HomeMy WebLinkAbout08. Award 3-year contract for District-wide sewer closed circuit television (CCTV) inspection project Page 1 of 4
Item 8.
CENTRAL SAN BOARD OF DIRECTORS
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POSITION PAPER
MEETING DATE: DECEMBER 5, 2019
SUBJECT: AWARD A THREE-YEAR CONTRACT I N THE AMOUNT OF $2,566,517.88 TO
HOFFMAN SOUTHWEST CORPORATION FOR THE DISTRICT-WIDE
SEWER CLOSED CIRCUIT TELEVISION (CCTV) INSPECTION PROJECT;
AND FIND THAT THE PROJECT IS EXEMPT FROM THE CALIFORNIA
ENVIRONMENTAL QUALITYACT (CEQA)
SUBMITTED BY: INITIATING DEPARTMENT:
JASON DEGROOT, SENIOR ENGINEER OPERATIONS-COLLECTION SYSTEM-FIELD
OPERATIONS
REVIEWED BY: PAUL SEITZ, COLLECTION SYSTEM OPERATIONS DIVISION MANAGER
ANN SASAKI, DEPUTY GENERAL MANAGER
Roger S. Bailey
General Manager
ISSUE
The Board of Directors (Board) must award the contract or reject bids within 50 days of the bid opening.
Board authorization is required for the General Manager to execute the Contract Documents subject to
submittal requirements.
BACKGROUND
Central San began the Sewer CCTV Inspection program in 2002. The program's goal is to assess the
condition of the collection system on a ten-year cycle using CCTV inspection. This goal is included in the
January 2014 California River Watch settlement agreement which expires on January 14, 2020.
Approximately 150 miles of pipe ranging from 4-inch to 102-inch are inspected each year. The video and
data that is collected is used by the Collection System Operations Division (CSOD)to identify pipes in
need of urgent repair or cleaning. I n addition, the Capital Projects Division uses the information for
prioritizing sewer line replacement.
The current three-year contract, which ends December 31, 2019, has completed 405 miles of CCTV
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inspection at a cost of $2,233,000. Central San staff prepared plans and specifications for the project.
The Engineer's estimate for the project was $3,000,000 with a three-year contract duration. This project
was advertised on October 14 and 21, 2019. Six sealed bids ranging from $2,566,517.88 to
$5,599,500 were received and publicly opened on November 6, 2019. CSOD conducted a technical and
commercial review of the bids and determined that Hoffman Southwest Corporation is the lowest
responsive and responsible bidder with a bid amount of$2,566,517.88. A summary of bids received is
shown in Attachment 1.
CEQA
Staff has concluded that this project is exempt from CEQA under Central San CEQA Guidelines Section
15262, since it will provide information for design of sewer improvements and will not have a legally
binding effect on later activities. Approval of this Project will establish the Board's independent finding that
this Project is exempt from CEQA.
ALTERNATIVES/CONSIDERATIONS
1. Reject all bids and complete the work using District staff— Under the contract, three two-person
crews are used to complete the required footage. CSOD staff evaluated the cost of hiring three
crews to complete the work in house versus contracting with an outside vendor. A crew consists of
one maintenance crew leader and one maintenance crew member. The estimated annual labor cost
is $305,075 per crew, for a total cost of $915,225 for three crews before adding the cost of the
CCTV truck. Based on this information, CSOD staff determined it would be more economical to
proceed with the proposed contract. CSOD staff will continue to monitor costs and re-evaluate
performing the work in-house in three years.
2. Reduce the number of miles of pipeline inspected —As stated above, since 2002 Central San has
had a goal to inspect all gravity sewer pipelines on a 10-year cycle and committed to this goal in the
River Watch settlement agreement. Also, the recently completed benchmarking study
demonstrated that Central San's goal of 10-percent system inspection was within the median of
California agencies surveyed. No change is recommended at this time. However, the proposed
contract is written such that, if Central San wanted to modify the quantities stated in the contract
during the three year duration, changes could be made within a certain range (50 percent to 150
percent)with no impact to the unit cost prices.
FINANCIAL IMPACTS
The total estimated Project cost is $2,566,517.88 for a three-year contract duration. A small portion of the
Project is budgeted for Capital Projects and the remainder is budgeted for CSOD. The annual
expenditure for this Project is estimated at$855,500 and will be included in the CSOD and Capital
Improvement Budgets.
COMMITTEE RECOMMENDATION
The Engineering and Operations Committee reviewed this item at the meeting on November 19, 2019,
and recommended Board approval.
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RECOMMENDED BOARD ACTION
Staff recommends the following:
1. Find that the Project is exempt from CEQA;
2. Award a contract in the amount of$2,566,517.88 to Hoffman Southwest Corporation, the lowest
responsive bidder, for the District-Wide Sewer CCTV Inspection Project; and
3. Authorize the General Manager to execute the Contract Documents subject to the submittal
requirements.
Strategic Plan Tie-In
GOAL TWO: Strive to Meet Regulatory Requirements
Strategy 2- Strive to minimize the number of sanitary sewer overflows
GOAL FIVE:Maintain a Reliable Infrastructure
Strategy 2- Facilitate long-term capital renewal and replacement
ATTACHMENTS:
1. Summary of Bids
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ATTACHMENT 1
DISTRICT-WIDE SEWER CCTV INSPECTION PROJECT
SUMMARY OF BIDS
NO. OF ADDENDA: 0 DATE/TIME: NOVEMBER 6, 2019/2:00 PM
PROJECT NAME: DISTRICT-WIDE SEWER CCTV INSPECTION PROJECT
PROJECT MANAGER: JASON DEGROOT
ENGINEER'S ESTIMATE: $3,000,000
NO. BIDDER BID PRICE
1 Hoffman Southwest Corp. $2,566,517.88
Mission Viejo, CA 92691
2 National Plant Services, Inc. $3,290,550.00
Long Beach, CA 90813
3 Lamassu Utility Services, Inc. $4,281,750.00
Benicia, CA 94510
4 Roto-Rooter Service Company $4,440,059.00
Concord, CA 94520
5 Pipe and Plant Solutions, Inc. $4,898,600.00
Oakland, CA 94607
6 Coastline Water Resources, Inc. $5,599,500.00
Rio Linda, CA 95673
BIDS OPENED BY: /s/ Katie Young DATE: November 6, 2019
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