Board
Present: Lyle Schwartz (president), Zlatan Beca, Makarand (Mak) Dehejia, Elisa Siegel, Jimmy
Whalen
Absent: : Christopher Wemple
Others Present: Assistant Manager
Romaine Cureton, Jeremy Tucker (ECA Legal Counsel, Lerch Early & Brewer),
Dan Watkins of FEA, Bill Martel of CPR
Highlights of the meeting:
The
primary focus of this meeting was the ongoing garage project.
It
began with a discussion of repair problems illustrated with extensive
slides of concrete problems and repair procedures.
The cost has increased dramatically from the original
estimate due to:
1.
Prior repairs were failing, and this was not
appreciated during the estimate. Prior repair procedures not documented. But
all old work was done from the bottom. Old patches used cement that was less
strong than original concrete, did not bond to rebar and did not bond to
original concrete. Thickness was 2 to 4 inches whereas CPR does not believe any
more than 2 inches of patch material should be used. Old patches failed when
concrete was hammered.
2.
Original estimates based on mostly “half depth”
repairs which expose the rebar by drilling from above and refills with fresh
concrete. However, old patches fell out of bottom requiring full depth repair.
Concrete also delaminated from vibration of nearby work.
3.
Rebar was more corroded than anticipated. [Rebar
are metal rods used to strengthen the concrete.]
4.
G4 floor proved to be in very poor condition.
Current estimate is that concrete repairs will be done by
end of January 2020 and corrosion and coating treatment completed by July 2020.
Comments:
From audience: On G4, the floor gets covered with water from
sump pump that spills out water. East corner by ramp shows fine cracks.
Apparently, these issues are not being addressed by the CPR contract.
Lyle Schwartz: There are numerous maintenance issues that
were not addressed in the past. The current board will setup a schedule for
routine maintenance and try to keep up with maintenance to prevent
deterioration. Sump pump needs to be investigated. Send issue to management.
Al Muller: Original time estimate was 6 months for
everything. Now it is 1.5 years for concrete repairs and 6 months for coating.
Obviously, something was wrong with original estimates.
Various audience members gave passionate speeches: failure to estimate is criminal, CPR and FEA
should be liable. Jeremey Tucker explained that this type of work involves
unknowns and the contracts specify rates for fixing problems as sound – not
fixed price bid. Lyle Schwartz acknowledged the original estimates were
inaccurate but added that one problem was that no one could anticipate the lack
of cooperation with moving cars and the delay this would cause. Elizabeth has
had to pay for towing. Owners are not reimbursing us. Also, the original
estimate did not include the corrosion treatment that the Board has approved
and feels necessary due to the degree of rebar corrosion found during the work.
CPR: concrete must be thoroughly cured before surface
treatment so once concrete repairs are done, we move all the cars again to do
the topside treatment.
8:45pm – representatives from CPR and FEA depart and
Schwartz and Tucker explained decision to negotiate contract adjustment. CPR is
taking losses due to the difficulties they have encountered plus an
inflationary increase in costs over the unanticipated long performance period.
CPR threatened to walk off the job if the Board not approve increased payment.
Board members were inclined to sue for breach of contract rather than pay.
However, Tucker and Chris Wemple did a careful estimate of costs which include
these factors: legal costs and cost of hiring a new contractor at what would be
today’s fully inflated rates. Lastly, it was not clear what kind of warranty we
would have if splitting the work between contractors. Tucker and Wemple
consulted the original bidders to obtain their current rates for repairs. With
these prices in mind, the Board entered into negotiation with CPR. CPR
compromised at a lower amount. The amount makes it about a wash whether we pay
or sue. Considering the uncertainties of legal action and the protracted delays
that finding, evaluating, and scheduling a different contractor would entail,
the Board agreed to pay. The payment will amount to about 3.6% increase over
contract cost. Exact amount is uncertain because we pay for each unit of work
as it is done at the negotiated rate. Nobody is happy about it but it is what
it is.
The
actual Board meeting began around 9 pm.
1.
GM Mary Ann Hall’s financial report first: she read
some bottom line figures from the available written report
2.
No legal report – Tucker passes
3.
GM’s management report – filter changes in
progress, moving cars for phase 12A
4.
Treasurer’s report prepared by Wemple but read
by Schwartz – main point: we will make a discretionary payment on the loan as
planned.
5.
Committee reports: Social- Dec. 14 holiday party,
Knitting group – planning a sale of knitted items, fitness group – no report today
but the committee will meet with board members in December. Newsletter –
deadline for content for next issue is las week of November.
No old business
No new business
Consult the Management Report ECA Action Item List for status/progress
on things requiring action.