SR 04-23-2019 3A
City Council
Report
City Council Meeting: April 23, 2019
Agenda Item: 3.A
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To: Mayor and City Council
From: Susan Cline, Director, Public Works, Architecture Services
Subject: First Contract Modification with Koury Engineering and Testing, Inc. for Fire
Station No. 1 Inspection Services
Recommended Action
Staff recommends that the City Council authorize the City Manager to negotiate and
execute a first modification to agreement #10678 (CCS) in the amount of $400,000 with
Koury Engineering and Testing, Inc., a California-based company, for deputy inspection,
material testing, and geotechnical inspection for the Fire Station No. 1 Project for the
Public Works Department. This will result in a three-year amended agreement with a
new total amount not to exceed $662,364.
Summary
The City executed a contract with Koury Engineering and Testing, Inc. (Koury), a
construction inspection firm, to provide deputy inspection, material testing, and
geotechnical inspection services for the Fire Station No. 1 Project, which will be
completed in early 2020. Inspection services are required to ensure that the building
foundation, structural concrete, masonry, steel, welding, and other related elements
conform to the California building code and meet City standards and specifications. A
modification to the agreement to increase the contract amount by $400,000 is required
to cover new project inspection services requirements from the Building and Safety
Division for the station’s designation as an essential services building, as well as
additional geotechnical inspection services required for the duration of grading activities
(preparing the soil for the foundation to be poured) due to unforeseen conditions
encountered during construction.
Discussion
Inspection is a necessary part of the construction process for the new Fire Station No. 1
to ensure that the building foundation, structural concrete, masonry, steel, welding, and
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other related elements are constructed to meet or exceed the California building code
and City standards and specifications. On May 8, 2018, Council approved professional
services agreement #10678 (CCS) with Koury to provide deputy inspection, material
testing, and geotechnical inspection services for the Fire Station No. 1 Project.
After the plans were approved and the contract with Koury was executed, the Building
and Safety Division notified Architecture Services that additional inspection
requirements that were not included in the original contract with Koury would be
required to satisfy Article 1 of Chapter 4 in the California Administrative Code. These
additional requirements are related to the station’s designation as an essential services
building and are well above and beyond industry standards. An essential services
building is a structure that is designed to remain fully operational in the event of a major
earthquake or emergency event. The code necessitates assigning a full-time project
inspector to be on-site who shall have personal knowledge of all work done on the
project. This role is in addition to the inspection services initially required.
Additionally, excavation and grading activity (preparing the soil for the foundation to be
poured) revealed that the adjacent building has foundations that are much higher than
originally anticipated. This necessitated additional geotechnical inspection requirements
for the duration of grading activities. Staff recommends increasing the contract amount
to compensate Koury for these additional inspection services. The additional inspection
requirements would not increase the overall project budget and would be absorbed from
within the project contingency.
Past Council Actions
5/8/18 (Attachment A) Award Agreements for Construction Management
Services and Deputy and Material Testing Inspection
Services for the Fire Station No. 1 Construction Project
Financial Impacts and Budget Actions
Staff seeks authority to increase the amount of the contract with Koury Engineering and
Testing, Inc. for inspection and testing services.
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Agreement Modification Request
Agreement # Current
Authorized
Amount
Modified Request
Amount
FY 2018-19 Budget
CIP Account #
Total Revised
Contract Amount
10678 (CCS) $262,364 $400,000 C0105470.689000 $662,364
Prepared By: Sebastian Felbeck, Senior Construction Manager
Approved
Forwarded to Council
Attachments:
A. May 8, 2018 Staff Report (Web Link)
B. Koury Oaks Initiative Disclosure Form
(Attachment A)
City of Santa Monica
Oaks Initiative Disclosure Form
All persons or entities receiving public benefits defined below from the City of Santa Monica
shall provide the names of trustees, directors, partners and officers and names of those with
more than a 10% equity, participation or revenue interest. This information is required by City
Charter Article XXII—Taxpayer Protection.
Name of Entity: ____________________________________________
NAME(S) OF PERSONS OR ENTITIES RECEIVING PUBLIC BENEFIT:
NAME(S) OF TRUSTEES, DIRECTORS, PARTNERS, AND OFFICERS:
NAME(S) OF THOSE WITH MORE THAN A 10% EQUITY, PARTICIPATION OR
REVENUE INTEREST:
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.
Prepared by: __________________________ Signature: ________________________
Date: __________________________ Title: ________________________
FOR CITY USE ONLY:
Bid/PO/Contract # ___________________________ Permit # _____________________________________
(1/06)
Koury Engineering and Testing, Inc.
Koury Engineering and Testing, Inc.
Michele Shams, CEO and President
Dave Menefee, COO and Vice President
Michele Shams, CEO and President
Dave Menefee, COO and Vice President
Chris Loera, QA/QC Manager
Raymond Roblero
3/18/19 Vice President of Operations and Client Success
REFERENCE:
MODIFIED
AGREEMENT 10678 (CCS)