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SR 06-14-2022 3B City Council Report City Council Meeting: June 14, 2022 Agenda Item: 3.B 1 of 7 To: Mayor and City Council From: Rick Valte, Public Works Director, Public Works, Engineering and Street Services Subject: Award Construction and Construction Management Contracts for Annual Water Main Replacement Project Recommended Action Staff Recommends that the City Council: 1. Award Bid #2640 to Colich and Sons, LP, to provide construction services for the FY 2020/21 Annual Water Main Replacement Project for the Public Works Department; 2. Authorize the City Manager to negotiate and execute a contract with Colich and Sons, LP, in an amount not to exceed $6,530,160 (including a $851,760 contingency); 3. Authorize the Director of Public Works to issue any necessary change orders with Colich and Sons, LP. to complete additional work within contract authority; 3. Award Request for Proposal (RFP) #2640 to Willdan Engineering for construction management services for the FY 2020/21 Annual Water Main Replacement Project; 4. Authorize the City Manager to negotiate and execute an agreement with Willdan Engineering in an amount not to exceed $396,750. Summary To maintain the safety and reliability of the City’s water supply to Santa Monica homes and businesses, pipelines nearing the end of their useful lives require replacement. As part of the FY 2020/21 Annual Water Main Replacement Project (Project), the Water Resources Division routinely replaces approximately 10,000 linear feet of water main lines each year, typically focusing on the oldest segments of the water supply network, to safeguard against water leaks and water main failures. Staff recommends Colich and 3.B Packet Pg. 622 2 of 7 Sons, LP, to provide construction services for the Project in an amount not to exceed $6,530,160 (including a 15% contingency). Staff also recommends Willdan Engineering to provide construction management services for the same project, in an amount not to exceed $396,750. This project is funded by the City’s Water Fund, dedicated to supporting the maintenance and operations of the City’s Water utility services. Discussion The City owns, operates and maintains 205 miles of water distribution mains with pipe sizes ranging from six to 36 inches in diameter. The water distribution system consists of transmission main lines, distribution main lines, fire service lines, service laterals, water meters, valves, and fire hydrants. Over time, the useful life of all these components diminishes due to age, soil conditions, and corrosion buildup. The City’s approach to optimal maintenance of water distribution mains is to replace 10,000 linear feet of pipe annually to meet the 100-year replacement cycle recommended by the Sustainable Water Master Plan adopted by Council in October 2014. The Project would replace 9,000 linear feet of water mains, 42 service laterals and meters, 12 fire hydrants, 15 domestic and fire water lines, 61 water valves, and would construct new water sampling stations in the following street segments: Street Name From To California Avenue Ocean Avenue 2nd Court Broadway 4th Street Lincoln Boulevard 4th Street Pico Blvd Olympic Drive Pico Boulevard 4th Street 5th Street Lincoln Boulevard Olympic Boulevard Grant Street Ocean Park Boulevard 28th Street 29th Street 14th Street Washington Avenue California Avenue 16th Street Washington Avenue California Avenue Ocean Way Bay Street Bicknell Avenue Ozone Avenue Lincoln Boulevard 11th Street Ocean Avenue Bay Street Strand Street Vendor Selection - Construction Staff recommends awarding the construction contract to Colich and Sons, LP, the 3.B Packet Pg. 623 3 of 7 lowest and best bidder. Bidder Recommendation Best Bidder Colich and Sons, LP Evaluation Criteria Price; the ability, capacity and skill of the bidder to perform the services; the capacity of the bidder to perform the contract within the time specified; the sufficiency of the bidder’s financial resources; reputation and experience of the bidder. Municipal Code SMMC 2.24.180 Submittals Received Colich and Sons, LP $ 5,678,400 Dominguez Engineering $ 6,433,000 Steve Bubalo Construction Company $7,087,500 Bid Data Date Posted Posted On Advertise in (City Charter & SMMC) Vendors Downloaded Date Publicly Opened 03/17/2022 Santa Monica Daily Press City’s online Bidding Site 51 04/18/2022 Best Bidder Justification Bids were evaluated based on the criteria in SMMC 2.24.180, including price, previous experience, ability to deliver a quality work product, and compliance with City specifications. Colich and Sons, LP, has completed numerous similar pipeline projects for various agencies throughout California including a previous City of Santa Monica water main replacement projects. Locally, Colich and Sons, LP, has provided water and wastewater main replacement services for the cities of Los Angeles, Vista, Rancho Palos Verdes, Buena Park, Manhattan Beach, and Los Angeles County Sanitation District. Staff contacted the reference cities, and respondents reported satisfaction with Colich and Sons, LP’s, performance. Vendor Selection - Construction Management Staff recommends awarding the construction management services contract to Willdan Engineering who would be responsible for coordinating weekly progress meetings, reviewing contractor materials and submittals, observing the construction contractor’s work to ensure construction adheres to project design plans and specifications, answering contractor questions in the field, preparing daily reports, capturing and maintaining progress photos, coordinating various City departments, distributing construction notifications, and addressing questions or concerns from the public. Willdan Engineering was selected from an approved shortlist of pre-qualified construction management firms, created by way of a Request for Qualifications process 3.B Packet Pg. 624 4 of 7 conducted in 2019. Willdan Engineering submitted a proposal in response to an RFP for the Project and was determined to be the best bidder of the three proposals received. Request for Qualifications process data: Pre-Qualified Vendors Arcadis Berg and Associates, Inc. Willdan Engineering MNS Engineering Cannon Engineering Selection Criteria Evaluation Criteria Technical competence, staffing capability, project approach, past performance, dispute resolution, quality control, cost control, management services, customer service, and the ability to meet the required time frame. The City is not required to select the proposal with the lowest price. Municipal Code SMMC 2.24.190 RFQ Data Date Posted Posted On Advertised In (City Charter & SMMC) Vendors Downloaded Submittals Received Date Publicly Opened 09/25/2019 City's Online Bidding Site Santa Monica Daily Press 110 29 10/24/2019 Justification to Short-List Responding vendors proposals were evaluated and scored based on the above criteria and the top five were recommended as best qualified firms for underground utility category. Request for Proposals process data: Bidder Recommendation Best Qualified Firm Evaluation Criteria Technical competence, staffing capability, project approach, past performance, dispute resolution, quality control, cost control, management services, customer service, and the ability to meet the required time frame. Municipal Code SMMC 2.24.190 RFPs Received MNS Engineers Willdan Engineering Berg and Associates, Inc. RFP Data Date Posted Posted On # of Vendors Date Publicly 3.B Packet Pg. 625 5 of 7 Downloaded Opened 03/31/2022 Directly emailed to 5 Pre-qualified Firms 5 04/18/2022 Justification to Award Three firms submitted a proposal for construction management services. Based on the selection criteria set forth in SMMC 2.24.190, staff recommends Willdan Engineering as the best qualified firm to provide construction management services based on its qualifications, price, the competence, and skill of the staff assigned to this project, and its directly related experience providing similar services for municipal agencies. Community Outreach Construction is expected to begin between September and December 2022 and last for 12 months. Prior to and during construction, City staff and Willdan Engineering’s staff would distribute notifications to adjacent properties, Santa Monica High School, neighborhood groups, and surrounding properties regarding the project scope, construction schedule, and potential impacts, as well as mitigation measures that would be included in the temporary traffic control plan. Periodic updates would be provided as necessary. Social media also would be utilized to notify the public about potential traffic impacts. Properties impacted by the project would receive a construction notice. The notice would be hand-delivered to properties adjacent to the proposed work one to two weeks prior to the start of construction with detailed information regarding the planned construction activity, potential impacts, and contact information. The notices would be prepared by Public Works staff and distributed by the contractor. Environmental Review The water main replacement project is categorically exempt pursuant to Section 15302 (Class 2 -Replacement/Reconstruction) of the CEQA Guidelines. Section 15302 provides exemption for a class of projects involving the replacement/reconstruction of existing facilities, including the replacement of existing utility systems involving negligible or no expansion of capacity. The project would replace approximately 9,000 linear feet of existing water mains that are aging and inadequate. Approximately, 1,765 linear feet will be moderately upsized from 6-inch diameter pipe to 8-inch but would not represent a substantial increase in capacity. In addition, none of the exceptions 3.B Packet Pg. 626 6 of 7 specified in Section 15300.2 of CEQA Guidelines would apply that would preclude the use of this CEQA exemption: the project site is not located in a sensitive environment, the project will not have a significant effect on the environment, the project would not damage scenic resources, the project would not be located on a hazardous waste site, and the project would not cause a change to a historical resource. Financial Impacts and Budget Actions Staff seeks authority to approve funding from the Water Fund to award contracts with Colich and Sons, LP, and Willdan Engineering for construction services and construction management services, respectively, for the FY 2020/21 Annual Water Main Replacement Citywide Project. Funds are available in the FY 2021-22 CIP Budget and included in the FY 2022-24 CIP Proposed Budget. Future year funding is contingent on Council budget approval. Colich and Sons, LP Contract Request - Construction Request Amount CIP Account # Total Contract Amount $6,530,160 C5004840.689000 $6,530,160 Total $6,530,160 Willdan Engineering Contract Request - Construction Management Request Amount CIP Account # Total Contract Amount $396,750 C5004840.689000 $396,750 Total $396,750 Prepared By: Tom Shahbazi, Civil Engineer Approved Forwarded to Council Attachments: A. Willdan Oaks Initiative Disclosure Form 3.B Packet Pg. 627 7 of 7 B. Colich Oaks Initiative Disclosure Form 3.B Packet Pg. 628 FY20/21 Annual Water Main Replacement Project (SP2640) 11 3.B.a Packet Pg. 629 Attachment: Willdan Oaks Initiative Disclosure Form (5025 : Award Bid # 2640 FY2020/21 Annual Water Main Replacement Project) FY20/21 Annual Water Main Replacement Project (SP2640) 12 3.B.a Packet Pg. 630 Attachment: Willdan Oaks Initiative Disclosure Form (5025 : Award Bid # 2640 FY2020/21 Annual Water Main Replacement Project) None Colich & Sons, LP, Coretco Inc.GP, John Colich (President), Donilo Colich (CFO), Koji Kuwada (Secretary) , Paul Majich (VP of Operations) None Colich & Sons, LP, Coretco Inc.GP, Colich & Sons, LP, Coretco Inc.GP, John Colich Colich & So (President), 05/23/2022 3.B.b Packet Pg. 631 Attachment: Colich Oaks Initiative Disclosure Form [Revision 1] (5025 : Award Bid # 2640 FY2020/21 Annual Water Main Replacement Project)