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M April 3, 1986 AM198 1 CftF if � C HM 4�. r Mr. Sonny Dean, Director of General Services ZGi��'` Indian River County 1878 1849 25th Street Vero Beach, Florida 32960 RE: INDIAN RIVER COUNTY JAIL, PHASE II Dear Mr. Dean: We have received and reviewed the three estimates of construction cost prepared by RSH Constructors, and'the two independent cost estimating firms, Construction Cost Systems and Hanscomb Associates, Inc. All estimates were based on construction documents which at that time, were approximate 90% complete. Their estimates were: Hanscomb $1,751,930 ... 78.45 per sq. ft. Construction Cost Systems $2,284,050 ... 102.28 per sq. ft. RSH Constructors $2,477,573 ... 110.94 per sq. ft. To compare these costs with the costs of the Phase I construction, we must take into consideration the fact that the bid submitted by RSH was substantially below the other bids, so a fair comparison should be based upon the average of the bids received at that time, or $4,242,000. $4,242,000 divided by the Phase I area of 47,470 sq. ft. equals $89.00 per sq. ft. times 1.04 for a years inflation equals $93.00 per sq. ft. $93.00 X Phase II area of 22,332 sq, ft. _ $2,076,876 However, on a proportionate basis, the addition contains substan- tially less security equipment and includes no kitchen equipment, no windows, no elevator and cheaper plumbing fixtures. In our opinion the cost should be well under $2,000,000. Though it is probable, that working with the now completed plans and taking more competitive sub -bids, RSH could bring their guaranteed maximum figure down substantially, we are now convinced by the wide spread of these estimates,.that the County should seek competitive bids from general contractors. If the project goes out for general bids and RSH should not be successful in submitting the lowest bid, the General Conditions Article 6 of their contract allows the Owner to have two general contractors working on the same site. To prepare for competitive bidding: .1. It will take one or two weeks to revise the documents for general contract bids. 2. We will prepare a change order to be issued to RSH to cover Phase II work that is in Area A including provisions of fenc- ing, laundry/storage,control room. 3. The documents will be revised to show construction limits, indicate staging areas for each general contractor, and ex- plain the coordination required between general contractors. 4. The project must be advertised by the County for general contract bids. 5. Three to three and one-half weeks will be needed for bidding. 6. One week will be needed for preparation of the contract and permitting. Construction would not begin before the middle of May, and at best the pod would not be completed until late winter or early spring of 187. Very truly yours, W. R. FRI L ARCRI-T4CTS, INC. George Hail, AIA Vice President I 31 BOOK 64 103