HomeMy WebLinkAbout2022-04-05; City Council; ; Authorize the Purchase of a Modular Residential Building from AAAmerican Pacific Manufactured Homes Inc and Purchase of a Temporary Building from Sprung Instant StructurCA Review RMC
~ CITY CO UNC IL \U? Staff Report
Meeting Date:
To:
From:
Staff Contact:
Subject:
District:
April 5, 2022
Mayor and City Council
Scott Chadwick, City Manager
John Maashoff, Public Works Manager
john.maashoff@carlsbadca.gov, 442-339-2856
Authorize the Purchase of a Modular Residential Building from
AAAmerican Pacific Manufactured Homes Inc. and Purchase of a
Temporary Building from Sprung Instant Structures Inc. for the
Temporary Fire Station No. 7 Project
2
Recommended Action
Adopt a resolution authorizing the purchase of a modular residential building from AAAmerican
Pacific Manufactured Homes Inc., a California corporation, for an amount not to exceed
$239,962; and a rapid delivery movable building from Sprung Instant Structures Inc., a Texa s
corporation, for an amount not to exceed $227,871; for the temporary Fire Station No. 7
Project, Capital Improvement Program Project No. 4091.
Executive Summary
The work plan that the City Council approved on May 11, 2020, to implement the City Council's
four priority goals for fiscal year 2021-22 identified and detailed the need for a temporary Fire
Station 7 west of the railroad tracks, near Carlsbad Boulevard. On June 8, 2021, the City Counci!
approved a Capital Improvement Program project to identify and prepare a site for the
temporary fire station in the vicinity of Cannon Road and Avenida Encinas (the Temporary Fire
Station No. 7 Project, CIP Project No. 4091).
Staff have since evaluated several potential locations and are currently pursuing a license
agreement that would allow the city to use a property at 4600 Carlsbad Blvd. as the temporary
home for the new fire station.
To con struct the temporary station, staff need to procure modular buildings to house Fire
Department personnel and equipment. Because these procurement costs exceed $100,000,
City Council authorization is required, in accordance with Carlsbad Municipal Code Section
3.28.040(D)(1).
Staff request the City Council grant an exemption to the procurement provisions of municipal
code Section 3.28.110, subsections (C) and (N), as detailed below, and authorize the purchase
of a modular residential building from Pacific Manufactured Homes for an amount not to
exceed $239,962 and the purchase of a rapid-delivery temporary structure from Sprung Instant
Structures for an amount not to exceed $227,871 for the Temporary Fire Station No. 7 project.
April 5, 2022 Item #3 Page 1 of 12
Discussion
Background
The City Council identified its four priority goals for fiscal year 2021-22 on March 11, 2021. One
of the goals was to "bring the Fire Department into conformance with the standards of cover
evaluation." This refers to the Standards of Coverage, a document that details a systems-based
approach to Fire Department deployment that uses local risks and demographics to determine
the level of protection that best fits the department's needs. The work plan the City Council
approved two months later included an option, Option 1A, that identified the vehicles,
equipment and other resources that would be needed to accomplish that goal, including a
temporary Fire Station 7.
Objective No. 2 of the City Council-approved work plan identified January 2023 as the target
date to have the temporary fire station operational. The City Council approved Capital
Improvement Program Project No. 4091 in June 2021, appropriating $900,000 from the General
Capital Construction Fund for the project. Then, on March 22, 2022, the City Council adopted
Resolution No. 2022-079, appropriating an additional $922,000 from the city's Public Facility
Fee Fund for the project.
Setting up the temporary fire station
Development of the temporary fire station will consist of setting up two modular residential
buildings and a temporary garage facility that will be used to store fire department vehicles and
equipment. The garage is to be a Sprung structure, a movable building made of fabric tautly
stretched over a frame.
The city owns one modular building and a 1,600-square foot Sprung structure. These are being
used for the temporary Fire Station 2, located next to the city library on Dove Lane, while a
permanent Fire Station 2 is being reconstructed. Once the reconstruction of Fire Station 2 is
completed, the existing city-owned trailer and Sprung structure will be relocated to the
temporary Fire Station 7 site. The city also needs to procure an additional modular residential
building and expand the Sprung structure to accommodate the required personnel and
equipment.
The temporary structure will be expanded from 1,600 square feet to 3,200 square feet. The
second modular building of about 1,400 square feet will be purchased and placed on the site,
along with the city-owned buildings now serving as temporary Fire Station 2.
Procurement authorization
In developing the project plans and specifications, staff determined that to meet the goa l of
having temporary Fire Station 7 operational in January 2023, the second modular building and
temporary structure staff would need to be ordered well in advance of construction. Staff
pursued several procurement options and have determined that the project would most
benefit from receiving the City Council's authorization to purchase these structures in advance
of approving the project construction documents and awarding a contract for construction.
Since the procurement costs for the modular units and the temporary structure exceed
$100,000, the City Council's authorization is required, in accordance with municipal code
Section 3.28.040(0)(1).
April 5, 2022 Item #3 Page 2 of 12
However, Section 3.28.110 allows for the "awarding authority," which, in this case is the City
Council, to exempt purchases of goods and/or services from the procurement provisions of
Chapter 3.28, such as putting the work out for bid.
Section 3.28.110 (C) exempts items required matching or being compatible with other goods,
furnishing, materials or equipment previously purchased by the city. Section 3.28.110 (N)
exempts situations in which soliciting bids or proposals for goods, services and/or professional
service would be, in the discretion of the awarding authority, impractical, unavailing, impossible
or not in the best interest of the city.
The city's Purchasing Officer has reviewed the proposed purchase and agrees that these
purchases are in the best interest of the city.
Options
Staff provide the following options for the City Council's consideration:
1. Adopt a resolution authorizing the purchase of a modular residential building from
Pacific Homes for an amount not to exceed $239,962 and authorizing the purchase of a
rapid-delivery fabric structure from Sprung Structures for an amount not to exceed
$227,871.
Pros
• Purchasing the buildings now will ensure the buildings are manufactured and
delivered concurrently with the construction of the Temporary Fire Station No. 7
Project.
• Material prices are currently increasing and contracting at this time will likely
cost less than if this procurement were delayed.
• This action will help the city achieve the City Council goal to bring the Fire
Department into conformance with the standards of cover evaluation.
Cons
• None identified.
2. Do not adopt the resolution.
Pros
• None identified
Cons
• The duration of the construction phase of the Temporary Fire Station No. 7
Project will be extended and/or delayed until the required buildings can be
procured.
• Authorizing this scope of work at a later date will likely require a greater
expenditure of funding.
Staff recommend Option 1 for the City Council's approval.
April 5, 2022 Item #3 Page 3 of 12
Fiscal Analysis
Funding is available in the project budget to support the value of this contract as indicated in
the table below, so no additional appropriation is required.
Temporary Fire Station No. 7
Capital Improvement Program Project No. 4091
Total appropriation to date $1,822,000
Total expenditures and encumbrances to date $472,397
Purchase of Sprung Structure $227,871
Purchase of modular residential structure $239,962
Estimated construction costs $881,770
Remaining balance $0
Next Steps
Upon the City Council's approval, staff will issue purchase orders for the buildings required for
the completion of temporary Fire Station 7. Upon completion of plans and specifications, staff
will return to the City Council with a request to approve the documents and authorize bidding
the project for construction, which is expected to occur in late summer 2022. This will be
followed by a request to award a construction contract to the lowest responsive and
responsible bidder in fall 2022.
Staff anticipate that construction will begin in fall 2022, with a goal of completion in January
2023.
Environmental Evaluation
The City Planner has determined that the project belongs to a class of projects that the State
Secretary for Natural Resources has found do not have a significant impact on the environment,
and it is therefore categorically exempt from the requirement for the preparation of
environmental documents, according to the following sections of the California Environmental
Quality Act Guidelines: Section 15301-Existing facilities, 15303 -Construction or conversion of
small structures, 15303 (c), 15304 (f) -Minor alterations to land.
In making this determination, the City Planner has found that the exceptions listed in Section
15300.2 of guidelines do not apply to this project. Specifically:
• The project is consistent with 15301 (b) because it is located on a developed site
with existing parking and utilities, such as gas, sewer, water and electrical amenities.
• The project is consistent with Section 15303 (c) because the two temporary
buildings that would house a maximum of seven staff members and would contain
two offices are each less than 2,000 square feet and combined are less than 6,000
square feet.
• The project is consistent with Section 15304 (f) because there will be minor
trenching conducted in order to connect to existing underground utilities and the
surface would be restored. Purchasing modular buildings for implementation is
consistent with that determination.
April 5, 2022 Item #3 Page 4 of 12
Public Notification
Public notice of this item was posted in keeping with the Ralph M. Brown Act and it was
available for public viewing and review at least 72 hours before the scheduled meeting date
Exhibits
1. City Council resolution
2. Location map
3. Memorandum to Purchasing Officer requesting exemption
April 5, 2022 Item #3 Page 5 of 12
RESOLUTION NO. 2022-082
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, AUTHORIZING THE PURCHASE OF A MODULAR RESIDENTIAL
BUILDING FROM AAAMERICAN PACIFIC MANUFACTURED HOMES, INC., A
CALIFORNIA CORPORATION, AND AUTHORIZING THE PURCHASE OF A
RAPID DELIVERY MOVABLE BUILDING FROM SPRUNG INSTANT
STRUCTURES, INC., A TEXAS CORPORATION, FOR THE TEMPORARY FIRE
STATION NO . 7 PROJECT
EXHIBIT 1
WHEREAS, on March 11, 2021, the City Council identified a priority goal to "Bring the Fire
Department into conformance with the Standards of Cover evaluation"; and
WHEREAS, on May 11, 2021, the City Council approved a Work Plan that outlined how this goal
would be achieved; and
WHEREAS, the Work Plan identified the need for Temporary Fire Station 7, or TFS No. 7; and
WHEREAS, on June 8, 2021, the City Council approved Capital Improvement Program, or CIP,
Project No. 4091 to prepare a site in the vicinity of Cannon Road and Avenida Encinas for the purpose
of siting TFS No. 7; and
WHEREAS, on March 22, 2022, the City Council approved Resolution No. 2022-079, which
appropriated additional funds for const ruction of TFS No.7, CIP Project No. 4091; and
WHEREAS, to construct TFS No. 7, staff need to procure modular buildings to house personnel
and equipment; and
WHEREAS, due to long lead times in manufacturing, the modular buildings need to be ordered
well in advance of TFS No. 7 construction to keep project construction on schedule; and
WHEREAS, City Council authorization is required to purchase the modular buildings pursuant to
Carlsbad Municipal Code, or CMC, Section 3.28.040(0)(1) becau se procurement costs for these
modular buildings exceed $100,000; and
WHEREAS, the CMC allows for the awarding authority, in this case the City Council, to exempt
purchases of goods from the procurement provisions of Chapter 3.28 for various reasons; and
WHEREAS, CMC Section 3.28.llO(C) allows exemption from procurement provisions ifitems are
required to be matching or compatible with other goods purchased by the city, and CMC Section
3.28.llO(N) allows exemption from procurement provisions if it is in the best interest of the city; and
WHEREAS, the city's purchasing officer supports requesting an exemption from Chapter 3.28 of
the CMC pursuant to CMC 3.28.llO{C) and 3.28.ll0(N); and
WHEREAS, funding for this purchase is available in the project budget, and no additional
appropriation is required; and
WHEREAS, the City Planner has determined that the project belongs to a class of projects that
the State Secretary for Resources has found do not have a significant impact on the environment, and
it is therefore categorically exempt from the requirement for the preparation of environmental
documents pursuant to Section 15301-"existing facilities," 15303 -"construction or conversion of
small structures," 15303 (c), 15304 (f) -"minor alterations to land" of the California Environmental
Quality Act, or CEQA, Guidelines. In making this determination, the City Planner has found that the
exceptions listed in Section 15300.2 of the state CEQA Guidelines do not apply to this project; and
WHEREAS, the project is consistent with: (1) 15301 (b) because it is located on a developed site
with existing parking and utilities such as gas, sewer, water, and electrical amenities; (2) Section 15303
(c) because the two temporary buildings that would house a maximum of seven staff members and
would contain two offices are each less than 2,000 square feet and combined are less than 6,000 square
feet; and (3) Section 15304 (f) because there will be minor trenching conducted in order to connect to
existing underground utilities and the surface would be restored. Purchasing modular buildings for
implementation is consistent with that determination.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as
follows:
1.
2.
That the above recitations are true and correct.
That the purchase of a modular residential building from AAAmerican Pacific
Manufactured Homes, Inc., a California corporation, for an amount not to exceed
$239,962, is approved.
3. That the purchase of a rapid-delivery movable building from Sprung Instant Structures,
Inc., a Texas corporation, for an amount not to exceed $227,871, is approved.
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of
Carlsbad on the 5th day of April 2022, by the following vote, to wit:
AYES:
NAYS:
ABSENT:
Hall, Blackburn, Bhat-Patel, Acosta, Norby.
None.
None.
MATT HALL, Mayor
~
11)v' FAVIOLA MEDINA, City Clerk Services Manager
(SEAL)
Exhibit 2
LOCATION MAP
PROJECT NAME PROJECT EXHIBIT
TEMPORARY FIRE STATION 7 NUMBER 2 4091
Item #3 Page 9 o 12
Exhibit 3
{'cicyof
Carlsbad
Memorandum
March 18, 2022
To:
From:
Re:
Roxanne Muhlmeister, Assistant Finance Director/Purchasing Officer
John Maashoff, Public Works Manager
Request for Authorization of an Exemption to the Bidding Requirements per
Municipal Code 3.28.110 for Temporary Fire Station No. 7, CIP Project No. 4091
The purpose of this letter is to request authorization of an exemption to the bidding process per
Purchasing Code sections 3.28.110 (C) and (N). This code provides a bidding exemption for the
procurement of goods when items are required to be compatible with items previously purchased by
the city or when solicitations of bids are impractical, or not in the best interests of the city.
Staff would like to retain Pacific Manufacturing Homes to procure a modular residential building and
Sprung Structures, Inc. to procure a rapid-delivery tensioned membrane structure to serve as
Temporary Fire Station 7, CIP Project No. 4091 (Project)
Rationale:
On March 11, 2021, City Council identified four priority goals for fiscal year 2021-22. One of the
goals adopted was to "Bring the Fire Department into conformance with the Standards of Cover
evaluation". On May 11, 2021, the City Council approved a Work Plan (Work Plan Option lA) that
outlined goal implementation. The Work Plan identified vehicle, equipment, and other resources
including the need for a temporary fire station, Temporary Fire Station 7 (TFS7), to be constructed
in the area of Cannon Road west of the 1-5.
The city anticipates constructing the new TFS7 at 4600 Carlsbad Blvd. TFS7 will be comprised of two
modular living units that will house 7 personnel and contain two offices and a modular garage for
fire and lifeguard vehicles (Sprung Structure). The city currently owns one modular residential
building and a Sprung Structure, they are currently serving as temporary Fire Station 2 while
permanent Station 2 is being constructed.
The plan is to relocate the temporary modular residential building and Sprung Structure from its
current location to the TFS7 site once permanent Station 2 is complete. The Sprung Structure
would then be enlarged to accommodate vehicles stationed at TFS7 and a second modular living
unit would be installed.
Modular Residential Building
The existing modular building serving as Temporary Fire Station 2 was manufactured by Pacific
Homes. It was procured through a competitively bid design-build contract with Barnhart-Reese
April 5, 2022 Item #3 Page 10 of 12
Roxanne Muhlmeister
March 18, 2022
Page 2
awarded by City Council Resolution No. 2020-193. In order to provide consistency in the operation
and maintenance of the modular residential buildings that will serve as TSF7, it is requested that a
second building be purchased from Pacific Homes. Procuring from Pacific Manufacturing Homes
will ensure the building's mechanical, electrical and plumbing systems are consistent at TSF7. For
this reason, I am requesting an exemption pursuant to 3.28.110 (C).
The lead-time for procuring a modular residential building is approximately 6-10 months.
In order to meet the Work Plan goal of staffing TFS7 by Jan 2023 staff needs to order the second
modular residential unit as soon as practicable. I unsuccessfully researched vendors through Omnia
Partners and HGAC (cooperative purchase agreements commonly used by the city for procurement
of goods) and reached out to additional manufacturers and was quoted around $200/sf for modular
residential buildings.
Pacific Modular quoted $239,962 ($128/SF) for a four modular residential unit that will meet the
needs ofTFS7. Due to the project's timing constraints, and for the fact bidding may produce a similar
result, I am requesting an exemption pursuant to 3.28.110 (N).
Membrane Structure
Although there are several manufacturers of modular membrane buildings, Sprung Structures, Inc.
manufactures tensioned membrane modular buildings (https://www.sprung.com/) with a
proprietary tensioned membrane system. In order to expand our existing Sprung Structure, the city
needs to procure the expansion materials from Sprung Structures, Inc.
Sprung Structures, Inc. has provided a quote in the amount of $227,871. I am requesting an
exemption pursuant to 3.28.110 (C).
Next Steps
Upon receiving your support for the requested exemptions I will develop a staff report for City
Council's future consideration.
Respectfully,
John Maashoff
Public Works Manager
Approval for Exemption
Roxanne Muhlmeister,
Assistant Finance Director/Purchasing Officer
CC : Shea Sainz, Senior Contract Administrator
April 5, 2022
3/21/2022
Date
Item #3 Page 11 of 12
Roxanne Muhlmeister
March 18, 2022
Page 3
Eleida Felix Yackel, Senior Contract Administrator
April 5, 2022 Item #3 Page 12 of 12
Temporary Fire Station 7 Project
John Maashoff, Public Works Manager
April 5, 2022
1
RECOMMENDED ACTION
Adopt a resolution authorizing the purchase of a modular
residential building from AAAmerican Pacific Manufactured Homes
Inc., a California corporation, for an amount not to exceed
$239,962; and a rapid delivery movable building from Sprung
Instant Structures Inc., a Texas corporation, for an amount not to
exceed $227,871; for the temporary Fire Station No. 7 Project,
Capital Improvement Program Project No. 4091.
ITEM 3 –TEMPORARY FIRE STATION 7
2
•March 11, 2021 –City Council set goal to “Bring the Fire Department
into conformance with standards of cover evaluation (SOC).”
•June 8, 2021 ––City Council approved CIP Project 4091 for the
development of Temporary Fire Station No. 7 and approved an
associated work plan for the SOC goals.
•March 22, 2022 –City Council appropriated an additional $922,000 in
funding for Project 4091
BACKGROUND
ITEM 3: TEMPORARY FIRE STATION 7
•Two residential modular buildings
•Sprung structure (garage)
•Laydown yard
•Staff parking
•Direct access to Carlsbad Boulevard
•Direct access to Agua Hedionda Lagoon
PROJECT DESCRIPTION
ITEM 3 –TEMPORARY FIRE STATION 7
PREFERRED LOCATION –4600 CARLSBAD BLVD.
ITEM 3: TEMPORARY FIRE STATION 7
PROJECT STATUS
Conditional Use Permit issued
Coastal Development Permit, or CDP,
application submitted to the
California Coastal Commission
CDP application deemed complete
ITEM 3 –TEMPORARY FIRE STATION 7
6
Dec. 20, 2021
Jan. 21, 2022
Feb. 22, 2022
PROPOSED LICENSE AGREEMENT
•Negotiations with NRG are ongoing
•License agreement is in draft form, subject to change
based on final license agreement
•City Council consideration of license agreement in the
future
•Proposed terms –6 years + 2 1-year extensions
•$30,000 per year + 3% annual increases (or $266,770
for 8 years)
•Concrete pad, rescue watercraft access, ingress/egress
ITEM 3 –TEMPORARY FIRE STATION 7
7
FISCAL ANALYSIS
ITEM 3 –TEMPORARY FIRE STATION 7
8
Project appropriations to date $1,822,000
Expenditures/Encumbrances to date $472,397
Purchase of Sprung Structure $227,871
Purchase of modular residential structure $239,962
Estimated construction/lease costs $881,770
Remaining Balance $0
*license agreement is in draft form, subject to change
NEXT STEPS
•Issue purchase orders for the modular and
Sprung Structure buildings
•License Agreement presented to City
Council
•Approval of plans & specifications /
authorization to bid
•Award of construction contract
•Temp FS7 operational –January 2023
ITEM 3: TEMPORARY FIRE STATION 7
RECOMMENDED ACTION
Adopt a resolution authorizing the purchase of a modular
residential building from AAAmerican Pacific Manufactured Homes
Inc., a California corporation, for an amount not to exceed
$239,962; and a rapid delivery movable building from Sprung
Instant Structures Inc., a Texas corporation, for an amount not to
exceed $227,871; for the temporary Fire Station No. 7 Project,
Capital Improvement Program Project No. 4091.
ITEM 3 –TEMPORARY FIRE STATION 7
10
ITEM 3: Temporary Fire Station 7
QUESTIONS?
{ City of
Carlsbad