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SR 01-10-2017 3C Ci ty Council Report City Council Meeting : Janua ry 10, 2017 Agenda Item: 3.C 1 of 8 To: Mayor and City Council From: Susan Cline, Director , Public Works, Architecture Services Subject: Award of Agreements for Surveying Services and Environmental Consulting Services at the City Yards Recommended Action Staff recommends that the City Cou ncil: 1. Award Bid #2351 to Dudek, a California -based company for environmental consulting services for the City Yards Modernization Project; 2. Authorize the City Manager to negotiate and execute an agreement with Dudek for a total amount not to exceed $426,484 (including a 10% contingency); 3. Award Bid #2396 to Hahn and Associates, Inc., a California -based company for site survey services for the City Yards Modernization Project; 4. Authorize the City Manager to negotiate and execute an agreement with Hahn and Associates, Inc. for a total amount not to exceed $131,560 (including a 10% contingency); 5. Award Bid #83 to Hathaway Dinwiddie Construction Company (HDCC), a California -based company, for professional services to aid Arup North America in desi gn and development of the proposed microgrid at the City Yards; and 6. Authorize the City Manager to negotiate and execute an agreement with Hathaway Dinwiddie Construction Company (HDCC) for a total amount not to exceed $372,857 , forgoing competitive bid ding . Executive Summary To advance into the design phase of the City Yards Modernization Project, an Environmental Impact Report (EIR) and a detailed site survey are required. The EIR would inform proposed design, as well as future phases that may include construction of a parking structure, expansion of Gandara Park, and construction of additional City facilities, office space and a recycling center. The site survey would show existing site conditions. Staff recommends the award of separate professional s ervices agreements to the following vendors: 1) Dudek for preparation of on an EIR in compliance with California Environmental Quality Act (CEQA) and to provide environmental consulting services for an amount not to exceed $426,484 (including a 10% contin gency), 2) Hahn and Associates, Inc. to provide site survey services for an amount not to exceed $131,560 (including a 10% contingency) and 3) Hathaway Dinwiddie Construction 2 of 8 Company for the City Yards and Bergamot Station microgrid, as the City Yards Mode rnization design -build contractor, for an amount not to exceed $372,857. Background On July 12, 2016 (Attachment A), Council authorized the City Manager to modify the agreement with design -build contractor Hathaway Dinwiddie Construction Company (HDCC), a California -based company, to provide additional conceptual design scope of work related to the Olympic Treatment Plant, Water Resources and Public Landscape facilities , and Gandara Park project components. Additionally, Council authorized the City Manager to negotiate a design Guaranteed Maximum Price (GMP) with HDCC for design services that includes schematic design, design development, construction documents, project management, and cost estimating for the City Yards Modernization Project in accordance w ith the proposed “Zipper” Concept/Phasing Package A. On October 25, 2016 (Attachment B), Council authorized the City Manager to execute a contract with HDCC for design services for the City Yards Modernization Project/Phasing Package A. On March 25, 20 16, the City of Santa Monica received a grant award of approximately $1.5M from the California Energy Commission for its Santa Monica Advanced Energy District project proposal. The intent of the project is to integrate a small, localized energy grid (micro grid), consisting of onsite renewable generation and energy storage, based at the City Yards and Bergamot Arts Center. This microgrid would provide efficient, reliable, cost -effective energy that has a low environmental and carbon impact. On October 25, 2 016 (Attachment C), Council authorized the City Manager to negotiate and execute an agreement with Arup North America, for professional services to aid in design and development of the proposed microgrid at the City Yards and Bergamot Station. Discussion The City of Santa Monica seeks to modernize City -owned land and streamline municipal operations at the City Yards, a 14.7 acre parcel. Existing facilities were constructed in 3 of 8 the 1940s, and since that time the space has been in operation by the City and s uffers from worn out infrastructure. In order to meet entitlement requirements, the City Yards Modernization Project requires environmental compliance with the California Environmental Quality Act (CEQA) including preparation of an Environmental Impact R eport (EIR) which is due prior to the completion of final design. The EIR would incorporate in its scope the larger conceptual project goals for the City Yards area, including the parking structure, expansion of Gandara Park, Water Resources and Public Lan dscape facilities , Olympic Treatment Plant and recycling center. As the design of Phasing Package “A” commences, a detailed site survey is required to reflect current site conditions. An aerial site survey was completed in 2006 but is no longer an accura te reflection of current site conditions. The City applied for and was awarded a grant of $1,487,609 from the California Energy Commission to design and develop a multiuser microgrid, known as the Santa Monica Advanced Energy District, which would be ba sed at the City Yards facility. This multiuser microgrid would be designed, developed and incorporated into the City Yards Modernization Project. Arup North America was selected to design the microgrid system based on its technical experience in advanced d istributed energy planning and project management, as well as its cost of services. Arup has designed or is designing microgrids and advanced energy systems around the world and has significant expertise in this field. Arup, and its team, will liaise and collaborate with the existing City Yards Modernization design -build contractor, HDCC, to incorporate the additional considerations necessary for a microgrid. Grant funds in the amount of $372,857 would support the additional scope of work and budget for HD CC and its project team beyond what has been proposed in their guaranteed maximum price bid. Consultant Selection (Microgrid) As a general rule, competitive bidding for public entities is a mandatory requirement as provided by statute, charter or ordinanc e. However, there are certain well recognized 4 of 8 exceptions to this rule. By two thirds vote the City Council can waive competitive bidding procedures where the nature of the subject of the contract is such that competitive proposals would be unavailing or wo uld not produce an advantage, and the advertisement for competitive bid would thus be undesirable, impractical, or impossible 9SMMC section 2.24.071(e)(1) and (2). The City Yards Modernization design contract and grant funding to develop the Santa Monica Advanced Energy District were let after a competitive RFP process. The proposed microgrid at the City Yards necessitates that Arup work s with the existing design -b uild team (HDCC) for the City Yards Modernization project as the design of the microgrid wil l be an integral component of the overall electric infrastructure of the City Yards Modernization project. Close coordination will be required between Arup and HDCC as the design of both microgrid and City Yards Modernization will progress concurrently. Exi s ting infrastructure requirements for the City Yards Modernization must be perfectly coordinated and designed to integrate with the proposed microgrid goals such as s olar p hotovoltaics , c ombined h eat and p ower , e nergy s torage , s mall -scale waste -to -energ y generation , c o -generation options and/or e lectric vehicle -to -grid applications . B ringing in another design team to handle all work for the microgrid without close coordination with the City Yards design -build team would add time and cost to the project. A separate team would have a steep learning curve, and the coordination of the two scopes of work would be difficult, creating significant cost, time delay, and potential design liability issues to the extent that professional accountability may be diffi cult to allocate with two designers involved instead of one. It is therefore recommended that the additional microgrid scope be awarded to HDCC, the City Yards Modernization design -build team. Consultant Selection (CEQA Consultant) On October 27, 2015, t he City issued RFQ#102715 for environmental consulting services in accordance with City specifications. The RFQ was posted on the City’s on - line bidding site, and notices were advertised in the Santa Monica Daily Press in accordance with City Charter and M unicipal Code provisions. The RFQ sought qualifications from environmental consulting firms to prepare environmental documents pursuant to the California Environmental Quality Act (CEQA) and/or National Environmental Policy Act (NEPA). 123 vendors download ed the RFQ and 24 responses 5 of 8 were received and evaluated based on the criteria in SMMC 2.24.072, including past experience in urban infill development projects, adequacy of the response, records of past performance, and demonstrated thoroughness in work appr oach. The City selected 11 qualified firms to be placed on a pre -qualified list based on these criteria. On August 15, 2016, the City issued a Request for Proposals (RFP) to prepare an Environmental Impact Report (EIR) for the City Yards Modernization Pro ject. The RFP was sent to the 11 pre -qualified firms for environmental consulting services and the following 5 firms responded with submitted proposals :  CAJA Environmental Services, LLC  Dudek  ICF International  LSA Associates, Inc.  Rincon Consultant s , Inc. A selection committee consisting of City staff from the divisions of Architecture Services, City Planning, Water Resources and Civil Engineering, reviewed and evaluated all proposals. Evaluation of the submitted materials was based on the selection criteria in SMMC 2.24.073, including:  Training, credentials and prior experience in preparing EIR’s for the City of Santa Monica  Competence and knowledge of CEQA regulations  Understanding and experience in related projects, project goals and approach  Under standing of the federal aviation regulations and requirements  Ability of the team to successfully complete the full scope of work on time and within budget  Evidence of a productive team structure and sufficient resources (i.e., financial, staff, etc.)  The firm’s character and reputation in preparing high quality EIR’s in similar municipalities  A budget that reflects a fair, reasonable, and competitive price  Understanding of the specific scope of work of the City Yards Modernization Project Dudek demonstrat ed the most relevant knowledge of the City and CEQA, had a strong record of preparing legally defensible environmental documentation in the City and 6 of 8 other jurisdictions, prepared the most comprehensive scope of work and showcased a flexible approach for th e work required. The firm has had recent experience in preparing complicated EIR documentation in the City of Santa Monica, and has demonstrated a strong understanding of the City’s regulatory structure and neighborhood concerns. Furthermore, Dudek has ext ensive experience in working with water treatment plants and industrial facilities. Based on these criteria, Dudek is recommended as the best proposer. It is anticipated that the CEQA process can be completed within approximately one year. Consultant Sele ction (Site Survey) On October 26, 2016, the City issued RFP#2396 for site survey services at the City Yards and Gandara Park in accordance with City specifications. The RFP was posted on the City’s on -line bidding site, and notices were advertised in the Santa Monica Daily Press in accordance with City Charter and Municipal Code provisions. 43 vendors downloaded the RFP and the following eight firms responded :  BKF Engineers  Chaundry & Associates  Chris Nelson  D. Woolley & Associates  Hahn & Associates, In c.  J.O. Nelson  Rosell Surveying & Mapping, Inc.  Towill Inc. Responses to the RFP were reviewed by a selection panel of staff from the Public Works Department. Evaluation was based on the criteria in SMMC 2.24.073 and the following section criteria: p ast experience in similar development projects, adequacy of the response, records of past performance, and demonstrated thoroughness in work approach. Based on these criteria, staff recommends Hahn and Associates, Inc. as the best qualified firm to provide site survey services for the City Yards Modernization Project based on the firm’s broad experience in similar projects including survey services for Santa Monica City Services Building and City of Long Beach Civic Center. It is anticipated that the site s urvey can be completed within approximately 4 months. Design of the first phase of the City Yards Modernization is anticipated to commence 7 of 8 beginning of 2017 and would be completed late 2018. Construction of this phase is anticipated to be complete in 2021 . Financial Impacts and Budget Actions The agreement to be awarded to Dudek is for an amount not to exceed $426,484. Funds are available in the FY 2016 -17 Capital Improvement Program budget. The agreement will be charged to the following accounts: C01906 8.589000 Olympic Treatment Plant $213,242 C014028.589000 City Yards Master Plan Phases 1a through 2b $213,242 Total $426,484 The agreement to be awarded to Hahn and Associates, Inc. is for an amount not to exceed $131,560. Funds are available in the FY 2016 -17 Capital Improvement Program budget. The agreement will be charged to the following accounts: C019068.589000 Olympic Treatment Plant $65,780 C014028.589000 City Yards Master Plan Phases 1a through 2b $65,780 Total $131,560 The agreement to b e awarded to Hathaway Dinwiddie Construction Company is for an amount not to exceed $372,857. Funds are available in the FY 2016 -17 Capital Improvement Program budget in account C209195.589000, CEC grant expense. Prepared By: Tom Afschar, Architect Approv ed Forwarded to Council 8 of 8 Attachments: A. July 12, 2016 Staff Report B. October 25, 2016 Staff Report C. Octob er 25, 2016 Staff Report D. Oaks Form (Dudek) E. Oaks Form (Hahn & Associates) F. Oaks Form (Hathaway Dinnwiddie) Reference:    Contract  No. 10406   (CCS)  &  Contract  No. 10407   (CCS)  &  Contract  No. 10408   (CCS)