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06-08-2017 VC WS-MMINUTES OF THE WORKSHOP SESSION VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA JUNE 89 2017 Present: Darryl C. Aubrey, Sc.D., Mayor Mark Mullinix President Pro Tem Susan Bickel, Councilmember Andrew D. Lukasik, Village Manager Len Rubin, Village Attorney Melissa Teal, Village Clerk Absent: Robert A. Gebbia, Vice Mayor David B. Norris, Councilmember ROLL CALL Mayor Aubrey called the meeting to order at 8:11 p.m. All members of Council were present, except Vice Mayor Gebbia and Councilmember Norris, who were out of town. All members of staff were present. NORTH PALM BEACH COUNTRY CLUB CLUBHOUSE AND POOL FACILITY Village Manager Lukasik explained Chuck Huff, Village Special Projects Director, and Joe Gaudet, serving as Village Construction Manager would be sharing an update on general design and budget for the Country Club construction. Mr. Lukasik noted the goal of the meeting was to get a sense from Council as to how to move forward with value engineering on the project, as the construction was currently $1.1 million over the original budget. Mr. Huff shared an overview of the plans for the Country Club floor by floor, pointing to the uses planned for each area. Mr. Huff shared the layout for the pool area. Councilmember Bickel stated she thought the plan was missing a space to sell swimsuits, goggles, suntan lotion, and other pool related items. Mr. Huff agreed and made note of the request. Mr. Huff continued reviewing the plans, then introduced Joe Gaudet of Gaudet Associates, Inc. Mr. Gaudet discussed the status of the project. Mr. Gaudet stated the Clubhouse design was 75 percent completed, and the aquatics and interior design are just behind that. Mr. Gaudet reviewed the construction schedule and noted there would be a delay because the General Contractor contract needed to go before Council in July. Mr. Gaudet noted all design documents were due at the end of June. Mr. Gaudet reviewed the Country Club project budget. Mr. Gaudet discussed how the current cost projection was compiled and recommendations regarding overages. Continuing, Mr. Gaudet outlined value engineering savings through the scope of work which had been identified through a series of meetings. Mr. Gaudet stated the changes were intended to reduce the cost without impacting Minutes of Village Council Workshop Session held June 8, 2017 Page 2 of 3 programming and gave examples such as changing the type of tile or removing a door. Mr. Gaudet noted that direct material purchase could also result in savings. Mr. Gaudet reiterated the project was currently $1.1 million or seven (7) percent over the original budget. Mr. Huff shared the value engineering document with Council. Mr. Huff noted it was a working document which underwent constant changes. Mr. Gaudet reviewed the document line by line and asked for feedback from Councilmembers. President Pro Tem Mullinix asked about the costs of creating a shell for a fine dining restaurant rather than building it out. Mr. Gaudet discussed the costs of interior air-conditioned space and outdoor terrace space and responded that it depended what portion of the finishing was completed. Discussion ensued. Mayor Aubrey asked Mr. Gaudet to comment on options surrounding hard bid versus construction management at risk and the rate of change orders. Mr. Gaudet responded briefly. Mayor Aubrey asked if it was too late to reconsider construction manager at risk as an option. Mr. Huff stated that ideally that decision would have been made a year ago, but because they had not done the work yet, there were still opportunities if that was the direction of Council. Discussion ensued regarding the construction manager at risk model and contract scope. Sharon Swan, Village Manager of Purchasing, stated that an option which had been discussed was to identify certain items as optional, to allow for reductions as necessary to stay within budget. Mr. Gaudet pointed out this discussion was a normal phase of any construction project. Discussion ensued regarding the level of interest from contractors in the marketplace and the timeline once the design documents were completed. Ms. Swan noted that staff continued to work to meet the budget but had wanted to provide an update so that Council was in the loop. Mayor Aubrey asserted that they were looking to build for the next 50 years. Timothy Hullihan, 840 Country Club Drive, resident of North Palm Beach and architect in Palm Beach County. He asserted that value engineering was not something anyone liked, because it means cheaper materials. Mr. Hullihan stated the project was over budget because it was not done correctly in the first place, and that the architect should not be allowed to continue toward document completion over budget. Mr. Hullihan asked if the current building would be demolished prior to the start of construction. Mayor Aubrey stated that Council did not want to preempt their decision making by tearing the building down before absolutely necessary. Minutes of Village Council Workshop Session held June 8, 2017 Page 3 of 3 Mr. Hullihan noted that he had done an analysis on the project to highlight that the building was overdesigned for the community. Mr. Hullihan asked that Council and staff take a look at his analysis, as the building could get a lot smaller. Councilmember Searcy referenced the absent members and stated that the full Council needed to sit down and have a serious discussion about the project. Mr. Gaudet stated that staff could present vetted options at a future Workshop. ADJOURNMENT With no further business to come before the Council, the meeting adjourned at 9:19 p.m. a Co p eted by Jessica Green, MMC, Village Clerk