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THE CITY OF 13 N r 7 `L" CITY COUNCIL AGENDA REPORT pL£ASANTONo February 16, 2016 Engineering TITLE: APPROVE A CONTRACT CHANGE ORDER WITH CLEARY BROTHERS LANDSCAPE, INC. IN THE AMOUNT OF $349,687.50 FOR THE BERNAL AVENUE AT 1-680 LANDSCAPE IMPROVEMENT PROJECT, CIP NO. 155006 SUMMARY The project is currently under construction and will install landscape and gateway monument features at the I-680/Bernal Avenue interchange. City Council awarded the construction contract in the amount of $888,032.52 to Cleary Brothers Landscape, Inc. on July 21, 2015. The contract as awarded includes the gateway monument sign, hardscape improvements, irrigation mainlines, and landscape plantings in the median around the monument sign. Due to concerns about the drought, the City Council chose not to award Additive Bid 3 for the irrigation system and the landscape plantings throughout the rest of the project area. For several reasons detailed in this report, staff is recommending approval of a contract change order to now include Additive Bid 3 work. RECOMMENDATION 1. Approve a contract change order for Additive Bid 3 for the amount of $349,687.50. The total construction contract amount will be to $1,237,720.02 that includes the current contract amount of $888,032.52 (Base Bide and Additive Bids 1 and 2) and Additive Bid 3. 2. Appropriate $349,687.50 from Fund 168 (Bernal Interchange Developer Fee Account) to CIP No. 155006 to over the cover the cost of the change order. FINANCIAL STATEMENT In October 2000, the City of Pleasanton entered into a development agreement with GHC Bernal Investors, LLC (BIC). As outlined in the agreement, BIC is obligated to fund the Bernal interchange improvements. On June 3, 2014, the City Council approved a resolution approving a letter of understanding with BIC regarding a lump sum payment from BIC to the City for $4.5M to meet BIC's remaining obligation for the Bernal interchange improvements. These funds were received and are completely funding this project.