AGENDA REPORT
Meeting Date: July 16, 2024
Item Number:
To: Honorable Mayor & City Council
From: Mandana Motahari, City Architect
Karen Domerchie, Project Manager
Subject: ACCEPTANCE OF THE CONTRACT WORK WITH AMERICAN
INTEGRATED SERVICES, INC. FOR EMERGENCY
CONTRACTING ENVIRONMENTAL CLEANUP WORK AT 344
FOOTHILL ROAD SINKHOLE IN THE FINAL AMOUNT OF
$103,012; AND
AUTHORIZATION OF CITY CLERK TO RECORD NOTICE OF
COMPLETION
Attachments: 1. Notice of Completion
RECOMMENDATION
Staff recommends City Council accept the completed contract work with American Integrated Services, Inc. and authorize the City Clerk to record the attached Notice of Completion.
INTRODUCTION
This report provides information and requests City Council’s acceptance of the contract work indicated below and authorization of the City Clerk to record the Notice of Completion (Attachment 1) with the Los Angeles County Recorder.
DISCUSSION
Pursuant to Emergency Contracting Procedures under Public Contract Code Section 22050 (which is included by reference in BHMC Section 3-3-303), at the May 21, 2024 City Council meeting, staff notified City Council about the discovery of a sinkhole with potential hazardous materials at the parking lot located at 344 Foothill Road. At that time, staff also requested that City Council approve Amendment No. 2 to Agreement No. 56-24 with American Integrated Services, Inc. for the hazardous materials investigation and cleanup of the subject sinkhole. This Amendment brought the total contract amount for American Integrated Services, Inc. to $175,000. Below is a summary of the project, which was included in the May 21, 2024 staff report.
BEVERLY
HILLS
Meeting Date: July 16, 2024
The City purchased the subject property in 1997 from Southern California Gas Company.
It is located on a single parcel (AIN 434-200-9906) shared with the Dog Park at 344 Foothill Road. However, the sinkhole and work site area are located on a portion of the property separate from the Dog Park, accessible from Alden Drive often referred to as the Alden Lot, which does not have its own official address. City permit records show that a commercial building on the property was demolished in approximately 1984 by an owner prior to Southern California Gas Company.
In mid-2021, Mercedes Benz of Beverly Hills notified the City that there was a sinkhole at the Alden parking lot, which is the parking lot across the street from the Mercedes Benz dealership. After the sinkhole was discovered, it gradually increased in size.
The Alden Lot has been leased to Mercedes Benz of Beverly Hills, which has its service center across the street, for parking since 2004. While the work to repair the sinkhole continued, the City offered alternative parking for areas affected by the work site in a parking structure nearby, and the tenant continued to pay all rent as required under the lease.
The City solicited bids in February 2023 for the sinkhole repair work as recommended by the geotechnical engineer. Emilio Ramirez dba Ramco General Engineering Contractors (Ramco) was the low bidder. Agreement No. 08-24 in the amount of $53,600 was issued to Ramco, and Ramco began the sinkhole repair work on January 16, 2024.
Discovery of Debris and Oil Drums Inside Existing Concrete Vault On January 19, 2024, as Ramco was excavating to expose the underground concrete vault, they discovered garbage and deteriorated oil drums inside the vault.
Construction work was halted immediately, and per Emergency Contracting Procedures in Public Contract Code Section 22050 (which is incorporated in BHMC Section 3-3-303), the City requested EFI Global, Inc. to contract with American Integrated Services, Inc., a licensed hazardous materials contractor, to clean up the site the same day.
EFI Global, Inc. obtained water and soil samples from inside the vault to perform laboratory tests. The soil test results indicated that the calculated total mass of each detected metal, Volatile Organic Compound (VOC), and Organochlorine Pesticides (OCP) was below its respective reportable quantity. Therefore, the presence of these compounds does not constitute a reportable release.
In addition, although TPH quantified as gasoline, diesel and oil were detected in the subsurface, there was no evidence that the impacted materials encountered are one of the listed petroleum-containing reportable wastes under the Code of Federal Regulations, CFR 40302.4, and, thus, the petroleum hydrocarbons appear to be exempt per the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) notification requirements and should not qualify as a reportable release.
Clean Up and Repair Work
The investigation and cleanup of the site continued through May 2024, and on May 29, 2024, American Integrated Services, Inc. performed a confined-space entry and located the bottom of the vault. They were also able to confirm that there is a smooth concrete bottom to the vault. As a result, the area of contamination due to the garbage and oil drums was delineated.
Meeting Date: July 16, 2024
On June 13, 2024, Ramco backfilled the vault with slurry and repaired the asphalt paving in the parking lot. The repair work has been completed, and the parking lot is being used by the Mercedes Benz dealership as of June 28, 2024.
The total cost for the emergency remediation and cleanup work performed by American Integrated Services, Inc. is $103,012, which is less than the Amendment No. 2 estimated amount.
FISCAL IMPACT
Funding for this project is budgeted in Fund 405, Capital Improvements Projects No. 00815, Miscellaneous and Unplanned Construction Projects. The total contract amount is $175,000. The total project cost amounts to $103,012; therefore, $71,988 will be credited back to the original funding source.
The current amount paid on the contract is $103,012, and no retention has been withheld.
Shana Epstein,
Director of Public Works
Approved By
Attachment 1
THIS DOCUMENT IS OFFICIAL BUSINESS
OF THE CITY OF BEVERLY HILLS AND
ENTITLED TO FREE RECORDING UNDER
SECTION 6103 OF THE GOVERNMENT CODE
Requested by Huma Ahmed
AFTER RECORDING MAIL TO:
CITY CLERK'S OFFICE
Room 290, City Hall
455 North Rexford Drive
Beverly Hills, CA 90210
Space above this line for recorder's use
NOTICE OF COMPLETION
Notice is hereby given that:
1. The undersigned is owner of the interest or estate stated below in the property hereinafter described.
2. The full name of the undersigned is: City of Beverly Hills
3. The full address of the undersigned is: 455 North Rexford Drive, Beverly Hills, CA 90210
4. The nature of the title of the undersigned is: In fee
5. The full names and addresses of all persons who hold title with the undersigned are: None
6. A work of improvement on the property hereinafter described was completed on: July 16, 2024
7. The name of the contractor, if any, for such work of improvement was: American Integrated Services, Inc.
8. The property on which said work of improvement was completed is in the City of Beverly Hills, County of Los Angeles, and State of California, as is described as: Emergency Contracting Environmental Cleanup Work at 344 Foothill Road Sinkhole
9. The street address of said property is: 344 Foothill Road, Beverly Hills, CA 90210 Dated:
STATE OF CALIFORNIA } Signature of }
COUNTY OF LOS ANGELES } Owner or Owners }
Huma Ahmed, being duly sworn, says: That she is the City Clerk of the City of Beverly Hills, the corporation that executed the foregoing notice as owner of the aforesaid interest or estate in the property therein described; that he makes this verification of behalf of said corporation; that he has read said notice and knows the contents thereof, and that the facts therein stated are true.
Signature of
Corporate Officer
Named Above X