Title
Resolution Authorizing City Staff to Add the Sum of $2,045,000 in New Non-Taxpayer Funded Sponsorship and Other Project Fund Revenues and $560,000 in Existing Non-Taxpayer Funded City Revenues in the Tanger Center Project Fund to the Owner’s Allowance Line Item of the City’s Contract with Barnhill Contracting Company to Construct Phase 2 of the Steven B. Tanger Performing Arts Center
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Council Priority: Create an Environment to Promote Economic Development Opportunities and Job Creation; Maintain Infrastructure and Provide Sustainable Growth Opportunities and; Ensure Fiscal Stewardship, Transparency, & Accountability
Department: Coliseum
Council District: All
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Matt Brown, 373-7406
Contact 2 and Phone: Rick Lusk, 373-2077
PURPOSE:
A City Council resolution is requested to authorize City staff to add a total sum of $2,605,000 in non-taxpayer funded revenues to the Owner’s Allowance Line Item of the City’s contract with Barnhill Contracting Company to construct Phase 2 of the Steven B. Tanger Performing Arts Center, referenced in Council Resolution 347-17, to offset the expanded Scope of Services and the additional construction related costs that the City has incurred over the life of the project.
BACKGROUND:
On December 19, 2017, the City Council adopted a Resolution authorizing the City Manager to enter into contract with Barnhill Contracting Company (“Barnhill”) to construct Phase 2 of the Steven B. Tanger Performing Arts Center (“STPAC”) for an amount not to exceed $57,900,000. The bid specifications for the STPAC included additional City requested alternate scopes of work (“Add-Alternates”) that could be added to the STPAC project if additional funding ever became available. As part of its bid, Barnhill, and the other bidders, included prices for these Add-Alternates in its bid price. Since the City did not accept these Add-Alternates at the time of the 12/19/17 Council Resolution, these costs were not included in the Barnhill’s original contract price of $57,900,000.
Through the generosity of several well-known local corporations and longtime Greensboro families, the Coliseum has raised an additional $2,725,000 in new non-taxpayer funded Sponsorship Revenues for the STPAC.
This Resolution will allow $1,925,000 of this additional new non-taxpayer funded Sponsorship Revenues, $120,000 in project fund interest earnings, and $560,000 of existing non-taxpayer funded City revenues in the Tanger Center Project Fund to be used to offset various Owner Add-Alternate costs incurred or pending on the STPAC including:
1) Completion of Third Floor Pre-Function Space
2) Elm St. Patio Water Fountains;
3) Elm St. Green Wall;
4) Landscape Irrigation Cistern;
5) Brenner Place Vestibule Entrance;
6) Southeast Monumental Signs/Planter seat wall;
7) East/West Façade Limestone Additions;
8) East Walkway Canopy;
9) North Stage Wall Exterior Lighting;
10) Parking Entrance Gates; and
11) Chamber Building Administrative Offices/Prep Kitchen/Inventory Storage renovations
These two non-taxpayer funded revenue sources will also pay for the increased construction costs related to the expanded Architectural and Engineering Design Scope of Services and the unforeseen or code required changes incurred over the life of the Project.
At the time City Council approved Barnhill’s initial contract on December 19, 2017, Barnhill demonstrated that it made Good Faith Efforts to meet the City’s M/WBE contract participation goals of 10% MBE and 10% WBE participation, although it only had 3.1% actual M/WBE participation at the time. As of November 30, 2019, Barnhill has increased its M/WBE participation from 3.1% to 16.2 % as reflected in the Tanger M/WBE Subcontractor Listing attached hereto as Exhibit #1. We commend Barnhill for their continuing commitment to use their Good Faith Efforts to meet the City’s M/WBE contract participation goals.
BUDGET IMPACT:
No General Fund expense or revenue account will be impacted. The Performing Arts Center Fund Budget will be increased by $2,045,000, including $1,925,000 of the new non-taxpayer funded Sponsorship Revenues and $120,000 in project fund interest earnings. The additional $560,000 does not require appropriation.
RECOMMENDATION / ACTION REQUESTED:
Pass a Resolution authorizing the City Manager to amend the City’s contract with Barnhill Contracting Company to construct Phase 2 of the Steven B. Tanger Performing Arts Center, referenced in Council Resolution 347-17, by adding the sum of $2,045,000 in new non-taxpayer funded Sponsorship and Other Project Fund Revenues and $560,000 in existing non-taxpayer funded City revenues in the Tanger Center Project Fund to the Owner’s Allowance Line Item for the Owner Add-Alternates identified above and the increased construction costs related to the expanded Architectural and Engineering Design Scope of Services and the unforeseen or code required changes incurred over the life of the Project.