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HomeMy WebLinkAbout04.e. Award construction contract to National High Voltage Services, Inc. for Substation 16 Switchgear Replacement, DP 7324; and authorize amendment to agreement with Brown and Caldwell Central Contra Costa Sanitary District ,.. 4. e. r BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: May 19, 2016 Subject: AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH NATIONAL HIGH VOLTAGE SERVICES, INC. FOR THE CONSTRUCTION OF THE SUBSTATION 16 SWITCHGEAR REPLACEMENT, DISTRICT PROJECT 7324; AND AUTHORIZE AN AGREEMENT AMENDMENT WITH BROWN AND CALDWELL Submitted By: Initiating DeptdDiv.: Brad Leidecker, Associate Engineer Engineering and Technical Services/Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: C. Mizutani—Senior Engineer E. Lopez—Capital Projects Division Manager J-M. Petit—Director of Engineering and'Technical K.Alm Roger l% Bailey g g Counsel for the District General Manager Services ISSUE: On May 6, 2016, four sealed bids were received and opened for the construction of the Substation (Sub) 16 Switchgear Replacement, District Project 7324. The Board of Directors must award the contract or reject bids within 50 days of the bid opening. Board of Directors' authorization is required for the General Manager to execute the Contract Documents subject to submittal requirements and professional services agreements in an amount greater than $100,000. BACKGROUND: The Capital Improvement Budget (CIB) Priority Ranking for this project is critical (the highest level of priority) and the work aligns with the District's Strategic Plan, specifically Goal No. 6, "Maintain a Reliable Wastewater Infrastructure." The existing Headworks Sub 16 Switchgear was installed in 1993 as part of the Headworks Facilities Improvement Project and supplies power to the Headworks and influent pumps. The existing electrical switchgear was manufactured by ABB and the model that was installed had a short production run. The switchgear is now obsolete and replacement parts are difficult to source. As authorized by the Board, staff issued a pre-purchase agreement in February 2016 to procure the replacement switchgear directly from Eaton. This allowed standardization of electrical equipment and the ability to install the switchgear in the 2016 dry weather season. The project was originally estimated to be awarded in Fiscal Year (FY) 2016-17, however, was prioritized to be completed earlier due to recent maintenance issues and findings as presented to the Engineering and Operations Committee on January 12, 2016. Equipment shop drawings have been approved and fabrication is underway for the new switchgear. The projected delivery date of the equipment is scheduled for July. Page 1 of 6 POSITION PAPER Board Meeting Date: May 19, 2016 Subject. AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH NATIONAL HIGH VOLTAGE SERVICES, INC. FOR THE CONSTRUCTION OF THE SUBSTATION 16 SWITCHGEAR REPLACEMENT, DISTRICT PROJECT 7324; AND AUTHORIZE AN AGREEMENT AMENDMENT WITH BROWN AND CALDWELL This project will replace the Sub 16 electrical switchgear, busway, and bus duct. Work includes removal of the existing switchgear, construction sequencing to maintain reliable influent pumping, and structural building modifications to allow installation of the new equipment, including the District-procured switchgear. The project work area is at the Sub 16 and Headworks buildings as shown in Attachment 1. Brown and Caldwell (B&C) is the design engineer and prepared the plans and specifications for the project. The Engineer's estimate for construction was $1,300,000. This project was advertised on April 11 and 18, 2016. Four sealed bids ranging from $563,500 to $1,189,000 were received and publicly opened on May 6, 2016. National High Voltage Service, Inc. (NHVS) was the apparent low bidder at the time of the bid opening and was significantly lower than the engineer's estimate with a bid of $563,500. After several discussions, reference checks, and meeting with NHVS, staff has concluded that the bid provided by NHVS is a reasonable cost considering NHVS specializes in switchgear replacement and is a smaller general contractor (A and C-10 License) with lower overhead. NHVS recently completed a 12-kV switchgear replacement valued at $1,000,000 at the Oakland Coliseum and Arena facility. In addition, the contractor's project manager/vice president and foreman have successfully completed a 69-kV substation for a California Department of Water Resources pumping station. The Engineering Department also conducted a technical and commercial review of all the bids and determined that NHVS is the lowest responsive bidder. A summary of bids received is shown in Attachment 2. District staff will administer the construction contract and provide construction management, oversee consultant services, and coordinate activities with Plant Operations. Staff also recommends retaining B&C to provide services during the construction phase, including reviewing shop drawings and submittals, responding to design questions, evaluating change order requests, performing site visits to verify compliance with the design, specialty inspection, and other related activities. An as-needed construction support services agreement amendment with a cost ceiling of $140,000 is being negotiated with B&C. On October 15, 2015, the Board authorized a professional consulting agreement for $850,000 with B&C to design the Headworks Screening Upgrade and Sub 16 Switchgear Replacement projects. The new cost ceiling for the B&C agreement, including the amendment, will be $990,000. CEQA: At its January 28, 2016 meeting, the Board of Directors independently found that this project is exempt from the California Environmental Quality Act (CEQA) under Page 2 of 6 POSITION PAPER Board Meeting Date: May 19, 2016 subject. AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH NATIONAL HIGH VOLTAGE SERVICES, INC. FOR THE CONSTRUCTION OF THE SUBSTATION 16 SWITCHGEAR REPLACEMENT, DISTRICT PROJECT 7324; AND AUTHORIZE AN AGREEMENT AMENDMENT WITH BROWN AND CALDWELL District CEQA Guidelines Section 15302, since the project involves replacement of existing public facilities at the same location and with the same purpose. ALTERNATIVES/CONSIDERATIONS: Reject all bids, which is not recommended. FINANCIAL IMPACTS: The total project cost of the Sub 16 Switchgear Replacement project is anticipated to be $2,644,000, which includes planning, design, bid price, switchgear pre-purchase, construction, contingency, and construction management. The total estimated project budget included in the FY 2015-16 CIB on page TP-20 was $2,100,000, which is $544,000 above the proposed project budget. Staff has conducted a budget analysis of the FY 2015-16 Treatment Plant Program budget and concluded that adequate funds are available for this project. The funding will be available due to a delay in the Pump and Blower Seismic Upgrade Project that was expected to allocate up to $5.0 million this fiscal year and the project spending being postponed by $600,000. COMMITTEE RECOMMENDATION: The Engineering and Operations Committee reviewed this subject at its meeting on May 10, 2016, and recommended approval to award the construction contract. RECOMMENDED BOARD ACTION: Staff recommends the following: 1. Award a construction contract in the amount of$563,500 for the construction of the Substation 16 Switchgear Replacement, District Project 7324, to National High Voltage Services, Inc., the lowest responsible and responsive bidder, 2. Authorize the General Manager to execute the Contract Documents subject to SUBMITTAL requirements, and 3. Authorize the General Manager to execute an agreement amendment with Brown and Caldwell to increase the cost ceiling from $850,000 to $990,000 to provide as-needed construction services for the Substation 16 Switchgear Replacement, District Project 7324. Attached Supporting Documents: 1. Project Location Map 2. Summary of Bids 3. Post-Bid/Preconstruction Estimate Page 3 of 6 ATTACHMENT 1 SUBSTATION 16 SWITCHGEAR REPLACEMENT DISTRICT PROJECT 7324 LOCATION MAP 0 100 200 \ SOLIDS ITIO I ' BUILDIN " HEADWORKS CONSTRUCTION STAGING AREA iElIf SUBSTATION 18`, ELECTRICAL BUIL©IA G sL,f I ,JVIE�@ I ' ( i1I 0 ) PROJECT AREA PRIMARY a I ENT I ` Ian PUIMP AND BLOWIER UIL SING FCD HC lkf�OFF PLACE Page 4 of 6 ATTACHMENT 2 SUBSTATION 16 SWITCHGEAR REPLACEMENT DISTRICT PROJECT 7324 SUMMARY OF BIDS PROJECT NO.: 7324 DATE: MAY 6, 2016/2 PM PROJECT NAME: SUBSTATION 16 SWITCHGEAR REPLACMENT PROJECT LOCATION: 5019 IMHOFF PLACE, MARTINEZ, CALIFORNIA NO. OF ADDENDA: 2 ENGINEER'S ESTIMATE: $1,300,000 NO. BIDDER BID PRICE 1 National High Voltage Services, Inc. $563,500 Antelope, CA 95843 2 Koch & Koch, Inc. $1,007,400 Penn Valley, CA 95946 3 Blocka Construction, Inc. $1,048,000 Fremont, CA 94538 4 Cal Electro, Inc. $1,189,000 Redding, CA 96002 BIDS OPENED BY Donna M. Anderson DATE May 6, 2016 Page 5 of 6 ATTACHMENT 3 SUBSTATION 16 SWITCHGEAR REPLACEMENT DISTRICT PROJECT 7324 POST-BID / PRECONSTRUCTION ESTIMATE No. Item Description Amounts % Construction Cost 1. CONSTRUCTION a. Construction Contract $ 563,500 b. Switchgear Pre-purchase $1,150,000 c. Contract Contingency at 25% 140,500 SUBTOTAL - CONSTRUCTION $1,854,000 100% 2. CONSTRUCTION MANAGEMENT a. District Forces -Construction Management $110,000 -Operations Support $ 90,000 b. Consultants - B&C Construction Services $140,000 -General Inspection $ 25,000 - Material Testing 25,000 SUBTOTAL -CONSTRUCTION $390,000 21.0% MANAGEMENT 3. PREBID EXPENDITURES a. Engineering and Operations Support (Planning, Design, Consultant fees) $400,000 SUBTOTAL - PREBID EXPENDITURES $400,000 21.6% 4. TOTAL ESTIMATED PROJECT COST $2,644,000 Page 6 of 6