HomeMy WebLinkAbout2025-01-14; City Council; 06; Revised plans, specifications and contract documents, acceptance of bids, relief of a bid, award of contract to Filanc and transferring funds for construction of the CannCA Review GH
Meeting Date: Jan. 14, 2025
To: Mayor and City Council
From: Geoff Patnoe, City Manager
Staff Contacts: Dave Padilla, Utilities Assistant Director
dave.padilla@carlsbadca.gov, 442-339-2356
Daniel Zimny, Utilities Senior Engineer
daniel.zimny@carlsbadca.gov, 442-339-2551
Subject: Revised plans, specifications and contract documents, acceptance of
bids, relief of a bid, award of contract to Filanc and transferring funds for
construction of the Cannon Lift Station Improvements Project
District: 2
Recommended Action
Adopt a resolution approving the revised plans, specifications and contract documents,
accepting bids, authorizing relief of the apparent low bid, awarding a construction contract
to Filanc, and transferring funds within the sewer replacement fund for construction of the
Cannon Lift Station Improvements Project, Capital Improvement Program Project
No. 5552.
Executive Summary
The city operates 11 sewer lift stations that pump sewage uphill to higher elevations in the
sewer collection system. These stations use meters to measure the sewage flow and to monitor
lift station operations. The flow meter at the Cannon Lift Station, at 2197 Cannon Road as
shown in Exhibit 3, is at the end of its service life and requires replacement. The project will
replace the flow meter, the vault that houses it and check valves, and install new power and
signal cabling. This work will improve the lift station’s operation and reliability.
The low bidder on the project, HPS Mechanical, Inc. has withdrawn its bid. Staff recommend
that the City Council accept HPS Mechanical Inc.’s request to withdraw its bid and instead
award a contract to the second lowest bidder, Filanc, in an amount not to exceed $960,182.00.
The Carlsbad Municipal Code Sections 3.28.080(C), 3.28.080(E) and 3.28.080(I)(6) require the
City Council to adopt the plans, specifications and contract documents and approve all formally
bid contracts when the value exceeds $200,000. The City Council previously approved plans,
specifications and contract documents for the project, Capital Improvement Program, or CIP,
Project No. 5552, Cannon Lift Station Improvements Project, but design changes made during
Jan. 14, 2025 Item #6 Page 1 of 8
the bidding phase resulted in revised plans, specifications and contract documents that need to
be approved by the City Council.
Staff are also requesting a transfer of $350,000.00 from CIP Project No. 5503, Sewer Line
Rehabilitation and Replacement Program to CIP Project No. 5552, Cannon Lift Station
Improvements Project, to award the construction contract and complete the project.
Explanation & Analysis
The City Council approved the project’s plans, specifications and contract documents on Sept.
10, 2024, authorizing the City Clerk to advertise for bids, Resolution No. 2024-210. The project
is estimated to cost $690,000.00.1
Since the City Council approved the contract documents on Sept. 10, 2024, two design addenda
were made during the bidding phase to incorporate changes to pavement restoration and the
access hatch product specified for the proposed meter vault. The changes are reflected in the
revised set of contract documents in Exhibit 2.
Five bids were received on Nov. 5, 2024. The apparent low bidder, HPS Mechanical, Inc.,
submitted a bid in the amount of $795,683.00 but requested withdrawal of its bid due to a
clerical error in the bid amount.
HPS Mechanical obtained what is known as a bid bond to provide the city with assurance that if
accepted, the contractor will honor its bid. The City Council is being asked to relieve HPS
Mechanical of its low bid due to a clerical error, which releases the contractor from its bid
bond, and instead award the construction contract to the next lowest responsive and
responsible bidder, Filanc, in an amount not to exceed $960,182.00. Staff have determined that
Filanc’s bid was responsive to the city’s bid request and that Filanc is a responsible bidder
because it has completed similar projects.
Staff recommend that the City Council approve the revised plans, specifications and contract
documents for the project in Exhibit 2 and award the construction contract to Filanc.
Fiscal Analysis
The total construction cost for the project is estimated to be $1,402,182.00. This project is
funded by the sewer replacement fund and currently has $1,057,154.00 in available project
funds. An additional $350,000.00 is needed to award the contract and complete the project.
Capital Improvement Program Project No. 5503, Sewer Line Rehabilitation and Replacement
Program, is also funded by the sewer replacement fund and has sufficient funds to provide
additional budget for Project No. 5552.
1 This cost is based on an engineer’s estimate, an opinion of a project’s probable construction cost given by an
experienced and qualified professional engineer generally familiar with the construction industry. Staff use them
to obtain an estimate that will be as close to the actual costs as possible
Jan. 14, 2025 Item #6 Page 2 of 8
A summary of the estimated costs, available funds and additional appropriation needed are
shown in the table below:
Cannon Lift Station Improvements Project
Capital Improvement Program Project No. 5552
Total appropriation to date $1,107,253.00
Total expenditures and encumbrances to date -$50,099.00
Total available funding $1,057,154.00
Construction contract – Filanc -$960,182.00
Construction contingency (20%) -$192,000.00
Construction management, inspection and testing, public outreach,
engineering and administration (estimated) -$250,000.00
Total estimated construction costs -$1,402,182.00
Remaining balance -$345,028.00
Additional appropriation needed (rounded) $350,000.00
Carlsbad Municipal Code Sections 3.28.040(C)(5) and 3.28.090(B) authorize the City Manager or
designee to approve change orders in an amount equal to the contingency set at the time of
contract award, which for this project is $192,000.00.
Next Steps
Once the City Council accepts the bids and awards the construction contract to Filanc, staff will
issue a purchase order, schedule a pre-construction meeting with the contractor and issue a
notice to proceed to construct the project.
The duration of the construction contract is nine months, not including rain days and delays
from change orders that may extend the contract duration. The project is expected to be
completed by late 2025 or early 2026, and a notice of completion to release bonds issued for
the project will be recorded at that time.
Environmental Evaluation
The City Planner, through the process outlined in Carlsbad Municipal Code Section 19.04.060,
has determined that this project is exempt pursuant to California Code of Regulations Section
15302(c), Replacement or Reconstruction, which applies to the replacement or reconstruction
of existing utility systems and/or facilities involving negligible or no expansion of capacity. No
exceptions to the exemption as set forth in CEQA Guidelines Section 15300.2 or Carlsbad
Municipal Code Section 19.04.070(B) apply.
Exhibits
1. City Council resolution
2. Revised plans, specifications and contract documents (on file in the Office of the City Clerk)
3. Location map
Jan. 14, 2025 Item #6 Page 3 of 8
RESOLUTION NO. 2025-005
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, APPROVING THE REVISED PLANS, SPECIFICATIONS, AND
CONTRACT DOCUMENTS, ACCEPTING BIDS, AUTHORIZING RELIEF OF THE
APPARENT LOW BID, AWARDING A CONSTRUCTION CONTRACT TO FILANC,
AND TRANSFERRING FUNDS WITHIN THE SEWER REPLACEMENT FUND FOR
CONSTRUCTION OF THE CANNON LIFT STATION IMPROVEMENTS PROJECT,
CAPITAL IMPROVEMENT PROGRAM PROJECT NO. 5552
WHEREAS, the City Council of the City of Carlsbad, California has determined it necessary,
desirable and in the public interest to complete the Cannon Lift Station Improvements Project, Capital
Improvement Program, or CIP, Project No. 5552, or Project; and
WHEREAS, on Sept. 10, 2024, the City Council adopted Resolution No . 2024-210, approving
plans, specifications, and contract documents and authorizing the City Clerk to advertise for bids to
construct the Project; and
WHEREAS, two addenda to the contract documents were released during the bidding phase to
reflect changes in the plans and specifications; and
WHEREAS, on Nov. 5, 2024, staff received five bids in response to the bid advertisement; and
WHEREAS, HPS Mechanical, Inc. submitted the lowest bid but later requested to withdraw its
bid due to a clerical error in its bid; and
WHEREAS, Filanc submitted the second lowest bid in an amount not to exceed $960,182.00,
and staff determined Filanc to be a responsible bidder and its bid to be responsive; and
WHEREAS, Carlsbad Municipal Code, or CMC, Section 3.28.080(E) requires the City Council to
approve plans and specifications for all construction projects that are to be formally bid upon when the
value exceeds $200,000 and such plans, specifications and contract documents are on file at the City
Clerk's office and are incorporated herein by reference; and
WHEREAS, CMC Sections 3.28.040(C)(5) and 3.28.090(B) authorize the City Manager or
designee to approve change orders in an amount equal to the contingency set at the time of contract
award, which is $192,000.00; and
WHEREAS, staff request a budget transfer in the amount of $350,000.00 from CIP Project No.
5503 Sewer Line Rehabilitation and Replacement Program to CIP Project No. 5552, Cannon Lift Station
Improvements Project, to complete the Project; and
WHEREAS, the City Planner has determined that the Project is exempt from the California
Environmental Quality Act, or CEQA, per CEQA Guidelines Section 15302(c) -replacement or
reconstruction of existing structures and/or facilities involving negligible or no expansion of capacity•
No exceptions to the exemption as set forth in CEQA Guidelines section 15300.2 or the CMC Section
19.04.070 (B) apply.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as
follows:
1.
2.
3.
That the above recitations are true and correct.
That the City Council approves the revised plans, specifications and contract documents
for the Cannon Lift Station Improvements Project, CIP Project No. 5552.
That the City Council authorizes relief of the bid submitted by HPS Mechanical, Inc., and
the City Clerk is directed to release the accompanying bid bond submitted as part of its
bid.
4. That the second lowest bid submitted by Filanc in an amount of $960,182.00 for
construction of the Cannon Lift Station Improvements Project, CIP Project No. 5552, is
accepted, and the Mayor is hereby authorized to execute a contract with Filanc.
5. That the City Manager or designee is hereby authorized to approve construction change
orders up to $192,000.00.
6. That the City Manager or designee is authorized to transfer $350,000.00 from the CIP
Project No. 5503 Sewer Line Rehabilitation and Replacement Program to CIP Project No.
5552, Cannon Lift Station Improvements Project, within the sewer replacement fund.
7. That the City Manager or designee is authorized to sign all other documents necessary
for regulatory compliance, to extend funding opportunities, or to otherwise implement
and finalize the project, all of which are subject to review and approval as to form by
the City Attorney's office.
8. That the award of this contract is contingent upon Filanc executing the required contract
and submitting the required bonds and insurance policies, as described in the contract,
within 20 calendar days after adoption of this Resolution. The City Manager may grant
reasonable extensions of time to execute the contract and assemble the required bonds
and insurance policies.
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of
Carlsbad on the 14th day of January 2025, by the following vote, to wit:
AYES:
NAYS:
ABSTAIN:
ABSENT:
BLACKBURN, BHAT-PATEL, ACOSTA, BURKHOLDER, SHIN.
NONE.
NONE.
NONE.
KEITH BLACKBURN, Mayor
Exhibit 2
Plans, specifications and contract documents
(on file in the Office of the City Clerk)
Jan. 14, 2025 Item #6 Page 7 of 8
LOCATION MAP
PROJECT NAME
CANNON LIFT STATION
PROJECT
CIP PROJECT NO. 5552
EXHIBIT
3NUMBER
PROJECT
SITE
IMPROVEMENTS PROJECT
Exhibit 3
Jan. 14, 2025 Item #6 Page 8 of 8