HomeMy WebLinkAbout04.a. Review draft to authorize three professional engineering services agreements for collection system project inspections with ICM, Consolidated CM, JN Engineering Page 1 of 2
Item 4.a.
CENTRAL SAN BOARD OF DIRECTORS
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POSITION PAPER
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DRAFT
MEETING DATE: SEPTEMBER 14, 2022
SUBJECT: REVIEW DRAFT POSITION PAPER TO AUTHORIZE THE GENERAL
MANAGER TO EXECUTE THREE PROFESSIONAL ENGINEERING
SERVICES AGREEMENTS, EACH FORA THREE-YEAR TERM, FOR
COLLECTION SYSTEM PROJECTS CONSTRUCTION INSPECTION
UNDER THE CAPITAL IMPROVEMENT PROGRAM WITH THE
FOLLOWING FIRMS I N AMOUNTS NOT TO EXCEED:
• ICM GROUP, INC. FOR $1,000,000;
• CONSOLIDATED CM, INC., FOR $500,000; AND
• JN ENGINEERING FOR $500,000
SUBMITTED BY: INITIATING DEPARTMENT:
KEITH GELLERMAN, ASSOCIATE ENGINEER ENGINEERING AND TECHNICAL SERVICES-
CAPITAL PROJECTS
REVIEWED BY: SASHA MESTETSKY SENIOR ENGINEER
EDGAR J. LOPEZ, CAPITAL PROJECTS DIVISION MANAGER
ISSUE
The Board of Directors (Board) authorization is required for the General Manager to execute a
professional engineering services agreement in an amount greater than $200,000.
BACKGROUND
Several construction projects have been, or will be, presented to the Board for award in the Capital
I mprovement Budget (CI B) - Collection System Program for Fiscal Year(FY) 2022-23 and through FY
2025-26. Central San staff routinely provides construction management, administration, resident
engineering, and limited inspection duties for sewer renovation projects, and supplements with outside
inspectors as needed. An evaluation of the construction work projected indicates that hiring up to five
inspectors will be necessary during the peak construction months (May through November). I n addition, the
inspectors may be used to support similar construction activities for the Treatment Plant and other
Programs.
On June 22, 2022, a Request for Proposal was publicly advertised on Central San's website and
PlanetBids for as-needed construction inspection. Seven firms responded with qualified proposals for
construction inspectors. After evaluating the proposals based on qualifications, fees, references, and
proximity to Central San, staff selected the top three firms: I CM Group, I nc. (I CM), J N Engineering (J N),
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and Consolidated CM, Inc. (CCM). These firms were selected based on the proposed inspectors and
availability to perform the type of work needed for the projects included in the C I B.
ALTERNATIVES/CONSIDERATIONS
Central San Engineering staff could provide inspection services; however, this is not recommended since
these duties would take away from project duties such as design, resident engineering, and other
construction support engineering-related services. Collection system inspection is seasonal work and
using consultant inspectors to meet the seasonal demand has been cost effective compared to hiring
permanent inspectors. The Board may elect to limit the agreement cost ceiling or duration, but this is not
recommended since the proposed costs are competitive, and a multi-year agreement allows for less staff
time in soliciting and administrating yearly agreements.
FINANCIAL IMPACTS
The total cost for construction inspection is expected to reach $2,000,000 over the period of the
agreements. Staff determined that I CM had several well qualified inspectors for sewer renovation work
and it was decided that they could have multiple inspectors in use at a time, which is the reason the
agreement cost ceiling is $1,000,000 compared to $500,000 for J N and CCM. The hourly rate for the
proposed inspectors ranges from $105 to $165 per hour. Each agreement duration is expected to be
three years, however, project schedules and construction may change over time for several reasons.
Therefore, the duration of the agreements may be extended by staff to complete construction of a project
or if the agreement is not fully utilized, as long as the rates are still competitive.
The services provided under these agreements are funded by project budgets approved in the
annual CIB, and no additional funds are being requested.
COMMITTEE RECOMMENDATION
The Engineering and Operations Committee reviewed this subject on September 14, 2022 and
recommended
RECOMMENDED BOARD ACTION
Authorize the General Manager to execute three professional engineering services agreements, each for a
three-year term, for collection system projects construction inspection under the Capital I mprovement
Program with the following firms in amounts not to exceed:
• ICM Group, Inc. for$1,000,000;
• Consolidated CM, Inc., for$500,000; and
• JN Engineering for$500,000.
Strategic Plan Tie-In
GOAL TWO:Environmental Stewardship
Strategy 1 -Achieve compliance in all regulations, Strategy 4- Identify and advance sustainability initiatives, including
reducing energy usage and emissions
GOAL FOUR: Governance and Fiscal Responsibility
Strategy 3- Maintain financial stability and sustainability
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