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Home My WebLink About04.a. Construction Contract in the Amount Of $6,592,000 To C. Overaa & Co., the Lowest Responsive and Responsible Bidder, for the Pump Station Upgrades, Phase 2b, District Project 100042Page 1 of 7 Item 4.a. DCENTRALSAN MEETING DATE: FEBRUARY6, 2023 BOARD OF DIRECTORS POSITION PAPER DRAFT SUBJECT: REVIEW DRAFT POSITION PAPER TO AWARD A CONSTRUCTION CONTRACT I N THE AMOUNT OF $6,592,000 TO C. OVERAA & CO., THE LOWEST RESPONSIVE AND RESPONSIBLE BIDDER, FOR THE PUMP STATION UPGRADES, PHASE 2B, DISTRICT PROJECT 100042; FIND THE PROJECT IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL SUBMITTED BY: QUALITYACT; AND AUTHORIZE THE GENERAL MANAGER TO: 1. INCLUDE THREE ALTERNATIVE BID ITEMS TO THE CONTRACT AWARD I N A TOTAL AMOUNT NOT TO EXCEED $1.32 MI LLI ON; 2. TRANSFER $581,000 FROM THE CONTI NGENCYACCOUNT TO THE PROJECT; AND 3. AMEND THREE EXISTING AGREEMENTS WITH THE FOLLOWING CONSULTANTS IN AMOUNTS NOT TO EXCEED: $500,000 TO CAROLLO ENGINEERS, INC., INCREASING THE AGREEMENT TO $2.5 MILLION FOR CONSTRUCTION MANAGEMENT SERVICES; • $410,000 TO HDR ENGINEERING, INC., INCREASING THE AGREEMENT TO $1.2 MILLION FOR ENGINEERING SERVICES DURING CONSTRUCTION (ESDC);AND $350,000 TO ARCSI NE ENGINEERING, INCREASING THE AGREEMENT TO $1.0 MILLION FOR ESDC 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 DANEA GEMMELL, PROVISIONAL DIRECTOR OF ENGINEERING AND TECHNICAL SERVICES ISSUE On January 24, 2023, five (5) bids were received for the construction of the Pump Station Upgrades, Phase 2B, District Project 100042 (Project). The Board of Directors (Board) must consider award of a construction contract or reject bids within 50 days of the bid opening. Board authorization is also required for the General Manager to amend a professional engineering services agreement for the amounts requested under this Project. February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 4 of 37 Page 2 of 7 BACKGROUND The Martinez Pumping Station (Martinez PS) is located at 292 Embarcadero Street in the City of Martinez. The site is north of downtown Martinez, near the Regional Shoreline park, and about 700 feet from Suisun Bay. This pumping station is the first of three pumping stations in series that transport wastewater from the Martinez area to the treatment plant (plant). The other two pumping stations are Fairview and Maltby and are currently under construction with C. Overaa and Co. (Overaa). I n the 1960s, Martinez was served by three different wastewater service providers: the City of Martinez (City), Mountain View Sanitary District, and Central San. It was proposed that the sewers connected to the City plant be annexed by Central San rather than upgrade the City plant. The annexation required that the City plant be converted into a pumping station, two additional pumping stations be constructed, and the necessary gravity sewers and forcemains to convey the wastewater to Central San's plant. The joint project was funded by a Housing and Urban Development Grant, City, and Central San. The Martinez PS site was originally used as a primary treatment facility that discharged to Suisun Bay. The City plant was built in the late 1940's and early 1950's and converted into the Martinez PS in the late 1960s. Some of the original treatment facilities and subsequent pumping station structures remain and are used as office space (plant building), emergency wastewater storage (primary clarifier), and other structures such as decommissioned digesters still exist on the site. In 1996, the pumping station was completely upgrade and replaced. I n 2018, staff completed a preliminary design report that evaluated hydraulic capacity, corrosion, flooding risk, and electrical, instrumentation, and controls (EI&C) at several pumping stations, including Martinez. The findings from the report recommended replacing/upsizing the wet weather pumps with larger dry -pit submersible pumps, painting/coating of all buildings and mechanical equipment, replacing utility water piping, and replacing major electrical equipment. Due to the high arcflash rating of the PG&E service entrance, it was determined that it was safer to install the new PG&E service outside of the pumping station building in a separate facility. This improvement was also necessary to increase the serviceability of the new electrical systems. The Pump Station Upgrades, Phase 2B is a subset of the Pump Station Upgrades, Phase 2, District Project 8457. A Phase 2A was previously bid and awarded by the Board. The scope of work for Phase 2B mainly consists of renovation work and includes, but not limited to, replacing the wet weather pumps, replacing major EI&C equipment, and installation of a new PG&E service entrance. A project location map is shown in Attachment 1. Staff, HDR Engineering, Inc. (HDR), and ArcSine Engineering (ArcSine) prepared the Phase 2B project documents. This Project was advertised on November 28 and December 5, 2022. Five (5) sealed bids ranging from $6,592,000 to $9,492,734 were received and publicly opened on January 24, 2023. The Engineer's estimate for the construction of the Project is $10,000,000, including bid alternates. Capital Projects conducted a technical and commercial review of the bids and determined that Overaa is the lowest responsive and responsible bidder. A summary of bids received is shown in Attachment 2. Bidders were very competitive for the Project as the proposed work is well sequenced considering the current bidding environment and availability of major equipment. Staff and the consultants spent significant effort on the project constructability and advertising the electrical work to help drive good results, as evident with a majority of bidders providing competitive pricing. As part of the bid, three bid alternates were included and consisted of additional site paving, painting or coatings, and demolition of the decommissioned digesters. Overaa provided a total bid alternate price of February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 5 of 37 Page 3 of 7 $1,320,000 for all the work. The engineer's estimate is $1,100,000 and the average price from the bidders were roughly$1,130,000. Capital Projects staff will provide oversight of the construction management (CM) which includes the CM team (Carollo) and design engineers (HDR and ArcSine). Operations staff will support the Project as required to coordinate shutdowns and provide any other support needed to operate the stations. Carollo, HD and ArcSine are the same team supporting the Phase 2A with Overaa. Therefore, agreements are already in place and contain the scope needed to complete the projects. Staff negotiated the additional funds to include the construction of the proposed Phase 2B construction contract. Each consultant was hired under a formal competitive selection process that is compliant with the District's policies and procedures for professional engineering services. The agreement ceiling to date and proposed amendments are in line with the expected fees at the time the services were publicly solicited. California Environmental Quality Act (CEQA) Staff has concluded that this project is exempt from CEQA under Central San's CEQA Guidelines Section 15301, since it involves minor alterations to existing public facilities involving no expansion of use, and CEQA Guidelines Section 15302, since it involves replacement of existing public facilities at the same location and with the same purpose. Any capacity increases are for non -growth inducing, wet weather purposes. Approval of this project will establish the Board's independent finding that this project is exempt from CEQA. ALTERNATIVES/CONSIDERATIONS The Board could consider the following alternatives or provide other directions: Reject any or all of the bid alternates. The overall pricing is very competitive and the bid alternate work is needed at some time during or immediately after the Phase 2B project. Staff decided to add these alternates due to concerns that construction costs were increasing in the San Francisco Bay Area. Although the bid alternate prices are over the engineers estimate, staff does not recommend this alternative since bidding this work separately under another project will very likely yield a higher overall costs. 2. Staff's approach of supplementing CM services on this project, such as the proposed Carollo work, could be rejected by the Board. The Capital Projects division is not currently staffed at a level to support this construction project. I n addition, specialty inspection would need to be outsourced since staff does not have the qualifications to perform specialty -type work. 3. Reject all bids, which is not recommended. This Project will address the deficient electrical infrastructure at the pumping station and provide long-term reliability and operational performance of the Martinez PS. FINANCIAL IMPACTS The total estimated project cost for Phase 2B is $10,531,000, which includes staff time, consultant costs, construction contract, contingency, construction management, and other costs detailed in Attachment 3. Phase 2 was included in the Fiscal Year 2022-23 Budget on page 212 with an estimated budget of $47,950,000, of which $38,000,000 has been allocated for Phase 2A. The remaining funds available is $9,950,000. A total of $581,000 is needed to fund Phase 2B. Staff is recommending to transfer the needed amount from the Capital Improvements contingency account which has adequate funds available. February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 6 of 37 Page 4 of 7 COMMUNITY OUTREACH Central San will provide outreach to the neighboring properties before the Contractor mobilizes. Since the project is completely on Central San's property, staff anticipates little to no impact to the surrounding community. COMMITTEE RECOMMENDATION The Engineering and Operations Committee reviewed this project at its meeting on February 6, 2023, and recommended RECOMMENDED BOARD ACTION Staff recommends the following Board actions: 1. Find that the Project is exempt from CEQA; 2. Award a construction contract in the amount of $6,592,000 to C. Overaa & Co., the lowest responsive and responsible bidder, for the Pump Station Upgrades, Phase 2B, District Project 100042; 3. Authorize the General Manager to execute the Contract Documents subject to submittal requirements and transfer $581,000 from the contingency account to the Project; 4. 1 nclude three bid alternative bid items, which will replace site pavement, demolish the decommissioned digestors, and paint exterior structures in a total amount not to exceed $1,320,000; and 5. Authorize the General Manager to amend three existing professional engineering services agreements with the following consultants in amounts not to exceed: • Carollo Engineers, Inc. for $500,000, increasing the agreement to $2.5 million for construction management services; • HDR Engineering, Inc. for $410,000, increasing the agreement to $1.2 million for engineering services during construction (ESDC); and • ArcSine Engineering for $350,000, increasing the agreement to $1.0 million for ESDC. Strategic Plan re -In GOAL ONE: Customer and Community Strategy 1— Deliver high -quality customer service GOAL TWO: Environmental Stewardship Strategy 1 - Achieve compliance in all regulations GOAL FIVE: Safety and Security Strategy 2 - Protect Personnel and assets from threats and emergencies GOAL SIX: Infrastructure Reliability Strategy 1 - Manage assets optimally, Strategy 2 - Execute long-term capital renewal and replacement program ATTACHMENTS: 1. Project Location Map 2. Summary of Bids 3. Post B id/P reconstruction Estimate February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 7 of 37 Page 5 of 7 Pump Station Upgrades, Phase 2B .. District Project 100042 Map Date:1/10/2023 or Carquinez Strait � � Detail 2 Area Iti Jez Concord 051 Pleasant Hill N Martinez Walnut Creek 100042 Pump Station Lafayette 03 Embarcadero St Moraga Danville I N San Ramon �PFoster -St ,. Pie cP a Pine. 0 p h� Martinez ache 'yi6� g�pa eo d9 e� e r 0� E Q Project Are:] U Note: IT 0 800 Map Displayed in North American Datum of 1983 Attachment Central San data as of January, 2023. Feet California State Plane, Zone III FIPS O403, US Feet February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 8 of 37 Page 6 of 7 ATTACHMENT 2 PUMP STATION UPGRADES, PHASE 2113 DISTRICT PROJECT 100042 SUMMARY OF BIDS PROJECT NO.: 100042 NO. OF ADDENDA: 2 DATE/TIME: JANUARY 24, 2023/2:00 PM PROJECT NAME: PUMP STATION UPGRADES. PHASE 2B PROJECT MANAGER: KEITH GELLERMAN PROJECT LOCATION: 5019 IMHOFF PLACE, MARTINEZ, CA ENGINEER'S ESTIMATE: $10,000,000 NO. BIDDER BID PRICE 1 C. Overaa & Co. $6,592,000 2 W. M. Lyles Co. $7,423,000 3 Mountain Cascade, Inc. $7,917,896 4 GSE Construction Company Inc. $8,193,400 5 Valentine Corporation $9,492,734 BIDS OPENED BY: /s/Katie Young DATE: January 24, 2023 at 2:00 PM February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 9 of 37 Page 7 of 7 ATTACHMENT 3 PUMP STATION RENOVATIONS, PHASE 2B DISTRICT PROJECT 100042 POST-BID/PRECONSTRUCTION ESTIMATE No. Item Description Amounts % of Construction Cost 1. CONSTRUCTION a. Construction Contract $6,592,000 b. 10% Contingency $659,000 c. Additive bid items $1,320,000 c. Permits( PG&E) $15,000 SUBTOTAL - CONSTRUCTION COST $8,586,000 100% 2. CONSTRUCTION MANAGEMENT a. District Forces - Project Management (Capital Project Staff) $500,000 - Public Relations/Right-of-Way $10,000 - Operations $100,000 b. Consultants - Construction Management/Inspection $500,000 - ESDC (HDR and ArcSine) $670,000 - Material Testing/Specialty Inspection $100,000 SUBTOTAL - CONSTRUCTION MANAGEMENT $1,880,000 21.9% 3. PREBID EXPENDITURES a. Bid phase support* $65,000 SUBTOTAL - PREBID EXPENDITURES $65,000 0.8% 4. TOTAL ESTIMATED PROJECT COST $10,531,000 'The design of this project is included in Pump Station Upgrades, Phase 2A (DP 8457) February 6, 2023 EOPS Regular Committee Meeting Agenda Packet - Page 10 of 37