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sr-032310-1d~r City Council and ~,tY °, Redevelopment Agency Report Santa Monica City Council Meeting: March 23, 2010t--~ Agenda Item: ~ ~ b~ To: Mayor and City Council Chairperson and Redevelopment Agency Members From: Lee E. Swain, Director of Public Works Subject: Award of Contract for Parking Structure No. 2 Seismic Retrofit Project Recommended Action Staff recommends that the City Council: 1) Authorize the City Manager to negotiate and execute. a construction contract with ICON West, Inc. in the amount $1,726,667 plus a 10% contingency, for a total amount not to exceed $1,899,334; 2) Authorize the City Manager to negotiate and execute a construction management agreement with Beezley Management in the amount of $175,000 plus a 10% contingency of $17,500 for a total amount not to exceed $192,500; 3) Authorize the City Engineer to issue any necessary change orders to complete additional work within budget authority; 4) Authorize the City Manager to execute a Cooperation Agreement between the City and the Redevelopment Agency for payment of the costs associated with the seismic retrofit of Parking Structure No. 2; and. 5) Adopt a resolution finding that the seismic retrofit of Parking Structure No. 2 is of benefit to the Earthquake Recovery Redevelopment Project area. Staff recommends that the Redevelopmen# Agency: 1) Authorize the Executive Director to execute a Cooperation Agreement between the Redevelopment Agency and the City for payment of the costs associated with the seismic retrofit of Parking Structure No. 2; and 2) Adopt a resolution finding that the seismic retrofit of Parking Structure No. 2 is of benefit to the Earthquake Recovery Redevelopment Project area. Executive Summary Parking Structure No. 2 suffered damage as a result of the 1994 Northridge Earthquake. In 1999, a seismic evaluation identified a number of structural deficiencies within the structure and recommended measures to improve its structural performance. The proposed construction contract includes seismic upgrades to Parking Structure No. 2 in response to the recommendations identified in the 1999 seismic evaluation. The work 1 on Parking Structure No. 2 is anticipated to commence in spring 2010 and be completed in winter 2011. Discussion Parking Structure No. 2, located on the east side of Second Street between Wilshire Boulevard and Arizona Avenue, was constructed in 1967 and expanded in 1973. It is nine levels above ground and has a capacity of approximately 660 parking spaces. The seismic retrofit of Parking Structure No. 2 will include strengthening the existing walls, foundation, columns, and connections. The project also includes modifications of existing architectural, electrical, mechanical, and plumbing elements related to the seismic retrofit work. Work will be scheduled to maximize access to spaces within the structure during construction activity. Previous Council Actions On February 28, 2006, City Council approved the Downtown Parking Program-a strategic plan to retrofit Parking Structure No's 2, 4 and 5; to rebuild. Parking Structure No's 1, 3 and 6; and to add additional parking resources in the downtown area. Contractor/Consultant Selection A Notice Inviting Bids for the construction contract was posted on the City's website and published in the Santa Monica Daily .Press on January 4 and 6, 2010. Bid packages were reviewed by 88 prospective contractors and sub-contractors. The City Clerk's Office received 13 sealed bids that were publicly opened by the Deputy City Clerk on January 28, 2010. The 13 bidders were: Company Name ICON West, Inc. West Valley Investment Group USS Cal Builders Accent Builders, Inc. Bid Amount $1,726,667 $2,160,500 $2,195, 000 $2,374,000 2 Company Name Bid Amount Western Group, Inc. $2,450,000 Sea Pac Engineering, Inc. $2,430,000 Tiffany Group, Inc. $2,522,062 Mackone Development, Inc. $2,568,000 DELMAC $2,582,000 Trimax Construction Corp. $2,780,000 AWI Builders, Inc. $2,847,911 Southwest General Engineering $2,868,000 TLD Construction, Inc: $2,919,800 Bids were evaluated based on competitive pricing, direct experience on similar projects, qualifications in respect to ability, capacity, skill to complete the work, materials, the ability to perform the service promptly, financial resources, reputation, and the ability to provide future maintenance if needed. Staff recommends ICON West, Inc., based on their lowest bid price,, quality of service offered, and experience with similar projects completed. Their recent experience includes construction of a new multi-level temple with subterranean parking in Norwalk, seismic upgrades of a four-story housing structure for University of California Los Angeles, and a gymnasium and parking lot for Inglewood Middle School. Staff contacted the agencies representing these projects; all respondents reported that the contractor's quality of work was beyond satisfactory arid the work was completed in a timely and cost-efficient manner. The California Contractors State License Board verified that the Contractor's license is active and in good standing. Construction Management Selection On January 4, 2010, the City requested Statements of Qualifications for construction management services for Parking Structure No. 2 Seismic Upgrade. The request for Statements of Qualifications was advertised on the City's website and on Planet Bids. 3 A total of 10 firms submitted Statements of Qualifications, which were reviewed and rated by Public Works staff. Selection criteria included experience on similar projects, technical competence, staffing capacity, project approach and planning, contract dispute experience, quality control, cost control, qualification of proposed staff, and the ability to meet required time frames. The top three firms were invited to interview with the City. Staff from Public Works completed these interviews on February 10, 2010. Beezley Management is the top ranked firm. Beezley Management supplied the City with a list of similar projects for the Los Angeles Dodgers, University of California Los Angeles, Warner Bros., and Crescent Hotel. Beezley Management has a proven record of successful budget and schedule management. Beezley Management is recommended as the best proposer to provide construction management and construction inspection services. Their services will include construction management and continuous inspection of the contractor's work. City staff contacted reference agencies and all respondents reported that the firm provided exceptional construction management and inspection services. Redevelopment Considerations for Parking Structure No. 2 As the owner of Parking Structure No. 2, the Redevelopment Agency is authorized by the State of California Health and Safety Code Section 33400 to maintain, manage, and repair the structure. A Cooperation Agreement between the Redevelopment Agency and the City will allow the City to carry out the seismic retrofit of Parking Structure No. 2 with the Redevelopment Agency's funding of those costs. To use redevelopment funds for the seismic retrofit of Parking Structure No. 2, the City Council and Redevelopment Agency must make the appropriate findings as required by the Health and Safety Code Section 33445. The attached resolutions find that: 1) the use of these funds is a benefit to the Earthquake Recovery Redevelopment Project area; 2) no other reasonable means of financing for the improvements are available; 3) the payment of funds for the Project will assist in the elimination of one or more blighted conditions inside the Earthquake Recovery Redevelopment Project area by assisting in the elimination of one 4 or more of the conditions resulting from the 1994 Northridge Earthquake disaster; and 4) the Project is consistent with the Redevelopment Agency's Five-Year Implementation Plan. Financial and Budget Actions Funds for construction and construction management services in the .amount of $2,091,834 are available in Account # 0170621:589000 for the Parking Structure No. 2 Seismic Retrofit. Prepared by: Alex Parry, Architect Approved: Director of Public Works Forwarded to Council: Ro -Gould City Manager Attachments: A: City Council Resolution B: Redevelopment Agency Resolution 5 Reference Contract Nos. 9188 (CCS), 9189 (CCS), and 9190 (CCS/RAS). Reference Resolution Nos. 10464 (CCS) and 520 (Ras)