SR-309-000 (8)
EPWM:CP:AA:LF:RS sp1662\cc1662phaseII.wpd
City Council Meeting: March 28, 2000 Santa Monica, California
TO: Mayor and City Council
Chairperson and Redevelopment Agency
FROM: City Staff
SUBJECT: Recommendation that 1) the City Council Award a Construction Contract for
the Santa Monica Municipal Pool Replacement Project for Site Development
to Vahdani Construction Company, Inc. and the Redevelopment Agency
Authorize the Executive Director to Execute the Construction Contract; 2)
the City Council Hold a Public Hearing on the Award of Contract and the
Redevelopment Agency Hold a Public Hearing on the Use of Redevelopment
Funds for this Project; 3) the City Council and Redevelopment Agency Adopt
a Resolution Finding that the Santa Monica Municipal Pool Replacement
Project is of Benefit to the Earthquake Recovery Redevelopment Project;
and 4) the City Council and Redevelopment Agency Authorize the City
Manager and Executive Director (Respectively) to Execute a
Reimbursement Agreement between the City and Redevelopment Agency
for the Project.
Introduction
This report recommends that the City Council take the following actions: 1) award a
contract to Vahdani Construction Company, Inc., the lowest responsible bidder, in the
amount of $5,299,777 for construction of two swimming pools, pool building and site
improvements for the Santa Monica Municipal Pool Replacement Project, and approve
$423,982 in contingency funds for this contract; 2) hold a public hearing on the award of
contract; 3) adopt a Resolution finding that the Santa Monica Municipal Pool Replacement
Project is of benefit to the Earthquake Recovery Redevelopment Project; and 4) authorize
the City Manager to execute a Reimbursement Agreement between the City and the
Redevelopment Agency for the Project.
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It is further recommended that the Redevelopment Agency take the following actions: 1)
authorize the Executive Director to execute the contract awarded by the City Council for
the Santa Monica Municipal Pool Replacement Project; 2) hold a public hearing on the use
of Redevelopment Funds for this Project; 3) adopt the attached Resolution finding that the
Santa Monica Municipal Pool Replacement Project is of benefit to the Earthquake
Recovery Redevelopment Project; and 4) authorize the Executive Director to execute a
Reimbursement Agreement between the City and the Redevelopment Agency for the
Project.
Background
In July 1997, the City Council conceptually approved the Open Space Element and Parks
and Recreation Master Plan which included provisions for the replacement of the Municipal
Pool which is located at the Santa Monica College campus. The existing facility was
constructed in 1950 and will be replaced with a new 50-meter competition pool, an 80-foot
by 75-foot instructional pool, and an approximately 10,400 square foot, two-story pool
building with a basement and surrounding deck and landscaped areas. The pool complex
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will be relocated to Parking Lot 8 adjacent to Parking Structure C and 16 Street. On
December 15, 1998, the City Council approved the design concept for the project.
Funds have been allocated in the last four fiscal year budgets, augmenting the Federal
Emergency Management Agency (FEMA) and the Housing and Urban Development
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(HUD) Community Development Block Grant earthquake funds previously set aside for
pool repairs. Because of spending deadlines associated with the Federal monies, project
construction is on an expedited time line and was divided into two phases: Phase I -
Excavation and Utility Relocation and Phase II - Pools, Building and Site Improvements.
The City Council awarded the construction contract for Phase I in September, 1999, and it
is currently under construction. Phase II is expected to take 300 days to complete.
Discussion
A Notice Inviting Bids for the Phase II package - Pools, Building and Site Improvements,
was published on December 2 and December 9, 1999 in The Argonaut. The package was
sent to eight plan rooms and five women/minority business enterprise associations
(WMBE). The City Clerks office received nine sealed bids which were publicly opened
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and read aloud on January 26, 2000 by the Deputy City Clerk. The bid results were as
follows:
BEGL Construction Co., Inc. $5,186,000
Vahdani Construction Co., Inc. $5,299,777
Pima Corp. dba Advanced Construction $5,838,000
Royal Construction Corporation $5,898,000
EMMA Corporation Construction Co. $6,365,000
Earl Corporation $6,940,000
Woodcliff Corporation $6,700,000
Pinner Construction Co., Inc. $7,042,000
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City Engineers Estimate $4,800,000
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In evaluating whether a firm is the lowest responsible bidder under the Citys Municipal
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Code, City staff may utilize some or all of the following criteria from Section 2.24.072 in
addition to price: (1) the quality of the material or services offered; (2) the ability, capacity,
and skill of the bidder to perform the contract; (3) the capacity of the bidder to perform the
contract or provide the service promptly, within the time specified, and without delay or
interference; (4) the sufficiency of the bidders financial resources; (5) the character,
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integrity, reputation, judgment, training, experience, and efficiency of the bidder; and (6)
the ability of the bidder to provide such future maintenance or service as may be needed.
In order to establish the qualifications of the bidders to construct a pool complex of this
size, bidders were asked to describe their equivalent experience on at least five projects
of similar size, scope and cost to the Municipal Pool Project. BEGL Construction Co.
provided information on projects that ranged in value from $270,000 to $1.8 million. None
of the projects submitted demonstrated experience in the construction of projects similar in
size, scope and cost. Furthermore, in order to ensure compliance with sections (2), (3),
(5), and (6) of the Citys Code, the bid documents required that the successful bidder
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demonstrate experience and competency in the construction of at least two public use 50-
meter pools, and five public use 25-yard pools within the last five years. BEGL
Construction Co. planned to construct the pool with its own workforce, but did not provide
a list of projects that met these criteria. Staff concluded that the lowest monetary bidder,
BEGL Construction Co., was both non-responsive to the questions and non-responsible
under the Citys Code because it failed to provide sufficient evidence demonstrating
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experience in constructing pool projects comparable in size, scope and cost to the
Municipal Pool Project. Without such demonstrated experience staff cannot conclude that
BEGL would be able to complete the project in a timely fashion and provide future
maintenance. The firm has been informed of these irregularities and of the scheduled
public hearing on this award.
The second low bidder, Vahdani Construction Co., Inc. cited seven projects similar to the
Municipal Pool Project which were completed recently. All seven project representatives
reported that Vahdanis work was very good to excellent. Vahdani completed the $7.5
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million Community Center and Sports Complex for the City of Laguna Hills, the $5.6 million
facility at Baker Hamilton Square in San Francisco, and a $1 million seismic retrofit of the
Los Feliz Pool Buildings for the City of Los Angeles. Vahdani also completed the
Rehabilitation of Miles Memorial Playhouse for the City of Santa Monica. The firms
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performance on that project was excellent. Vahdanis primary subcontractor, California
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Commercial Pools, has completed numerous pool projects including USCs Olympic
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Training Pool for the 1984 Olympics (United States Olympic Organizing Committee), a 50-
meter Olympic Training Pool at the Los Alamitos Armed Forces Reserve Base (United
States Water Polo Association), and the 50-meter Hillman Memorial Pool Complex for the
California State University. The subcontractor is reported to be a highly reputable pool
contractor.
Financial/Budget Impact
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FUNDS REQUIRED
Contract $5,299,777
Contingency $ 423,982
Total $5,723,759
FUNDS AVAILABLE
Funds are available in the following accounts:
C01066499.589000 $ 450,000
C01066498.589000 $1,649,568
C01066400.589000 $1,197,065
C17066400.589000 $1,000,000
C01042197.589000 $ 280,000
C53066400.589000 $ 180,000
C19066498.589000 $ 758,438
E13106000.555010.40000 $ 208,688
Total Available $5,723,759
Redevelopment Considerations
The Municipal Pool is located within the Earthquake Recovery Redevelopment Project
Area. The $1 million in account C17066400.589000 is provided from the Earthquake
Recovery Redevelopment Project Fund. To use redevelopment funds for the construction
of a publicly-owned facility, the City Council and Redevelopment Agency must make the
appropriate findings following a public hearing. The attached Resolutions (Attachment A
and B) find that the project is of benefit to the Earthquake Recovery Redevelopment
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Project Area, no other reasonable means of financing the improvements are available, the
project will assist in earthquake recovery efforts, and the project is consistent with the
Agencys Five-Year Implementation Plan. The Agencys $1 milliion contribution will be
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accomplished by the lending of funds by the City to the Redevelopment Agency which will
repay the City from available tax increment revenues. The approval of a Reimbursement
Agreement will formalize the loan between the City and Agency for this Project.
Recommendation
Staff recommends that the City Council:
1.Hold a public hearing on the award of this contract;
2.Award a contract for the construction of pools, building and site improvements for the Santa
Monica Municipal Pool Replacement Project - Phase II to Vahdani Construction Co., Inc. in
the amount of $5,299,777 and approve contingency funds in the amount of $423,982 for this
contract or such other contractor which the City Council deems appropriate;
3.Authorize the City Engineer to issue any necessary change orders to complete additional
work in accordance with the Administrative Instructions on change orders;
4.Approve the Resolution finding that the Santa Monica Municipal Pool Replacement Project is
of benefit to the Earthquake Recovery Redevelopment Project (Attachment A); and
5.Authorize the City Manager to execute a Reimbursement Agreement between the City and
Redevelopment Agency for the Santa Monica Municipal Pool Replacement Project.
Staff recommends that the Redevelopment Agency:
1.Hold a public hearing on the use of Redevelopment Funds for this Project;
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2.Authorize the Executive Director to execute the construction contract awarded by the City
Council for the Santa Monica Municipal Pool Replacement Project - Phase II;
3.Approve the Resolution finding that the Santa Monica Municipal Pool Replacement Project is
of benefit to the Earthquake Recovery Redevelopment Project (Attachment B); and
4. Authorize the Executive Director to execute a Reimbursement Agreement between the City
and Redevelopment Agency for the Santa Monica Municipal Pool Replacement Project.
Attachments: A - City Council Resolution
B - Redevelopment Agency Resolution
Prepared by: Craig Perkins, Director, Environmental and Pubic Works Mgmt. Dept.
Barbara Stinchfield, Director, Community and Cultural Services Dept.
Anthony Antich, P.E., City Engineer
Lauren Friedman, Senior Architect
Jeff Mathieu, Director, Resource Management Dept.
Tina Rodriguez, Redevelopment Administrator
Mona Miyasato, Senior Administrative Analyst
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