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SR 02-27-2024 5B City Council Report City Council Meeting: February 27, 2024 Agenda Item: 5.B 1 of 4 To: Mayor and City Council From: Rick Valte, Public Works Director, Public Works, Public Landscape Subject: Award Bid 4473 to Ganahl Lumber for the Purchase and Delivery of Lumber for the Santa Monica Pier Recommended Action Staff recommends that the City Council: 1. Adopt a finding of categorical exemption pursuant to Section 15301 (Existing Facilities) and Section 15331 (Historical Resource Rehabilitation) of the California Environmental Quality Act (CEQA) Guidelines. 2. Award Bid #4473 to Ganahl Lumber for the purchase and delivery of treated lumber to the Santa Monica Pier for the Public Works Department. 3. Authorize the Procurement Manager to issue a purchase order with Ganahl Lumber for the purchase and delivery of treated lumber in the amount not to exceed $120,000 for one year, with four additional one-year renewal options to extend on the same terms and conditions for a total amount not to exceed $600,000 over a five-year period, with future year funding contingent on Council budget approval. Summary The Santa Monica Pier (Pier) is one of the premier tourist destinations in the region, attracting millions of visitors on an annual basis and often serving as focal point of the Santa Monica beach experience. To maintain the structural integrity and safety of the Pier’s historic wooden deck surfaces, the Public Works Department purchases lumber for the replacement of deck boards, stringers, pile caps, and other portions of the Pier structure for use by the Pier Maintenance Division. Staff recommends awarding Bid #4473 to Ganahl Lumber and authorizing a purchase order for the provision and delivery of treated lumber for the Pier in an amount not to exceed $120,000 for one year 5.B Packet Pg. 145 2 of 4 with four additional one-year renewal options to extend on the same terms and conditions for a total amount not to exceed $600,000 over a five-year period. Discussion Pressure-treated Douglas Fir lumber has the highest strength to weight ratio of any commonly produced wood species and is the industry standard for use on piers. Douglas Fir lumber is widely used for structural purposes due to its flexibility, ability to adapt to environmental stressors, compression ability, and capacity to maintain integrity while bending under heavy loads. In addition to its strength, Douglas Fir has a rich coloring from installation through the natural aging process and the continued use helps maintain the iconic look of the Pier. Pier Maintenance staff replaces approximately 100 boards monthly to mitigate damage caused by vehicles, exposure to the elements, and general usage. If the boards are not replaced regularly, the deterioration of the wood may lead to safety hazards, reduced load-bearing capacity, and more costly repairs to maintain the Pier’s functionality. In addition to deck board replacements by staff, the City of Santa Monica provides lumber to contractors performing Pier structural repairs to reduce contracted services costs. Ganahl Lumber would provide wood that has been certified by the Sustainable Forestry Initiative, a non-profit organization that works with a diverse network to help address local and global sustainability challenges faced by forestlands across the United States and Canada. Vendor Selection Best and Only Bidder Ganahl Lumber Submittals Received Selection Criteria Bidder $166,023 Municipal Code SMMC 2.24.180 Evaluation Criteria The quality of the material offered; the ability, capacity and skill of the bidder to perform or provide the materials or services; the character, integrity, reputation, judgment, training, experience and efficiency of the bidder; the ability of the bidder to provide such future maintenance or service as may be needed. 5.B Packet Pg. 146 3 of 4 Bid Data Date Posted Posted On Advertised In (City Charter & SMMC) Vendors Downloaded Date Publicly Opened 11/02/2023 City's Online Bidding Site Santa Monica Daily Press 12 11/30/2023 Additional Vendor Outreach & Justification to Award The bid was evaluated by a committee comprised of staff from the Public Landscape Division. Staff recommend Ganahl Lumber as the best bidder based on the criteria listed above. The City has had a positive working relationship with Ganahl Lumber for the last three years, and they provide lumber for the City of Los Angeles and the City of Long Beach. Procurement conducted additional outreach to vendors who downloaded the bid to see why they did not submit a bid and no responses were received. Unipak Corp submitted a no-bid response but did not respond to Procurement’s inquiry and did not provide details about why they did not submit a bid. Environmental Review The purchase of pressure-treated Douglas Fir lumber for use at the Santa Monica Pier is categorically exempt from CEQA pursuant to Section 15301 (Class 1 - Existing Facilities) and Section 15331 (Class 31 – Historical Resources) of the CEQA Guidelines. Section 15301 provides exemption for the operation, repair, maintenance, permitting, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination. The purchase order for lumber is for refurbishment of existing sections of the pier and would not expand or materially change existing facilities or operations. Therefore, the purchase order for lumber is categorically exempt pursuant to Section 15301 of the CEQA Guidelines. Section 15331 provides exemption for maintenance, repair, stabilization, rehabilitation, restoration, preservation, conservation or reconstruction of historical resources in a manner consistent with the Secretary of the Interior's Standards for the Treatment of Historic Properties with Guidelines for Preserving, Rehabilitating, 5.B Packet Pg. 147 4 of 4 Restoring, and Reconstructing Historic Buildings. The lumber would be used for in-kind replacement of existing deck boards on the historic Santa Monica Pier and meets the Secretary of Interior’s Standards for the Treatment of Historic Properties. Therefore, the purchase order is also exempt pursuant to Section 15331 of the CEQA Guidelines. Financial Impacts and Budget Actions Staff seeks authority to approve available funding from the Pier Fund to award a purchase order with Ganahl Lumber for the provision and delivery of treated lumber for use at the Santa Monica Pier. Future year funding is contingent upon Council budget approval. Purchase Order Request FY 2023-24 Budget Request Amount Future Years Amount Department Account # Total Contract Amount $120,000 $480,000 53500001.529140 $600,000 Prepared By: Peter Seller, Senior Administrative Analyst Approved Forwarded to Council Attachments: A. Oaks Initiative Form - Ganahl Lumber Company B. Levine Act Disclosure Form 5.B Packet Pg. 148 CITY OF SANTA MONICA OAKS INITIATIVE NOTICE NOTICE TO APPLICANTS, BIDDERS, PROPOSERS AND OTHERS SEEKING DISCRETIONARY PERMITS, CONTRACTS, OR OTHER BENEFITS FROM THE CITY OF SANTA MONICA Santa Monica’s voters adopted a City Charter amendment commonly known as the Oaks Initiative. The Oaks Initiative requires the City to provide this notice and information about the Initiative’s requirements. You may obtain a full copy of the Initiative’s text from the City Clerk. This information is required by City Charter Article XXII—Taxpayer Protection. It prohibits a public official from receiving, and a person or entity from conferring, specified personal benefits or campaign advantages from a person or entity after the official votes, or otherwise takes official action, to award a “public benefit” to that person or entity. The prohibition applies within and outside of the geographical boundaries of Santa Monica. All persons or entities applying or receiving public benefits from the City of Santa Monica shall provide the names of trustees, directors, partners, and officers, and names of persons with more than a 10% equity, participation or revenue interest. An exception exists for persons serving in those capacities as volunteers, without compensation, for organizations exempt from income taxes under Section 501(c)(3), (4), or (6), of the Internal Revenue Code. However, this exception does not apply if the organization is a political committee or controls political committees. Examples of a “public benefit” include public contracts to provide goods or services worth more than $25,000 or a land use approval worth more than $25,000 over a 12- month period. 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. Therefore, if you are seeking a “public benefit” covered by the Oaks Initiative, you must supply that information on the Oaks Initiative Disclosure Form. This information must be updated and supplied every 12 months. 5.B.a Packet Pg. 149 Attachment: Oaks Initiative Form - Ganahl Lumber Company (6202 : Award Bid 4473 to Ganahl Lumber for the Purchase and Delivery of 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 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: Permit # FOR CITY USE ONLY: Bid/PO/Contract # 5.B.a Packet Pg. 150 Attachment: Oaks Initiative Form - Ganahl Lumber Company (6202 : Award Bid 4473 to Ganahl Lumber for the Purchase and Delivery of City of Santa Monica Levine Act Disclosure Form CITY OF SANTA MONICA CALIFORNIA LEVINE ACT DISCLOSURE In 2022, California’s SB1439 extended requirements under Government Code Section 84308, also known as the "Levine Act", to prohibit City “Officers” from participating in any action related to a contract, license, permit, or entitlement if such Officer received campaign contributions totaling more than $250 within the previous twelve months, and for twelve months following the date of a final decision, from a party or participant to the proceeding, or their agent. Section 84308(a)(4) of the Levine Act defines an "Officer" as follows: “Officer” means any elected or appointed officer of an agency, any alternate to an elected or appointed officer of an agency, and any candidate for elective office in an agency. The term “Officer” is further defined 2 Cal. Code Regs. Section 18438.1, which states: An officer of an agency includes only those persons who make, participate in making, or in any way attempt to use their official position to influence a decision in the license, permit, or entitlement for use proceeding, or who exercise authority or budgetary control over the agency or officers who may do so, and: (1)Serve in an elected position, including an official appointed to an electedposition due to an interim vacancy or an election otherwise canceled because theofficial was the sole candidate for the position; (2)Serve as a member of a board or commission; (3)Serve as the chief executive of a state agency, or county, city or district of anykind; or (4)Have decision making authority with respect to the proceeding involving alicense, permit, or other entitlement for use and is also a candidate for elected office or has been a candidate for elective office in the 12 months prior to the proceeding. A list of Santa Monica Elected Officials and members of boards and commissions can be found at the following links. The party making this certification is responsible for determining whether a recipient of a political contribution is a City Officer prior to completing this form. https://www.smgov.net/departments/council/ https://www.santamonica.gov/departments/rent-control https://www.smgov.net/ /boards/. Have you, your company, or any agent on behalf of you or your company, made any political contributions of more than $250 to any City Officer in the twelve months preceding the date of the submission of your application or proposal? ____YES ____ NO Name of Councilmember or City Officer: _________________________________ 5.B.b Packet Pg. 151 Attachment: Levine Act Disclosure Form (6202 : Award Bid 4473 to Ganahl Lumber for the Purchase and Delivery of Lumber for the Santa City of Santa Monica Levine Act Disclosure Form Name of Contributor: _________________________________________________ Date(s) of Contribution(s): ____________________________________________ Amount(s) ________________________________________________________ Please specify below and/or add additional sheet(s) to identify additional Councilmembers or City Officers to whom you and/or your agents made campaign contributions. Answering YES does not preclude the City of Santa Monica from awarding a contract, license, permit, or entitlement or taking any subsequent action related to the item. It does, however, preclude the identified City Officer from participating in any actions related to such item. By signing below, you certify you also agree to disclose to the City any future contributions made to Councilmembers or other City Officers by you or your agent(s) after the date of signing this disclosure form, and within 12 months following the approval, renewal, or extension of the requested contract, license, permit, or entitlement. I HEREBY CERTIFY UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT. Signed: ____________________________ Date: ____________________ Print Name: _________________________ Title: _____________________ Company: __________________________ Additional Disclosures: Please note this form is a public record and subject to a California Public Records Act request. 5.B.b Packet Pg. 152 Attachment: Levine Act Disclosure Form (6202 : Award Bid 4473 to Ganahl Lumber for the Purchase and Delivery of Lumber for the Santa