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Home My WebLink About04.f. Award contract for M1 CIPP Rehabilitation Project, DP 8424Central Contra Costa Sanitary District BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: April 23, 2015 Subject. AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH SAK CONSTRUCTION, LLC FOR THE CONSTRUCTION OF THE M1 CIPP REHABILITATION PROJECT, DISTRICT PROJECT 8424 Submitted By. Initiating Dept. /Div.: Mark Wenslawski, Associate Engineer Engineering and Technical Services /Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: S. Mestetsky — Senior Engineer ••V �. E. Lopez — Provisional Capital Projects Division Manager Roger S. Bailey J -M Petit — Director of Engineering and Technical Services General Manage ISSUE: On March 18, 2015, two (2) sealed bids were received and opened for the construction of the M1 CIPP Rehabilitation Project, District Project 8424. The Board of Directors must award the contract or reject bids within 50 days of the bid opening. Authorize the General Manager to execute the contract documents subject to SUBMITTAL requirements. RECOMMENDATION: Find that the project is exempt from the California Environmental Quality Act (CEQA), award a construction contract, and authorize the General Manager to execute the Contract Documents subject to favorable review of insurance certificates, bond submittals, appropriate Contractor license, and any other required submittals (SUBMITTALS). FINANCIAL IMPACTS: Approximately $2,776,000, including design, bid price, contingency, and construction management. This project is included in the authorized fiscal year (FY) 2014 -15 Capital Improvement Budget (CIB) with a total estimated project cost of $3,800,000. ALTERNATIVES /CONSIDERATIONS: Reject all bids, which is not recommended. BACKGROUND: The M1 pipeline is the last gravity line in a series of gravity and force mains that transmits wastewater from the Martinez pumping stations to the treatment plant. The M1 is a 42 -inch reinforced concrete pipe approximately 3,100 lineal feet (LF) located within the treatment plant parcel. This pipeline also serves as the waste line for the filter plant and solids conditioning building processes, including odor control. In 2003, the District conducted the Large Diameter Reinforced Concrete Pipe Corrosion Evaluation, District Project 4988, which identified corrosion issues and recommended further investigation. The following year, the District hired Brown and Caldwell to perform the Martinez Transmission Line Corrosion Study, which included the M1 and C:\ Users \danderson\AppData \Local \Microsoft \Windows \Temporary Internet Files \Content.Outlook \DVCG8C5G \8424 PP Award - M1 CIPP Rehab Proj.docx Page 1 of 6 POSITION PAPER Board Meeting Date: April 23, 2015 Subject: AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH SAK CONSTRUCTION, LLC FOR THE CONSTRUCTION OF THE M1 CIPP REHABILITATION PROJECT, DISTRICT PROJECT 8424 provided a more accurate condition assessment of the pipeline. Both corrosion studies recommended near -term and future renovations based on its corrosion findings. In 2010, the District televised the M1 and recommended that the pipeline be renovated due to corrosion deficiencies, such as exposed rebar, corroded joints, and a general lack of interior coating protection. By June 2012, District staff prepared plans and specifications for the 2012 Cured -in -Place Pipe (CIPP) Sliplining Project for renovation work in Walnut Creek, Martinez, and the M1 line. One (1) sealed bid was received at the bid opening and, consequently, the Board rejected this bid at the July 5, 2012, Board meeting because it significantly exceeded the engineer's estimate and the bid was considered uncompetitive. District staff reevaluated the 2012 project, postponing portions of the scope and dividing the remaining high - priority lines into separate projects. The first phase was recently completed in early 2014 and included work in Walnut Creek and Martinez. The current project, M1 CIPP Rehabilitation Project, DP 8424, will renovate the M1 as located in Attachment 1. This project was advertised February 20 and March 2, 2015. The Engineer's estimate for construction of the M1 CIPP Rehabilitation Project is $2,000,000. Two (2) sealed bids ranging from $1,996,210 to $2,347,836 were received and publicly opened on March 18, 2015. The Engineering Department conducted a technical and commercial review of the accepted bids and determined that SAK Construction, LLC is the lowest responsive and responsible bidder with a bid amount of $1,996,210. A summary of bids received is shown in Attachment 2. The District will administer the construction contract and will provide contract administration, inspection, survey, office engineering, and submittal review. The funds required to complete this project, as shown in Attachment 3, are $2,526,000. The total cost of the M1 CIPP Rehabilitation Project is anticipated to be $2,776,000. This project is included in the FY 2014 -15 CIB on page CS -13. Staff has conducted a budget analysis of the FY 2014 -15 Collection System Program budget and concluded that adequate funds are available, as shown below: FY 2014 -15 Allocation Budget CS Program Authorized Estimated Allocations for Projects $ 18,139,000 Supplemental Board Authorizations $ 0 Allocations Returned from Closeouts $ 0 Total Board Authorized Allocations $ 18,139,000 FY 2014 -15 Allocations to Date $ 6,864,000 This Allocation for DP 8424 $ 2,526,000 C:\ Users \danderson\AppData \Local \Microsoft \Windows \Temporary Internet Files \Content.Outlook \DVCG8C5G \8424 PP Award - M1 CIPP Rehab Proj.docx Page 2 of 6 POSITION PAPER Board Meeting Date: April 23, 2015 Subject: AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH SAK CONSTRUCTION, LLC FOR THE CONSTRUCTION OF THE M1 CIPP REHABILITATION PROJECT, DISTRICT PROJECT 8424 Remaining Unallocated Budget 1 $ 8,749,000 Staff has concluded that this project is exempt from the California Environmental Quality Act (CEQA) under District CEQA Guidelines Section 15302, because it involves replacement of existing sewer facilities at substantially the same locations and with the same purpose and level of activity as the facilities being replaced. Any capacity increases are for non - growth inducing, wet weather purposes. This project also is exempt under District CEQA Guidelines Section 15061(b)(3), since it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. This certainty is based on the District's past experience with numerous sewer construction projects of this nature, the relatively short distances involved, and the District's mitigating construction specifications. These specifications are standardized general and special conditions that are made part of the project bid documents to address environmental considerations, such as protecting trees and riparian areas, as well as compliance with applicable federal, state, county, district, municipal and local laws, ordinances, orders, and regulations. Approval of this project will establish the Board of Directors' independent finding that this project is exempt from CEQA. COMMITTEE RECOMMENDATION: The Engineering & Operations Committee reviewed this subject at its meeting on April 8, 2015, and recommended Board approval. RECOMMENDED BOARD ACTION: Staff recommends the following: Find that the project is exempt from CEQA, 2. Award a construction contract in the amount of $1,996,210 for the construction of the M1 CIPP Rehabilitation Project, District Project 8424, to SAK Construction, LLC, the lowest responsive and responsible bidder, and 3. Authorize the General Manager to execute the Contract Documents subject to SUBMITTAL requirements. Attached Supportinq Documents: 1. Location Map 2. Summary of Bids 3. Post - Bid /Preconstruction Estimate C:\ Users \dandersonWppData \Local \Microsoft \Windows \Temporary Internet Files \Content.Outlook \DVCG8C5G \8424 PP Award - M1 CIPP Rehab Proj.docx Page 3 of 6 1 ATTACHMENT 1 M1 CIPP REHABILITATION PROJECT DISTRICT PROJECT 8424 LOCATION MAP Qoo 0 N G 7 m i o„ log C: \Users \danderson\AppData \Local \Microsoft \Windows \Temporary Internet Files \Content.Outlook \DVCG8C5G \8424 PP Award - M1 CIPP Rehab Proj.docx Page 4 of 6 PROJECT NO.: 8424 ATTACHMENT 2 M1 CIPP REHABILITATION PROJECT DISTRICT PROJECT 8424 SUMMARY OF BIDS DATE: MARCH 18, 2015 PROJECT NAME: M1 CIPP REHABILITATION PROJECT PROJECT LOCATION: 5019 IMHOFF PLACE, MARTINEZ, CA NO. OF ADDENDA: 1 ENGINEER'S ESTIMATE: $2,000,000 NO. BIDDER BID PRICE 1 SAK Construction, LLC $1,996,210 Rocklin, CA 95765 2 Michels Corporation $2,347,836 L- Salem, OR 97302 BIDS OPENED BY /s/ Elaine Boehme, CIVIC DATE: March 18, 2015 C:\ Users \danderson\AppData \Local \Microsoft \Windows \Temporary Internet Files \Content.Outlook \DVCG8C5G \8424 PP Award - M1 CIPP Rehab Proj.docx Page 5 of 6 ATTACHMENT 3 M1 CIPP REHABILITATION PROJECT DISTRICT PROJECT 8424 POST -BID / PRECONSTRUCTION ESTIMATE No. Item Description Amounts % Construction Cost 1. CONSTRUCTION a. Construction Contract $1,996,210 b. Contingency at 15% $299,790 SUBTOTAL - CONSTRUCTION COST $2,296,000 100% 2. CONSTRUCTION MANAGEMENT a. District Forces - CM and Engineering $95,000 - POD Coordination $55,000 - As- builts $15,000 b. Consultant, as needed - Hazmat specialist $30,000 - Corrosion specialist $35,000 - Inspection $90,000 SUBTOTAL - CONSTRUCTION MANAGEMENT $320,000 14.0% 3. PREBID EXPENDITURES a. Engineering 16$ 0,000 7.0% SUBTOTAL - PREBID ESTIMATE $160,000 4. TOTAL PROJECT COST $2,776,000 5. FUNDS AUTHORIZED TO DATE $250,000 6. ADDITIONAL ALLOCATION NEEDED TO COMPLETE PROJECT (Line 4 - Line 5) $2,526,00 0 C: \Users \danderson\AppData\Loca l\Microsoft \Windows \Temporary Internet Files \Content.Outlook \DVCG8C5G \8424 PP Award - M1 CIPP Rehab Proj.docx Page 6 of 6