SR-505-001-03 (2)
EPWM:CP:AA:RS:SL: [s:\sp1733\cc1733r.wpd]
Council Meeting: September 28, 1999 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Award of Construction Contract to Preussag Pipe Rehabilitation and
Authorization to Negotiate and Execute a Professional Services Contract for
Construction Management and Inspection for the Sewer Repair Project at
Various Locations in the Southwest Portion of the City Bounded by Pico
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Boulevard, 16 Street, Ocean Avenue/Barnard Way and the South City
Limits
Introduction
This report recommends that the City Council award a construction contract to
Preussag Pipe Rehabilitation in the amount of $1,900,329 for the repair of earthquake-
damaged sewer mains at various locations in the southwest portion of the City bounded
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by Pico Boulevard, 16 Street, Ocean Avenue/Barnard Way and the South City Limits.
Staff also recommends that the City Council authorize the City Manager to negotiate
and execute a professional services agreement in an amount not to exceed $359,800
with the firm of ASL Consulting Engineers for construction management and inspection
services.
Background
After the Northridge Earthquake of January 17, 1994, the City initiated a citywide
inspection program of the sewer system to identify the locations that were damaged
and to request that the Federal Emergency Management Agency (FEMA) and the
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States Office of Emergency Services (OES) approve funds for the repair work. The
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City subsequently accepted a Grant Acceleration Program (GAP) offer from FEMA of
$78 million for repair of the earthquake damaged sewer system throughout the City of
Santa Monica. This project, one of eighteen sewer repair projects, will repair
earthquake damaged sewer mains in various residential streets in the southwest
section of the City. In order to minimize the impact of this construction project on the
public, the repair of the sewer mains will be done using trenchless methods, where
possible.
In addition, City staff has identified other sewer repair work that is best done in
conjunction with the earthquake sewer repairs. These repairs will also be paid for with
the GAP funds, following FEMAs GAP Guidelines for Improved Projects. This work
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includes lining utility access holes, replacing existing obsolete access hole frames and
covers, and installing additional utility access holes where required for maintenance
purposes throughout the project area.
Discussion
A Notice Inviting Bids was published on July 29 and August 5, 1999, in The Argonaut
as well as in four construction journals, and with one electronic plan room and one
Internet advertising consultant. In addition, bidding documents were sent to eight
women/minority-owned business enterprise associations (WMBE). Bid packages were
requested by 16 contractors. The City Clerk's office received three sealed bids, which
were publicly opened and read aloud on August 31, 1999, by the Deputy City Clerk.
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The Bid Results were as follows:
1. Preussag Pipe Rehabilitation, Inc............ .....................$1,900,329
2. Miller Pipeline Corporation...........................................$2,090,570
3. U-Liner West .............................................................$2,234,655
City Engineer's Estimate.... . . . . .$2,150,000
The lowest responsible bidder, Preussag Pipe Rehabilitation, Inc., has provided the
City with five references for projects within Los Angeles County. All references
reported that the Contractor's work was satisfactory. In addition, Preussag Pipe
Rehabilitation has completed the two most recent sewer rehabilitation projects for the
City of Santa Monica and has provided excellent construction crews and staff. The
State Contractors License Board verified that the Contractor's license is current and in
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good standing.
In addition to award of the construction contract, this report recommends that the City
Council authorize the City Manager to negotiate and execute a professional services
contract for construction management and inspection of the construction work detailed
above. Requests for Proposals were sent to five construction management firms
inviting them to submit proposals for construction management and inspection services.
The City received three proposals. The recommended firm, ASL Consulting
Engineers, supplied the City with references from the Cities of Burbank, Camarillo,
Compton, Oceanside, San Diego, and West Hollywood and all references reported that
the consultants work was excellent. These agencies, especially the cities of San
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Diego, West Hollywood and Burbank, for whom ASL has provided lining inspection and
construction management services, gave very positive and enthusiastic
recommendations.
Budget/Financial Impact
FUNDS REQUIRED FOR CONSTRUCTION CONTRACT
Contract.......................................$1,900,329
Contingency ...................................$285,049
SUB -TOTAL................................$2,185,378
FUNDS REQUIRED FOR CONSTRUCTION MANAGEMENT CONTRACT
Contract .........................................$359,800
Contingency......................................$54,000
SUB -TOTAL.................................. $413,800
TOTAL FUNDS REQUIRED ??.$2,559,178
Sufficient budget authority for all of the contract expenses which are eligible for
FEMA/OES reimbursement exists in Account No. E13315B00.555010.40000 for
construction and contingency of $2,185,378, and in Account No.
E13315B00.555060.50000 for construction management and contingency of $413,800.
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The Wastewater Fund will set aside 10% of the construction costs in the amount of
$190,033 in City Match Account No. E31315B04.555010.40000 for construction, and the
associated construction management and inspection costs in the amount of $35,980 in
City Match Account No. E31315B04.555010.40000 which FEMA/OES withholds from
reimbursement until final audit which may occur several years from now.
Recommendation
Staff recommends that the City Council:
1. Award a contract for repair of earthquake-damaged sewer mains in Project #15B to
Preussag Pipe Rehabilitation, the lowest responsible bidder, in the amount of
$1,900,329;
2. Authorize the City Manager to negotiate and execute a professional services
contract with ASL Consulting Engineers for construction management and
inspection services in an amount not to exceed $359,800; and
3. Authorize the City Engineer to issue any necessary change orders to complete
additional work in conformance with the Administrative Instructions on change
orders.
Prepared by: Craig Perkins, Director of Environmental & Public Works Mgmt.
Anthony Antich, P.E., City Engineer
Jack Schroeder, P.E., Sewer Repair Program Manager
Eugenia Chusid, Project Manager
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