February 25, 2005 Special

[Guest sullinss]

Proceedings of the Business Committee

School District No. 2, Yellowstone County

High School District No. 2, Yellowstone County

Billings, Montana

 

February 25, 2005

 

The February 25, 2005 Special Business Committee meeting was called to order at 12:05 p.m. by Chair Malcolm Goodrich. Committee members in attendance were Jerry Hansen, Patty Lacy, Peter Grass, Bob Whalen, Shanna Henry, and Malcolm Goodrich. Members absent were: Dale Getz, Curt Prchal, Joan Sleeth, and Judy Herzog. Also in attendance were: Rich Whitney, Dave Williams, Architect Jim Bauer, Thomas Harper, Dan Martin, and Linda Bakken.

 

Pledge of Allegiance

 

Chair Goodrich led those assembled in the Pledge of Allegiance.

 

Orchard Elementary Addition/Renovation-2005

 

As previously approved on the Proposed Elementary Bond Projects, a bid was let for the Orchard Elementary Addition/Renovation-2005 and opened on February 4, 2005. Bid results are as follows with Hardy Construction as the low bidder. Facility Services recommends the Base Bid for the project be awarded to Hardy Construction.

 

Base Bid Alt#1 Alt#2 Alt#3 Alt#4 Alt#5 Alt#6

Hardy Construction $4,327,000 $66,000 $61,000 $86,000 $12,000 $47,000 $85,000

 

General Contractors $4,400,210 $66,248 $82,316 $114,912 $17,058 $49,551 $81,089

 

Langlas & Assoc. NO BID

 

Bauer Group Architects/LTD project base estimate is $4,925,223.48.

Estimate of Alternates is:

#1 $76,451 add chiller to new and renovated area

#2 $36,564 add additional cabinets on outside walls of classrooms

#3 $65,412 change roofing system

#4 $13,296 acoustical ceilings in classrooms

#5 $93,070 demolish old school

#6 $83,096 City code reviewers added additional parking

Total $367,889

 

Rich Whitney stated the elementary bond project bids were reviewed on Tuesday and the total bids came in at $10,710,800 which exceeds the $10M elementary bond issue. The bid needs to be awarded now to: 1) enable contractors and sub-contractors to plan manpower and schedule other projects; 2) allow our District to begin “value engineering” conversation with contractors to make possible changes to utilize the best value the market has to bear; and, 3) discuss projected budget shortfalls as we open the rest of the elementary bond project bids.

 

The Boulder bid will be opened March 2 and the Ponderosa bid on March 9 so they can be brought forward to the March 14th Business Committee for approval. Changes in alternate bids will not affect the base bid contract since we contract only with Hardy Construction.

 

Dan Martin discussed budget options to cover the shortfall of funds for the elementary bond project bids. Dan said money was held in the Building Fund with the purpose of building Orchard Elementary. We have between $582,000 and $700,000 in excess dollars available for use in the Building Fund. Another budget option would be to move the Highland HVAC project to the Building Reserve levy which would leave us enough money to proceed with the projects as proposed.

 

Rich said this summer we will be executing year four of the Building Reserve leaving year five funds in the Elementary District at $2M per year. If we fund Highland HVAC in year five, it would leave us with $1,250,000, which would bump other projects from the year five list. The Highland HVAC is safe for this school year, but it is high on the priority project list since it is the original boiler from 1947. We would not be changing the priorities of the Building Reserve project list.

 

Rich said the window replacements on the elementary bond projects have a payback of about 25 years, but they are a huge comfort issue. The Riverside and Will James backup fuel projects are adding a burner on the boiler so we can use diesel, fuel oil, or natural gas. The fuel projects have a quick payback timeframe of less than two years.

 

Shanna Henry introduced a motion to approve the Orchard Elementary Addition/Renovation -2005 project base bid for $4,327,000 and award it to the low bidder, Hardy Construction. Peter Grass seconded the motion. The motion carried unanimously.

 

Adjournment

 

There being no further business, the meeting was adjourned at 12:35 p.m.

 

 

 

 

Malcolm Goodrich, Chair

 

 

 

 

Sherrill Sullins, Recorder