SR 06-14-2016 3D
City Council
Report
City Council Meeting: June 14, 2016
Agenda Item: 3.D
To: Mayor and City Council
From: Martin Pastucha, Director, Public Works, Civil Engineering
Subject: Award Professional Service Agreement (PSA) for Annual Water Infrastructure
Reliability Improvement Project
Recommended Action
Staff recommends that the City Council:
1. Award RFP# SP2429 to Cannon Corporation, a California-based company to
provide engineering design services, develop construction documents and
provide engineering support during the construction of the Water Infrastructure
Reliability Improvement Project;
2. Authorize the City Manager to negotiate and execute a professional services
agreement with Cannon Corporation in an amount not to exceed $86,135
(includes a 15% contingency).
3. Authorize the City Manager to accept all grant renewals for grant (Grant No. XP-
96945401).
4. Authorize the City Manager to accept a grant (Grant No. XP-00T79601) awarded
in the amount of $848,000 from the U.S. Environmental Protection Agency (EPA)
for the Santa Monica Water Reliability Infrastructure Improvement project, and to
accept all grant renewals.
5. Authorize the City Manager to execute all necessary documents to accept the
grant and all grant renewals.
6. Authorize budget changes as outlined in the Financial Impacts & Budget Actions
section of this report.
Executive Summary
The Water Infrastructure Reliability Improvement Project would replace approximately
3,820 lineal feet of water distribution pipelines at various locations in the City to ensure
an adequate and reliable supply of water to customers. This project is based on a long-
term replacement and maintenance plan for water mains based on age, condition and
capacity demands. Staff recommends Cannon Corporation to provide engineering
design services, develop construction documents and provide engineering support
during the construction phase of the project for an amount not to exceed $86,135.
Background
On September 12, 2006 (Attachment A) the City accepted grant funds for the Santa
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Monica Water Reliability Infrastructure Improvement Project from the United States
Environmental Protection Agency (EPA), comprised of $529,900 in reimbursable grant
funding and $460,700 in matching City funds for a total of $990,600 (Grant Number XP-
96945401). To date, the city has spent $348,677 of the $460,700 local match funds.
In January 2012, the EPA awarded another grant to the City for the Santa Monica Water
Reliability Infrastructure Improvement Project, comprised of $848,000 in reimbursable
grant funding and $693,818 in matching city funds for a total of $1,541,818 (Grant
Number XP-00T79601).
These grants were made pursuant to the Federal Water Resources Development Act
and titled Water Infrastructure Santa Monica Reliability Improvement Project. Initially,
the project comprised both a potable and recycled reservoir. In 2007, the City Council
retained a consulting engineering firm to conduct a feasibility study, a preliminary design
report, CEQA/NEPA documents, financing alternatives, public outreach, project
management services and design build documents for the drinking water storage
facility. Construction cost estimates for the project proved prohibitive (exceeding $30
million). Subsequently, the size of the reservoirs was reduced; ultimately the project
was reduced to a single 1 million gallon recycled water reservoir. Even then the
projected cost of the project was financially infeasible.
In order to avoid the lapsing of the available grants, staff from the Water Resources
Division worked with EPA to revise the work plan and requested the remaining grant
funds be used toward the replacement of the existing water mains in the City. In
replacement of the existing water mains throughout the City and to extend the project
period end date.
Discussion
The City operates and maintains a 205 mile network of water distribution mains with
residential and business customers providing 12 million gallons of water per day. In
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its residents and businesses, and preserve the water quality and efficiency going
forward, the Water Resources Division in 2011 developed a business case evaluation
study to identify and prioritize the aged cast iron water mains. The study focuses on the
oldest cast iron pipe installations built prior to the 1970s. The study provides cost and
probabilities of potential water main breaks while making recommendations to replace
and upgrade the aged water mains throughout the city.
Staff also reviewed maintenance records to identify the most problematic areas where
unexpected low water pressure occurs. Low pressure in the old cast iron pipes is
typically caused by rust build up, restricting water flow which affects the water quality as
well. Based on this information, a list of priority water distribution system improvements
was produced to implement the replacement and upgrade of water mains at the
following locations, for a total of approximately 3,820 linear feet of water main;
thth
Ocean Park Blvd. - from 14 Street to 18 Street
th
17 Street - from Pearl Street to Ocean Park Blvd.
Ocean Avenue - from Pico Blvd. to Bay Street
rdth
Ashland Avenue- from 3 Street to 4 Street
Consultant Selection
On April 8, 2016, the City issued a Request for Proposal (RFP) for engineering design
services, construction documentation, and engineering support services during the
construction phase of the Water Infrastructure Reliability Improvement Project. The
Santa Monica Daily Press in accordance with City Charter and Municipal Code
Provision. 59 vendors downloaded the RFP and six firms responded (California
Watershed Engineers, Cannon Consulting, CivilSource Corporation, KPFF Consulting
Engineers, Quantum Consulting, Inc., and Willdan Engineering). Responses to the RFP
were reviewed by a selection panel of staff from Water Resources and Civil
Engineering.
Evaluation was based on the following selection criteria: experience, references, work
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scope. Staff then ranked all six firm from 1 to 6. Based on this criteria and criteria in
SMMC 2.24.073, staff recommends Cannon Corporation as the best qualified firm to
provide engineering design services, for an amount not to exceed $86,135. Cannon
Corporation demonstrated extensive knowledge and experience with similar projects in
urban and coastal municipalities, including the cities of Manhattan Beach, Beverly Hills,
Glendale, and Golden State Water Company. Cannon Corporation also demonstrated
through past projects its ability to offer experienced design teams that can complete
project designs in an expeditious manner and at competitive hourly rates.
After completion of the design work, staff will prepare the bidding document, advertise
-line bidding site, select a contractor, and prepare a staff report to
award the contract. The anticipated timeline for the design phase of the project is
approximately 6 months (early August 2016 to late January 2017).
The second phase of the project is the construction phase which will take approximately
4-6 months after award of the contract by the City Council.
Financial Impacts and Budget Actions
Award of a $848,000 grant from the U.S. Environmental Protection Agency (EPA) for
the Santa Monica Water Reliability Infrastructure Improvement project requires the
following FY 2015-16 budget changes:
1. Establish revenue budget at account 20671.403951 in the amount of $848,000.
2. Appropriate $848,000 to account C209196.589000 to reflect receipt of the Water
Infrastructure Santa Monica Water Infrastructure grant.
3. Move $693,818 from account C250136.589000 to account C259196.589000 in
FY2016-17 to fund the local match obligation.
Renewal of the $529,900 grant U.S. Environmental Protection Agency (EPA) for the
Santa Monica Water Reliability Infrastructure Improvement project requires the following
FY 2015-16 budget changes:
1. Move $112,023 from account C250136.589000 to C250609.589000 to fund the
remaining local match obligation.
The professional services agreement to be awarded to Cannon Corporation is for an
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amount not to exceed $86,135 (includes a 15% contingency). Funds are available in
the FY 2015-16 Capital Improvement Program budget in account C250136.589000.
Prepared By:
Tom Shahbazi, Civil Engineer
Approved Forwarded to Council
Attachments:
A. September 12, 2006 Staff Report
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Reference:
AgreementNo.10320
(CCS)