12-14-2022 Council Packet - Laserfiche WebLink

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STAFF REPORT TO: Mayor Keis and Members of the City Council FROM: Chris Heineman, City Administrator Bill Dircks, Public Works Director DATE: December 9, 2022 RE: City Hall Renovations ACTION TO BE CONSIDERED: Motion to approve the bid by Kraus-Anderson for the City Hall Renovation Project in the amount of $401,458.45. BACKGROUND: Staff has been working with Oertel Architects to put together a renovation plan for City Hall, which includes renovating the employee restrooms, reconfiguring the front office area to add additional office space, and rebuilding the front counter to provide ADA access and make it easier for people to interact. Plans were developed and then Kraus-Anderson was brought on board to provide pricing through Sourcewell, which has competitively bid pricing for construction projects. Following many different refinements of the work scope, pricing was completed for the project. The total construction cost is $323,530.32. At the direction of the City Council, staff added an alternate bid to the project for renovating the public restrooms as well. Staff also added the addition of acoustical panels in the lobby area to reduce the echoing and cavernous sounds while people are talking. The Kraus-Anderson price for this additional work was $77,928.13. The Sourcewell concept eliminates the need for staff to follow the formal competitive bidding process. But, just to make sure pricing was reflective of the current market in the area, staff provided the plans and specs to McGough Construction to get another price for the project. The company was able to provide a bid relatively quickly and the price was $371,946 for the base bid and $111,630 for the alternate work. Kraus-Anderson is a well-respected contractor in Minnesota and does many projects like these around the area. It has lots of knowledge of the building following its facility assessment in 2021. Provided materials can be acquired, it is expected that the project will get started in mid- to-late January and wrap up in March. Efforts will be made to separate construction activities from normal work by staff with some relocations necessary during certain parts of the project. There is an additional cost of $31,763.82 for the furnishings, which includes new work spaces and furniture for the front office area. That equipment was also provided with pricing from the