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File #: 2024-0639    Version: 1
Type: Resolution Status: To Be Presented
File created: 6/28/2024 In control: Committee on Intergovernmental and Educational Affairs
On agenda: 7/2/2024 Final action:
Enactment date: Enactment #:
Effective date:    
Title: Resolution further amending Resolution No. 42 of 2019, entitled "Resolution authorizing the Mayor and the Director of the Department of Public Works to enter into a Professional Services Agreement between the City of Pittsburgh and AE7 Pittsburgh LLC for architectural and engineering design services for the multi-story office build-out at 412 (formerly 420) Boulevard of the Allies, Pittsburgh, PA 15219" by increasing the amount of the Professional Services Agreement with AE7 by One Hundred Forty-Two Thousand Seven Hundred Forty Dollars and Thirty-One Cents ($142,740.31) from Four Hundred Thirty-Two Thousand Dollars ($432,000.00) to Five Hundred Seventy-Four Thousand Seven Hundred Forty Dollars and Thirty-One Cents ($574,740.31). (Waiver of Rule 8 Requested)
Indexes: AGREEMENTS
Attachments: 1. 2024-0639 Cover Letter-Revised - RES LETTER 412 BLVD of the Allies Further amending Res 227-22 6-9-24 REVISED 6-26-24 - signed, 2. Summary 2024-0639
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Resolution further amending Resolution No. 42 of 2019, entitled “Resolution authorizing the Mayor and the Director of the Department of Public Works to enter into a Professional Services Agreement between the City of Pittsburgh and AE7 Pittsburgh LLC for architectural and engineering design services for the multi-story office build-out at 412 (formerly 420) Boulevard of the Allies, Pittsburgh, PA 15219” by increasing the amount of the Professional Services Agreement with AE7 by One Hundred Forty-Two Thousand Seven Hundred Forty Dollars and Thirty-One Cents ($142,740.31) from Four Hundred Thirty-Two Thousand Dollars ($432,000.00) to Five Hundred Seventy-Four Thousand Seven Hundred Forty Dollars and Thirty-One Cents ($574,740.31).

(Waiver of Rule 8 Requested)

 

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WHEREAS, pursuant to amending Resolution No. 42 of 2019, effective January 10, 2019, as amended by Resolution 665 of 2019, effective October 11, 2019, as amended by Resolution 227 of 2022, effective May 17, 2022, the City of Pittsburgh (the “City”) was authorized to enter into a professional services agreement with AE7 Pittsburgh LLC for architectural and engineering design services for the multi-story office build-out at 412 Boulevard of the Allies, Pittsburgh, PA  15219 (the “Property”), for the not to exceed amount of $596,576.51, with specific amounts assigned to the City, Housing Authority of the City of Pittsburgh (“HACP”) and shared areas, and

 

WHEREAS, since the Resolution was passed, City Council separately authorized the City to condominimize the Property into condominium units along with the Urban Redevelopment Authority of Pittsburgh and the HACP, and

 

WHEREAS, the proposed conversion to condominium units has required re-measurement of the space to reconfigure the appropriate ownership interests and a corresponding reallocation of the share of build-out funding, and

 

 WHEREAS, the Resolution further acknowledged that if the allocations assigned to various unit owners needs to be adjusted, another resolution would be prepared to reconcile the changes.

 

 

Be it resolved by the Council of the City of Pittsburgh as follows:

 

Section 1 of Resolution No. 42, effective January 10, 2019, which presently reads as follows:

 

A. “The Mayor and the Director of the Department of Public Works are authorized to enter into a Professional Services Agreement the (“Agreement”) between the City of Pittsburgh and AE7 Pittsburgh LLC (“AE7”) to provide architectural and engineering design services for the multi-story office build-out at 412 Boulevard of the Allies, Pittsburgh, PA  15219, for an amount no to exceed Four Hundred Thirty Two Thousand ($432,000) Dollars.  Amounts broken out in Subsection F correspond to applicable unit ownership.

 

B. During the final phase of design, it was determined that there were layout changes needed by the user departments as well as structural drawings and calculation to be resolved before construction documents could be completed.  These services were not included in the original Scope of Work, and once added, will increase the overall contract by a not to exceed additional fee of $30,000.00.  The City of Pittsburgh line in Subsection F has been revised to include these additional structural engineering fees.

 

C.  These design services will create better department adjacencies, efficiently planned purpose-built spaces, healthy and sustainable departments, and a user friendly public interface at the One-Stop-Shop for both the City and HACP.

 

D. The Agreement is intended to initially cover a scope of Work for the design of proposed City units and shared space unity (City and HACP) due to the City’s supervisory role over the build-out work in these spaces.

 

E.  The Mayor and the Director of the Department of Public Works are further authorized to amend the agreement with AE7 in the future to add the HACP as a party and include the Scope of Work for the design of HACP units as soon as the HACP receives permission from the U. S. Department of Housing and Urban Development (“HUD”) to expand funding for the property, which will occur upon the filing of a Declaration of Trust against the property with terms requited by HUD.  In such event, the amount of compensation may be increased to an amount now to exceed Five Hundred Ninety-Six Thousand Five Hundred Seventy Six Dollars and Fifty Once Cents ($596,576.51).

 

F.  As issuer of the applicable bonds, the City of Pittsburgh is holding the account for build-out on behalf of the City, HACP, and the URA.  Funding for the Agreement shall be chargeable to and payable from the following Capital Accounts:

 

City Of Pittsburgh - 4530212018.54205.00 $351,715.16

Shared Common Area- 4530211018.54205.00 $80,284.84

 

G.  Upon future amendment of the Agreement to add the Housing Authority as a party, the following Code Account will be used:

 

Housing Authority 8330215018.54205.00 $194,576.51”

 

 

Is hereby amended to read as follows:

 

A. “The Mayor and the Director of the Department of Public Works are authorized to enter into a Professional Services Agreement the (“Agreement”) between the City of Pittsburgh and AE& Pittsburgh LLC (“AE7”) to provide architectural and engineering design services for the multi-story office build-out at 412 Boulevard of the Allies, Pittsburgh, PA  15219, for an amount not to exceed Five Hundred Seventy-Four Thousand Seven Hundred Forty Dollars and Thirty-One Cents ($574,740.31). Amounts broken out in Subsection F correspond to applicable unit ownership.

 

B. During the final phase of design, it was determined that there were layout changes needed by the user departments as well as structural drawings and calculation to be resolved before construction documents could be completed.  These services were not included in the original Scope of Work, and once added, will increase the overall contract by a not to exceed additional fee of $30,000.00.  It was later determined that there were additional layout changes needed by the user departments as well as structural drawings and calculation to be resolved before construction documents could be completed.  These services were not included in the original Scope of Work, and once added, will increase the overall contract by a not to exceed additional fee of One Hundred Forty-Two Thousand Seven Hundred Forty Dollars and Thirty-One Cents ($142,740.31).  The City of Pittsburgh line in Subsection F has been revised to include these additional structural engineering fees.

 

C.  These design services will create better department adjacencies, efficiently planned purpose-built spaces, healthy and sustainable departments, and a user friendly public interface at the One-Stop-Shop for both the City and HACP.

 

D. The Agreement is intended to initially cover a scope of Work for the design of proposed City units and shared space unity (City and HACP) due to the City’s supervisory role over the build-out work in these spaces.

 

E.  The Mayor and the Director of the Department of Public Works are further authorized to amend the agreement with AE7 in the future to add the HACP as a party and include the Scope of Work for the design of HACP units as soon as the HACP receives permission from the U. S. Department of Housing and Urban Development (“HUD”) to expand funding for the property, which will occur upon the filing of a Declaration of Trust against the property with terms requited by HUD.  In such event, the amount of compensation may be increased to an amount now to exceed Seven Hundred Sixty-Nine Thousand Three Hundred Sixteen Dollars and Eighty-Two Cents ($769,316.82).

 

F.  As issuer of the applicable bonds, the City of Pittsburgh is holding the account for build-out on behalf of the City, HACP, and the URA.  Funding for the Agreement shall be chargeable to and payable from the following Capital Accounts:

 

City Of Pittsburgh - 4575000524.54205.00 - $494,455.47

Shared Common Area - 4530211018.54205.00 - $80,284.84

 

G.  Upon future amendment of the Agreement to add the Housing Authority as a party, the following Code Account will be used:

 

Housing Authority 8330215018.54205.00 $194,576.51”

 

Section 2.                     In all other respects, Resolution No. 42 of 2019, effective January 10, 2019, as amended by Resolution 665 of 2019, effective October 11, 2019, as amended by Resolution 227 of 2022, effective May 17, 2022, remains unchanged and in full force and effect.