SR-906-000 (17)
City Council Meeting: June 28, 2005 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT:Design-Build Contract for the Rehabilitation and Adaptive Reuse of the
415 Pacific Coast Highway Project and Appropriation of Grant Funds.
Introduction
This report recommends that the City Council authorize the City Manager to finalize
negotiations and execute a design-build contract for preconstruction services with
Pankow Special Projects, for the rehabilitation and adaptive reuse of 415 Palisades
Beach Road (a.k.a. Pacific Coast Highway) in an amount not to exceed $3,000,000,
including contingencies. The report also requests that Council appropriate $21,000,000
in grant funds received from Annenberg Foundation for the project.
Background
Santa Monica State Beach is owned by the State of California and is maintained and
operated by the City under a long-term agreement. The five-acre historic property
located at 415 Pacific Coast Highway is directly adjacent to the beach, Santa Monica?s
most recognized and used open space. The site was seriously damaged in the 1994
Northridge Earthquake. Since that time, the site was the subject of a community
planning process that resulted in a reuse plan that was approved by the City Council in
1999.
1
On December 14, 2004, the City Council authorized staff to enter into agreements to
accept a grant from the Annenberg Foundation for the rehabilitation and adaptive reuse
of 415 Pacific Coast Highway.
Discussion
A Notice Inviting Bids for design-build services for the 415 Pacific Coast Highway
Project was published on February 10 and 12, 2005, in the Los Angeles Times and sent
to over 90 design, engineering and construction firms. The scope of work contained in
the Notice Inviting Bids required that each bid include an integrated team of architects,
landscape architects and construction general contractors. The City received four
design-build bids, one of which was determined to be non-responsive. A selection
committee composed of staff from Environmental and Public Works Management,
Community and Cultural Services and the Annenberg Foundation reviewed the bids and
narrowed the field to two design-build teams which were interviewed by staff. In
addition, the staff team visited projects completed by the finalists? proposed teams.
Staff have identified and is negotiating with the best bidder, Pankow Special Projects.
The firm has completed a number of projects of greater magnitude and complexity. Its
work includes projects involving historical elements, making the firm keenly familiar with
the issues associated with preservation and restoration. Frederick Fisher and Partners,
the team?s design architect, is an internationally recognized architecture firm based in
west Los Angeles. This award winning firm specializes in art related design, historic
building rehabilitation and residential work. Its projects include the restoration of the A.
2
Quincy Jones Studio, adaptive reuse of the Santa Monica Bay Telephone Company
Building for the headquarters for the Broad Art Foundation, design of the Lois and
Robert Erburu Gallery at the Huntington Library, Collections and Botanical Gardens in
San Marino, California, and the expansion of the Long Beach Museum of Art in Long
Beach, California. The team also includes historic consultants, charrette consultants,
structural, civil, mechanical, and acoustical and electrical engineers, landscape
architects and a public artist, selected through the City Art Commission?s peer review
process. References supplied were contacted and indicated that the services performed
by the proposed team were professional, within budget and timely.
The proposed contract amount includes the contractor?s preconstruction services and all
design fees through completion of the design development process and development of
a Guaranteed Maximum Price. Compliance with California Environmental Quality Act
(CEQA) and further approval of the project, including review by the City Council,
Planning Commission, Recreation and Parks Commission, Landmarks Commission,
Arts Commission and its Public Art Committee, State Recreation and Parks
Department, Annenberg Foundation and Coastal Commission, will be conditions of
approval of the project.
Next Steps
Following finalization of negotiations and execution of the contract, the team will begin
the confirmation of the project program and prepare for the project?s community
charrette process as approved by City Council in December 2004. Prior to review of the
3
project by the Council as client and formal design review by the appropriate
discretionary bodies, a multi-day community charrette will be conducted to encourage
participation in the development of the schematic design. In preparation for the multi-
day project charrette, staff and the consultant team will be refining the community use
framework for the site in order to reflect the goals of the reuse plan and the Annenberg
Foundation?s thinking regarding activities and patterns of use on the site during different
seasons of the year. In order to meet key benchmarks outlined in the Grant Agreement
with the Annenberg Foundation, it is anticipated that the Draft Environmental Impact
Report (DEIR) in accordance with the California Environmental Quality Act (CEQA) and
an Environmental Assessment (EA) in accordance with the National Environmental
Policy Act (NEPA) will be released this summer for public review and comment. If new
environmental issues not previously analyzed in these documents are identified as a
result of the charrette process, these issues will be addressed in accordance with
CEQA and NEPA prior to Final EIR certification and EA approval. Staff will return to
Council in Spring 2006 at the completion of the design development phase for approval
of the proposed guaranteed maximum price and activation of the second phase of the
design-build contract. Construction should begin in late 2006.
Budget/Financial Impact
Funding for this contract is provided entirely by a grant from the Annenberg Foundation.
The following budget changes are needed to record receipt of the grant award and
make it available for program use:
1) Establish a revenue budget in the amount of $21,000,000 at account number
4
24501.403610
2) Appropriate $21,000,000 in capital improvement project number
C240766.589000 (415 PCH ? Annenberg Grant)
Following appropriation, funds in the amount of $3,000,000 will be available in account
C240766.589000, ?415 PCH ? Annenberg Grant? for this contract.
Recommendation
Staff recommends that the City Council:
1. Authorize the City Manager to conclude negotiations and execute a design-
build contract with Pankow Special Projects, for preconstruction services for the
rehabilitation and adaptive reuse of 415 Pacific Coast Highway in an amount
not to exceed $3,000,000, including contingencies; and
2. Appropriate funds as set forth in the Budget/Financial Impact section.
Prepared by: Craig Perkins, Director, Environmental and Public Works Management
Anthony Antich, P.E., City Engineer
Barbara Stinchfield, Director, Community and Cultural Services
Karen Ginsberg, Assistant Director, Community and Cultural Services
Jessica Cusick, Cultural Affairs Manager
Lauren Friedman, City Architect
Reference Contract No. 8491 (CCS)
5