HomeMy WebLinkAbout2018-05-22; City Council; ; Appropriation of additional funds in the amount of $567,000 for the Foxes Landing Lift Station Replacement and increasing the construction contingency for the project byCA Review ---
(i S~~ffR~port
Meeting Date:
To:
From:
Staff Contact:
Subject:
May 22, 2018
Mayor and City Council
Kevin Crawford, City Manager
Scott Fisher, Municipal Projects Manager
Scott.fisher@carlsbadca.gov or 760-602-4763
Appropriation of additional funds in the amount of $567,000 for the Foxes
Landing Lift Station Replacement and increasing the construction
contingency for the project by $526,000.
Recommended Action
Adopt a Resolution authorizing the appropriation of additional funds in the amount of $567,000
for the Foxes Landing Lift Station Replacement, Project No. 5526 (Project) and increasing the
construction contingency for the Project by $526,000.
Executive Summary
This action authorizes additional funding to be appropriated to the Project construction budget
for the accumulation of expected actual costs for groundwater mitigation required for
installation of the new facility. City Council authorization is required to appropriate additional
funds to a Capital Improvement Program project budget and to increase the construction
contingency which includes authorizing the city manager or designee to approve construction
change orders up to the designated construction contingency.
Discussion
On Aug. 23, 2016, City Council adopted Resolution No. 2016-173 and awarded a contract to
NEWEST Construction Co., Inc. for the construction of the Project located on the north shore of
Agua Hedonia Lagoon. Construction of the upgraded facility includes the installation of
subsurface concrete structures, pipelines and wastewater conveyance appurtenances.
Construction of the Project requires the installation of a temporary groundwater dewatering
system and a groundwater discharge permit to facilitate the construction of the subsurface
structures.
Measurement and payment for the dewatering effort described in the contract documents
includes: performance of subsurface investigations, exploratory borings, laboratory testing,
installation of piezometers, groundwater volume and flow rate analysis and water quality
testing required to develop a dewatering plan, mobilization/demobilization, well installation,
and development, settlement analysis, monthly operational costs and water quality sampling to
comply with Encinas Wastewater Authority groundwater discharge permit requirements.
The construction contract for the Project included a stipulated allowance bid item in the
amount of $100,000 dollars to perform all work associated with the design, installation and
May 22, 2018 Item #6 Page 1 of 6
operation of the dewatering system. This stipulated amount is insufficient to cover the full
scope of work required.
Construction of this Project commenced on Dec. 5, 2016 with an original completion date of
Nov. 18, 2017. During the acquisition of the discharge permit, groundwater sampling identified
unacceptable high levels of total dissolved solids (TDS). The high levels of TDS caused a delay in
the procurement of the permit which resulted in Project delays and additional consultant and
staff time. On Nov. 9, 2017, a Council Memorandum was distributed explaining the anticipated
impact to the schedule.
Fiscal Analysis
The estimated additional amount of $526,000 is required to increase the construction contract
contingency amount, and $85,000 is the estimated amount required for additional construction
management and inspection. Adding these additional amounts to the Project budget brings the
total estimated Project costs to $4,907,000. To date $4,340,000 has been previously
appropriated to the Project budget, therefore, an additional appropriation of $567,000 is being
requested from the Sewer Replacement Fund to complete the construction phase of the
Project.
FOXES LANDING LIFT STATION REPLACEMENT, CIP NO. 5526
Design and Environmental (Completed) $465,580
Construction Contract (In Progress) $2,870,800
Construction Contingency $430,620
Construction Management, Inspection & Material Testing (In Progress) $529,000
Total Additional Construction Costs (Estimated) $526,000
Total Additional Administrative Costs (Estimated) $85,000
TOTAL ESTIMATED PROJECT COSTS $4,907,000
TOTAL CURRENT APPROPRIATION -SEWER REPLACEMENT FUND $4,340,000
REMAINING BALANCE ($567,000)
ADDITIONAL APPROPRIATION NEEDED -SEWER REPLACEMENT FUND $567,000
Next Steps
Staff will process and execute a contract change order to increase the stipulated allowance of
Bid Item No. 14 of the Contractor's Bid Proposal, and extend the contract completion date
through Fall 2018. Measurement and payment of Bid Item No. 14 will proceed in accordance
with the contract general provisions.
Environmental Evaluation (CEQA)
The Project is exempt from the California Environmental Quality Act (CEQA) per State CEQA
Guidelines Section 15302(c) -concerning replacement or reconstruction of existing facilities
involving negligible or no expansion of use. A Notice of Exemption was filed in the Office of the
San Diego County Clerk on Sept. 1, 2015.
May 22, 2018 Item #6 Page 2 of 6
Public Notification
This item was noticed in accordance with the Ralph M. Brown Act and was available for public
viewing and review at least 72 hours prior to the scheduled meeting date.
Exhibits
1. City Council Resolution.
2. Location Map.
May 22, 2018 Item #6 Page 3 of 6
RESOLUTION NO. 2018-077
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, AUTHORIZING THE APPROPRIATION OF ADDITIONAL FUNDS IN
THE AMOUNT OF $567,000 FOR THE FOXES LANDING LIFT STATION
REPLACEMENT, PROJECT NO. 5526 AND INCREASING THE CONSTRUCTION
CONTINGENCY FOR THE PROJECT BY $526,000.
Exhibit I
WHEREAS, the City Council of the City of Carlsbad, California adopted Resolution No. 2016-173
and awarded a contract to NEWEST Construction Co., Inc. for the construction of the Foxes Landing Lift
Station Replacement Project located on the north shore of Agua Hedonia Lagoon on Aug. 23, 2016; and
WHEREAS, the construction contract includes a stipulated allowance bid item in the amount of
$100,000 dollars which is insufficient to perform all work associated with groundwater management
of the site; and
WHEREAS, additional contract time and compensation to the contractor is required to complete
the full and actual scope of work; and
WHEREAS, measurement and payment for the additional scope of work is based on
accumulation of costs which are anticipated to exceed the original construction contingency amount
approved by City Council; and
WHEREAS, staff requests that the construction contingency amount be increased by $526,000
to cover the additional costs; and
WHEREAS, staff anticipates an additional $85,000 is needed for additional construction
management and inspection services.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as
follows:
1. That the above recitations are true and correct.
2. That the administrative services director is authorized and directed to appropriate funds
from the Sewer Replacement Fund No. 515 in the amount of $567,000, for the
construction of the Foxes Landing Lift Station, Project No. 5526.
3. That the construction contingency is increased by $526,000, from $430,620 to $956,620,
and the city manager or designee is hereby authorized to approve construction change
orders up to $956,620.
May 22, 2018 Item #6 Page 4 of 6
Exhibit 1
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of
Carlsbad on the 22nd day of May, 2018, by the following vote, to wit:
AYES: M. Hall, K. Blackburn, M. Schumacher, C. Schumacher, M. Packard.
NOES:
ABSENT:
None.
None.
(SEAL)
May 22, 2018 Item #6 Page 5 of 6
PROJECT SITE
PACIFIC OCEAN
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AGUA HEDIONDA LAGOON '· '·�., ........... ........ ®. \
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Foxes Landing -�ift'·····
LOCATION MAP Station Replacement,
________________________________________ :NO�T�m�s:�:L[:.._ ____ _:P�ro�j:e�c�t:N�o�.�5=5�2�6�. _____J Exhibit 2May 22, 2018 Item #6 Page 6 of 6