11 - Laserfiche WebLink

permitting, inspection, etc. The "Final Cost Estimate" based upon the low bid received on April 29 is $32,488,007 and includes all project "soft costs" consistent with the Planning Level Estimate. The Final Cost Estimate also includes a contingency equal to 10 percent of the construction bid amount for any unforeseen cc,nditions discovered during construction. Of the $32,488,007 Final Cost Estimate, $13,035,389 is for the Stoneridge Drive and 1-680 Project, $16,870,742 is for the JDEDZ Street Improvements, and $2,581,876 is for the right-of-way needed to construct the JDEDZ Street Improvements. Attachment 2 is the Final Cost Estimate and represents the cost estimate by the same name referenced in Section 3.2 of the Agreement. Paraphrasing Section 3.2 of the Agreement, if the Final Cost Estimate is significantly different than the Planning Level Estimate, the City and Costco shall meet and confer to seek a solution. If the City and Costco cannot determine an acceptable solution, either party can terminate the Agreement. However, if the City terminates the Agreement, it will be required to reimburse Costco half of the design costs incurred by Costco for the JDEDZ Project to the date of termination. Expecting the Final Cost Estimate would exceed the Planning Level Estimate due to delayed implementation; City staff began discussions with Costco representatives before the bid opening to consider possible solutions. Resulting from those discussions, staff believes the Agreement should be amended to reflect the Final Cost Estimate and City budgeting to date to implement the JDEDZ Project. Costco is prepared to move forward with the project under the terms of the Agreement as it exists but understands staffs concerns and is agreeable to amending the Agreement as proposed. The staff recommendations within this agenda report are a solution to move forward with the JDEDZ Project understanding the Final Cost Estimate, but the conclusion of the report includes a brief discussion regarding how the option to terminate the Agreement would be implemented. DISCUSSION Improvement Plans Similar to City Council's approval of City capital improvement projects that are prepared by the City staff or hired consultants to construct infrastructure in the public right-of-way, it is appropriate for City Council to approve the improvement plans prepared by Costco to construct the traffic mitigation measures in the public right-of-way if the JDEDZ Project is to move forward. Costco hired two engineering firms, Kier + Wright Civil Engineers & Surveyors, Inc. and Mark Thomas, to prepare the engineering plans and seek the permits necessary to construct the JDEDZ traffic mitigation measures. Both engineering firms worked closely with City staff as the improvement plans were developed. The improvement plans are consistent with the requirements of the CEQA documentation for the JDEDZ Project. The improvement plans comply with the City of Pleasanton's Standards and Specifications and Caltrans' Standards and Specifications, as appropriate. The City of Pleasanton's Director of Engineering has reviewed and approved the improvement plans. Caltrans has reviewed the improvement plans and is prepared to issue the required permits for the work planned in the Caltrans right-of-way. It is recommended that the City Council approve the improvement plans prepared by Page 4 of 11