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SR-502-002-03 (7) GS:SS:EL:JH:a Council Meeting: May 18 May 26, 1986 ~~ MAY 26 1987 Santa Monica, California/',~ /' .,-' To: Mayor and City Council From: City Staff Subject: Award of Contract for the Construction and Testing of Groundwater Investigation Wells to Beylik Drilling, Inc. Introduction This report requests that the city Council award a contract for the construction and testing of groundwater investigation wells to Beylik Drilling, Inc. in the amount of $168,910.00. Background As part of the budget development process for fiscal years 1983-84 through 1986-87, the City Council appropriated funds to develop local groundwater resources (project numbers 671-904, 671-915, 671-921 and 671-942) . The two areas which have been identified as potential sources of additional groundwater supplies by Staff and the Water Master Plan Consultant (Brown and Caldwell) are Marine Park (the site of production during the 1920's and 1930's) and the east end of the Airport property (geologically promising) . To investigate and confirm the actual potential of the Airport and Marine Park areas, investigation and test wells are proposed. These wells (three at each site) will allow staff to determine if the quality and quantity of the groundwater is suitable for municipal use. The wells at the Airport will also meet the Regional Water Quality Control Board requirements for groundwater investigation related to the soil contamination caused by the old airport fuel facility - 1 - ,,-4 MAY 2 6 I~~^ underground tanks. While groundwater contamination is not expected based on the investigation information obtained to date, confirmation of the groundwater quality and the ability to monitor the groundwater five years after soil clean-up is complete is required by the Board. The clean-up of the contaminated soil is a separate project administered by the Engineering Division in conjunction with the Airport redevelopment. A Notice Inviting Bids was published on April 27th, 28th and 29th, 1987. Plans and Specifications were issued to two contractors and nine construction advertising services, six of which advertise to minority contractors. One bid was received and read publicly by the Deputy City Clerk on May 11, 1987. Bids received included: 1. Beylik Construction $168,910.00 The bidder has previously performed satisfactorily on other drilling projects. The limited number of bids on this project was investigated by Staff. The contractor with plans and specifications who did not bid stated that the special sampling and analysis requirements at the airport were beyond his capabilities and experience. Four other drilling contractors were contacted but declined to review the plans and specifications due to fully committed equipment for the next seven to ten months. The submitted bid was five percent lower than the engineering estimate based on current industry rates. Staff believes - 2 - that a lower bid could not be received if the project were rebid and recommends acceptance of the submitted bid. Funds Required The funds required for this project are: Contract $168,910.00 contingency (12%) $ 20,000.00 TOTAL $188,910.00 Budget/Financial Analysis Appropriation authority in the amount of $263,507.00 is available in account number 25-760-671-000-915. The remaining funds will be expended on future water well development proj ects as approved by Council. Recommendation It is recommended that the city Council: 1. Award a contract for the construction and testing of groundwater investigation wells to Beylik Drilling, Inc. in the amount of $168,910.00. 2. Authorize the City Engineer to issue any change orders necessary to complete addi tional work as required in an amount not to exceed the funds available in conformance with the Administrative Instructions on Change Orders. Prepared by: stan Scholl, Director of General Services Ed Lash, utilities Manager Jack Hoagland, Administrative Water Engineer (WPII0AWD) - 3 -