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Exhibit 1 - Agenda Information Sheet - Amendment 2City of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement & Compliance ACM: David Gaines DATE: April 27, 2021 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a second amendment to a Professional Services Agreement between the City of Denton and James R. Kirkpatrick, Architect, Inc. dba Kirkpatrick Architecture Studio, amending the contract approved by City Council on October 6, 2020, in the not-to-exceed amount of $116,955.00; amended by Amendment 1 approved by Purchasing; said second amendment to provide additional engineering and construction services for 909 North Loop 288 for Community Services; providing for the expenditure of funds therefor; and providing an effective date (File 7453 – providing for an additional second amendment expenditure amount not-to-exceed $404,150.00, with the total contract amount not-to- exceed $526,920.00). INFORMATION/BACKGROUND In support of initiatives relating to the housing crisis response system and to provide public assistance to individuals experiencing and at-risk of homelessness, staff was directed to pursue the acquisition of the property at 909 North Loop 288. Property The tract is located at 909 North Loop 288, on the west side of Loop 288 between US 377/380 (University Drive) and FM 426 (McKinney Street). The property was originally designed as a nursing facility in 1975 and underwent improvements from 2004- 2005, transforming the facility into its current use. The building is approximately 34,284 square feet on +/- 5.1 acres. The building is a one-story H-frame garden office building on a concrete slab foundation with two spacious courtyards and +/- 2.0 acres of land for future development opportunities. Staff entered into negotiations and a contract for purchase between the City and City Council approved a Contract for Sale for the purchase (Ordinance No. 20-837) on April 21, 2020. Following the completion of the owner repairs required on June 30, 2020 (Ordinance No. 20-1235), the purchase was completed, and ownership transferred to the City on August 28, 2020. Building Potential The H-frame building is divided into four main wings with a common area center core (Area A wing = 6,720 SF, Area B wing = 7,252 SF, Area C wing = 8,474 SF, Area D wing = 8,422 SF, and Common Area Center Core = 3,416 SF). The layout of this building could be advantageous for the division of services for a multi-functioning building combining a food kitchen, day center, shelter, and other supportive services. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com Expansion Potential on Undeveloped Land Directly behind the building and parking lot is +/- 2.0 acres of vacant land marketed as a future development pad site, in compliance with current zoning of Public Facility (PF) designation. However, there are City electric and drainage easements on this vacant land that may impact the development of the land. To the west and north of the Property, the City of Denton owns approximately 26 acres of land (located at 1101 North Loop 288 and 1105 South Loop 288) with a Public Facilities (PF) zoning designation. The City- owned land to the west of the Property contains electric transmission lines and some utility easements. The City-owned land to the north of the Property was used for a staging area by DME for capital improvement projects. To the south of the Property, there is currently undeveloped land at 801 North Loop 288 owned by the Singing Oaks Church of Christ of Denton with Residential 7 (R7) zoning. Location and Access The Property is located on the west side of Loop 288 and with the recent lane expansion of Loop 288 to a six-lane loop, this gives easy access to Denton’s main roads: approximately a half a mile south of US 380/US 377 (University Drive) and approximately four miles east of Interstate 35E/35W. There are several major transportation expansion projects on or near Loop 288 within five miles of the Property underway. The Property is located within a half-mile of Serve Denton, a 32,500-square foot building serving as the landlord to multiple non-profit agencies and services. There is DCTA Route 4 with a stop marker directly in front of the Property. Parking The Property includes 84 existing parking spaces, ten of which in each of the east, west, and north areas are handicap spaces. (Handicap parking areas, such as on the north side, can be restriped to increase surface parking to provide an additional five to six spaces). Capital Improvements Capital improvements must be made to the building to accommodate for the proposed use and day-to-day operations. On October 6, 2020, City Council approved a contract with Kirkpatrick Architecture Studio for the design services for the property. These services have been completed providing for the Cost and Schedule of the Project ready for the General Contractor Bid. Phase three for these professional services will include 100% Construction Documents, Bidding and Negotiation, and Construction Administration of the project through completion. PRIOR ACTION/REVIEW (Council, Boards, Commissions) On April 21, 2020, City Council approved the Contract for Sale for the purchase of 909 North Loop 288 of (Ordinance 20-837). On June 16, 2020, the City Manager signed the Second Amendment to the Contract for Sale, extending both the Absolute Review Period and the Closing Date. On June 23, 2020, the City Manager signed the Third Amendment to the Contract for Sale, again extending the Absolute Review Period and the Closing Date. On June 30, 2020, the City Manager signed the Fourth Amendment to the Contract for Sale to allow the current owner to address the City's concerns and for the owner to compete for remediation of issues including all leases shall have been terminated and tenants shall have vacated the property; all roof repairs needed on the Property shall be completed, and asbestos remediation of the Property shall be completed. inspected and reported (Ordinance No. 20-1235). On October 6, 2020, City Council approved a contract with James R. Kirkpatrick, Architect, Inc. dba Kirkpatrick Architecture Studio in the not-to-exceed amount of $116,955 (Ordinance 20-1951). On February 1, 2021, Purchasing approved a first amendment with James R. Kirkpatrick, Architect, Inc. dba Kirkpatrick Architecture Studio in the not-to-exceed amount of $122,770. On February 23, 2021, staff presented an update on the project including the Management Services Agreement draft for the operation of services and management of the Facility, the progress on the Design Development, and the anticipated timeline for the completion of facility construction. RECOMMENDATION Award Amendment 2 with James R. Kirkpatrick, Architect, Inc. dba Kirkpatrick Architecture Studio, additional engineering and construction services for 909 North Loop 288 for Community Services, in the not-to-exceed amount of $404,150, for a total amended contract amount of $526,920. PRINCIPAL PLACE OF BUSINESS James R. Kirkpatrick, Architect, Inc. dba Kirkpatrick Architecture Studio Denton, TX ESTIMATED SCHEDULE OF PROJECT This project will be started upon approval with a completion date by December 2022. FISCAL INFORMATION These services will be funded from General Government Project Funds. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Original Ordinance and Contract Exhibit 3: Amendment 1 Exhibit 4: Ordinance and Amendment 2 Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Dani Shaw, 940-349-7237. Legal point of contact: Marcella Lunn at 940-349-8333.