RECOMMENDATION:
Enact an ordinance approving and authorizing a Contract Amendment No. 1 to Construction Manager-At-Risk (CMAR) services contract between the City of Houston and the Austin Gilbane Joint Venture, for the Mickey Leland International Terminal; and an appropriation sum of $24,486,921.00 for the Phase 1 Pre-construction Services, Construction Works (Enabling and Early Works), Civic Art, and Engineering Testing Services. Project No. 826 (WBS: A-000800-0024-4-01-01)
SPECIFIC EXPLANATION:
In May 2017, City Council approved an Ordinance authorizing a Construction Manager-at-Risk services contract with Austin Gilbane Joint Venture, for $5,136,000 for Pre-construction Services, and appropriating of $5,502,000 from the Consolidated ITRP AMT Construction Fund, including civic art.
Under the scope of services to be provided by Austin Gilbane, Terminal D will be converted to a gate concourse by replacing the Old Terminal C North Pier, and refurbishing Terminal D as well as the C-D Connector building. The proposed project will create 13 wide-body gates, including 2 gates for A380 aircraft. The existing Terminal D ticketing and curb components will be closed once the Terminal D carriers have relocated to the new International Terminal Processor, which is to be designed and constructed under separate agreements with a different set of architect and CMAR team.
The revised approach relocates the MLIT functions of ticketing, roadway and curbside facilities, the Checked Baggage Inspection System, and the Security Screening Check Point (SSCP) into a new facility adjacent to the existing Terminal E/FIS building. This arrangement provides the required capacity, operational improvements, and the five-star passenger experience sought to keep Houston as one of the leading international gateways in the nation.
There are two phases for the MLIT CMAR services: Phase 1 – Pre-construction services and early/enabling construction work, and Phase 2 – full construction services once a guaranteed maximum price construction solution is achieved.
Phase 1 - Pre-construction Services commenced on May 30, 2017 and were suspended on July 23, 2018. Upon approval of this Contract Amendment, a Notice to Proceed (NTP) will be issued and Pre-construction Services will resume. In addition to the Pre-construction Services appropriation, HAS is requesting additional appropriation to permit Austin Gilbane to perform enabling and early Construction Work, such as the demolition of the Old Terminal C North pier as well as the relocation of fuel lines and hydrant pits to accommodate the new pier.
Upon the completion of Phase 1 Pre-construction Services, there will be an additional appropriation for further Construction Work as multiple Guaranteed Maximum Price (CGMP) components, or as a single total Guaranteed Maximum Price (GMP) proposal for Phase 2 - Construction Services.
PAY OR PLAY:
The proposed contract requires compliance with the City’s “Pay or Play” ordinance regarding health benefits for employees of City contractors. In this case, the contractor and/or its sub-contractors provide benefits for some employees but will pay into the Contractor Responsibility Fund for others in compliance with City policy.
TESTING SERVICES CONTRACT:
Engineering Testing Services will be provided by GEOTEST ENGINEERING, INC. under Contract No 4600012367.
PROJECT COSTS: The total additional appropriation is as follows:
$ 3,203,000.00 Pre-construction Services (Core Services)
$ 834,000.00 Pre-construction Services (Additional Services)
$ 19,804,406.00 Construction Works (Enabling and Early Works)
$ 301,240.00 Civic Art
$ 344,275.00 Engineering Testing Services
$ 24,486,921.00 Total Appropriation
CIVIC ART:
As part of this Appropriation, $301,240.00 will be included for the Construction Works (Enabling and Early Works).
Further funding for Civic Art will be included in the appropriation request for Phase 2 - Construction Services.
MWBE PARTICIPATION:
The Minority/Women Business Enterprise (MWBE) goal for the Phase 1 - Pre-construction Services portion of this contract remains at 10%. Currently Austin Gilbane is achieving 15.05% toward the 10% goal.
Austin Gilbane has also committed to achieving the goal of 28% for the early work construction projects as established by the Office of Business Opportunity.
FAA AIP GRANT PROGRAM:
No grants have been applied for but may be applied for in the future.
FISCAL NOTE:
There is no impact to the FY19 Adopted Operating Budget for this item. Therefore, no fiscal note is required as stated in the Financial Policy Ord. 2014-1078 as an Operating Budget Item.
This amendment is to provide pre-construction services, construction works (enabling and early works), civic art and engineering testing services. At the time of the construction procurement for this project, an analysis of the estimated operating expense impact will be provided.
Director's Signature:
_______________________ _______________________
Mario C. Diaz Andy Icken
Houston Airport System Chief Development Officer