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Home My WebLink About2021-03-23; City Council; ; Acceptance of Bids and Award of a Contract to Abhe & Svoboda, Inc. and Approval of Additional Appropriation for Construction of the Lake Calavera Outlet Improvements Proj Meeting Date: March 23, 2021 To: Mayor and City Council From: Scott Chadwick, City Manager Staff Contact: Vicki Quiram, Utilities Director vicki.quiram@carlsbadca.gov, 760-438-2722 Dave Padilla, Engineering Manager dave.padilla@carlsbadca.gov, 760-603-7356 Subject: Acceptance of Bids and Award of a Contract to Abhe & Svoboda, Inc. and Approval of Additional Appropriation for Construction of the Lake Calavera Outlet Improvements Project District: 2 Recommended Action Adopt a resolution accepting bids and awarding a construction contract to Abhe & Svoboda, Inc. for construction of the Lake Calavera Outlet Improvements Capital Improvement Program Project No. 5054, in an amount not to exceed $791,956, and approving additional appropriation in an amount of $176,000 from the General Capital Construction Fund. Executive Summary The project will construct improvements, and repair or replace components of the existing Lake Calavera Dam outlet facilities to comply with requirements of the California Department of Water Resources, Division of Safety of Dams. On Nov. 3, 2020, the Carlsbad City Council adopted Resolution No. 2020-211 approving the plans and specifications and authorizing advertisement of the notice inviting bids for construction of the project, which was advertised using the city’s formal bidding procedures. On Jan. 12, 2021, four construction bids were received, and the lowest responsive and responsible bidder was Abhe & Svoboda, Inc. with a bid in an amount of $791,956. Carlsbad Municipal Code sections 3.28.080(C) and 3.28.080(I)(6) require the approval of the City Council for all formally bid contracts when the value exceeds $200,000. The project is subject to this requirement. Staff recommends award of the construction contract to Abhe & Svoboda, Inc. in an amount not to exceed $791,956. Staff requires the assistance of a consultant firm to provide construction management and inspection services for the project. As outlined in the master service agreement negotiated in accordance with municipal code Section 3.28.070 and authorized by the City Council in Resolution No. 2020-173, staff plans to issue a task order with Valley Construction Management to provide such services in an amount of $124,080, which is within the City Manager’s authority. March 23, 2021 Item #2 Page 1 of 8 Staff also requires the assistance of consultant firms to provide engineering and biological monitoring services during construction. In accordance with municipal code Section 3.28.060(D)(4), the city manager shall be the awarding authority for procurement of professional services for which the cost to the city is $100,000 or less during the agreement year. Discussion Construction contract The project is located in the northern part of the city in Council District 2, east of Tamarack Avenue (Exhibit 2). Construction of the Lake Calavera Dam was completed in 1941 and was originally used as a water source for city residents. The lake is now primarily used for stormwater detention for flood control and is subject to the jurisdiction of the Division of Safety of Dams. The lake is located on a parcel owned by the city. The dam and the water outlet system are maintained and operated by the city’s Utilities Department. The surface area of the lake is approximately 21 acres when full, with a maximum storage capacity of approximately 540 acre- feet. The average depth of the lake is between 12 to 16 feet with a maximum depth of 54 feet. The height of the dam is 67 feet from the crest to the outfall structure. In 2006, remedial improvements were completed to comply with Division of Safety of Dams requirements. That project included repairs to the existing outlet structure; rehabilitation of the existing outlet pipe; improvements to the control valves, spillway and access road; and construction of a control building. Since then, the valves and their hydraulic and pneumatic control systems have experienced corrosion and the valves and related system components must be repaired or replaced to meet division requirements. Construction contract The engineer’s estimate for construction of the project is $760,000 and includes a $100,000 construction contingency. On Jan. 12, 2021, four bids were received and ranged from the lowest bid of $791,956 to the highest bid of $1,261,000. The project is complex and will involve the use of barges and underwater divers to replace the existing valves on the outlet structure because the lake’s water level cannot be lowered during construction. Compact and limited access construction equipment is required to replace the valve in the reservoir outlet vault located at the base of the dam. The project also requires periodic inspection and approval of the work by the Division of Safety of Dams. In staff’s opinion, the higher-than-expected bids are the result of the project’s complexity. Staff reviewed the bid proposals and determined that Abhe & Svoboda, Inc. was the lowest responsive and responsible bidder. Given the need to replace the deteriorating components, and the Division of Safety of Dams’ approval of the plans and specifications obtained prior to the solicitation of bids, staff recommends award of a construction contract to Abhe & Svoboda, Inc. Professional services Staff recommends Valley Construction Management provide construction management and inspection services in an amount not to exceed $124,080 and in accordance with the master agreement for as-needed horizontal construction management and inspection, dated Aug. 18, 2020, and authorized by City Council Resolution No. 2020-173. March 23, 2021 Item #2 Page 2 of 8 Other professional services required for the project include engineering services and biological monitoring during construction. The contract value for each of these services is less than $100,000 per agreement year, and the city manager may award these contracts for professional services in accordance with Carlsbad Municipal Code Section 3.28.060(D). Options Staff provides the following options the City Council’s consideration: 1. Accept bids and award a construction contract to Abhe & Svoboda, Inc. in an amount not to exceed $791,956. Pros • Lowest responsible and responsive bidder • Award of the contract complies with applicable municipal code sections • Improvements can be completed at the earliest opportunity Cons • Requires additional funding appropriation since contract award amount is above appropriated funds 2. Reject all bids and re-issue the bid solicitation. Pros • None identified. Cons • Delays start of construction of necessary improvements, resulting in noncompliance with Division of Safety of Dams requirements • Likely higher bids and increased contract cost • Likely to require additional funding appropriation • Potential protest by the lowest responsible and responsive bidder 3. Reject all bids and abandon the project. Pros • None identified Cons • Does not address issue of corroding valves • May be construed as a potential violation of dam safety regulations Staff recommends Option 1 – accept bids and award a construction contract to Abhe & Svoboda, Inc. in an amount not to exceed $791,956. Fiscal Analysis The construction contract and contingency cost is $950,347. Costs for staff administration and services for construction management, inspection, material testing, biological monitoring and communications are $251,570 for a total project cost of $1,201,917. An additional appropriation from the General Capital Construction Fund in an amount of $176,000 is required to complete the project. There are sufficient funds available in the fund to cover this increase. A summary of the estimated costs and available funds is shown in the table below: March 23, 2021 Item #2 Page 3 of 8 Carlsbad Municipal Code Section 3.28.040(C)(5) authorizes the city manager or designee to approve change orders in the amount equal to the contingency set at the time the project is awarded. That amount is $158,391 for this project. Next Steps If this resolution is adopted by the City Council and once the contract documents are fully executed, staff will issue a purchase order, schedule a pre-construction meeting with the contractor and issue a notice to proceed for construction of the project. Construction is estimated to begin in May 2021. The duration of the construction contract is 180 working days, exclusive of rain days and change orders that may extend the contract duration, with an estimated completion in December 2021. Upon execution of the agreement for construction management and inspection services, staff will engage the consultant for management of the construction contract and inspection services for the work. Staff will also contract with a communications consultant, who will provide public outreach services, and a qualified biologist for monitoring of habitat and wildlife during construction. Upon successful completion of the project, a notice of completion to release bonds will be recorded. Environmental Evaluation (CEQA) The project classifies as a maintenance project and is exempt from environmental review per California Environmental Quality Act Guidelines sections 15302 - replacement or reconstruction of existing facilities, 15303 - new construction and 15304 - minor alteration to land and vegetation. None of the exceptions described in Section 15300.2 are applicable to this project. Lake Calavera Outlet Improvements, Capital Improvement Program Project No. 5054 Total appropriation to date $1,220,000 Total expenditures and encumbrances to date $193,679 Total available funding $1,026,321 Construction contract (Abhe & Svoboda, Inc.) $791,956 Construction contingency (20%) $158,391 Construction management, inspection and material testing services $124,080 Engineering services during construction $31,450 Biological monitoring during construction $11,040 Communications services $35,000 Staff engineering and administrative costs (estimated) $50,000 Total estimated project costs $1,201,917 Remaining balance ($175,596) Additional appropriation needed $176,000 March 23, 2021 Item #2 Page 4 of 8 A notice of exemption was filed with the San Diego County Clerk on March 2, 2017, in compliance with Section 21152(b) of Public Resources Code. Public Notification and Outreach Public notice of this item was noticed in keeping with the Ralph M. Brown Act and it was available for public viewing and review at least 72 hours prior to the scheduled meeting date. Before construction starts, the public will be notified of construction activities using media methods such as signage, email, the website and other city communication channels. The construction contractor will also be required to notify the public of construction activities via signs, door hangers, letters to residents and/or “NO PARKING” signs, as applicable. Exhibits 1.City Council Resolution 2.Location map March 23, 2021 Item #2 Page 5 of 8 RESOLUTION NO. 2021-065 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ACCEPTING BIDS AND AWARDING A CONSTRUCTION CONTRACT TO ABHE & SVOBODA, INC. FOR CONSTRUCTION OF THE LAKE CALAVERA OUTLET IMPROVEMENTS, CAPITAL IMPROVEMENT PROGRAM (CIP) PROJECT NO. 5054 IN AN AMOUNT NOT TO EXCEEED $791,956, AND APPROVING ADDITIONAL APPROPRIATION IN AN AMOUNT OF $176,000 FROM THE GENERAL CAPITAL CONSTRUCTION FUND WHEREAS, Lake Calavera Dam is owned by the city and provides stormwater retention for flood control; and WHEREAS, certain components of the outlet facilities on the dam require maintenance, replacement or improvement for their continued operation and to comply with requirements of the California Department of Water Resources, Division of Safety of Dams (DSOD); and WHEREAS, the City Council has determined it necessary, desirable, and in the public interest to construct the project; and WHEREAS, on Nov. 3, 2020, City Council adopted Resolution No. 2020-211 approving plans and specifications and authorizing the city clerk to advertise to receive bids for the project; and WHEREAS, on Jan. 12, 2021, four sealed bids were received for construction of the project; and WHEREAS, the lowest responsive and responsible bid was submitted by Abhe & Svoboda, Inc. in an amount of $791,956; and WHEREAS, Carlsbad Municipal Code (CMC) Sections 3.28.080(C) and 3.28.080(I)(6) require the City Council to award all formally bid contracts when the value exceeds $200,000; therefore, the project is subject to this requirement; and WHEREAS, CMC Section 3.28.040(C)(5) authorizes the city manager or designee to approve change orders in the amount equal to the contingency set at the time of project award, which is $158,391 for the project; and WHEREAS, appropriation of additional funds to the General Construction Capital Funds, CIP Project No. 5054, in an amount of $176,000 is required to complete construction of the project; and WHEREAS, the city planner has determined that the project is exempt from the California Environmental Quality Act (CEQA) per State CEQA Guidelines Sections 15302 (replacement or reconstruction of existing facilities), 15303 (new construction) and 15304 (minor alterations to the land and vegetation). None of the exceptions described in CEQA Section 15300.2 are applicable to this March 23, 2021 Item #2 Page 6 of 8 project. A notice of exemption was filed in the office of the San Diego County Clerk on March 2, 2017 in compliance with section 21152 (b) of Public Resources Code (CEQA). 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 bid in an amount of $791,956 submitted by Abhe & Svoboda, Inc. for construction of the project is accepted, and the mayor of the City of Carlsbad is hereby authorized to execute a contract with Abhe & Svoboda, Inc. 3.That the City Manager or designee is hereby authorized to approve construction change orders up to $158,391. 4.That the deputy city manager, administrative services, is directed to appropriate $176,000 from the General Construction Capital Fund to CIP Project No. 5054 for completion of the project. 5.That the award of this contract is contingent upon Abhe & Svoboda, Inc. executing the required contract and submitting the required bonds and insurance policies, as described in the contract, within 20 calendar days of 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 23rd day of March, 2021, by the following vote, to wit: AYES: Hall, Blackburn, Acosta, Bhat-Patel, Schumacher. NAYS: None. ABSENT: None. MATT HALL, Mayor qlit•-) -?!._-\../IA,6 ( z -) ---J'(- BARBARA ENGLESON, City Clerk , •\„ CAik", :z• v....- '''''''''' ......61 % (SEAL) -..a ..7, ..;.-t. .:-..-- March 23, 2021 Item #2 Page 7 of 8 LAKE CALAVERA OUTLET IMPROVEMENTS 2COLLEGEBLVD.CARLSBADVILLAGE DR.TAMARACKAVE.PENINSULAD R .SADDLEDR.STR A T A D R .KNOLLWOODDR.STONERIDGE RD. LAKECALAVERA CITY OF OCEANSIDECITY OF CARLSBAD GLASGOW DR.HARWIC H DR. TAMAR A C K AV E . FOOTHILL AVE. SITE SITE CITY OF CARLSBADCITY OF OCEANSIDE 5054 Exhibit 2 March 23, 2021 Item #2 Page 8 of 8 Vicki Quiram, Utilities Director Dave Padilla, Engineering Manager March 23, 2021 Acceptance of Bids and Award Contract for the Lake Calavera Outlet Improvements Project Recommendation Adopt a resolution •Accepting bids and awarding a construction contract to Abhe & Svoboda in the amount of $791,956 •Approving additional appropriation of $176,000 from the General Capital Construction fund 2 Background •Calavera Dam construction completed in 1941 –Height: 67 feet (crest to outlet pipe) –Storage: 540 acre-feet •Currently used for flood control •Under jurisdiction of the California Dept. of Water Resources, Division of Safety of Dams 3 Lake Calavera & Dam 4 Calavera Dam 5 Project Scope Replace valves and modify valve controls: •Replace reservoir outlet valves •Remove, modify and reinstall the valve header assembly •Convert valve controls to strictly pneumatic 6 Bid Summary Contractor Bid Price Abhe & Svoboda, Inc.$791,956.00 Jon Kay dba Kay Construction Co.$827,445.00 CJW Construction, Inc.$1,083,800.00 Blue Pacific Engineering & Construction $1,261,000.00 7 Bid Evaluation •License status •DIR registration •Signatures and notarization •Bid security or bond •Experience record and references •Insurance •Debarment or discipline record •Noncollusion declaration •Discrepancies or errors 8 Bid Evaluation Abhe & Svoboda, Inc. •Lowest responsible, responsive bidder •Positive experience record •Bid amount: $791,956.00 9 Options 1.Accept the bids and award a construction contract to Abhe & Svoboda, Inc. 2.Reject all bids and re-issue the bid solicitation 3.Reject all bids and cancel the project 10 Recommendation Adopt a resolution: •Accepting bids and awarding a construction contract to Abhe & Svoboda, Inc. for the Lake Calavera Outlet Improvements, Capital Improvement Program (CIP) Project No. 5054 in an amount not to exceed $791,956 •Approving additional appropriation of $176,000 from the General Capital Construction fund 11 Next Steps •Execute contract documents •Schedule pre-construction meeting and issue a notice to proceed •Construction by contractor with construction management and inspection services provided by consultant •Contract with a communications consultant to provide public outreach services during construction 12 Thank you