DEPARTMENT
Water Enterprise
AGENDA NO.
11b
MEETING DATE
April 26, 2022
APPROVAL:
COMMISSION
SECRETARY
Donna Hood
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Construction Modification: Consent Calendar
Contract Manager: Lynn Fong
Accept Closeout with Modifications for Contract No. WD-2820R, San Francisco Local Water As-Needed Paving (FY 16-19)
Summary of
Proposed
Commission Action:
Accept work performed by A. Ruiz Construction Co. & Assoc., Inc. , for Contract No. WD -2820R, San Francisco Local Water As -Needed Paving (FY 16- 19); approve Modification No. 4 (Final), increasing the contract by $921,406 for a total contract amount of $22,940,706, with no change to the contract duration; and authorize final payment to the Contractor.
Background: The paving work under this contract is performed as part of the Water Enterprise Local Conveyance/Distribution System Program’s projects to replace, repair and upgrade water mains. This Contract is needed to restore roadways and sidewalks after water servi ces and mains are installed, main breaks are repaired, and meter boxes are replaced.
On May 9, 2017, by Resolution No. 17- 0109, this San Francisco Public Utilities Commission (SFPUC) awarded Contract No. WD - 2820R, San Francisco Local Water As -Needed Paving (FY 16-19), to A. Ruiz Construction Co. & Assoc., Inc. The original contract amount was $ 15,577,000 and the original contract duration was 1,095 consecutive calendar days.
Description of Scope
of Work:
The contract work consists of as-needed pavement restoration at locations within the City of San Francisco.
Changes to the
Contract under
Modification(s):
San Francisco Administrative Code section 6.22(h) requires Commission approval of any cumulative increase or decrease in the contract amount or duration in excess of 10% of the original. This modification will increase the contract amount by more than the approved available contingency.
Modification No. 1 increased the contract amount by $1,500,000 and increased the contract duration by 100 consecutive calendar days (within the original 10% contingencies) to complete work exceeding Contract: WD-2820R, San Francisco Local Water As-Needed Paving (FY 16-19) Commission Meeting Date: April 26, 2022
APPROVAL:
COMMISSION
SECRETARY
Donna Hood
the original projected estimated quantities, for a total contract amount of $17,077,000, and a total contract duration of 1,195 consecutive calendar days.
On September 22, 2020, by Resolution No. 20- 0202, this Commission approved an increas e to the cost contingency in the amount of $1,942,300 for a total revised contract amount of up to $19,077,000, and an increase to the duration contingency in the amount of 90 calendar days for a total revised contract duration of up to 1294 consecutive calendar days.
Modification No. 2 increased the contract amount by $1,942,300 and increased the contract duration by 90 consecutive calendar days to allow the continuation of as -needed paving work, for a total r evised contract amount of $19,019,300 and a total revised contract duration of 1,285 consecutive calendar days.
On January 26, 2021, by Resolution No. 21- 0001, this Commission approved an increase to the cost contingency in the amount of $3,000,000 for a total revised contract amount of up to $22,077,000, and an increase to the duration contingency in the amount of 172 calendar days for a total revised contract duration of up to 1,466 consecutive calendar days.
Modification No. 3 increased the contract amount by $3,000,000 and increased the contract duration by 181 consecutive calendar days to allow the continuation of as -needed paving work, for a total revised contract amount of $22,019,300 and a total revised contract duration of 1,466 consecutive calendar days.
Modification No. 4 (Final): Staff recommends this modification to increase the contract amount by $921,406 to reflect final quantities of work performed, and to allow SFPUC to process the final invoice and close out the Contract, which will result in a total contract amount of $22,940,706.
Funding, Budget and
Costs:
Funding: Project No. CUW280PRB1, San Francisco Local Water As- Needed Paving (FY 16-19)
Original Contract Amount: $15,577,000
Modification No. 1: $1,500,000
Modification No. 2: $1,942,300
Modification No. 3: $3,000,000
Modification No. 4 (Final) Amount: $921,406
Contract: WD-2820R, San Francisco Local Water As-Needed Paving (FY 16-19) Commission Meeting Date: April 26, 2022
APPROVAL:
COMMISSION
SECRETARY
Donna Hood
Total Revised Contract Cost : $22,940,706
Schedule: Notice-to-Proceed Date: June 26, 2017
Original Duration: 1,095 consecutive calendar days
Modification Nos. 1-3 Duration: 371 consecutive calendar days Total Revised Contract Duration: 1,466 consecutive calendar days
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 8% for this contract.
The contract or committed to a LBE subcontractor participation of
8.54% with its bid submittal.
At closeout, the LBE subcontractor participation was 3.84%. A. Ruiz Construction Co. & Assoc., Inc. fell short of its original subcontracting participation commitment on this contract and did not meet the individual commitments for its three listed LBE firms.
Upon CMD’s inquiry regarding the shortfalls, A. Ruiz Construction Co. & Assoc., Inc. provided documentation of its good faith efforts to meet the LBE subcontracting participation requirements. Further, A.
Ruiz Construction Co. & Assoc., Inc. performed additional outreach to solicitate LBE firms, but A. Ruiz Construction Co. & Assoc., Inc.’s outreach efforts yielded negative results. A Ruiz Construction Co. & Assoc., Inc. provided documentation to CMD which shows their additional outreach attempt in adding other LBE firms.
Based on the above, A. Ruiz Construction Co. & Assoc., Inc. provided sufficient documentation of its good faith efforts to meet the LBE subcontracting participation requirements, and CMD concurs with the closeout of this contract.
Recommendation: SFPUC staff recommends that the Commission adopt the attached resolution.
Attachments: 1. CMD Memorandum
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commision (SFPUC) must restore roadways and sidewalks after water services and mains are installed, main breaks are repaired, and meter boxes are replaced; and
WHEREAS, On May 9, 2017, by Resolution No. 17- 0109, this Commission award ed Water Enterprise Contract No. WD-2820R, San Francisco Local Water As -Needed Paving (FY 16-19), in the amount of $15,577,000, to the responsible bidder, submitting the lowest responsive bid, A. Ruiz Construction Co. & Assoc., Inc.; and
WHEREAS, On June 26, 2017, staff issued a notice- to-proceed to the Contractor, which started the 1,095 consecutive calendar days duration for Contract No. WD-2820R; and WHEREAS, San Francisco Administrative Code s ection 6.22(h) require s the Commission to approve any cumulative increase or decrease in the contract value greater than 10% of the original contract amount or duration, and Modification No. 4 (Final) will increase the contract amount by more than the approved available contingency; and WHEREAS, Modification No. 1 was issued to increase the co ntract amount by $1,500,000 and increase the contract duration by 100 consecutive calendar days (within the original 10% contingencies) to complete work exceeding the original projected estimated quantities, for a total contract amount of $17,077,000 and a total contract duration of 1,195 consecutive calendar days; and
WHEREAS, On September 22, 2020, by Resolution No. 20- 0202, this Commission approved an increase to the cost contingency in the amount of $1,942,300 for a total revised contract amount of up to $19,077,000, and an increase to the duration contingency in the amount of 90 calendar days for a total revised contract duration of up to 1,294 consecutive calendar days; and
WHEREAS, Modification No. 2 was issued to increase the contract amount by $1,942,300 and increase the contract duration by 90 consecutive calendar days to allow the continuation of as-needed paving work, for a total revised contract amount of $19,019,300 and a total revised contract duration of 1,285 consecutive calendar days; and WHEREAS, On January 26, 2021, by Resolution No. 21- 0001, this Commission approved an increase to the cost contingency in the amount of $3,000,000 for a total revised contract amount of up to $22,077,000, and an increase to the duration contingency in the am ount of 172 calendar days for a total revised contract duration of up to 1,466 consecutive calendar days; and
WHEREAS, Modification No. 3 was issued to increase the contract amount by $3,000,000 and increase the contract duration by 181 consecutive calendar days to allow the continuation of as-needed paving work, for a total revised contract amount of $22,019,300 and a total revised contract duration of 1,466 consecutive calendar days; and WHEREAS, The Contractor completed its work under Contract No. WD-2820R on June 30, 2021, which was within the approved 1,466 consecutive calendar days Contract duration; and
WHEREAS, Staff recommends approval of Modification No. 4 (Final) to increase the contract amount by $921,406 to reflect final quan tities of work performed, and to allow SFPUC to process the final invoice and close out the Contract, for a total contract amount of $22,940,706; and
WHEREAS, The Contract Monitoring Division established a Local Business Enterprise (LBE) subcontracting par ticipation requirement of 8% for this contract, and the contractor committed to an LBE subcontracting participation of 8.54% with its bid submittal, and CMD has determined that the contractor made a good faith effort to substantially comply with the LB E subcontracting requirement by achieving a final LBE participation of 3.84%; and RESOLVED, That this Commission hereby accepts work performed by A. Ruiz Construction Co. & Assoc., Inc. under Contract No. WD-2820R, San Francisco Local Water As- Needed Paving (FY 16- 19), and approves Modification No. 4 (Final), increasing the contract by $921,406 for a total contract amount of $22,940,706, and with a total contract duration of 1,466 consecutive calendar days; and authorizes final payment to the contractor.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of April 26, 2022.
Secretary, Public Utilities Commission
MEMORANDUM
Date: December 1, 2021
To: Jeffrey Shu, SFPUC
Michael Gardiner, SFPUC
From: Jason Chow, CMD
Subject: CMD’s Closeout Review for WD-2820.R SF Local Water As-Needed Paving (FY 16-19)
The Contract Monitoring Division (“CMD”) concurs with the closeout of this project based on the information provided by A. Ruiz and the SFPUC.
At the time the project was advertised, an LBE subcontracting requirement of 8% was established. A.
Ruiz’s Subcontractor List (Document 00 43 36) reflected an LBE subcontractor participation commitment of 8.54%. A. Ruiz was awarded the contract in the amount of $15,577,000. After four (4) change orders, the final contract amount is $22,940,706.10. At closeout, the LBE subcontracting participation is as follows:
Firm Status Scope of Work
Original Credited
Contract
Participation
Final Credited
Contract
Participation
Cobra
Trucking
SF LBE-MBE
(Small) Partial Trucking $600,000 3.85% $639,617.70 2.79% Lou’s
Concrete
Sawing &
Breaking
SF LBE-OBE
(Micro)
Partial
Sawcutting $640,000 4.11% $156,802.20 0.68%
CMC Traffic
Control
Specialists
SF LBE-WBE
(Micro)
Partial Traffic
Control and
Drawings
$90,000 0.58% $85,012.59 0.37%
Roadway
Construction
SF LBE-MBE
(Micro) Mill and Fill - - $0 0%1
EF Gomez SF LBE-MBE
(Microl) Concrete Work - - $0 0%2
TOTAL
$1,330,000 8.54%
$881,432.49 3.84%
1 Roadway Construction, an LBE firm was added onto A. Ruiz’s team after contract award. 2 EF Gomez, an LBE firm was added onto A. Ruiz’s team after contract award.
London N. Breed, Mayor
Carmen Chu, City Administrator
Romulus Asenloo, Director
CONTRACT MONITORING DIVISION
OFFICE OF THE CITY ADMINISTRATOR
At closeout, A. Ruiz fell short of its original overall LBE subcontracting participation commitment on this contract (reflected above). Additionally, A. Ruiz did not meet the individual commitments for its three (3) listed LBE firms; Cobra Trucking, Lou’s Concrete and CMC Traffic Control (also reflected above).
Upon CMD’s inquiry regarding the shortfalls, the following information was provided:
This is an as-needed contract and the three (3) listed LBE firms were utilized to the full extent possible.
The SFPUC confirmed that the majority of the work that was requested on this contract consisted of “Paving”, therefore, the work did not fit the listed LBEs skill sets (Trucking, Sawcutting and Traffic Control). This being the case, A. Ruiz anticipated that they were going to fall short of its original overall LBE subcontracting participaton commitment. As such, in good faith, A. Ruiz added two (2) LBE firms; Roadway Construction and EF Gomez onto its team (also reflected above) in hopes to meet its original overall LBE subcontracting participation commitment. However, when contacted by A. Ruiz, both firms declined their respective scopes of work. The correspondences between A. Ruiz and both of these LBE firms were provided to CMD.
Further, A. Ruiz performed additional outreach to solicitate LBE firms but A. Ruiz’s outreach efforts yielded negative results. A. Ruiz provided documentation to CMD which shows their additional outreach attempt in adding other LBE firms.
Based on the above information, A. Ruiz provided sufficient documentation of its good faith efforts to meet the LBE subcontracting participation requirements. Thus, CMD concurs with the closeout of this contract.