SR-505-001-04 (13)
EPWM: CC: AA: JS: EC; F:/SPFILES/Sp1809/Staff Reports/CC1809.doc
City Council Meeting: December 10, 2002 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT:Award of a Construction Contract to Mike Prlich and Sons, Inc. and a
Construction Management Contract to Tetra Tech, Inc. for Sewer Project 14
Introduction
This report recommends that the City Council award a contract to the best bidder, to Mike
Prlich and Sons Inc., in the amount of $3,104,246 plus a $620,850 contingency, for sewer
Project 14 ? Repair of earthquake-damaged sanitary sewer mains in the area bounded by
Pico place South to Dewey Street, and Barnard Way to Walgrove Avenue. This report
also recommends that the City Council award a contract to Tetra Tech, Inc. in the amount
of $475,625 plus a $95,125 contingency for construction management and inspection
services. The project is funded by Federal Emergency Management Agency (FEMA),
Wastewater, and Assembly Bill 1600 funds.
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
requested that the Federal Emergency Management Agency (FEMA) and the State?s
Office of Emergency Services approve funds for repair work. The City subsequently
accepted a Grant Acceleration Program offer from FEMA in the amount of $78 Million
for repair of earthquake-damaged sewers throughout the City.
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Discussion
Construction
Project 14 includes the removal of the existing sewer mains in Ocean Park Blvd., Marine
and Hill Streets; and replacing them with sewer mains of larger diameter, plus replacing
and relining existing maintenance holes.
A Notice Inviting Bids for the construction of sewer Project 14 was published in the Los
Angeles Times on October 3 and 5, 2002. The Notice Inviting Bids plus plans and
specifications were also sent to six construction journals and five women/minority business
associations. Twenty-six contractors, subcontractors and supply companies requested bid
packages. The City Clerk?s Office received six sealed bids, which were publicly opened on
October 24, 2002, by the Deputy City Clerk. The bid results were:
CONTRACTOR AMOUNT
Mike Prlich and Sons, Inc. $3,104,246.00
Kinsel Industries, Inc $3,118,346.00
Clarke Contracting, Inc $3,646,730.00
Williams Supply Co. $4,187,183.00
Mladen Grbavac Construction $4,250,763.50
Steve Babalo Construction $4,945,478.00
The Engineer?s estimate for Project was $3,150,000.
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The best bidder, Mike Prlich and Sons, Inc., provided the City with seven references for
similar projects within Los Angeles County. All references reported that Mike Prlich and
Sons, Inc. work was satisfactory. The State Contractors? License Board verified that the
Contractor's license is current and in good standing. All references for subcontractors
listed in bid documents reported satisfactory work and all licensees were active and in
good standing. Because of the potential difficulties associated with working in heavily
traveled streets, and the possible existence of old, unmapped utilities in the public right of
way, a contingency of 20% of the contract amount is considered necessary.
Construction Management
Construction management of the project involves extensive coordination with other projects
in the area. Tetra Tech, Inc. was selected through a competitive process to provide
construction management for a variety of projects, including this project. Request for
Proposals were sent to five construction management firms, inviting them to submit their
proposals for construction management and inspection services. The City received four
proposals. Tetra Tech, Inc., is considered the most suitable for this project based on
current workload projections, available staff, and the quality of past services to the City.
Tetra Tech, Inc. has supplied the City with references from the Cities of Burbank,
Camarillo, Compton, Oceanside, San Diego, and West Hollywood. All project
representatives reported that the Consultant?s work was excellent. Additionally, Tetra
Tech, Inc. has provided highly satisfactory services to the City on several similar Sanitary
Projects, Project 8, and Project 9. The firm is currently providing construction management
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services on Project 11. They continue to provide excellent service to the City and its
residents. Their familiarity with the City, participation in its community outreach program
and direct involvement with other City construction projects, offer the City an integrated
approach to construction management. Services required during construction of the
project, including review of requests for design information, design services for unforeseen
field conditions, shop drawings and submittal reviews and the preparation of as-built
drawings. The contract award amount is $475,625 plus a $95,125 contingency.
Budget/Financial Impact
FUNDS REQUIRED:
Construction Contract $3,104,246
Contingency $620,850
Construction Management Contract $475,625
Contingency $95,125
Total Funds Required: $4,295,846
Funds are available in the following accounts:
FEMA Funds:
E13314A00.555010 ?Sewer Project 14? $3,956,296
AB 1600 Funds:
E31314A06.589000 ?Sewer Project 14? $322,230
Amount Available: $4,278,526
The remaining $17,320 required for construction costs are available for appropriation from
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the Wastewater Fund to account C31091403.589000, ?Sewer Project 14 ? Non-FEMA.?
Recommendation
1. Award a construction contract in the amount of $ 3,104,246 to Mike Prlich and
Sons for the Project 14 ? Repair of Earthquake-Damaged Sanitary Sewer Mains
in the area bounded by Pico Place South to Dewey Street, and Barnard Way to
Walgrove Avenue plus a $620,850 contingency;
2. Award a construction management contract to Tetra Tech, Inc. in the amount not
to exceed $475,625 plus a $95,125 contingency;
3. Appropriate $17,320 from the Wastewater Fund to account C31091403.589000,
?Sewer Project 14 ? Non-FEMA?; and
4. Authorize the City Engineer to issue any necessary change orders to complete
additional work within budget authority.
Prepared by: Craig Perkins, Director of Environmental and Public Works Management
Anthony Antich, P.E., City Engineer
Jack Schroeder, P.E., Disaster Recovery Program Manager
Eugenia Chusid, Civil Engineer Associate
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