Modular Classroom Building Lease Approval for Redan Middle School 20231016 (2)

AID 1606483 · View on Simbli

Agenda Item

vii. Modification to a Previously Approved (October) Board Agenda Item and Budget Reallocation for the Modular Classroom Installation at Redan Middle School (Not to exceed $1,631,221.84)

Summary: Presented by: Mr. Erick Hofstetter, Chief Operating Officer, Division of Operations
Request: It is requested that the Board of Education approve a modification to the October Agenda Item, “Modular Classroom Building Lease Approval for Redan Middle School (Mobile Modular Management Corporation in a not to exceed amount of $677,177.76)” to incorporate the total dollar amount for the lease of the portable classroom units in the amount of $433,080 for 12 months.

Also, it is requested that the Board of Education approve a Change Order in the amount of $141,662.24 that is necessary due to the extended installation height of the portable classroom units. The location of the classroom units is such that a portion of the units are mounted on higher than normal supports due to the natural grade of the area. The total additional cost of $141,662.24 is composed of $92,462.24 for additional installation materials and labor, and $49,200 for additional monthly lease costs for the additional ramp length needed for the increased height.

The total amount of the October Agenda Item will be modified to include an increased cost of $769,640 to install and remove the mobile classroom units and the above cost to lease the units for 12 months, $433,080, for a total cost to Mobile Modular of $1,202,720.

Additionally, it is requested that the Board approve a budget reallocation from Program Contingency to the necessary project cost code (SP5FACCON.32235.PRECONST) in the amount of $1,631,221.84. The reallocation will allow funds to be placed in the ESPLOST project budget to pay Mobile Modular for the installation and removal of the portable classroom units and the monthly lease payments. The reallocation will also allow funds to be available to pay the District’s electrical, plumbing, carpentry, IT and moving vendors, which are typical and necessary for the complete installation of the portable classroom units.
Why: To approve the modification of the October 2023 Agenda Item to include a total amount for the month-to-month lease of the portable classroom units, approve a change order for $141,662.24 due to the extended installation height of the portable classroom units, and approve a budget reallocation from Program Contingency to the necessary project cost code (SP5FACCON.32235.PRECONST).
Details: The proposed modular buildings are to accommodate temporary classroom needs at Redan Middle School during the E-SPLOST V Major Building System Replacement project. It is anticipated that the portable classroom units will need to be on-site for approximately 12 months. The reallocated funds will cover the expenses for installing and removing the units, monthly lease payments, and payments to the District’s electrical, plumbing, carpentry, IT, and moving vendors, which are typical and necessary for the complete installation of the portable classroom units.




Modular Classroom Installation at Redan Middle School ($1,631,221.84)




Redan MS






Mobile Modular Costs
October BAI

This BAI



Delivery and Installation Fee
$489,589.84

$576,800.00
**


Cleaning and Removal Fee
$187,587.92

$192,840.00
**


Total One-Time Costs (*this amount previously approved)
$677,177.76
*
$769,640.00



Total Lease Payments for 12 Months
$383,880.00

$433,080.00
**


Total Budget for Mobile Modular
$1,061,057.76

$1,202,720.00



**These costs increased due to extended installation height.













Other Vendor Costs






Electrical Contractor Budget
$0.00

$98,468.32



Plumbing Contractor Budget
$0.00

$96,500.00



DCSD Technology Vendor Budget
$0.00

$44,158.52



Sidewalks and Concrete Pads Budget
$0.00

$124,375.00



Moving Services Vendor Budget
$0.00

$65,000.00






$428,501.84










Budget Reallocation from Program Contingency:


$1,631,221.84
***


***Budget Reallocation amount reduced due to reduced cost to install sprinklers for these units.
Financial impact: The total budget reallocation of $1,631,221.84 from E-SPLOST V Program Contingency will be transferred to the pre-construction cost code (SP5FACCON.32235.PRECONST) under the voter-approved E-SPLOST V program for the Redan Middle School Major Building System Replacement project.
Contact: Mr. Erick Hofstetter, Chief Operating Officer, Division of Operations, 678-676-1475

Mr. Richard Boyd, Director of Design and Construction, Operations, 678-676-1483
Effective: Upon Board Approval
Status: Approved by General Counsel
MEETING DATE: October 16, 2023

AGENDA ITEM TITLE: Modular Classroom Building Lease Approval
for Redan Middle School (Mobile Modular Management Corporation
in a not to exceed amount of $677,177.76)

QUICK SUMMARY ABSTRACT: (Presented by)
Mr. Erick Hofstetter, Chief Operating Officer, Operations Division

REQUESTED ACTION: It is requested that the Board of Education approve
the lease of (2) 10-classroom modular buildings in accordance with the terms
and conditions of the Lease Quotation between DCSD and Mobile Modular
Management Corporation, in the fixed price amount of $677,177.76.

RATIONALE: DeKalb County School District is requesting to contract for
modular classroom installation services utilizing the buying power of the E & I
Cooperative Agreement Contract No. CNR01522.

DETAILS: The proposed modular building is to accommodate temporary
classroom needs at Redan Middle School during the construction phase.
Mobile Modular Management Corporation submitted a lease quotation for
the lease and placement of (2) 10 classroom modular buildings for use
throughout the construction phase.

The District is requesting the lease of (2) 10-classroom modular buildings with
restrooms. The lease of this modular building will support student capacity
and the replacement of existing classrooms under construction.

On June 23, 2020, E&I Cooperative Services issued an RFP for Modular
Buildings, Installation, Removal, Storage Units, Supplies and Services
(Modular Buildings). Mobile Modular Management Corporation was
awarded a five (5) year agreement effective November 1, 2020, to October
31, 2025 No. CNR01522. On May 17, 2021, the DeKalb County Board of
Education entered into that certain Member Specific Agreement to Master
Agreement CNR01522 with an initial one (1) year term and four (4) one-year
option renewal periods. The Board has authorized its renewal option for the
Member Specific Agreement under the same terms as the initial term which
remains in effect.

SUMMARY:         Pursuant to Board Policy DJE III.D.3.d, Exceptions to
Competitive Selection, the Purchasing Department is authorized to make
purchases through contracts formally solicited and obtained by the State of
Georgia and through "inter-governmental and educational cooperatives,
alliances, and consortiums to achieve cost savings and administrative
efficiencies based on economies of scale".
Use of this cooperative agreement increases economies of scale, resulting in
efficiencies regarding volume discount pricing. The contract was competitively
                                                                 REVISED 07.2019
solicited and awarded in a comprehensive RFP process validated by the
National Institute of Governmental Purchasing (NIGP). At this time utilizing
this contract will allow the District to expedite the modular building installation
and code upgrades required by the Georgia State Fire Marshall.

FINANCIAL IMPACT: The total budget of $677,177.76. for this project is
allocated from the cost codes (SP5FACCON.32235.PRECONST) under the
Operations’ Division General Fund Budget and SPLOST V Budget.

CONTACTS:
Mr. Erick Hofstetter, Chief Operating Officer, 678.676.1470
Mr. Richard Boyd, Director of Design and Construction, 678.676.1483

SUPPORTING DOCUMENTS:
  1. Mobile Modular Management Member Specific Agreement
  2. Mobile Modular Lease Quotation
  3. Chronology of the Agenda Item

GOALS:
      Strategic Goal Area 1. Student Success with Equity and Access

      Strategic Goal Area 2. Stakeholder Engagement and Communication

      Strategic Goal Area 3. Staff Effectiveness

      Strategic Goal Area 4. Culture and Climate

      Strategic Goal Area 5. Organizational Excellence

      Strategic Goal Area 6. Facilities



ADVANCED STANDARDS:
Type applicable standard in box on simbli/eboard which standard(s) apply

Standard 1: Purpose and Direction

Standard 2: Governance and Leadership

Standard 3: Teaching and Assessing for Learning

Standard 4: Resources and Support Systems

Standard 5: Using Results for Continuous Improvement


STATUS:
Include applicable applies on the agenda item for this content area:
    • Approved by General Counsel
    • Approved by the Office of Legal Affairs
    • Attorney approval not required


                                                                           REVISED 07.2019
IMPLEMENTATION DATE: Date cannot occur before BOE approval.




                                                         REVISED 07.2019