SR-6-I (62)
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C611/JrNJ-4F--;WI (P;(ad- ff/fltffd) OCT 2 7 1998
EPWM CP AA JS SL s S Isp15521applanlcc1552a wpd
Council Meeting October 27,1998 Santa MOnica, California
TO Mayor and City Council
FROM City Staff
SUBJECT Award a Construction Contract to Montgomery Watson Amencas, Inc, and
Authonze the City Manager to Negotiate and Execute a Construction
Management and Inspection Contract with Black and Veatch for the Repair
of the Appian Way Portion of the Coastal Interceptor Sewer Project
Introduction
This report recommends that the City Council award a construction contract to
Montgomery Watson Americas. Inc In the amount of $2,357,070 and authorize the City
Manager to negoliate and execute a construction management and Inspection contract
with Black and Veatch, Inc In an amount not to exceed $388,000 for repair of the Appian
Way portion of the Coastal Interceptor Sewer
Background
The Coastal Interceptor Sewer (CIS) collects sewage from the City of Los Angeles. north
of the City limits and, with additional flows from the City of Santa Monica, carnes It to the
City of Los Angeles' Hypenon Plant for treatment Many sections of the CIS were
damaged by the 1994 Northndge earthquake and plans are underway to repair the
damage The cities of Santa Monica and Los Angeles are JOintly working on this
rehabilitation effort, with Santa Monica serving as the lead agency The rehabilitation of
the CIS Will Involve seven construction contracts, one of WhiCh, the Moss Avenue Pumping
1 (PI
OCT 2 7 1998
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Station Structural Shell, has been completed In addition to the contract awarded by this
staff report, there will be five additional contracts They are
Moss Avenue Pump Station Phase 2 (the electrical, mechanical and above-
grade str'Jctural completion of the station)
. Moss Avenue Pumping Station Phase 3 (finish SIte work and landscaping)
PCH Sewer Main Replacement
Ocean/Pica/Main Sewer Main Rehabilitation (ulillzlng trenchless lining)
Neilson Way Relief Sewer Main Installation
Adequate funds are available to complete the work proposed by thiS staff report and the
Moss Avenue Pumping Stallon Phase 2 contract Funds to complete the remaining
projects are dependent upon receipt of reimbursement from the City of Los Angeles,
pending accord reached on the new multi-agency agreement
OIScusslon
Of the 25,600 feet of CIS pipeline to be replaced. an approximate 1,000 foot secllon
requires particularly Intensive work ThiS 1,000 foot portion of the CIS project Includes the
construction of a large diameter (between 54" to 60") sewer In Appian Way from PaCifiC
Coast Highway to the Moss Avenue Pumping Station. a new Inlet structure at Moss
Avenue Pumping Station, and dual sewer force mains In Appian Way and Seaside Terrace
from the Moss Avenue Pumping Station to Ocean Avenue
2
At Its September 8. 1998 meeting, City Council waived competitive bidding, and authorized
the City Manager to negotiate a contract for the accelerated construclion of this portion of
the Coastal Interceptor System due to urgent necessity and to protect the public health,
welfare and safety At that time, staff Indicated It would return to City Council at a
subsequent meeting With a recommendalion to award a construclion contract based on
negolialions
Staff entered Into negotiations With MontgDmery WatsDn Americas, Inc, follOWing City
Council's September 8, 1998 apprDval Montgomery Watson sent plans and
speclflcatlDns to three construction firms qualified to perform micro-tunneling Proposals
were received from two firms, the best Df which was Incorporated Into a negoliated deslgn-
bUild cDntract With Montgomery Watson Americas, Inc An Independent proposal. prOVided
to staff by a second design-bUild firm for comparison purposes, was substantially higher
Staff recommends award of a contract In the amDunt of $2.357,070 to Montgomery Watson
Americas, Inc, for construclion of this portion of the Coastal Interceptor Sewer Project
In addltIDn tD the award Df the CDnstructlDn contract. this repDrt recDmmends that the City
CDuncl1 authOrize the City Manager to negDtlate and execute a prDfesslonal services
cDntract fDr the cDnstruclion management and InSpectlDn Df the project The
recommended finn, Slack and Veatch, Inc , has successfully Inspected and managed the
construction of the completed Moss Avenue Pumping Station Structural Shell project, IS
part of the Coastal Interceptor Sewer project's peer review and construction management
3
and Inspection team, and has provided excellent service for the past ten years to the City
of Los Angeles for the Hyperlon Wastewater Treatment Plant Upgrade project Black and
Veatch has the expertise to accommodate the multi-diSCiplinary technical skills required
for thiS project
While It IS Imperative that the design work begin Immediately. construction Will not
commence until the City CounCil has certified the CEQA (California Environmental Quality
Act) review which IS currently In progress Staff Will bring the CEQA certification request
to Council In December Any required mitigation measures will be Incorporated Into the
contract prior to commencement of construction
sudgetlFlnanclallmoact
FUNDS REQUIRED FOR CONSTRUCTION CONTRACT
Contract $2.357,070
Contingency 950,000
SUB-TOTAL $3,307, 070
FUNDS REQUIRED FOR CONSTRUCTION MANAGEMENT CONTRACT
Contract $388.000
Contingency 75,000
SUB-TOTAL $463.000
TOTAL FUNDS REQUIRED $3.770,070
4
Funds are available In the amount of $1,559.820 for the Moss Avenue Pumping Station
portion of the project In CIP account number 31-760-661-20099-8900-99345 (Moss
Avenue Phase II) Funds are available In the amount of $2,210,250 In CIP account
number 31-760-661-20099-8900-99210 (CIS/PCH) for the remainder of the project Under
their current agreement with the City of Santa Monica. the City of Los Angeles IS
responsible for 90% of all capital Improvement costs
Recommendation
Staff recommends that the City Council
1 Award a deSign and construclion contract In the amount of $2,357,070 for the
Appian Way project to Montgomery Watson Americas, Inc , and authorize staff to
proceed with the deSign of thiS project Construction shall commence only after the
CounCil has certified the CEQA review and any reqUired mitigation measures are
Incorporated Into the contract
2 Authorize the City Manager to negotiate and execute a professional services
contract In an amount not to exceed $388,000 with Black and Veatch. Inc for
construction management and Inspection services. and,
3 Authonze the City Engineer to Issue any necessary change orders to complete
additional work within budget authority
Prepared by Craig Perkins, EnVironmental and Public Works Management Director
Anthony Antlch, P E , City Engineer
811 Borboa, Utilities Manager
Jack Schroeder, P E Sewer Repair Program Manager
Susan Lowell. P E , CIvil Engineer
5
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four construction Journals and to SIX women/mlnonty business enterpnse (WMBE)
associations Five companies attended the Job walk on September 10, 1998 At bid
opening on September 17,1998, only one bid was submitted, as follows
Kitson Specialty Construction, Inc $220,015
Engineer's Estimate $220,000
Two other contractors chose to not submit bids. They said that their subcontractors
were too busy to prepare quotes Staff recommends accepting this bid rather than
rebidding the project because the SIX week delay could expose the vulnerable structure
to Inclement weather and possibly cause damage to the Internal furniture and
equipment The contractor received favorable references from vanous sources
PrevIous clients for Similar roofing repairs Within the last two years Include Zacky
Foods for a 60,000 square foot administration bUilding, Fidelity Federal which Included
recaulklng Windows and applYing elastomenc wall covenng, Park Tower Home
Owners' ASSOCiation's two 18-story condominium units, Dean Witter Realty for two 11-
story bUildings, and General Services Administration In Los Angeles County All
contacts reported that the contractor's performance was outstanding The State
Contractors' License Board venfled that the contractor's license IS current, active, and
In good standing
2
Budget/Financial Impact
FUNDS REQUIRED
Contract $220,015
Contingency (15%) 33,985
Total Funds Required $254,000
Funds are available In the follOWing accounts
#01 -740-511-20099-8900-99036 $250,000
#01-710-401-20096-8900-99168 $4,000
Total $254,000
Recommendation
Staff recommends that the City Council
1 Award a contract to Kitson Specialty Contracting, Inc In the amount of $220,015
for repairing and waterproofing the Ken Edwards Center roofs and decks, and
2 Authonze the City Engineer to Issue any change orders to complete additional
work In conformance with the Admmlstratlve Instructions on change orders
Prepared by Craig Perkms, Director of EnVironmental and Public Works Mgmt
Anthony Antlch, City Engmeer
William Buol, Senior CIvil Engineer
Barbara Stinchfield, Director of Community and Cultural Services
3