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SR 05-08-2018 3L City Council Report City Council Meeting: May 8, 2018 Agenda Item: 3.L 1 of 6 To: Mayor and City Council From: Susan Cline, Director, Public Works, Architecture Services Subject: Award Agreements for Construction Management Services and Deputy and Material Testing Inspection Services for the Fire Station No. 1 Construction Project Recommended Action Staff recommends that the City Council: 1. Award RFP #2235 to Cumming Corporation, a California-based company, to provide construction management services for the Fire Station No. 1 Construction Project; 2. Authorize the City Manager to negotiate and execute an agreement with Cumming Corporation, in an amount not to exceed $636,350 (including a 10% contingency) over a three-year period; 3. Award RFP #2235 to Koury Engineering, a California-based company, to provide deputy and material testing inspection services for the Fire Station No. 1 Construction Project; and 4. Authorize the City Manager to negotiate and execute an agreement with Koury Engineering, in an amount not to exceed $262,364 (including a 20% contingency) over a three-year period. Executive Summary The Fire Station No. 1 Construction Project will build a new fire station located at 1337 - 45 7th Street to replace the existing Fire Station No. 1 at 1444 7th Street. Bernards Bros, Inc. will construct Fire Station No. 1. In preparation for the construction project, staff recommends that Council approve two agreements to provide 1) construction management services to Cumming Corporation and 2) deputy and material testing inspection services to Koury Engineering. Both vendors would provide services to assist the City in monitoring the work of the contractor and to ensure that the special inspection requirements for the project are met. Staff anticipates the project will be completed in early 2020. The agreements recommended by staff to be awarded are within budget limits and do not add costs to the Fire Station No. 1 Construction Project. 2 of 6 Discussion As part of approving the second-year budget for the City’s FY 2016-18 Biennial Capital Budget, Council appropriated $41.6 million to the Fire S tation No. 1 Project. This budget included funding for project costs including construction, construction management, deputy and material testing inspection services, technology infrastructure, furniture and equipment, and unforeseen conditions (site hazardous material). Construction Management and deputy and materials testing inspection services are industry best practices in large scale construction projects, especially those with unique safety and technology requirements such as Fire Station 1. Deputy inspection services are those performed by a third-party done on behalf of the client to ensure compliance with specifications. Subsequent to awarding the construction contract to Bernards Bros, staff solicited two consultant services required and budgeted for this major project: 1) construction management services and 2) deputy and material testing inspection services. Construction management services are required to assist staff with project planning, cost management, quality management, contract administration, and safety management. The consultant providing construction management services would be located at the project construction site for the duration of the project. Staff recommends Cumming Corporation to provide construction management services at a cost not to exceed $636,350. As noted, deputy and material testing inspection services are performed by a third-party vendor (not the contractor) to ensure long-lasting and high quality construction materials are used during the construction phase. This vendor monitors construction activities to ensure proper installation practices are followed throughout the duration of the construction project. The vendor uses the design specifications for structural steel, masonry, concrete, welding, and bolted co mponents, along with City standards, specifications, and applicable building codes, to compare and test against the real-time constructed elements. Staff recommends Koury Engineering to provide deputy and material testing inspection services at a cost not to exceed $262,364. 3 of 6 The Fire Station No. 1 Construction Project is expected to be complete in early 2020. Consultant Selection – Construction Management Services On October 10, 2017, the City issued a Request for Qualifications (RFQ) #2507 to provide on-call construction management services for two categories of projects: various building and park construction projects. 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 Municipal Code provisions. Fifty-one vendors downloaded the RFQ. Thirteen firms responded. Responses to the RFQ were reviewed by a selection panel of staff from the Public Works Department. Staff selected 10 firms as pre-qualified in each category and eligible to compete in future bids over a three-year period; the pre-qualified list will expire on November 28, 2020. On February 6, 2018, the City issued a Request for Proposals (RFP) #2235 to provide construction management services for the Fire Station No. 1 Construction Project. The RFP was sent to the 10 pre-qualified vendors to provide on-call construction management services. The following nine firms responded.  Cumming Corporation  GKK Works  Griffin Structures, Incorporated  KDG Construction Consulting  Kitchell  PMCS  PSOMAS  Simplus  Simpson & Simpson Responses to the RFP were reviewed by a selection panel of staff from the Public Works Department. Evaluation was based on the following selection criteria: technical 4 of 6 competence, staffing capability, project approach and planning, past performance, dispute resolution, quality control, cost control, customer service, and cost of services. Staff then shortlisted three firms and on February 23, 2018 conducted interviews. Based on this criteria and criteria in SMMC 2.24.073, staff recommends Cumming Corporation , the lowest bidder, as the best qualified firm to provide construction management services for the Fire Station No. 1 Construction Project. Cumming Corporation’s team has extensive knowledge and experience working on numerous municipal projects to construct new fire stations. Cumming Corporation has successfully managed projects that included essential services buildings, LEED projects, large excavations, and complex projects in dense urban settings. Their proposed team would provide on-site project management planning, which involves planning the entire project and documentation, cost management to ensure the expenses of the project are efficiently managed and to account for any unexpected issues or difficulties, quality management to ensure the contractor completes the project at a high-quality standard, contract administration to ensure the needs of the City are being satisfied, and safety management to ensure that work meets all legal requirements and building regulations. Cumming Corporation would also provide in- house project schedule analysis and cost estimating resources to augment the on-site construction manager on an as-needed basis. Vendor Selection – Deputy and Material Testing Inspection Services On October 10, 2017, the City issued a Request for Qualifications (RFQ) #2327 to provide on-call deputy and material testing inspection services for various construction projects. 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 Municipal Code provisions. Thirty-eight vendors downloaded the RFQ. Twelve firms responded. Responses to the RFQ were reviewed by a selection panel of staff from the Public Works Department. Staff selected 11 firms as pre-qualified and eligible to compete in future bids over a three-year period; the pre-qualified list will expire on November 14, 2020. 5 of 6 On February 12, 2018, the City issued a Request for Proposals (RFP) #2235 to provide deputy and material testing inspection services for the Fire Station No. 1 Construction Project. The RFP was sent to the 11 pre-qualified vendors to provide on-call geotechnical, deputy and material testing inspection services. The following seven firms responded:  AECOM  California Testing & Inspections  Koury Engineering  MTG  Ninyo & Moore  United-Heider  Willdan Geotechnical Responses to the RFP were reviewed by a selection panel of staff from the Public Works Department. Evaluation was based on the following selection criteria: quality of proposal, competitive pricing, experience, references, and qualifications of the proposed project inspection team. Koury Engineering’s proposal included wide-ranging experience and demonstrated the competency, of their team of registered Civil and Geotechnical Engineers and numerous inspectors holding multiple certifications. Koury Engineering’s proposal also included their reputable corporate structure and excellent references on prior completion of similar projects. The proposed inspection team would include one project manager to provide general work plan oversight; one deputy inspector to monitor and inspect all structural concrete, masonry, steel, welding, and bolted elements; one field technician to assist the deputy inspector in proving field testing services; and one laboratory technician for elements requiring laboratory testing. The deputy inspector would join the project full-time from mid-2018 to early-2020, while the other project team members would be on the project as-needed. Based on this criteria and criteria in SMMC 2.24.073, staff recommends Koury Engineering as the best qualified firm to provide deputy and material testing inspection services for the Fire Station No. 1 Construction Project. 6 of 6 Financial Impacts and Budget Actions The agreement to be awarded to Cumming Corporation is for an amount not to exceed $636,350. Funds are available in the FY 2017-2018 Capital Improvement Program budget in account C014063.589000. The agreement to be awarded to Koury Engineering is for an amount not to exceed $262,364. Funds are available in the FY 2017-2018 Capital Improvement Program Budget in account C014063.589000. Prepared By: Sebastian Felbeck, Senior Construction Manager Approved Forwarded to Council Attachments: A. Koury Engineering Oaks Initiative Form B. Cumming Corporation Oaks Initiative Form CITY OF SANTA MONICA OAKS INITI ATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1.Personal services contracts in excess of $25,000 over any 12-month period; 2.Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3.Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4.Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5.Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6.Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7.Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Name(s) of trustees, directors, partners, and officers: Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: ____________________________Title: __________________________ Signature: ______________________________________ Date: ________________ Email: ____________________________________ Phone: ____________________ FOR CITY USE ONLY: Bid/PO/Contract # ____________________________ Permit # ___________________________ Koury Engineering and Testing, Inc. Richard Koury - CEO & President Dave Menefee - COO & St. Vice President None Tommy Wright Chief Business Development Officer 03/12/18 TommyW@kouryengineering.com (909) 606-6111 CITY OF SANTA MONICA OAKS INITI ATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1. Personal services contracts in excess of $25,000 over any 12-month period; 2. Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3. Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4. Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5. Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6. Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7. Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Name(s) of trustees, directors, partners, and officers: Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: ____________________________Title: __________________________ Signature: ______________________________________ Date: ________________ Email: ____________________________________ Phone: ____________________ FOR CITY USE ONLY: Bid/PO/Contract # ____________________________ Permit # ___________________________ REFERENCE: Agreement No. 10677 (CCS) & Agreement No. 10678 (CCS)