CITY of RAPID CITY Agenda Item Summary
Meeting Date: 2/25/2014		PW Committee:  2/25/2014
Staff Contact: Wade Nyberg/Terry Wolterstorff		City Council: 3/3/2014
Agenda Title:
Authorize Public Works Director and City Attorney to terminate the contract with Pendo’s Construction, Inc. for the 2011 Storm Damage Recovery Project, Schedule C, dated 1/31/2013, make all necessary claims against the performance and payment bond provided, and to take such action necessary to repair and finish the project.
Summary:
This project was bid on October 9, 2012, and awarded at the November 5, 2012, Council Meeting.  The contract was signed on January 31, 2013.  The project consists of the reroofing of twenty buildings, eleven of them being standing seam metal roofs.   The standing seam roofs are the issue with this contract.  These eleven buildings include six buildings at Sioux Park, Fire Station 6, two buildings at Parkview Pool and two buildings at Meadowbrook Golf Course.  To date, two of the six buildings at Sioux Park, the two buildings at Parkview Pool, and two buildings at Meadowbrook have not been started.  The building roofs that have been completed have not been installed according to the manufacturer’s instructions, and as a result, they are not eligible for the manufacturer’s “Weathertight Warranty.” There are 2 attachments from Sheffield Metals detailing problems with the construction.  One is the Mid Point Inspection Report and the other is a notice that the roofs do not qualify for the warranty.  Also attached are two letters from Upper Deck Architects, the City’s consultant on this project, expressing concerns about safety, competency, and other issues, and also certifying that there is cause to terminate the contract. This certification is required by the Agreement between the City and Pendo’s in order to terminate the contract for cause.
Funding Source & Fiscal Impact (if applicable):
Fiscal impact is expected to be minimal, as we will be looking to the bond provided to secure performance under the contract to cover our expenses in completing and/or repairing the work.
Recommendation:
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Options:
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Attachments & Links:
Notice of Intent to Terminate	Sheffield Metals Midpoint Inspection Report		Upper Deck Letter 11-18-13
Sheffield Metals Warranty Rejection Notice	Upper Deck Letter 2-4-14		Click here to enter text.