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HomeMy WebLinkAbout12.a. PowerPoint Presentation ATTACHMENT 2 AW ONSTRUCTION CONTRACT RETENTION AMOUNT FOR HEADWORKS SCREENING UPGRADE DISTRICT PROJECT 7327 Octo'Nnv 69 2016 + Board Meeting Craig Mizutani, Senior Engineer PUBLIC CONTRACT CODE AMENDMENT • In 2011, the Governor signed SB 293 modifying Public Contract Code Section 7201 to set the maximum retention on a construction contract at 5%. • This requirement began January 1, 2012, and sunsets January 1, 2018. • The intent of the bill is to provide some financial relief to contractors and subcontractors during these challenging economic times by reducing retention from 10%to 5%. • The retention amount may be increased for a specific project with a finding by the elected Board of Directors that the project is substantially complex to justify the increased retention. • The finding must be made at a properly noticed and scheduled public hearing. The finding must be explained in the bid documents. 1 o9/z3/16 BACKGROUND • On September 15, 2016, the Board established October 6, 2016, as the date for a Public Hearing to receive comments on increasing the construction contract retention amount to 10% for the Headworks Screening Upgrades, DP 7327. • Notice of the Hearing was advertised in the East Bay Times on September 26, 2016 'A t PROJECT OVERVIEW • The Headworks Screening Upgrades is a substantially complex project with important operational constraints. • Summary of proposed renovations: • Replace mechanically cleaned bar screens in channels 1 through 4 • Refurbish existing bar screens and install in wet weather channels • Install screenings sluiceway for screenings conveyance • Install screenings washer/compactors Install screenings tipping troughs Construct screenings handling facility • Construct access platforms,stairways,and guardrail • Replace and install new process piping • improve ventilation and odor control capture Complex construction sequencing due to continuous operation of online critical facility and wet weather constraints 40 2 s. -mom: w quo . _-._- t i b t�Al h 1 � J 09/23/16 3D MODEL: TiPPING _ a e CONSTRUCTION SAND CONSTRAINTS • The existing Headworks facility will operate continuously during the project with the majority of construction activities limited to the dry weather season • Construction in the Headworks is of retrofit type with critical and complex elements, including: Nearer equipment technology-tipping troughs New process equipment and refurbishment of existing equipment Multiple pieces of process equipment with central control and integration Isolation and bulk heading of raw sewage flow p Confined space entries Class I Division 1 hazardous areas per NFPA 820 • To be successful,the contractor will be required to: Understand the project complexities,sequence,and operationai constraints Produce an accurate and realistic construction schedule using the critical path method Execute the schedule and coordinate construction activities as conditions change Coordinate with equipment manufacturer during submittals,procurement,and startup Actively lead the process startup and responsively troubleshoot system 5 09/23/16 STAFF RECOMMENDATION • Find that, in accordance with Public Contract Code Section 7201 , the Headworks Screening Upgrades, District Project 7327, is substantially complex to justify increasing retention and adopt a resolution increasing the construction contract retention amount from 5% to 10%. QUESTIONS 6