SENATE FINANCE COMMITTEE September 28, 2009 10:01 a.m. 10:01:17 AM CALL TO ORDER Co-Chair Stedman called the Senate Finance Committee meeting to order at 10:01 a.m. MEMBERS PRESENT Senator Lyman Hoffman, Co-Chair Senator Bert Stedman, Co-Chair Senator Charlie Huggins, Vice-Chair Senator Dennis Egan Senator Joe Thomas MEMBERS ABSENT Senator Donny Olson Senator Johnny Ellis ALSO PRESENT Pamela Varney, Executive Director, Alaska Legislature Tina Strong, Procurement Officer, Alaska Legislature SUMMARY ^Expenditure of Committee Funds on Capitol Building Fifth Floor Rehabilitation--Approval of Request for Funds (RFQ). 10:01:25 AM Co-Chair Stedman confirmed a quorum. Co-Chair Stedman informed the committee about the request to authorize an expenditure of committee funds for demolition work on the fifth floor of the capitol building as part of the reconfiguration of room 530, the Senate Secretaries' work area. The back-up documents include request for quotation (RFQ) #496 for the fifth floor demolition work, a bid abstract including one contractor who bid for the request, a memo from the procurement officer recommending an award to Silverbow Construction, and a diagram showing room 506 and 508 as reconfigured once the demolition and reconstruction is complete (Copy on File). Co-Chair Hoffman Moved to Approve the award of RFQ #496 to Silverbow construction in the amount of $44,960.00. Co-Chair Stedman Objected for the purpose of discussion. 10:02:58 AM Co-Chair Stedman explained the proposed improvements and the impacts to Senator Olson's office. He explained the attempt to create more functional work space for the Senate Finance Committee. The project is a priority, but was subject to minimal delays, due to other necessary projects. Senator Olson's office is affected by the changes made to room 530. Co-Chair Stedman explained that the construction, which involves the use of jackhammers and concretes saws, would prove disruptive to employees working in the general vicinity. Based on this information a decision to solicit two bids was made; one solicitation was for non-business hours and one for business hours. He addressed the Juneau office for quotes. Ms. Pamela Varney, Executive Director, Alaska Legislature addressed the question. She stated that the Senate Finance Committee is in possession of the funds necessary for the project. She agreed that performing the work after hours was prudent. She expressed enthusiasm about the project. Ms. Tina Strong, Procurement Officer, Alaska Legislature addressed the construction bid. She explained that the bid was out for 15 days and sent to five different vendors while posted with the state of Alaska's online public notice. Silverbow Construction proposed the only bid on the project. 10:05:34 AM Co-Chair Stedman clarified that the bid was for $36,500.00 for normal office hours and $44,960.00 for after hour construction. He noted that both amounts surpassed the committee Chairman's ability to issue a contract of $25,000 or less, necessitating today's meeting. He stated favor in the higher bid allowing the construction crew to run jackhammers and concrete saws and facilitating removal of the vault. Senator Huggins informed that he wanted to proceed with the project. He discussed the modification of Senator Olson's office. He was supportive, but wanted Senator Olson's approval as the concept had changed since last spring when he and others walked through the offices seeking potential solutions. Co-Chair Stedman stated that Senator Olson was in support of the modifications to his office. Senator Egan appreciated that the preference of the after hour bid as his staff is located next door to the demolition site. Co-Chair Stedman removed his Objection. Senator Thomas asked why the other contractors neglected to bid on the project. He asked if the entire job was bid after hours or only the jackhammer and concrete saw work. 10:08:24 AM Ms. Varney did not know the reason why the other four contractors did not bid. She supposed that the other contractors may not have had the ability between now and December 11, 2009 to finish the job. She mentioned a recent site visit for a different ceiling job in which six contractors attended. Senator Thomas asked if the funds requiring approval were for the jackhammer work or for the entire project. Ms. Varney answered that Silverbow Construction will perform the demolition and removal of the vault with the capitol maintenance crew following up with finish work during regular business hours. Co-Chair Stedman removed his Objection. A roll call vote was taken on the motion. IN FAVOR: 5 OPPOSED: 0 10:10:51 AM Co-Chair Stedman announced that the motion carried and the Senate Finance Committee will allow RFQ #496 to Silverbow construction in the amount of $44,960.00. ADJOURNMENT The meeting was adjourned at 10:11 AM.