REPORT TO COUNCIL
SUBJECT
Title
Award of Contract for Design and Construction Support Services for The Mary-Carson Water Tank No. 2 Interior Refurbishment Project (F17-110)
Report
REPORT IN BRIEF
Approval is requested to award a contract to V&A Consulting Engineers of Oakland in the amount of $92,392 for design and related services for The Mary-Carson Water Tank No. 2 Interior Refurbishment Project (Public Works Project No. UW-14/02-15). Approval is also requested for a 10% design contingency in the amount of $9,392.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, transaction exceeding $100,000 require Council approval.
ENVIRONMENTAL REVIEW
This award of a design contract is not a project as defined in Section 15378 of the California Environmental Quality Act (CEQA) as it has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
BACKGROUND AND DISCUSSION
The Mary-Carson Water Plant, including two 5,000,000-gallon (5.0 MG) steel tanks, is an important component of the City’s potable water supply. On May 20, 2014, Council awarded a contract in the amount of $146,559 to V&A Consulting Engineers (V&A) of Oakland for design and related services to refurbish the interiors of both water tanks (RTC No. 14-0480). The design included tank interior relining, seismic restrainers for tank coupling adapters at tank/water line interface, repairs to the overflow moat, and other necessary improvements.
While the project was being designed, the FY 2015/16 Recommended Budget was being developed. At that time staff was budgeting for several water tank-related projects and it was estimated that funding would only be available to refurbish one tank. Based on this realization, the design scope of the V&A contract was reduced to construct improvements only to the No. 1 tank. There were no design savings because a new set of plans and specifications had to be developed that were suitable for construction bidding.
The construction project for Tank No. 1 was bid in April 2016. The lowest bid of $799,000 was received from Blastco Inc., which was substantially lower than the engineer's estimate. The remaining savings will allow the design to refurbish Tank No. 2 to proceed, with construction recommended for funding in FY 2017/18. Since V&A was initially awarded the design for both tanks in 2014, it is recommended that they prepare the bid documents for the Tank No. 2 project. A Request for Proposals (RFP) process was conducted in 2014 and V&A was the only firm to submit a proposal (it was noted in the 2014 RTC that recommended the award of contract that staff was only able to identify two firms in the Bay Area as being qualified to perform this type of specialized engineering design).
FISCAL IMPACT
Budgeted funding to design the Tank No. 2 project is available in Capital Project 830170, Refurbishment of Water Tanks.
Funding Source
This project is funded by the Water Supply and Distribution Fund.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
1) Award a contract, in substantially the same form as Attachment 1 to the report, and in an amount not-to-exceed $92,392, to V&A Consulting Engineers, and authorize the City Manager to execute the contract when all the necessary conditions have been met; 2) Approve a 10% design contingency in the amount of $9,239.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Timothy J. Kirby, Director of Finance
Reviewed by: Manuel Pineda, Director of Public Works
Reviewed by: Walter C. Rossmann, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Draft Consultant Services Agreement