AGENDA INFORMATION SHEET
DEPARTMENT: Materials Management
ACM: Bryan Langley
AGENDA DATE: October 18, 2016
SUBJECT
Title
Consider adoption of an ordinance terminating an award for a public works contract for the construction of hangars at Denton Enterprise Airport; and providing an effective date of the termination. (RFP 5753- previously awarded to Mag Construction Services, LLC in the not-to-exceed amount of $617,801.65 on April 21, 2015).
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RFP INFORMATION
The Taxilane Quebec Hangar Project consisted of constructing twenty-seven (27) aircraft hangar spaces in seven (7) buildings for light, personal aircraft. The ramp area connecting these hangars to Taxilane "Q" (Quebec) was completed in October 2014. The hangar materials were awarded by Council on November 18, 2014 (RFP 5574) and purchased from Erect-A-Tube in the amount of $614,838. Based on a current waiting list of prospective tenants, staff estimates the hangars can be leased as soon as certificates of occupancy are issued following assembly. The fully leased units will generate $13,500 in Airport Fund revenue each month.
On April 21, 2015, the Denton City Council issued Ordinance 2015-120 approving Contract 5753 for construction of the hangars, a notice to proceed was issued, and the awarded contractor - MAG Construction mobilized to the jobsite and construction began shortly thereafter. Several months into the project, it became obvious to City staff that the contractor had slipped in the schedule, and some noticeable errors were discovered in the means and methods of construction. Subsequently, the City of Denton issued the contractor an initial demand letter on 11-11-15. Several months later, some improvements to the project were completed, however, overall the project was still behind schedule. The City issued a second demand letter on 6-7-16, and also notified the Bonding Company of the contractual issues at this point. Over the past few months, the contractor has attempted to rectify s...
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