DEPARTMENT
Infrastructure Division
AGENDA NO.
16 MEETING DATE
September 13, 2022
APPROVAL:
COMMISSION
SECRETARY
Donna Hood
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Construction Award: Regular Calendar
Contract Manager: Daniel Alvarado
Award Contract No . WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades
Summary of
Proposed
Commission
Action:
Approve the plans and specifications, and award Contract No. WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades , in the amount of $12,947,014, and with a duration of 990 consecutive calendar days (approximately two years and nine months), to the responsible bidder that submitted the lowest responsive bid, Cal State Constructors, Inc. to rehabilitate and upgrade the aging heating, ventilation, and air -conditioning and mechanical equipment throughout buildings at the Southeast Water Pollution Control Plant. This action constitutes the Approval Action for the Project for the purposes of the California Environmenta l 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 heating, ventilation, and air -conditioning (HVAC), mechanical, plumbing, electrical, and instrumentation and controls equipment and systems at the Southeast Water Pollution Control Plant are operating beyond their useful life and are in need of repair. Staff developed the project through a series of engineering investigations of deficient and failing systems, needs reporting, design documentation and review with SFPUC senior management.
Description of
Scope of Work:
The contract work location is at the Southeast Water Pollution Control Plant. The contract work consists of:
• Selective hazardous materials abatement and architectural demolition. • Furnishing and install ing new roof and fall protection systems , HVAC, mechanical, plumbing, electrical, and instrumentation and controls equipment and appurtenances.
• Adding temporary ventilation to the areas affected by HVAC repairs. • Replacing existing sluice gate actuators.
• Connecting all electrically driven equipment and/or components to an electrical power supply and performing other miscellaneous electrical work as required. • Concrete spall/crack repair and corrosion rehabilitation.
Contract: WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades Commission Meeting Date: September 13, 2022
Budget & Costs: Funding: Project No. 10015731 (CWWRNRTF44), SEP/SEC HVAC/MECH Engineer’s Estimate: $8,500,000
Award: $12,947,014
Schedule: Estimated Notice-to-Proceed Date: October 17, 2022 Estimated Completion Date: July 3, 2025
Contract Duration: 990 consecutive calendar days (approximately two years and nine months) (930 consecutive calendar days to Substantial Completion and an additional 60 consecutive calendar days to Final Completion)
Compliance with
Chapter 14B:
Local Business
Enterprise
Utilization and
Non-
Discrimination in
Contracting
Ordinance:
Set: The Contract Monitoring Division (CMD) established a 20% Local Business Enterprise (LBE) subcontracting requirement for this contract.
Submitted: The contractor committed to 21.24 % LBE participation in its bid submittal.
Environmental
Review:
On July 12, 2021, the San Francisco Planning Department determined the Project to be categorically exempt from environmental review under California Environmental Quality Act Section (“CEQA”) Guidelines Section 15301, Class 1 (Existing Facilities) under Case Number 2013.1044E. This action constitutes the Approval Action for the Project for the purposes of the CEQA pursuant to Section
31.04(h) of the San Francisco Administrative Code.
The exemption can be found here:
https://sfpuc.sharefile.com/d-s855fe08518244010a9d6bddb57467a5a
Bid History: Advertised: February 24, 2022
Bids Received: O n March 31, 2022, SFPUC received and publicly opened bids from four firms as follows:
Bid Rank Bid Amount Bid
Preference
Compensable
Delay
(58 Calendar
Days)
Adjusted Bid *Final Rank
1. CLW
Builders, Inc.
$12,282,169.00 10% $5,000 $11,314,952.10 **Did not
meet
minimum
qualifications
requirement
2. Pionic Unit
Construction,
Inc.
$12,462,700.00 N/A $450 $12,488,800.00 2
3. Blocka
Construction,
Inc.
$12,793,980.00 N/A $1,200 $12,863,580.00 3
Contract: WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades Commission Meeting Date: September 13, 2022
4. Cal State
Constructors,
Inc.
$12,947,014.00 10% $100 $11,657,532.60 1
*Application of bid preferences in accordance with Chapter 14B of the San Francisco Administrative Code and determination of a bid protest changed the final ranking of the low bidder. Cal State Constructors, Inc. moved from 4th to 1st place.
**Protest: On April 7, 2022, SFPUC received a protest letter from Cal State Constructors, Inc. (CSC) protesting the bid submitted by CLW Builders, Inc. (CLW). On April 14 , 2022, CLW submitted a response letter. On April 15, 2022, CSC submitted a rebuttal letter. After review of the protest, response, and rebuttal, the Contract Administration Bureau (CAB), in consultation with the City Attorney and the Contract Monitoring Division (CMD), sustained the protest on June 8, 2022, and determined that CLW was not qualified to bid. CLW requested a hearing to challenge the determination, which was held on July, 18, 2022. The purpose of the hearing was to provide an opportunity for CLW to provide evidence that it meets the minimum qualifications requirements set forth in the RFP. In particular, to demonstrate to the satisfaction of the City that CLW has successfully completed three industrial facility HVAC, mechanical, and/or electrical work projects related to Class A General Engineering work and/or wastewat er treatment facility mechanical/electrical retrofit projects of similar scope, budget, and complexity while managing at least two subcontractor disciplines within the last 10 years. After careful review of the information and documentation provided by the Project Team and CLW, the hearing officer determined that CLW had failed to provide evidence to demonstrate that it meets the minimum qualification requirements and provided the hearing determination results to all parties through a letter dated July 26, 2022.
CAB and CMD determined CSC to be the responsible bidder that submitted the lowest responsive bid.
Recommendation: SFPUC staff recommends that the Commission adopt the attached resolution.
Attachments: 1. CMD Memorandum
Contract: WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades Commission Meeting Date: September 13, 2022
Southeast Water Pollution Control Plant
750 Phelps St., San Francisco, CA 94124
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) operates and maintains the wastewater sewer system for the City and County of San Francisco, including at the Southwest Water Pollution Control Plant (SWCP); and
WHEREAS, The heating, ventilation, and air -conditioning (HVAC), mechanical, plumbing, electrical, and instrumentation and controls equipment and systems at the S WCP are operating beyond their useful life and are in need of repair; and WHEREAS, The Engineer’s Estimate is $8,500,000 for this construction contract to perform the following work:
• Selective hazardous materials abatement and architectural demolition. • Furnishing and installing new roof and fall protection s ystems, HVAC, mechanical, plumbing, electrical, and instrumentation and controls equipment and appurtenances. • Adding temporary ventilation to the areas affected by HVAC repairs. • Replacing existing sluice gate actuators.
• Connecting all electrically driven equipment and/or components to an electrical power supply and performing other miscellaneous electrical work as required. • Concrete spall/crack repair and corrosion rehabilitation; and WHEREAS, The contract duration is 990 consecutive calendar days; and WHEREAS, On February 24, 2022, SFPUC advertised a Request for Bids for Contract No.
WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades; and WHEREAS, On Mach 31, 2022, the SFUPC received and publicly opened four bids for Contract No. WW-543; and
WHEREAS, SFPUC S taff and Contract Monitoring Division (CMD) review of the bids for responsibility, responsiveness and application of bid preferences resulted in the establishment of Cal State Constructors, Inc. as the responsible bidder that submitted the lowest responsive bid; and
WHEREAS, CMD established a 20% Local Business Enterprise ( LBE) subcontracting requirement for this contract, and the contractor committed to 21.24% LBE participation in its bid submittal; and
WHEREAS, Funds are available from Project No. 10015731 (CWWRNRTF44), SEP/SEC HVAC/MECH; and
WHEREAS, On July 12, 2021, the San Francisco Planning Department determined the Project to be categorically exempt from environmental review under California Environmental Quality Act Section (“CEQA”) Guidelines [Section 15301], Class 1 (Existing Facilities) under Case Number 2013.1044E; and
WHEREAS, This action constitutes the Approval Action for the Project for the purposes of the CEQA pursuant to Section 31.04(h) of the San Francisco Administrative Code ; now, therefore be it,
RESOLVED, That this Commission hereby approves the plans and specifications and awards Contract No. WW-543, Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades, in the amount of $12,947,014, for a duration of 990 consecutive calendar days, to the responsible bidder that submitted the lowest responsive bid, Cal State Constructors, Inc.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of September 13, 2022.
Secretary, Public Utilities Commission
London N. Breed, Mayor
Carmen Chu, City Administrator
Romulus Asenloo, Director
1155 Market Street, 4th Floor, San Francisco, CA 94103
Telephone (415) 581-2310 Fax (415) 581-2351
CONTRACT MONITORING DIVISION
CITY ADMINISTRATOR’S OFFICE
Date: August 12, 2022
To: Daniel Alvarado, Project Manager, SFPUC
Frank Gennaccaro, CAB Analyst, SFPUC
From: Linda Rainaldi, Contract Compliance Officer, CMD
Subject: WW-543 Southeast Water Pollution Control Plant HVAC and Mechanical Upgrades -CMD Review
The Contract Monitoring Division (“CMD”) has reviewed the Bids submitted for the above referenced project, applied the appropriate bid discounts, and determined responsiveness to the Chapter 14B pre- award requirements. An LBE subcontracting participation requirement of 20% was established for this project. Below is a summary of CMD’s review.
Bidder Status Base Bid
Total Bid
plus
Compensabl
e Delay
LBE Bid
Discou
nt
Adjusted Bid
with LBE Bid
Discount
CLW Builders, Inc. SF LBE-MBE
(small) $12,282,169.00 $12,572,169.00 10% $11,314,952.10 Cal State Constructors,
Inc.
SF LBE-OBE
(micro) $12,947,014.00 $12,952,814.00 10% $11,657,532.60 Pionic Unit Construction,
Inc. Non-LBE $12,462,700.00 $12,488,800.00 N/A $12,488,800.00 Blocka Construction, Inc. Non-LBE $12,793,980.00 $12,863,580.00 N/A $12,863,580.00
CLW Builders, Inc. (“CLW”) is the lowest responsive bidder. CLW was deemed non-responsive for failing to meet the minimum technical requirements as specified in the Contract Documents, specifically Section 00 21 13, 1.10 Bidder Qualifications. Cal State Constructors, Inc. (“Cal State”) is the second lowest responsive bidder. Cal State met the 20.00% LBE subcontracting participation requirement by listing the following LBE firms on its Section 00 43 36 (Subcontractor List):
LBE
Subcontractor Scope of Work Status Listed
Amount
Amount
Credited
Participation
(based on
credited amount)
E. Mitchell Plumbing
SF LBE-
OBE
(micro)
$832,210.00 $832,210.00 6.43%
Union Rolling
Door
Company
FRP Doors and
Hardware
SF LBE-
OBE
(micro)
$318,208.00 $318,208.00 2.46%
Anderson
Roofing &
Sheet Metal
Co., Inc.
Roofing
SF LBE-
OBE
(micro)
$554,255.00 $554,255.00 4.28%
Bay-Tech
Engineering,
Inc.
Electrical and
Instrumentation
SF LBE-
MBE
(micro)
$1,044,500.00 $1,044,500.00 8.07%
Yum’s
Mechanical
Co., Inc.
HVAC and BMS
SF LBE-
MBE
(micro)
$5,302,500.00 $0.001 0.00%
TOTAL $8,051,673.00 $2,749,173.00 21.24%
1 Due to the request made by the SFPUC for time extension and the need for bid recertification, Yum’s Mechanical Co. Inc was unable to keep the original bid price and therefore, is unable to perform the subcontracted work for the amount specified in the proposed subcontractor listing. As a result, and pursuant to the confirmation received by the SFPUC, Yum’s consented to substitution request made by CSC under Public Contract Code section 4107, subdivision (a)(1).
Cal State also listed the following non-LBE subcontractor on Section 00 43 36:
Non-LBE Subcontractor Scope of Work Status Listed Amount Redwood Painting Co.,
Inc. Painting Non-LBE $41,400.00
Blocka Construction2 HVAC and BMS Non-LBE $5,302,500.00 TOTAL $5,343,900.00
2 CSC will substitute Blocka for YUM’s scope of work listed above.
Based on the foregoing, CMD has determined that Cal State has complied with the pre-award Chapter 14B requirements. Should you have any questions, or if I can be of further assistance, please do not hesitate to contact me at (415) 754-3227.