Title
Recommendation to Amend the Contract with Ranger Pipeline Inc. to Increase the Contract Amount by $4,504,757.51, Including Contingency, for Cyclic Sewer Rehabilitation Project, Phase 13, No. P.W. 05-16-08, for a Total Compensation of $13,326,486, for Cyclic Sewer Rehabilitation Project, Phases 11, 12 and 13. (Public Works 602)
Body
To: Honorable Mayor and Members of the City Council
From: Jill Keimach, City Manager
Re: Recommendation to Amend the Contract With Ranger Pipeline Inc. to Increase the Contract Amount by $4,504,757.51, Including Contingency, for Cyclic Sewer Rehabilitation Project, Phase 13, No. P.W. 05-16-08, for a Total Compensation of $13,326,486, for Cyclic Sewer Rehabilitation Project, Phases 11, 12 and 13
BACKGROUND
On May 20, 2014, the City Council adopted plans and specifications and authorized a call for bids for cyclic sewer rehabilitation project, phase 11, No. P.W. 06-13-16. On September 2, 2014, the City Council awarded the construction contract to Ranger Pipelines, Inc. with an annual extension option for up to four additional years, with each extension coming before City Council for approval. On September 15, 2015, the City Council approved the first amendment to the contract in the amount of $4,237,790.29 for Cyclic Sewer Rehabilitation Project, Phase 12, No. P.W. 01-15-01.
Completion of this work is required for compliance under Final Consent Decree for Consolidated Case Nos. C 09-00186-RS and C 09-05684-RS. The City bid the entire project at one time in order to secure a qualified contractor at a competitive price, given other parties to the consent decree were competing for similar contractors at the same time.
Annual extensions are based on mutual agreement and satisfactory performance of all aspects of the contract. Contract prices are adjusted in accordance with the construction cost index reported in the Engineering News Record for the San Francisco Bay Area; other contract terms remain the same.
DISCUSSION
The City continues to be satisfied with the services provided by Ranger Pipelines, Inc. A second amendment to the contract is needed for cyclic sewer rehabilitation project, phase 13, P.W. 05-16-08 in the amount of $4,504,757.51, including contingency. Approximately two and half miles of sewer main, associated manholes and lower laterals will be replaced as part of this project. The locations were prioritized for replacement based on condition and environmental consequences. The locations are as follows:
• Broadway, Encinal Avenue to Otis Drive
• Pacific Avenue, Benton Street to Grand Street
• Webster Street, Buena Vista Avenue to Ralph Appezzato Memorial Parkway
• Santa Clara Avenue, Court Street to High Street and Willow Street to Walnut Street
• Franciscan Way- Shore Line Drive easement line
• Central Avenue, Fernside Boulevard to Eastshore Drive
• Hawthorne Street, San Antonio Avenue to lagoon end
• Lincoln Avenue, Grand Avenue to Minturn Street
• Roosevelt Drive
• Cornell Drive, Marina Drive to Fernside Boulevard
• Versailles Avenue, Calhoun Street to lagoon end
• Spot repairs, as needed
It is expected that the work will commence on or about October 1, 2016 and will be completed by September 30, 2017.
FINANCIAL IMPACT
The project is budgeted in the Capital Improvement Program (Project No. 9950217), funded with monies from the Sewer Enterprise Fund (Fund 602). The City Council previously approved the original contract and the 1st contract amendment with Ranger Pipelines Inc. as presented below:
|
Contract Phase |
Authorized Amount |
Expended to Date |
|
Original Contract (Phase 11) |
$4,583,938 |
$3,958,311 |
|
1st Amendment (Phase 12) |
$4,237,790 |
$3,138,667 |
|
2nd Amendment (Phase 13) (as proposed) |
$4,504,758 |
$0 |
|
Total |
$13,326,486 |
$7,096,978 |
There is no impact to the General Fund.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action does not affect the Municipal Code.
ENVIRONMENTAL REVIEW
In accordance with the California Environmental Quality Act (CEQA), this project is Categorically Exempt under CEQA Guidelines Section 15301(b), Existing Facilities.
RECOMMENDATION
Amend the contract with Ranger Pipeline Inc. to increase the contract amount by $4,504,757.51, including contingency, for cyclic sewer rehabilitation project, phase 13, No. P.W. 05-16-08, for a total of $13,326,486, for cyclic sewer rehabilitation project, phases 11, 12 and 13.
Respectfully submitted,
Bob Haun, Public Works Director
By,
Erin Smith, Public Works Coordinator
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibit:
1. Contract
2. First Amendment
3. Second Amendment