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01-03-2006 - Northern 100-Acre Site GradingCity of west Covina Memorandum AGENDA ITEM NO. G-1 DATE January 3, 2006 DATE: January 3, 2006 TO: Andrew G. Pasmant, City Manager/Executive Director and the City Council/Community Development Commission FROM: Christopher J. Chung Community Development Commission Director SUBJECT: NORTHERN 100-ACRE SITE GRADING RECOMMENDATION: Confirm City/CDC staff: s intent to pursue Alternative 1, which would authorize a change order to the existing Yeager-Skanska (City) Grading Contract to grade a portion of the northern section of the 100-acre site (not including the 700 or 750 pads), which will result in a total pad area of approximately 27 net developable acres. DISCUSSION: The 100-acre site is comprised of a northern and southern section. The southern section of the 100-acre site (Attachment No. 1, Area A) is under development as a 375,000 commercial retail shopping center anchored by Target and Home Depot. The gross acres of the commercial site are approximately 43 acres, of which approximately 32 acres are net developable acres (I I acres of slopes are undevelopable). The northern section of the 100-acre site (Attachment No. 1, Area B) is comprised of an interim pad site of approximately 14.5 acres and an existing ridgeline, which would need to be graded down in order to prepare future developable pad areas. The golf course project consists of an 18-hole layout with a lighted driving range, clubhouse and 300-person capacity banquet facility. The City issued a change order to an existing City grading contract to excavate approximately 850,000 cubic yards of soil from, the southern commercial site (previously BKK's obligation for completing the top deck). The excavated soil was transported and compacted on the northern section of the 100-acre site, yielding approximately a 14.5 - acre net developable pad (See Attachment No. 2). The City has delayed the grading of the project due to unforeseen delays in the closure of the BKK landfill. City/CDC staff s current intent is to continue grading where possible in order to maintain forward progress momentum and to save cost where possible by keeping Yeager-Skanska mobilized on site. As a result, staff is proposing the following: 1. Grade a portion of the northern section of the 100-acre site (not including the 700 or 750 pads), which when added to the existing 14.5 acres, will result in a total pad area of approximately 27 net developable acres (Attachment No. 1, Area B). In addition, the grading of this area would result in the City/CDC removing a small portion of Coastal Sage Scrub ("CSS"), which would require the City/CDC to mitigate pursuant to an approved Biological Opinion and CSS Conservation and Mornitoring Plan approved by U.S. Fish and Wildlife Service. This includes clearing and grubbing CSS Habitat prior to February 15, 2006, which is the start of the gnatcatcher-breeding season. bkk783dgv3 Andrew G. Pasmant, City Manager/Executive Director and the City Council/CDC Board January 3, 2006 Page 2 2. The grading of the golf course would not be pursued at this time, but could be pursued in the future (and before Yeager Skanska de- mobilizes). 3. The grading of 700 and 750 pads would be delayed. The CDC could sell the pads "as -is" which would result in the buyer being responsible for grading the sites. In doing so, the CDC would realize a lower or nominal purchase price, and the CDC could save millions of dollars in up -front grading costs. 4. Final infrastructure, utilities and road improvements would not be pursued at this time but will be pursued as part of a subsequent phase. The final grading quantities and locations of soil placement will need to be determined, however, it would be in the City's and CDC's best interest to continue grading while Yeager-Skanska is still mobilized. Otherwise, the City/CDC could expend additional funds in future mobilization costs and require re -bidding the grading contract, which could result in project delays. The contractor's current estimated cost to grade a portion of the northern section (Attachment No.1, Area B) of the 100-acre site (not including the 700 or 750 pads) is approximately $1.8 to $2.5 million. However, staff, the project civil engineer, and the grading contractor will need to confirm actual earthwork quantities, placement, and unit prices (per cubic yard) prior to issuing a change order. All costs estimates herein are preliminary ballpark figures. Final figures will be determined based on final plans and quantities and as negotiated with the contractor, or re -bid if necessary. Any significant changes to the plans from the original may require revised construction drawings, which could also take several weeks to prepare. ALTERNATIVES: The City Council/CDC Board has several alternatives. These alternatives are as follows: 1. Issue a change order to the existing Yeager-Skanska (City) Grading Contract to grade a portion of the norther section of the 100-acre site (not including the 700 or 750 pads), which when added to the existing 14.5 acres, will result in a total pad area of approximately 27 net developable acres. The grading contractor's estimated grading cost is approximately $1.8 to $2.5 million. 2. Grade the entire northern area of the 100-acre site (including 700 and 750 pads) and golf course. The grading contractor's estimated grading cost is approximately $11.3 to $11.8 million excluding contingencies for unforeseen soil conditions. In doing so, the City/CDC will also likely need to address the cost of extending gas headers / gas monitoring wells and decommissioning gas probes and groundwater wells ($1.5 to $2 million rough estimate, which is currently BKK's obligation to perfornl). 3. Grade the entire northern area of the 100-acre site (including 700 and 750 pads) and delay golf course. The grading contractor's estimated grading cost is approximately $4.5 to $5 million. 4. Grade golf course only and do not grade northern portion of 100-acre site. Estimated cost is approximately $6.7 to $7 million. 5. Re -bid the project to obtain revised grading costs. Re -bidding the grading work could result in a higher or lower estimated grading cost. bkk783dgv3 Andrew G. Pasmant, City Manager/Executive Director and the City Council/CDC Board January 3, 2006 Page 3 FISCAL IMPACT: The grading contractor's current estimated cost to grade a portion of the northern section of the 100-acre site (not including the 700 or 750 pads) is approximately $1.8 to $2.5 million. � t Prepared by: Duran �7ihannon auchzee RedevDlegas ment Manager Public Works Director iewed/Approved b. I Christopher J. Chung ) CDC Director Reviewed & Approved by: Approved via Telephone fax cC2 EJ General Counsel to the CDC Finance Attachments: No. 1 — Proposed Northern Area Site Grading No. 2 — Northern Area Site Grading in Progress bkk783dgv3 ATTACHMENT N0. 20 Rey—tsed-Strategy Based Upon CWIVIB's 2.5' Ve dtative Soil Layer 100 ACRE Futuregrading f^desiredt,_. - r' , INTERIM PAD SITE (14.5 acres) A /r 850,000 cy. Total to Interim4h' Pad Site by City 1 ` 0 o CLASS III LANDFILL 0 0 418,000 cy. Total," to landfill - 2.51 --- . _— vegetative cover. . by gKK:. a ,oA Northern " Area GA COMMERCIAL SITE u �40 fl00cy. $OUthn Borrow. �,.4,Area f� N *cy. -;cubic yards rj ** Figuresov e�esttiimates based on information provided to date. Quanities may be subject to change. 12/29/05