SR 05-25-2021 3F
City Council Report
City Council Meeting: May 25, 2021
Agenda Item: 3.F
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To: Mayor and City Council
From: Rick Valte, Acting Public Works Director, Public Works, Water Resources
Subject: Award Sole Source and Authorize an Agreement with Paul's Welding for
Water and Wastewater Welding & Metal Fabrication Services
Recommended Action
Staff recommends that the City Council:
1. Authorize the City Manager to negotiate and execute an agreement with Paul
Padilla, DBA Paul’s Welding for water and wastewater portable welding and
metal fabrication services for the Public Works Department. This recommended
award is made as an exception to the competitive bidding process pursuant to
Section 2.24.250 (g) and is for a total amount not to exceed $500,000 over five
years. Future year funding is contingent on Council budget approval.
Summary
The Water Resources Division contracts portable welding and fabrication services to
properly maintain water and wastewater facilities at Santa Monica Urban Runoff
Recycling Facility (SMURRF) and Moss Avenue Pumping Station (MAPS). Welding
repair work for MAPS and SMURRF requires a specialized knowledge of related
equipment as well as confined space certification. In July 2016 and February 2021, the
City solicited bids for such services, with Paul’s Welding being the sole bidder each
time. Due to a lapse in prevailing wage registration with the Department of Industrial
Relations (DIR), Paul’s Welding’s bid was disqualified, and the bid was closed with no
qualified responses. Paul’s Welding has since become current with its registration with
the DIR. Due to the specialized nature of work and limited response to previous
requests for bids, Water Resources seeks to award a sole source to Paul’s Welding in
an amount not to exceed $500,000 over a five-year period.
Discussion
The City contracts portable welding and fabrication work to maintain water and
wastewater equipment located in Santa Monica and West Los Angeles including the
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Arcadia Water Treatment Plant, Charnock Well Field, MAPS, and SMURRF. Welding
services required by the Water Resources Division are specialized in that repair
locations must often be accessed within confined space, at elevated locations, and/or
completed within proximity of water treatment chemicals. The welding contractor must
have confined space training certification and knowledge of welding techniques and
safety protocol unique to industrial water and wastewater operations. Repairs are
conducted on an as-needed basis, and often, on an emergency basis at all hours of the
day and night. It is vital to Water Resources operations that the City maintain an on-call
agreement for portable welding and fabrication services with a certified, reliable, and
knowledgeable firm.
Following two prior requests for bids conducted by the City in July 2016 and February
2021, which notified 122 and 4,469 vendors respectively, the effort only yielded one
vendor submission, which was Paul’s Welding. Paul’s Welding is the current provider of
portable welding and fabrication services for the Water Resources Division. Due to past
limited responses to requests for bids and due to the specialized nature of work, Water
Resources seeks to award a sole source agreement to Paul's Welding for portable
welding and fabrication of related water and wastewater facilities and equipment in the
amount of $500,000 over a five-year period, with future funding contingent upon City
Council approval. A portion of maintenance costs for wastewater treatment facilities
would be covered by the City of Los Angeles per existing maintenance agreements
including 100% reimbursement for work completed at MAPS and 50% reimbursement
for the SMURRF.
Vendor Selection
Exception to Competitive Bidding
Staff recommends that Paul’s Welding to provide water and wastewater equipment welding and metal
fabrication services as an exception to competitive bidding per Muni Code 2.24.250 (g). This award meets
the City’s exception to competitive bidding criteria (g) that due to circumstances outside of the control of
the City, a substantial interference would result to City operations if a contract was not awarded as this
repair work is vital to maintaining water and wastewater treatment .
g. due to circumstances outside of the control of the City, would result in a substantial economic loss,
substantially compromise a legal position, or substantially interfere with a required City operation.
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Financial Impact
Staff seeks authority to approve funding from the Water and Wastewater Funds to
award a contract to Paul’s Welding for welding and fabrication services. Funds are
included in the FY 2012-23 Proposed Biennial Budget. Future year funding is contingent
on Council budget approval.
Contract/Agreement/Purchase Order Request
FY 2021-22
Budget
Request Amount
Department/CIP Account # Total Contract
Amount
$80,000 50500001.550010 $400,000
$20,000 51500001.550010 $100,000
$100,000 Total $500,000
Prepared By: Kori Jones, Administrative Analyst
Approved
Forwarded to Council
Attachments:
A. Paul's Welding Oaks Form
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tw, al S._,llim !IID■l■,1�►• CITY OF SANTA MONICA
OAKS INITIATIVE 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 riame 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:
Paul Padilla dba Paul's Welding
Name(s) of trustees, directors, partners, and officers:
Paul Padilla dba Paul's Welding
Name(s) of persons with more than a 10% equity, participation, or revenue interest:
Paul Padilla dba Paul's Welding
Prepare _P_ad_i-+-11 ______
_
____
_
__ Title: Owner/Operator
Signatur�Date:�+(
Email: paulpadillaweld@yahoo.com Phone: (310)428-5366
FOR CITY USE ONLY:
Bid/PO/Contract# _________ _ Permit# ---------
3.F.a
Packet Pg. 120 Attachment: Paul's Welding Oaks Form [Revision 1] (4511 : Welding Services Sole Source)