DEPARTMENT Infrastructure AGENDA NO. 7f
MEETING DATE October 10, 2023
Last updated: 05.03.2023
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Consent Calendar
Contract/Project Manager: Aileen Caylao
Accept Closeout and Authorize Final Payment for Contract No. WW-677, Various Locations Sewer Replacement No. 6
Summary of
Proposed
Commission Action:
Accept work performed by Precision Engineering, Inc. under Contract No.
WW-677, Various Locations Sewer Replacement No. 6, for a total contract amount of $4,401,284 and a total contract duration of 564 cons ecutive calendar days (approximately one year and seven months); and authorize final payment to the contractor.
Background: The San Francisco Public Utilities Commission (SFPUC) inspected existing sewers on the subject streets listed below in the Richmond, Sunset, and Western Addition neighborhoods and determined that several sewer segments required replacement. The SFPUC advertised Contract No. WW-677, Various Locations Sewer Replacement No. 6 , to procure a contractor to perform the replacement work.
On
January 14, 2020, by Resolution No. 20- 0006, the Commission awarded Contract No. WW -677, Various Locations Sewer Replacement No. 6 , to Precision Engineering, Inc. The original contract amount was $4,240,437, and the original contract duration was 400 consecutive calendar days.
On October 26, 2021, by Resolution No. 21-0161, the Commission approved an increase to the existing contract duration contingency by 124 calendar days for a new total contract duration contingency of 564 consecutive calendar days, with no change to contract amount.
Scope of Contract: The contract work replaced 4,743 lineal feet of existing main sewer pipelines with 3,962 lineal feet of 12-inch, 15-inch and 30-inch diameter vitreous clay pipe; 373 lineal feet of 18- inch and 24- inch high density polyethylene pipe ; 370 lineal feet of 36-inch diameter reinforced concrete pipe; and 38 lineal feet mortar rehabilitation of existing 3’x5’ brick sewers at the following locations in the Richmond, Sunset and Western Addition neighborhoods in San Francisco:
• 44th Avenue from Balboa Street to Cabrillo Street;
• 37th Avenue from Geary Boulevard to Anza Street;
• 30th Avenue from Balboa Street to Cabrillo Street;
• 29th Avenue from California Street to Clement Street; Agenda Title: WW-677, Various Locations Sewer Replacement No. 6 Commission Meeting Date: October 10, 2023
• Funston Avenue from Balboa Street to Cabrillo Street; • 4th Avenue from Hugo Street to Irving Street;
• Lyon Street from Golden Gate Avenue to Grove Street (3 blocks); and • O’Farrell Street from Steiner Street to Fillmore Street.
Modifications to the
Contract:
Modification Nos. 1 and 2: Staff issued Modifications Nos. 1 and 2 increasing the contract by $160,847 for a total Contract amount of $4,401,284, and increasing the contract duration by 164 consecutive calendar days, for a total contract duration limit of 564 consecutive calendar days, in accordance with Resolution No. 21- 0161, to adjust contract quantities to match actual quantities and address unforeseen site conditions.
Funding and Costs: Funding Source: Wastewater Enterprise, Renewal and Replacement Program, Public Works Street Resurfacing Program and Public Works Curb Ramp Program , Project No. 10033120, Various Locations Sewer Replacement No. 6
Original Contract Amount: $4,240,437
Modifications Nos. 1 to 2 Amount: $160,847
Total Final Contract Amount: $4,401,284
Schedule: Notice-to-Proceed Date: June 15, 2020
Original Contract Duration: 400 consecutive calendar days Modifications Nos. 1 to 2 Duration: 164 calendar days
Total Final Contract Duration: 564 consecutive calendar days
Local Business
Enterprise
Participation and
Non-Discrimination
In Contracting:
The Contract Monitoring Division (CMD) established a 20% Local Business Enterprise (LBE) subcontracting requirement for this contract. The contractor committed to 20.518% LBE participation with its bid submittal. The CMD determined the contractor complied with its LBE subcontracting goal by achieving a final LBE participation of 17.62%.
Attachment: 1. Contract Monitoring Division Memorandum
Agenda Title: WW-677, Various Locations Sewer Replacement No. 6 Commission Meeting Date: October 10, 2023
Location Map
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) inspected existing sewers in the City and County of San Francisco and identified sewer lines needing replacement in the Richmond, Sunset and Western Addition neighborhoods and issued a request for bids for Contract No. WW-677, Various Locations Sewer Replacement No. 6; and WHEREAS, On January 14, 2020, by Resolution No. 20-0006, the Commission awarded Contract No. WW-677, Various Locations Sewer Replacement No. 6, to Precision Engineering, Inc.; and
WHEREAS, The original contract amount was for $4,240,437, and the original contract duration was 400 consecutive calendar days; and
WHEREAS, The contract Notice-to-Proceed date was June 15, 2020; and WHEREAS, On October 26, 2021, by Resolution No. 21-0161, the Commission approved an increase to the existing contract duration contingency by 124 calendar days for a total contract duration limit of up to 564 consecutive calendar days, with no change in contract amount; and WHEREAS, Modifications Nos. 1 and 2 increased the contract amount by $160,847 and increased the contract duration by 164 consecutive calendar days, to adjust contract quantities to match actual quantities and address unforeseen site conditions, for a total c ontract amount of $4,401,284 and a total contract duration limit of 564 consecutive calendar days; and WHEREAS, Contractor, Precision Engineering, Inc., has completed its work under Contract No. WW-677, Various Locations Sewer Replacement No. 6; and WHEREAS, Contract Monitoring Division established a Local Business Enterprise (LBE) subcontracting participation of 20% for this contract, and the contractor committed to 20.518% LBE participation in its bid submittal and achieved a final LBE participation of 17.62%; and WHEREAS, Funds are available from Project No. 10033120, Various Locations Sewer Replacement No. 6; now, therefore, be it
RESOLVED, That this Commission hereby accepts work performed by Precision Engineering, Inc. under Contract No. WW-677, Various Locations Sewer Replacement No. 6, for a total contract amount of $4,401,284 and a total contract duration of 564 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 October 10, 2023.
Secretary, Public Utilities Commission
CONTRACT MONITORING DIVISION
OFFICE OF THE CITY ADMINISTRATOR
London N. Breed, Mayor
Carmen Chu, City Administrator
Stephanie Tang, Director
1155 Market Street, 4th Floor, San Francisco, CA 9410
Telephone (415) 581-2310 Fax (415) 581-2351
MEMORANDUM
Date: September 5, 2023
To: Aileen Caylao, SFPUC
John Wong, SFPUC
From: Michelle Kassatly, CMD
Subject: Closeout for WW-677 Various Locations Sewer Replacement No. 6 (PeopleSoft Contract ID:
1000017466)
The Contract Monitoring Division (“CMD”) determined that Precision Engineering, Inc. (“PEI”), the LBE prime contractor for this project, has made a good faith effort to substantially complied with the LBE subcontracting requirements associated with this project.
At the time the project was advertised, a Micro/Small-LBE subcontracting requirement of 20% was established in. PEI’s Subcontractor List (Document 00 43 36) reflects an LBE subcontractor participation commitment of 20.518%. PEI was awarded the contract in the amount of $4,240,437.00. After two change orders, the final contract amount is $4,401,283.41. At closeout, the LBE subcontracting participation is as follows:
Subcontractor Status Scope of
Work
Original Credited
Contract Participation
Final Credited
Contract Participation
CMC Traffic
Control
Specialists
SF LBE-WBE
(Small)
Traffic
Control $250,000 5.896% $19,050.00 0.43%
Camajani
Trucking
SF LBE-WBE
(Micro)
Trucking &
Hauling $300,000 7.075% $248,295.501 5.64%
R&S
Construction
Management,
Inc.
SF LBE-WBE
(Micro)
Concrete
Work $300,000 7.075% $253,423.65 5.76%
Roadway
Construction,
Inc.
SF LBE-WBE
(Micro) Grinding $20,000 0.472% $18,000.00 0.40%
A. Ruiz
Construction
SF LBE-MBE
(Small) Paving -- -- $236,609.91 5.38%
TOTAL $870,000.00 20.518% $775,379.06 17.62%
1 LBE further subcontracted out to a non-LBE.
Per PEI, and as confirmed by the SFPUC, the reason for the shortfall for Camajani Trucking is because “PEI was able to reuse the excavated material as backfill, which reduced the amount of trucking needed for on-haul and off-haul.” The shortfall for R & S Construction Management, Inc. is “due to scheduling conflicts they were not available to perform the work.” Roadway Construction, Inc.’s shortfall is because “PEI estimated that we would need to grind 5 times during the project, however it only took 4 times, also by the time grinding was needed on the project, Roadway could not hold the original price of $4,000 per grind and increased it to $4,500 per grind.” PEI has stated that “PEI was notified shortly after starting the project that CMC was no longer LBE certified.” However, per Chapter 14B, the LBE status is determined at the time of bid and is valid for the purpose of this contract, for the entire duration of the project. The other originally listed LBEs were provided the maximum available amount of work. To maximize and recover LBE participation, PEI added A. Ruiz Construction to the contract. Per PEI, and as confirmed by the SFPUC, “there were no other LBE opportunities available on this contract to mitigate the LBE shortfall.”
Based on the foregoing, CMD concurs with the closeout of this contract.