Loading...
HomeMy WebLinkAbout04.b. Review draft Position Paper to award a construction contract in the amount of $5,349,080 with National Plant Services, Inc. for as-needed District-wide Sewer Closed Circuit Television (CCTV) Inspection; and find the contract is exempt from the CaliPage 1 of 4 Item 4.b. DCENTRALSAN MEETING DATE: NOVEMBER 2, 2022 BOARD OF DIRECTORS POSITION PAPER DRAFT SUBJECT: REVIEW DRAFT POSITION PAPER TO AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $5,349,080 WITH NATIONAL PLANT SERVICES, INC. FOR AS -NEEDED DISTRICT -WIDE SEWER CLOSED CIRCUIT TELEVISION (CCTV) INSPECTION; AND FIND THE CONTRACT IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITYACT SUBMITTED BY: INITIATING DEPARTMENT: JASON DEGROOT, SENIOR ENGINEER OPERATIONS -COLLECTION SYSTEM -FIELD OPERATIONS REVIEWED BY: PAUL SEITZ, COLLECTION SYSTEM OPERATIONS DIVISION MANAGER STEVE MCDONALD, DIRECTOR OF OPERATIONS ISSUE On October 13, 2022, three sealed bids were received and opened for the as -needed District -wide Sewer Closed Circuit Television (CCTV) Inspection contract. The Board of Directors (Board) must award the contract or reject the bids within 50 days of the bid opening. Authorization is also 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 goal is to assess the condition of the collection system on a ten-year cycle using CCTV inspection. Approximately 150 miles of pipe ranging from 4-inches to 102-inches 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 projects. Staff prepared the specifications and bid documents for the contract. The Engineer's estimate was $1,000,000 per year with an optional extension of four additional one-year periods totaling $5,000,000. The project was advertised on September 22 and 29, 2022. Three sealed bids ranging from $1,069,816 to $4,796,250 were received and publicly opened on October 13, 2022. Staff reviewed the bids and determined that National Plant Services Inc. was the lowest responsive and responsible bidder with a bid amount of $1,069,816. A summary of bids received is shown in Attachment 1. Central San will have the option to extend the contract for four additional one-year periods. November 2, 2022 EOPS Regular Committee Meeting Agenda Packet - Page 7 of 22 Page 2 of 4 California Environmental Quality Act (CEQA): Staff has concluded that this project is exempt from CEQA under Central San's 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 $340,000 per crew, or a total cost of $1,020,000 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 five 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 ten-year cycle, and committed to this goal in the River Watch Settlement Agreement. Also, the completed benchmarking study demonstrated that Central San's goal of ten -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 five-year duration, changes could be made within a certain range (50-percent reduction or to a 150-percent increase) with no impact to the unit cost prices. FINANCIAL IMPACTS Approximately $1,069,816 per year with the option to extend for four additional one-year periods, totaling $5,349,080 for five years. Funds are available in the CSOD budget. Currently, the fiscal year budget is $850,000 and will be increased to $1,100,000 next fiscal year. COMMITTEE RECOMMENDATION The Engineering and Operations Committee reviewed this subject at the meeting on November 2, 2022, and recommended RECOMMENDED BOARD ACTION Staff recommends the following Board actions: 1. Find that the contract is exempt from CEQA; 2. Award a contract in the amount of $1,069,816 for the District -wide Sewer CCTV Inspection to the lowest responsive and responsible bidder National Plant Services, Inc.; 3. Authorize the General Manager to execute the Contract Documents subject to submittal requirements; and 4. Authorize the General Manager to extend the contract up to a total of five years for a total amount of $5,349,080, and include up to a ten -percent contingency. November 2, 2022 EOPS Regular Committee Meeting Agenda Packet - Page 8 of 22 Page 3 of 4 Strategic Plan Tie -In GOAL TWO: Environmental Stewardship Strategy 1 - Achieve compliance in all regulations GOAL SIX. Infrastructure Reliability Strategy 1 - Manage assets optimally ATTACHMENTS: 1. Summary of Bids November 2, 2022 EOPS Regular Committee Meeting Agenda Packet - Page 9 of 22 Page 4 of 4 ATTACHMENT 1 DISTRICT -WIDE SEWER CCTV INSPECTION PROJECT SUMMARY OF BIDS PROJECT NO.: N/A NO. OF ADDENDA: 0 DATE/TIME: OCTOBER 13, 2022/1:00 PM PROJECT NAME: DISTRICT -WIDE SEWER CCTV INSPECTION PROJECT PROJECT MANAGER: JASON DEGROOT PROJECT LOCATION: 5019 IMHOFF PLACE. MARTINEZ. CALIFORNIA ENGINEER'S ESTIMATE: $1.000.000/YEAR NO. BIDDER BID PRICE National Plant Services, Inc. $1,069,816 Long Beach, CA 90813 2 Coastline Water Resources, Inc. $1,708,140 Roseville, CA 95678 3 RedZone Robotics, Inc. $4,796,250 Warrendale, PA 15086 BIDS OPENED BY /s/ Katie Young DATE: 10/13/2022 November 2, 2022 EOPS Regular Committee Meeting Agenda Packet - Page 10 of 22