DEPARTMENT
Infrastructure
AGENDA NO.
10 MEETING DATE
February 8, 2022
APPROVAL:
COMMISSION
SECRETARY
Donna Hood
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Construction Modification: Regular Calendar
Project Manager: Ming Yee
Approve Increase to Construction Cost and Duration Contingencies for WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation; Authorize the General Manager to approve future modification to Contract WW-712; and Approve the Addition of Brick Sewer Rehabilitation in Locations North of Market Street (bounded by Mason, Jones, Eddy, and McAllister Streets) within the Proposed Increased Contingencies
Summary of Proposed
Commission Action:
Approve an increase of $2,250,000 to the contract cost contingency, and an increase of 180 consecutive calendar days to the contract duration contingency for Contract No. WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation, with D’Arcy & Harty Construction, Inc; authorize the General Manager to approve future modifications to the contract for a total contract amount of up to $7,627,625 and a total contract duration of up to 609 consecutive calendar days (approximately one year and eight months); and approve the addition of brick sewer rehabilitation in locations North of Market Street (bounded by Mason, Jones, Eddy, and McAllister Streets) within the proposed increased contingencies. This action constitutes the Approval Action for the additional work for the purposes of the California Environmental Quality Act (CEQA) pursuant to Section 31.04(h) of the San Francisco Administrative Code. The Planning Department has determined that this action is exempt from the CEQA. If the item is approved, the Commission will rely on that determination to make its decision.
Background: The purpose of this project is to rehabilitate sewers that are over 100 - years old and identified to be at a high-risk of failure based on data from the San Francisco Public Utilities Commission (SFPUC) Condition System Assessment Management Progra m. The project team further confirmed the need for structural rehabilitation by closed-circuit televised videos of the sewers which showed missing bricks and mortars.
Contract: WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation Commission Meeting Date: February 8, 2022
On May 11, 202 1, by Resolution No. 21-0075, this Commission awarded Contract No. WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation . The original contract amount was $4,888,750, and the original contract duration was 390 consecutive calendar days. Staff issued Notice to Proceed on August 30, 2021.
While this contract was underway, staff identified deteriorated sewers north of Market Street and in the vicinity of the Better Market Street (BMS) Phase 1 contract led by San Francisco Public Works and the San Francisco Municipal Transportation Agency. The risk of failure for these sewers increased due to their
proximity to BMS Phase 1
construction, which has a construction duration of over 600 calendar days with an anticipated start date in February 2022 and end date in October 2023, which would prevent SFPUC from accessing these aging sewers until BMS construction is completed . In Spring 2021, SFPUC staff proposed adding the rehabilitation of those sewers to the Better Market Street (BMS) Phase 1 contract to mitigate the increased risk of failure. Unfortunately, by late 2021, various constraints of the B MS Phase 1 contract did not allow the sewer work to be included.
Subsequently, given the urgency of the contemporaneous BMS project, staff recommended adding the proximate sewers to the scope of this contract, WW-712. The location of the sewers in proximity to the BMS project is approximately one mile from the original scope of the contract, but the type and age of sewer (brick and mortar) and nature of the rehabilitation work are the same. WW -712 is located within the vicinity of Mission Street, between New Montgomery and Howard Streets. T he proposed additional
scope of work is located north of
Market Street, between Mason and Jones Street s and specifically on:
Mason Street, between Market and Eddy Streets; on Turk Street, between Taylor and Mason Streets; on Golden Gate Ave, between Jones and Taylor Streets; and on Jones Street, between McAllister Street and Golden Gate Ave. The proposed additional sewer work was originally part of a separate project , the Tenderloin and Nob Hill Sewer Improvements Project , which obtained environmental approval separately and is proposed to be performed under WW-712.
Whenever there is an existing bid item applicable to the additional sewer work, t he contractor has preliminarily agreed to hold the same pricing for the additional sewer locations as the bid price for the original contract work , with exceptions for location- specific work , such as traffic control.
If approved, staff will continue to coordinate closely with the BMS Phase 1 project team and will aim to complete the sewer rehabilitation work before the BMS Phase 1 contractor begins construction work at the vicinity of these sewers.
Contract: WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation Commission Meeting Date: February 8, 2022
Description of Scope of
Work:
The contract consists of the following scopes of work:
• Rehabilitation of existing brick sewers (using cured- in-place- liners or spray-mortaring construction methods);
• Replacement of sewer laterals and associated appurtenances; • Rehabilitation of existing se wer manholes and installation of new sewer manholes;
• Pavement, roadway, and other restoration after sewer work is completed; and
• Other appurtenances associated with the above sewer work.
The original contract included approximately 4,680 linear feet of sewer main and laterals work and is located on San Francisco, CA at these locations:
• New Montgomery Street, between Market and Howard Streets; • Jessie Street, between 2nd and 3rd Streets;
• Minna Street, between 2nd and 3rd Streets; and
• Mission Street, between 2nd and 3rd Streets.
For the reasons described in Background and consistent with the purpose of this project , t he same scope of work is proposed for approximately 1,400 linear feet of sewer mains and laterals at these additional locations:
• Mason Street, between Eddy and Market Streets;
• Turk Street, between Mason and Taylor Streets;
• Golden Gate Avenue, between Taylor and Jones Streets; and • Jones Street, between Golden Gate Avenue and McAllister Street.
The T enderloin and Nob Hill Sewer Improvements Project includes additional sewer rehabilitation work that will be performed under a future contract.
Changes and Modifications to the Contract:
Section 6.22(h) of the Administrative Code requires that any cumulative increase of the contract amount or duration in excess of 10% of the original contract amount or duration be approved by this Commission. No modifications have been issued to the contract to date.
Requested Increase to Contract Cost and Duration Contingency An increase of $ 2,250,000 to the contract cost contingency, and an increase of 180 consecutive calendar days to the contract duration contingency for a total contract amount of up to $7,627,625 and a total contract duration of up to 609 consecutive calendar days. If approved, this would authorize the General Manager or his designee to complete negotiations and, if appropriate, issue a change order and/or contract modification to implement sewer rehabilitation work at the additional locations listed above.
Contract: WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation Commission Meeting Date: February 8, 2022
Result of Inaction: A delay or denial awarding this contract will prevent the rehabilitation of the aging and deteriorating sewers near Market Street.
Funding, Budget and
Costs:
Funding: Project No. 10034718, Large Sewer Condition Assessment and Improvements. SSIP provides funds for this contract.
Original Contract Amount: $4,888,750
Original 10% Cost Contingency: $488,875
Requested Additional Cost Contingency: $2,250,000
Total Revised Contract Cost Limit: $7,627,625
Schedule: Notice-to-Proceed Date: August 30, 2021
Original Contract Duration: 390 consecutive calendar days Original 10% Duration Contingency: 39 calendar days
Requested Additional Duration Contingency: 180 calendar days Total Revised Contract Duration Limit : 609 consecutive calendar days
Environmental Review: On May 11, 2021, by Resolution No. 21 -0075, this Commission approved the award of Contract WW -712 for the New Montgomery, Jessie, Minna, and Mission Streets Brick Sewer Rehabilitation. This action would add some components of a separate project, the Tenderloin and Nob Hill Sewer Improvements Project, in order to expedite work, reduce risk of failure, and avoid conflicts with upcoming Better Market Street Phase I construction.
On August 6, 2020, the San Francisco Planning Department issued a statutory exemp tion determination under California Environmental Quality Act Section 21080.21 (Case Number 2020- 006988ENV) for the New Montgomery, Jessie, Minna, and Mission Streets Brick Sewer Rehabilitation, because the proposed pipeline replacement will be in the public right of way and does not exceed one mile in length. This exemption includes the original contract scope of work. The exemption can be found here: https://sfpuc.sharefile.com/d-
s6841b671546d4188975b25947f6f43e4
On March 23, 2021 the San Francisco Planning Department issued a statutory exemption determination under California Environmental Quality Act Section 21080.21 (Case Number 2021- 002879ENV) for the Tenderloin and Nob Hill Sewer Improvements Project, because the proposed pipeline replacement will be in the public right of way and does not exceed one mile in length
. This exemption includes the
additional work that may be added to this contract by change order within the re quested increased contingencies . The exemption can be found here:
https://sfpuc.sharefile.com/d-s2e995d834fe74545b1568c2b1976c1e8
Contract: WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation Commission Meeting Date: February 8, 2022
This action constitutes the Approval Action for the proposed additional work for the purposes of CEQA pursuant to Section 31.04(h) of the San Francisco Administrative Code.
Compliance with
Chapter 14B: Local
Business Enterprise
Utilization and Non-
Discrimination In
Contracting Ordinance:
The Contract Monitoring Division established a Local Business Enterprise ( LBE) subcontracting requirement of 6.00% for this contract. The contractor committed to a subcontractor LBE participation of 6.99% with its bid submittal.
Recommendation: SFPUC staff recommends that the Commission adopt the attached resolution.
Attachment: Site Map
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, On M ay 11, 2021, by Resolution No. 21- 0075, this Commission award ed Contract No. WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation to D’Arcy & Harty Construction, Inc., and WHEREAS, On August 30, 2021, SFPUC issued t he construction cont ract Notice- to- Proceed; and
WHEREAS, The original contract amount was for $4,888,750 and the original contract duration was 390 consecutive calendar days; and
WHEREAS, Contract Monitoring Division established a Local Business Enterprise (LBE) subcontracting participation of 6.00% for this contract, and the contractor committed to a LBE participation of 6.99% with its bid submittal; and
WHEREAS, Section 6.22( h) of the San Francisco Administrative Code require s Commission approval for any cumulative increase in contract amount or duration in excess of 10% of the original contract amount or duration; and
WHEREAS, An increase of $2,250,000 to the contract cost contingency and an increase of 180 calendar days to the contract duration contingency are requested for Contract WW-712; and WHEREAS, The City’s Better Market Street Phase 1 construction presents an urgent concern that such work may increase the risk of failure and impact the SFPUC’s access to proximate brick sewers; and
WHEREAS, The cost and time contingencies approved by this action would cover additional brick sewer rehabilitation work in proximity to the Better Market Street Phase 1 construction in locations North of Market Street (bounded by Mason, Jones, Eddy, and McAllister Streets), which had been a part of the Tenderloin and Nob Hill Sewer Improvements Project; and WHEREAS, On August 6, 2020, the San Francisco Planning Department issued a statutory exemption determination under California Environmental Quality Act Section 21080.21 (Case Number 2020-006988ENV) for the New Montgomery, Jessie, Minna, and Mission Streets Brick Sewer Rehabilitation, because the proposed pipeline replacement will be in the public right of way and does not exceed one mile in length, and this exemption includes the original contract scope of work; and
WHEREAS, On March 23, 2021, the San Francisco Planning Department issued a statutory exemption determination under California Environmental Quality Act Section 21080.21 (Case Number 2021 -002879ENV) for the Tenderloin and Nob Hill Sewer Improvements Project , because the proposed pipeline replacement will be in the public right of way and does not exceed one mile in lengt h, and this exemption includes the additional sewer work (approximately 1,400 linear-feet) that may be added to Contract No. WW -712, by change order within the requested increased contingencies; and
WHEREAS, This action constitutes the Approval Action for the proposed additional work for the purposes of the California Environmental Quality Act (CEQA) pursuant to Section 31.04(h) of the San Francisco Administrative Code, now, therefore, be it
RESOLVED, That this Commission hereby a pproves an increase of $2,250,000 to the existing contract cost contingency and an increase of 180 calendar days to the existing contract duration contingency, for Contract No. WW-712, New Montgomery, Jessie, Minna, and Mission Street Brick Sewer Rehabilitation, for a total contract cost contingency amount of up to $2,738,875 and a total contract duration contingency of 219 calendar days; and be it FURTHER RESOLVED, That this Commission hereby authorizes the General Manager , or his designee, to consider, and, if appropriate, to approve any future modifications to the contract amount for a total contract amount of up to $7,627,625, and a total contract duration of up to 609 consecutive calendar days, including additional brick sewer rehabilitation work in proximity to the Better Market Street Phase I construction project in locations North of Market Street (bounded by Mason, Jones, Eddy, and McAllister Streets).
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of February 8, 2022.
Secretary, Public Utilities Commission
SEWER SYSTEM IMPROVEMENT PROGRAM | Grey. Green. Clean. 1 N
Schematic, not to scale
LEGEND
WW-712 contract
work location
Work to Expedite
BMS Phase 1
WW-712: Contract Work Location
(see Legend)
Propose “Work to
Expedite” (see Legend)
SEWER SYSTEM IMPROVEMENT PROGRAM | Grey. Green. Clean. 2 N
Schematic, not to scale
Propose “Work
to Expedite”
INSIDE THE EXISTING 120-YR OLD SEWERS
SEWER SYSTEM IMPROVEMENT PROGRAM | Grey. Green. Clean.
Recommended Commission Approval Request
CONTRACT
WW-712
ORIGINAL 10%
Contingency
PROPOSED
CONTINENCY
INCREASE
PROPOSED
TOTAL
CONTRACT VALUE $ 4,888,750 $488,875 $2,250,000 $ 7,627,625
CONTRACT
DURATION
DAYS 390 39 180 609
MONTHS over 12 over 1.2 approx. 6 approx. 20
ISSUE:
• Deteriorated >120-year old brick sewers (3-foot by 5-foot) located on streets north of Market Street are in need of rehabilitation;
• Better Market Street Phase 1 (BMS Phase 1) scheduled to issue NTP in Spring 2022, and once their contract work starts, it may prevent rehab of these sewer work for 3+ years.
RECOMMENDATION:
Please approve Agenda Item.