R2024-099 2024-06-24RESOLUTION NO. R2024-99
A Resolution of the City Council of the City of Pearland, Texas, amending a
Construction Manager at Risk contract (Barry Rose Water Reclamation Facility
and Longwood Water Reclamation Facility Decommission Project Project)
with McCarthy Building Companies; replacing the Risk Sharing Plan;
accepting a Cost Savings Sharing Plan; updating the Staff Labor Rate Table;
modifying insurance requirements; and establishing a Guaranteed Maximum
Price 1 (GMP 1) in the amount of $66,570,019.00.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That the City Council hereby amends a Construction Manager at Risk
contract with McCarthy Building Companies; replacing the Risk Sharing Plan; accepting a Cost
Savings Sharing Plan; updating the Staff Labor Rate Table; and establishing a GMP 1 in the
amount of $66,570,019.00.
Section 2. The City Manager or his designee is hereby authorized to execute an
amended Construction Manager at Risk contract for the Barry Rose Water Reclamation Facility
Project.
PASSED, APPROVED and ADOPTED this the 24th day of June, A.D., 2024.
________________________________
J.KEVIN COLE
MAYOR
ATTEST:
________________________________
FRANCES AGUILAR, TRMC, MMC
CITY SECRETARY
APPROVED AS TO FORM:
________________________________
DARRIN M. COKER
CITY ATTORNEY
DocuSign Envelope ID: 44364158-FDEC-4181-81D6-BACEC4A9081C
EXHIBIT A
AMENDMENT TO CMAR CONTRACT
BARRY ROSE/LONGWOOD WATER
RECLA ATIOIN EXPANSION AND
DECOMMISSIONING PROJECTC
This Amendment (hereinafter “Amendment”)is made between the City of
Pearland,Texas (hereinafter “OWNER”),and McCarthy Building Companies
(hereinafter “CONTRACTOR”)to amend that certain Barry Rose/Longwood CMA
RContract(the “Agreement”)between the OWNER and CONTRACTOR effective 10
August 10th,2024 .
1.Amended Terms.The OWNER and CONTRACTOR hereby agree that the
following provisions of the Agreement are amended:
A.Section 1.10,Prosecution and Progress;the entirety of paragraph 1.10.1.3
shall read as follows:
1.10.1.3 HINDRANCES AND DELAYS.In executing the
Contract,the CONTRACTOR agrees that in undertaking to
complete the Work within the time herein fixed,CONTRACTOR
has taken into consideration and made allowances for all
interference,disruption,hindrances,and delays incident to
such Work,whether growing out of delays in securing material,
workmen or othenNise.No claim shall be made by the
CONTRACTOR for damages,loss,costs or expense resulting
from interference,disruption,hindrances or delays from any
cause during the progress of any portion of the Work embraced
in this Contract,except where the Work is delayed by Owner-
Caused Delays and such delay is not attributable to any act or
omission of CONTRACTOR,in addition to the time extension
allowed under Paragraph 1.10.1.2,CONTRACTOR shall also
be entitled to an adjustment to the GMP for its additional Costs
of the Work as defined in Section 6.Notwithstanding the
foregoing,in the event a delay is caused by events beyond the
control of both the OWNER and CONTRACTOR,in addition to
the time extension allowed under Paragraphs 1.10.1.2 and
1.10.1.6 CONTRACTOR shall be entitled to an adjustment to
the GMP for its additional Costs of the Work as defined is
Section 6 caused by such delay,but such payment shall not
DocuSign Envelope ID: 4161357F-0B5D-4D28-8FA6-C00591FC6939
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EXHIBIT A
exceed the amount set forth in the Construction Manager’s
Contingency amount as set forth in the GMP Amendment.
B.Section 2.2,Guaranteed Maximum Price Proposal;the entirety of
paragraph 2.2.3 shall read as follows:
2.2.3 The estimated Cost of Work shall separately identify the
Contractor’s Contingency,a sum not to exceed 3%(percent)of
the Direct Costs of the Work plus Allowances,to be set forth in
the Amendment accepting the Guaranteed Maximum Price
(GMP Amendment),an amount established by the Owner for
the CONTRACTOR’S use,subject to the OWNER’S approval,to
cover costs arising under Paragraph 2.2.2 and other costs
which are properly reimbursable as Costs of the Work but not
the basis for a Change Order.Upon CONTRACTOR’s
completion and acceptance of the Project by the OWNER,all
unused portions of the Construction Manager’s Contingency
and unused portions of the GMP shall be set aside as cost
savings (“Cost Savings”).Upon completion and acceptance of
all Work,40%of the Cost Savings shall be distributed to
CONTRACTOR and the remaining 60%of Cost Saving shall
accrue to and become the property of OWNER.
C.Section 5,Compensation for Construction Phase Services;the entirety
of paragraph 5.1.2 shall read as follows:
5.1.2 Shared Construction Manager’s Contingency as defined in
Paragraph 2.2.3:An amount equal to 40%of the unused portion of
Construction Manager’s Contingency.
D.Section 6,Cost of the Work for Construction Phase;paragraph 6.1.1.1.4
is amended as follows:
6.1.1.1.4 CONTRACTOR’s Supervisory and Administrative
Personnel Labor Rate table is hereby Deleted and Replaced
in whole with the agreed labor rates reflected below (“Revised
Rates”);thereby allowing the Revised Rates to be incorporated
in the Cost of Work for the duration of the project.
DocuSign Envelope ID: 4161357F-0B5D-4D28-8FA6-C00591FC6939
EXHIBIT A
Posltlon
3 165.00
>114.00
3 163.00
136.00
3 100.00
3 114.00
5 91.00
E.ATTACHMENT 1,OWNER’S INSURANCE REQUIREMENTS OF
CONTRACTOR;the entirety of paragraphs 3.7 and 4.6.3 shall read as
follows:
3.7 Deductibleisetention.The Builder’s Risk policy shall
contain the following deductible:All other Perils (AOP)-$100,000,
Water Damage -$250,000,Flood -$3,000,000,Named Windstorm
—$3,000,000.Contractor will be responsible for the Builder’s Risk
ADP and Water Damage deductibles.Contractor and Owner shall
split 50-50 any Flood and/or Named Windstorm deductibles.
Contractor will not be reimbursed for the ADP and Water Damage
deductible.Contractor will be reimbursed for its portion of any Flood
and/or Named Windstorm deductible from available Project
Contingency.
4.6.3 Amount of Insurance.Contractor shall purchase and
maintain Builder’s Risk coverage through final completion of the
Project and insure the full replacement value of the Project,
inclusive of any Owner provided equipment.Contractor shall
purchase Catastrophic (CAT)coverage for the perils of Flood and
Named Windstorm with sublimits in the amount of $15,000,000 for
flood and $50,000,000 for Named Windstorm.The Contractor and
Subcontractors of all tiers insured under the Builder’s Risk policy for
the Project are not responsible for any underinsured losses above
the $15,000,000 Flood and $50,000,000 Named Windstorm sub-
limits (“Underinsured Loss/Losses”).Owner agrees to release,hold
The staff rates listed below were used in pricing the Barry Rose GMP’I project.Staff rates include base
rate and burden.These rates will be used for any change order work on the project.These rates are valid
for the life of the GMP1 project
Proiect Director!Project Executive ‘.194.00
3 122.00
Assistant Superintendent
59%
Project Manager
Estimator
SafeylFietd Operation Manager
Lead Superintendent
Project Engineer
Dualitv Control Inspector
Contract Administrator
Labor Burden
DocuSign Envelope ID: 4161357F-0B5D-4D28-8FA6-C00591FC6939
EXHlBlTA harmless, and indemnify the Contractor and subcontractors of all
tiers insured under the Builder's Risk policy for the Project through
Final Completion from and against any Underinsured Loss/Losses.
Owner's defense, release, hold harmless and indemnity obligations
described above shall be effective even if Contractor or its
subcontractors would otherwise have a duty of indemnification,
contractual or otherwise. Any costs of Contractor or any
subcontractor of any tier associated with any Underinsured
Loss/Losses will be paid by Owner within 30 days from submittal of
Contractor's request for payment, notwithstanding any contrary
provision(s) in the Contract Documents. In the event of any
Underinsured Loss/Losses, the Contractor shall have the right to
stop the Work until evidence is provided by the Owner that it has
made financial arrangements to fully fund such Underinsured
Loss/Losses.
2.Agreement to Remain in Force. Other than the prov1s1ons of the
Agreement expressly amended herein, the Agreement shall remain in full force
and its enforceability shall be unaffected by this Amendment.
EXECUTED and EFFECTIVE as of the 24 day of June, 2024.
CITY OF PEARLAND, TEXAS {OWNER)
By:---------
--------- (print)
Date: , 2024 --------
McCARTH
:��
ANIES (CONTRACTOR)
BY:gl�1
LAR5 o l:'12.1c�&::>N (print)
Date: J"\JNE 2C , 2024
DocuSign Envelope ID: 4161357F-0B5D-4D28-8FA6-C00591FC6939
Trent Epperson
6/25/2024 | 9:12 AM CDT