FROM: Joe Michael, Chief Information Officer
SUBJECT: Procurement of Offices and Furniture for Member Services Relocation
RECOMMENDATION:
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Approve the purchase of modular offices and furniture for SBCERA Suite 106 and additional areas and authorize the Chief Executive Officer to execute agreements with GM Business Interiors in an amount not to exceed $192,683.74.
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BACKGROUND:
As part of the upcoming tenant improvement project and the relocation of the Member Services Department to SBCERA Suite 106, SBCERA must procure new furniture and reconfigure existing furniture to support operational needs. Consistent with the approach taken during the broader tenant improvement initiative, several smaller furniture-related projects have been bundled with the primary project to reduce overall installation costs. The combined cost for purchase and installation through GM Business Interiors is expected not to exceed $192,683.74.
Suite 106 Offices and Workstations
The core component of this effort is the installation of four modular offices in Suite 106 at a total cost of $82,643.21. These offices will provide dedicated workspace for Member Services management and supervisory staff while maintaining access to natural light throughout the common areas. Although modular offices carry an initial installation cost similar to traditional construction, they offer long-term flexibility and cost efficiency. Modular systems can be relocated or reconfigured at a significantly lower cost than demolishing and rebuilding fixed office structures, thereby providing SBCERA with enhanced adaptability for future space planning needs.
The remaining project cost of $110,040.53 includes the furnishing of the five manager and supervisor offices (one existing and four new) and reconfiguration of 14 existing cubicles for Member Services. Although SBCERA already owns these cubicles, they require relocation to the first floor and modifications-such as panel replacements-to ensure compatibility with the new layout and to preserve natural light flow. All replaced components will remain in SBCERA’s inventory, offering potential future cost savings should additional cubicles be required within the SBCERA office spaces.
Additional Furniture Recommendations
In addition to the primary work in Suite 106, several auxiliary areas will receive minor furniture updates to support operational efficiency:
• First-Floor Breakroom: Additional seating tables will be added to accommodate the Member Services staff relocating to the first floor.
• Information Services Area (Second Floor): One existing cubicle will be modified, and several cubicles will be shifted to support the planned hiring of the PAS Assistant Manager.
• Administrative Copy Room: SBCERA will purchase a new ergonomic sorting table and desk to improve workflow for staff processing large print jobs. These additions will allow employees to perform necessary tasks within the copy room rather than traveling frequently between their primary workstation and the equipment area.
Vendor Considerations
As discussed previously during the Tenant Improvement presentation, SBCERA continues to evaluate alternative furniture vendors for future needs. However, because a substantial portion of the current project involves integration with and reconfiguration of existing GM Business Interiors systems, retaining GM Business Interiors for this work is the most risk-averse and operationally prudent choice to ensure proper fit, functionality, and timely completion.
COMMITTEE REVIEW:
The Administrative Committee reviewed this item at its December 18, 2025 meeting, and recommends Board approval with a 4-0 vote.
BUDGET IMPACT:
Costs for this item are included in the current year administrative budget.
STRATEGIC PLANNING GOAL/OBJECTIVE:
Quality Employer and Workplace
STAFF CONTACT:
Joe Michael
ATTACHMENTS:
Exhibit A: GM DIRRT Modular Offices Quote
Exhibit B: GM Furniture and Reconfiguration Quote