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Home My WebLink About2018-06-26; City Council; ; Award a construction contract to Los Angeles Engineering, Inc. in amount not to exceed $6,766,000, appropriate $939,475 in additional funds, and amend an agreement with SCA Review {r5 ~ CITY COUNCIL ~ Staff Report Meeting Date To: From: Staff Contact: Subject June 26, 2018 Mayor and City Council Kevin Crawford, City Manager Kyle Lancaster, Parks Services Manager kyle.lancaster@carlsbadca .gov or 760-434-2941 Award a construction contract to Los Angeles Engineering, Inc. in amount not to exceed $6,766,000, appropriate $939,475 in additional funds, and amend an agreement with Schmidt Design Group, all for the Aviara -Ph. II and Poinsettia -Ph. Ill Community Parks Construction Projects Recommended Action Adopt a Resolution awarding a construction contract to Los Angeles Engineering, Inc. in an amount not to exceed $6,766,000, appropriating $939,475 in additional funds, and authorizing execution of an amendment to a professional services agreement with Schmidt Design Group, all for the Aviara Community Park-Ph. II and Poinsettia Community Park-Ph. Ill Construction Projects (CIP Nos. 4604 and 4605}. Executive Summary The Aviara Community Park -Phase II Construction Project and the Poinsettia Community Park - Phase Ill Construction Project were designed together and intended to be bid as one unit to achieve site efficiencies and cost savings . The initial design of the Poinsettia Community Park - Phase Ill Construction Project included a dog park. During the initial bidding process, community members expressed concern about the proposed location of the dog park. Based on the findings of a feasibility study for a master planned multigenerational community center, and in response to public input received, staff recommended removing the dog park from the Poinsettia Community Park -Phase Ill Construction Project. In conjunction with that recommendation, staff also recommended the rejection of all bids received for the Aviara Community Park-Phase II and Poinsettia Park-Phase Ill Construction Projects. On Sept. 12, 2017, the City Council approved the above recommended actions (Resolution No. 2017-185}. On February 13, 2018, the City Council approved the revised plans, specifications and contract documents for the Aviara Community Park -Phase II and Poinsettia Community Park-Phase Ill Construction Projects, and authorized the City Clerk to advertise the projects for public bids (Resolution No . 2018-020). Staff recommends the City Council award a construction contract for the Av i ara Community Park -Ph. II and Poinsettia Community Park -Ph. Ill Construction Projects to Los Angeles Engineering, Inc., in an amount not to exceed $6,766,000. Staff also recommends the City Council appropriate $939,475 in additional funds to address the construction related costs/contingency, and the requisite one-percent allocation for public art. June 26, 2018 Item #15 Page 1 of 21 Lastly, staff recommends that the City Council authorize the execution of an amendment to a professional services agreement with Schmidt Design Group for a two-year term extension. This extension will allow for completion of the agreement's services at no additional cost. City Council action is requested because the City Council has the authority to: waive minor irregularities in bids (C.M.C. Section 3.28.080{G)(3)); award contracts for construction projects in excess of $175,000 (C.M.C. Section 3.28.080(()); and authorize amendments to extend professional services agreements in excess of $100,000 (C.M.C. Section 3.28.040{D)(3)). Discussion The Aviara Community Park -Phase II Construction Project plans consist of a large passive outdoor community gathering space with a stage, individual picnic areas, and a group picnic shelter that contains restrooms and a catering support room. The Poinsettia Community Park - Phase Ill Construction Project plans consist of a multi-sports arena field, a new larger playground -with equipment for two age groups, and six pickleball courts. The city sought public input throughout the planning phase of these projects, beginning with stakeholder interviews and open public meetings for the parks during 2014. This early public input contributed to the Aviara Community Park and Poinsettia Community Park Master Plan Updates, which were adopted by the City Council on Dec. 9, 2014 (Resolution No. 2014-280). The projects were designed together by Schmidt Design Group and intended to be bid as one unit, in order to take advantage of soils export/import needs associated with the respective amenities, the close proximity of the parks, and the available economies of scale in construction. On Sept . 27, 2016, the City Council approved the plans and specifications for the Aviara Community Park -Phase II and Poinsettia Park-Phase Ill Construction Projects, and authorized the City Clerk to advertise the projects for bids (Resolution No. 2016-199). On October 7, 2016, the projects were advertised for bids. On Nov. 10, 2016, three bids were received for the projects. All three bids were subsequently determined to be non-responsive. On Jan. 10, 2017, the City Council rejected the bids and approved of staff's pending action to revise the bidding provisions/forms, extend the advertisement period, and re-advertise the projects for bids (Resolution No. 2017-005). On Feb. 2, 2017, the projects were re-advertised for bids. On March 21, 2017, seven bids for the projects were received. After the apparent lowest bidder withdrew its bid, the next lowest responsive and responsible bid received was in the amount of $6,797,556. The initial design of the Poinsettia Community Park -Phase Ill Construction Project included a dog park. During the initial bidding process, community members expressed concern about the proposed location ofthe dog park. The proposed location of the -dog park was an area referred to as "the grassy bowl" by some of the patrons who expressed a desire to keep it available for unstructured play. While staff was designing and bidding the Aviara Community Park -Phase II and Poinsettia Community Park-Phase Ill Construction Projects, staff was also conducting a feasibility study for a master planned multi-generational community center at Poinsettia Community Park, titled "Big Idea No. 1." On Aug. 22, 2017, the City Council accepted the findings of that feasibility study (Resolution No. 2017-172), which stated: June 26, 2018 Item #15 Page 2 of 21 " ... while a smaller facility; i.e. 35,000 square foot or less, could certainly be possible at Poinsettia Community Park, it is not recommended since it does not fulfil the intended vision of the Big Idea in serving the community's diverse needs to the greatest possible extent at this site ... " " ... with Poinsettia Community Park deemed not to be a feasible site for a multigenerational community enter as envisioned, the same segment of the park can now be considered and studied for other potential uses ... " Based on the findings of the feasibility study, and in response to public input, staff recommended removing the dog park from the Poinsettia Community Park -Phase Ill Construction Project, and exploring its relocation to the segment of Poinsettia Community Park initially envisioned for a multigenerational community center. In conjunction with that recommendation, staff also recommended the rejection of all bids received for the Aviara Community Park-Phase II and Poinsettia Park-Phase Ill Construction Projects. On Sept. 12, 2017, the City Council approved the above recommended actions (Resolution No. 2017-185). Staff subsequently re-engaged Schmidt Design Group to revise the Poinsettia Community Park- Phase Ill Construction Project plans and specifications accordingly. On February 13, 2018, the City Council approved the revised plans, specifications and contract documents for the Aviara Community Park -Phase II and Poinsettia Community Park-Phase Ill Construction Projects, and authorized the City Clerk to advertise the projects for public bids (Resolution No. 2018-020). On March 9, 2018, the projects were advertised for bids. The engineer's estimate for the projects was $6,325,780. On April 24, 2018 eleven bids were received for the projects. AVIARA-PH. II & POINSETTIA-PH. Ill COMMUNITY PARKS PROJECTS -BIDS # CONTRACTOR SUBMITTED TOTAL 1. Silver Strand Construction $6,582,074 2. Act 1 Construction $6,623,223 3. Los Angeles Engineering, Inc. $6,766,000 4. MTM Builders, Inc. $7,009,000 5. Western Rim Constructors, Inc. $7,082,105 6. Tovey-Shultz Construction, Inc. $7,556,822 7. 3-D Enterprises, Inc. $7,576,000 8. PUB Construction, Inc. $7,718,000 9. Ohno Construction $8,014,500 10. Palm Engineering Construction Company, Inc. $8,195,000 11. USS Cal Builders, Inc. $9,688,000 June 26, 2018 Item #15 Page 3 of 21 The apparent first and second low bids both had non-waivable irregularities that make those bids non-responsive. The first apparent low bid from Silver Strand Construction indicated the contractor's bid total as $6,582,074. However, the sum of the line items in the contractor's bid was actually $7,101,123. This error would entitle the contractor to withdraw its bid without forfeiting its bid security under Public Contract Code Section 5103, which in turn would confer a competitive advantage. Therefore, the contractor's bid was determined to be nonresponsive and ineligible for further consideration. Likewise, the second apparent low bid from Act 1 Construction, Inc. indicated contractor's bid total as $6,623,223. However, the sum of the line items in the contractor's bid was actually $6,559,364. This error would entitle the contractor to withdraw its bid without forfeiting its bid security under Public Contract Code Section 5103, which in turn would confer a competitive advantage. Additionally, the contractor listed a subcontractor for the play structures portion of the work, but did not include any of the information required for that subcontractor under Public Contract Code Section 4104. Therefore, the contractor's bid was determined to be non responsive and ineligible for further consideration. The apparent third low bid from Los Angeles Engineering, Inc. has minor irregularities that staff recommends the City Council waive. Specifically, the contractor listed incorrect California State Licensing Board license numbers for two of its subcontractors. Staff cross-checked the subcontractors' license numbers on the state's website and determined the subcontractors hold valid California State Licensing Board license numbers. The contractor listed an incorrect California Department of Industrial Relations registration number for another subc·ontractor. Staff cross-checked the subcontractor's business name with the California Department of Industrial Relations and determined the subcontractor holds a valid registration number. Staff recommends the City Council waive the minor irregularities in bid and award a contract for the Aviara Community Park-Ph. II and Poinsettia Community Park-Ph. Ill Construction Projects to Los Angeles Engineering, Inc., in an amount not to exceed $6,766,000. Staff is also recommending the City Council appropriate $939,475 in additional funds to .address the construction related costs/contingency, and the requisite one-percent allocation for public art. Lastly, staff is recommending the City Council authorize execution of an amendment to a professional services agreement with Schmidt Design Group. On July 14, 2015, the City Council authorized an agreement with Schmidt Design Group for professional services for the Aviara and Poinsettia Community Parks Master Plan implementation, in an amount not to exceed $425,109 (Resolution No. 2015-189). The term of the agreement was for three years, expiring on July 14, 2018. On July 26, 2016, Amendment No. 1 to the agreement was executed to include additional services for redesign of the playground and preparation of a stockpile plan at the multi-sports arena for the Poinsettia Community Park project, and potholing for the Aviara Community Park Project, in an amount not to exceed $10,650.75. On November 9, 2017, Amendment No. 2 to the Agreement was executed to include additional services related to removing the dog park from the Poinsettia Community Park project scope, in an amount not to exceed $26,185. June 26, 2018 Item #15 Page 4 of 21 Staff is recommending the City Council authorize execution of Amendment No. 3 to the agreement to provide a two-year term extension. This extension will allow for completion of the services in Task D -Construction Administration and Management Phase -of the agreement, at no additional cost. Fiscal Analysis The Aviara Community Park -Phase II and Poinsettia Community Park -Phase Ill Construction Projects were bid together in order to achieve economies of scale, operational efficiencies, and synergies related to construction of the various park components. Funding for the Aviara Community Park -Phase II and Poinsettia Community Park -Phase Ill Construction Projects was approved in the FY 2015-16 Capital Improvement Program Budget. Funding for the pickleball courts was added to the Poinsettia Community Park-Phase Ill Construction Project in the FY 2016-17 Capital Improvement Program Budget. The table below provides the available funding for the projects. Staff is requesting an appropriation of $939,475 in additional funds, from the Public Facilities Fund, to address the construction related costs/contingency, and the requisite one-percent allocation for public art. AVIARA -PH. II & POINSETTIA-PH. Ill COMMUNITY PARK PARKS PROJECTS -FUNDING GRAND TOTAL-AVAILABLE FUNDS AS OF JULY 1, 2018 $7,028,025 Remaining Allocation for Public Art $12,825 SUBTOTAL-AVAILABLE FUNDS AS OF JULY 1, 2018 $7,015,200 Construction Contract (Los Angeles Engineering, Inc.) $6,766,000 Construction Contingency (10% of Above) $676,600 Construction Management, Inspection, and Testing (Estimated) $368,270 Construction Designs, Studies and Reports (Estimated) $134,500 TOTAL -ESTIMATED CONSTRUCTION COSTS $7,945,370 Appropriation of Additional Funds -Construction $930,170 Appropriation of Additional Funds -Art (1% Of Above) $9,305 TOTAL -APPROPRIATION OF ADDITIONAL FUNDS $939,475 Next Steps Staff will complete execution of the contract with Los Angeles Engineering, Inc. for the Aviara Community Park -Phase II and Poinsettia Community Park -Phase Ill Construction Projects, and schedule a pre-construction meeting. Staff anticipates construction commencement in approximately two months, and completion in summer 2019. June 26, 2018 Item #15 Page 5 of 21 Environmental Evaluation (CEQA) On October 7, 1992, the Planning Commission approved a Conditional Use Permit (CUP 92-5) and adopted a Mitigated Negative Declaration (MND) and a Mitigation Monitoring and Reporting Program (MMRP) for the Poinsettia Community (Alta Mira) Park. On Aug. 6, 2002, the City Council approved a Conditional Use Permit (CUP 01-22) and adopted a Mitigated Negative Declaration (MND) and a Mitigation Monitoring and Reporting Program (MMRP) for the Aviara Community (Zone 19) Park. Both projects are within the scope of the prior environmental documents for the respective parks and no further environmental documentation is required per CEQA Guidelines Section 15162. All applicable mitigation measures contained in the prior environmental document were either satisfied previously or incorporated into the Aviara Community Park -Phase II or the Poinsettia Community Park -Phase Ill Construction Projects' contract documents, plans and specifications. Public Notification The Aviara Community Park and Poinsettia Community Park Master Plan Updates underwent an extensive outreach process, including public participation meetings, online input and public hearings. Public notification also occurred through the three bid processes for these projects. In addition, 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. Site plan and renderings of the Aviara Community Park-Phase II Construction Project 3. Site plan and renderings of the Poinsettia Community Park-Phase Ill Construction Project June 26, 2018 Item #15 Page 6 of 21 RESOLUTION NO. 2018-117 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AWARDING A CONSTRUCTION CONTRACT TO LOS ANGELES ENGINEERING, INC., IN AN AMOUNT NOT TO EXCEED $6,766,000, APPROPRIATING $939,475 IN ADDITIONAL FUNDS, AND AUTHORIZING EXECUTION OF AN AMENDMENT TO A PROFESSIONAL SERVICES AGREEMENT WITH SCHMIDT DESIGN GROUP FOR A TWO-YEAR TERM EXTENSION, ALL FOR THE AVIARA COMMUNITY PARK -PH. II AND POINSETTIA COMMUNITY PARK -PH. Ill CONSTRUCTION PROJECTS (CIP NOS. 4604 AND 4605) Exhibit 1 WHEREAS, the Aviara Community Park -Phase II Construction Project and the Poinsettia Community Park -Phase Ill Construction Project were designed together by Schmidt Design Group and intended to be bid as one unit to achieve site efficiencies and cost savings; and WHEREAS, on Sept. 12, 2017, the City Council approved staff's recommendations to change the proposed location of the dog park at Poinsettia Community Park and reject all bids received for the Aviara Community Park -Phase II and Poinsettia Community Park -Phase Ill Construction Projects (Resolution No. 2017-185); and WHEREAS, on February 13, 2018, the City Council approved the revised plans, specifications and contract documents for the Aviara Community Park -Phase II and Poinsettia Community Park -Phase Ill Construction Projects, and authorized the City Clerk to advertise the projects for public bids (Resolution No. 2018-020); and WHEREAS, on March 9, 2018, the projects were advertised for bids and on April 24, 2018, eleven bids were received for the projects; and WHEREAS, the first two apparent low bids received included errors that are not waivable because they would allow the bidders to withdraw their bids without forfeiting the bid security under Public Contract Code section 5103, and would therefore confer competitive advantages to those bidders, making those bids non-responsive; and June 26, 2018 Item #15 Page 7 of 21 WHEREAS, the third apparent low bid from Los Angeles Engineering, Inc. included minor irregularities because incorrect California State Licensing Board license numbers were provided for two subcontractors and an incorrect California Department of Industrial Relations registration number was provided for one subcontractor, and staff was able to verify the correct license and registration numbers from the state's website; and WHEREAS, staff recommends that City Council waive the minor irregularities in the third apparent low bid and award a contract for the Aviara Community Park -Ph. II and Poinsettia Community Park -Ph. Ill Construction Projects to Los Angeles Engineering, Inc., in an amount not to exceed $6,766,000; and WHEREAS, staff recommends that the City Council appropriate $939,475 in additional funds to address construction related costs/contingency, and requisite one-percent allocation for public art; and WHEREAS, on July 14, 2015, City Council authorized execution of an agreement with Schmidt Design Group for design services for the Aviara and Poinsettia Community Parks Master Plan implementation for a term ending on July 14, 2018, in an amount not to exceed $425,109 (Resolution No. 2015-189); and WHEREAS, the agreement with Schmidt Design group was amended twice to include additional services, with Amendment No. 1 executed on July 26, 2016 not to exceed $10,650.75, and Amendment No. 2 executed on Nov. 9, 2017 not to exceed $26,185; and WHEREAS, staff recommends that City Council authorize the execution of Amendment No. 3 to the agreement with Schmidt Design Group for a two-year term extension to allow for completion of the services in Task D -Construction Administration and Management Phase -of the agreement, at no additional cost. June 26, 2018 Item #15 Page 8 of 21 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 City Council waives the minor irregularities in bid from Los Angeles Engineering, Inc. under Carlsbad Municipal Code section 3.28.080{G)(3). 3. That the Mayor is authorized and directed to execute a contract with Los Angeles Engineering, Inc., for the Aviara Community Park-Ph. II and Poinsettia Community Park -Ph. Ill Construction Projects in accordance with the contract, plans, and specifications referred to herein, in an amount not to exceed $6,766,000. 4. That the City Manager or designee is hereby authorized to approve construction change orders, singly or in aggregate, up to $676,600. 5. That the award of this contract is contingent upon Los Angeles Engineering, Inc. executing the required contract and submitting the required bonds and insurance policies, as described in the contract, within 20 working days of adoption of this resolution. The City Manager may grant reasonable extensions of time. 6. That the Administrative Services Director is hereby authorized and directed to appropriate additional funds from the Public Facilities Fund, in the amount of $939,475, to the Poinsettia Community Park -Ph. Ill Construction Project Budget (CIP No. 4605). 7. That the Mayor is hereby authorized and directed to execute an amendment to the professional services agreement with Schmidt Design Group for a two-year term extension, which is attached hereto as Attachment A. June 26, 2018 Item #15 Page 9 of 21 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 26th day of June, 2018, by the following vote, to wit: AYES: NOES: ABSENT: M. Hall, K. Blackburn, M. Schumacher, C. Schumacher, M. Packard. None. None. "'~~~ ~ARBARA ENGLESON, City Clerk {SEAL) June 26, 2018 Item #15 Page 10 of 21 ATTACHMENT A AMENDMENT NO. 3 TO AGREEMENT FOR PROFESSIONAL SERVICES FOR THE AVIARA AND POINSETTIA COMMUNITY PARKS MASTER PLAN IMPLEMENTATION (CIP Project Nos. 4604 and 4605) Schmidt Design Group, Inc. This Amendment No. 3 is entered into and effective as of the d /..pif1 day of '3:, ,L0:52,,,. , 2oa,amending the agreement dated July 15, 2015 (the "Agreement") by and between the City of Carlsbad, a municipal corporation, ("City"), and Schmidt Design Group, Inc. ("Contractor") (collectively, the "Parties") for preparation and coordination of construction documents for the Aviara and Poinsettia Community Parks Master Plan Implementation Projects. RECITALS A. On July 15, 2015, the Parties executed a Professional Services Agreement for the Aviara and Poinsettia Community Parks Master Plan Implementation Projects; and B. On July 26, 2016, the Parties executed Amendment No. 1 to the Agreement to include additional services for redesign of the playground and preparation of a stockpile plan located at the multi-sports arena for the Poinsettia Community Park project, and potholing for the Aviara Community Park project; and C. On November 9, 2017, the Parties executed Amendment No. 2 to the Agreement to include additional services related to removing the dog park from the Poinsettia Community Park project scope; and D. The Parties desire to extend the Agreement for a period of two-years. NOW, THEREFORE, in consideration of these recitals and the mutual covenants contained herein, City and Contractor agree as follows: 1. The Agreement, as may have been amended from time to time, is hereby extended for a period of two-years ending on July 15, 2020. 2. All other provisions of the Agreement, as may have been amended from time to time, will remain in full force and effect. 3. All requisite insurance policies to be maintained by Contractor pursuant to the Agreement, as may have been amended from time to time, will include coverage for this Amendment. II II II II City Attorney Approved Version 9/27 /16 June 26, 2018 Item #15 Page 11 of 21 4. The individuals executing this Amendment and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Amendment. CONTRACTOR €1&t gMi'j!f //?es,~/- (print na'4ie/title) CITY OF CARLSBAD, a municipal corporation of the State of California By: 'al/ d_ /1,/ MATTttl! ~ Mayor ATTEST: lklVlli¼f. J7l 121~1. BARBARA ENGLESON (r-- '--"+-'--L..l.--'-=-===----=---:--"----'-~""'+--+---==-..,_--=--'-----'1 City Clerk If required by City, proper notarial acknowledgment of execution by Contractor must be attached. If a corporation, Agreement must be signed by one corporate officer from each of the following two groups: Group A Chairman, President, or Vice-President Group B Secretary, Assistant Secretary, CFO or Assistant Treasurer Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: CELIA A. BREWER, City Attorney BY:_~.___ ____ _ ~t City Attorney City Attorney Approved Version 9/27/16 2 June 26, 2018 Item #15 Page 12 of 21