': t
CHANGE ORDER#1
Resolution No. 20-447
ORIGINAL AGREEMENT DATE: December 22, 2020
PROJECT DESCRIPTION: Reconstruction of Four (4) Homes in the total amount of
$658,725.80 (which includes a contingency amount of$15,000.00).
CHANGE IN SCOPE: Price adjustments to each home were needed to compensate for the
increased costs in building materials (i.e., lumber, electrical components, plumbing supplies,
roofing materials, concrete, rebar and metal).
ORIGINAL CONTRACT AMOUNT: $658,725.80 which includes a contingency amount of
$15,000.00.
CHANGE ORDER NO. 1:
Paramount Design & Development
Location Original Amount Increased Amount Total
3847 32nd Street $159,931.45 $4,580.00
1013 Neches Avenue $159,931.45 $4,348.00
1737 Stilwell Boulevard $159,931.45 $5,029.00
1001 W. 6th Street $163,931.45 $6,132.00
Total $643,725.80 $20,089.00
Contingency Fund $ 15,000.00 $5,089.00
Total $658,725.80 $663,814.80
Days to complete 140 days n/a n/a
The Contract Amount due to this CHANGE ORDER will be increased by: $5,089.00
The new CONTRACT AMOUNT including the CHANGE ORDER will be: $663,814.80
$643,725.00 (original amount)
+$ 20,089.00 (building materials increase)
- $ 15,000.00 (contingency fund)
$5,089.00 (requested change order amount increase)
= $663,814.80 (new contract total)
CHANGE ORDER NO. 1 is also requesting authorization for the utilization of the contingency
amount of$15,000.00,plus an additional increase in amount of$5,089.00. The total change order
amount shall not exceed $20,089.00.
ORIGINAL CONTRACT TERM: 140 DAYS.
NEW CONTRACT DAYS: NO CHANGES
SIGNED AND AGREED TO on the day of November, 2021.
Paramount Design and Development
Eric Broussard, Owner
SIGNED AND AGREED TO on the day of November, 2021.
CITY OF PORT ARTHUR
Ronald "Ron" Burton,
City Manager