DEPARTMENT
Infrastructure Division
AGENDA NO.
6e
MEETING DATE
January 9, 2024
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Consent Calendar
Contract/Project Manager: Jon Cantu
Accept Work, Approve Modification, and Authorize Final Payment for Contract No. WD- 2811, 8-Inch and 16-Inch Ductile Iron Water Main Replacement on 17th Street from Clayton Street to Douglass Street and Various Side Streets
Summary of
Proposed
Commission Action:
Accept work performed by M Squared Construction, Inc. , under Contract No. WD-2811, 8-Inch and 16-Inch Ductile Iron Water Main Replacement on 17th Street from Clayton Street to Do uglass Street and Var ious Side Streets ; approve Modification No. 5 (Final) increasing the C ontract amount by $145,274 for a total C ontract amount of $7,481,120 and a total C ontract duration of 952 consecutive calendar days (approximately two years and eight months); and authorize final payment to the contractor.
Background: The water main replacem ent work under this Contract is part of the San Francisco Public Utili ties Commission (SFPUC) Water Enterprise Local Conveyance/Distribution System Program. The City built m uch of its water system infrastructure in the later part of the 19 th century. This program includes the replacement of old pipes that have either been damaged or are at the end of their useful service life to ensure reliable water delivery within the City. The City i nstalled the existin g 8- inch, 12- inch, and 16- inch pipes replaced under this Contract between 1895 and 1899. Due to their age of 120 to 124 years, Staff recommended replacement because the pipes were at risk of failure.
On January 14, 2020, by Resolution No. 20-0005 , this Commission awarded Contract No. WD-2811, 8- Inch and 16-I nch Ductile Iron Water Main Replacement on 17 th Street from C layton Street to Do uglass Street and Various Side Streets, to M Squared Construction, Inc. The original Contract amount was $6,300,314, and the or iginal Contract duration was 775 consecutive calendar days.
On October 24, 2022, by Resolution No. 22-0178 , this Commission approved an increase to the Contract cost contingency of $410,000 for a total cost contingency of $1,040,031 and a total Contract cost limit of $7,340,345, and an increase to the C ontract duration contingency of 100 calendar days for a total Contract duration contingency of 177 calendar days and a new Contract duration limit of 952 consecutive calendar days.
Scope of Contract: The contract work location is on 17th Street from Clayton Street to Douglass Street in San Francisco, California. The contract work consisted of:
• Installation of approximately 7,400 l inear feet of 4 -inch, 6-inch, and 8-inch diameter ductile iron pipe;
• Installation of approximately 2,700 linear feet of 12- inch diameter ductile iron pipe;
• Installation of approximately 1,900 line ar feet of 16 -inch diameter ductile iron pipe;
• Installation of 1,190 linear feet of 1-inch and 2-inch diameter copper tubing water service pipe;
• Renewing 2,840 l inear feet of 1 -inch diameter plastic service pipe using trenchless installation;
• Constructing curb ramps; and
• Pavement restoration.
Modifications to the
Contract:
Modification Nos. 1 to 3: The SFPUC modified the Contract increasing the contract amount by $411,347 (within the original contingency) and increased the Contract duration by 77 consecut ive calendar days (within the ori ginal contingency) to furnish ductile ir on pipe, perform additional survey monument referenc ing, r eplace an existin g ga te valve, perform additional excavation around a retaining wall, provi de support for Muni trolly busses, demobilize and remobilize access at a polling place on election day, and for delays related to PG&E’s ve rification to confi rm exposed gas mains that were deactivated for safe removal, for a total contract amount of $6,711,661, and a total contract duration of 852 consecutive calendar days.
Modification No. 4: The SFPUC modi fied the C ontract increasing the Contract amount by $624,185 and increased the C ontract duration by 100 consecutive calen dar days to downsize to low- profile excavation and pipe setting equipment with reduc ed production rate unde r energized Muni overhead lines, incorporate additional quantities for curb r amp construction, add concrete and asphalt quantities missing from original curb ramp quantities, and to adjust bid item quantiti es for portions of the work that contractor had completed, for a total contract amount of $7,335,846, and a total Contract duration of 952 consecutive calendar days.
Modification No. 5 (Final): Staff recommends Commission authorization to increase the C ontract amount by $145,274 for additional p avement restoration on Ashbury Stre et to coordinate with a San Franc isco Public Works Contr act an d to adjust the final contract quantities for a total final contract amount of $7,481,120, with no change to the contract duration.
Funding and Costs: Funding Source: Local Conveyance/Distribution System Program Project No. CUW26001A6 (10033798), WD 2811 17th/Clayton/Ord
Original Contract Amount: $6,300,314
Modification Nos. 1 to 4: $1,035,532
Requested Modification No. 5 (Final) Amount: $145,274
Total Final Contract Amount: $7,481,120
Schedule: Notice-to-Proceed Date: May 26, 2020
Agenda Title: WD-2811, 8-Inch and 16-Inch Ductile Iron Water Main Replacement on 17th Street from Clayton Street to Douglass Street and Various Side Streets
Commission Meeting Date: January 9, 2024
WD-2811, Location Map
Original Contract Duration: 775 consecutive calendar days Modification Nos. 1 to 4: 177 calendar days
Requested Modification N. 5 (Final) Duration: 0 calendar days Total Final Contract Duration: 952 consecutive calendar days
Local Business
Enterprise
Participation and
Non-Discrimination
In Contracting:
The Contract Monitoring Division established a 20% Local Business Enterprise (LBE) subcontracting requireme nt for this Contract. The contractor committed to 20.2% LBE participation with its bid submittal.
Attachment: 1. Contract Monitoring Division Memorandum
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, Under Contract No. WD-2811, the San Franci sco Public Utilities Commission (SFPUC) has replaced approximately 12,000 feet of ductile iron water conveyance and 4,030 linear feet of ancillary water service pipe and restoring pavement within the project limits to ensure reliable water delivery within San Francisco; and WHEREAS, On January 14, 2020, by Resolution No. 20- 0005, this Commission awarded, 8-Inch and 16-Inch Ductile Iron Water Main Rep lacement on 17th Street from Clayton Street to Douglass Street and Various Side Streets to M Squared Construction, Inc.; and WHEREAS, The original Contract amount was for $6,300,314 and the original C ontract duration was 775 consecutive calendar days; and
WHEREAS, The Contract Notice-to-Proceed date was May 26, 2020; and WHEREAS, Modifications N os. 1 to 3 increased the C ontract amount by $411,347 and increased the C ontract duration by 77 consecutive calendar days, to furnish ductile iron pipe, perform ad ditional survey monume nt r eferencing, replace an existin g ga te valve, perform additional excavation around a retaining wall, provi de pole and de-poler support for Muni trolly busses, demobilize and remobilize access at a polling place on election day, and for delays related to PG&E’s verification to confirm exposed gas mains that were deactivated for safe removal, for a total C ontract amount of $6,711,661, and a total C ontract duration of 852 consecutive calendar days; and
WHEREAS, On October 24, 2022, by Resolution No. 22- 0178, the Commission approved an increase to the Contract contingency amount by $410,000 , for a total C ontract contingency a mount of $1,040,031, and increased the Contract duration contingency by 100 calendar days, for a total Contract duration contingency of 177 calendar days, for a total Contract amount limit of up to $7,340,345, and a total Contract duration limit of up to 952 consecutive calendar days; and
WHEREAS, Modification No. 4 increased the c ontract amount by $624,185 and increased the contract du ration by 100 consecutive calendar days to downsize to low-profile excavation and pipe setting eq uipment with reduc ed production rat e under ener gized Muni overhead lines , incorporate addit ional quantities for curb ramp cons truction, ad d c oncrete and asphalt quantities missing from original curb ramp quantities , and to adjust bid i tem quantities for portions of the work that are were completed, for a total contract amount of $7,335,846, and a total contract duration of 952 consecutive calendar days; and WHEREAS, Staff recommends the Commission approve Mo dification No. 5 (Final) to increase the contract amount by $145,274 for additional pavement restoration on Ashbury Street needed to coordinate with a San Francisco Public Works Contract and to adjust the final Contract quantities for a total final contract amount of $7,481,120, with no change to the c ontract duration; and
WHEREAS, Contrac tor, M Squared Construction, Inc., has completed its work under Contract No. WD-2811, 8-Inch and 16-Inch Ductile Iron Water Main Replacement on 17th Street from Clayton Street to Douglass Street and Various Side Streets; and
WHEREAS, C ontract Monitoring Division established a Local Business Enterprise (LBE) subcontracting participation of 20% for this C ontract, and the contractor c ommitted to
20.2% LBE participation w ith its bid submittal and a chieved a final LBE participation of
20.22%; and
WHEREAS, Funds are available from Project No. CUW26001A6 (10033798), WD 2811 17th/Clayton/Ord; now, therefore, be it
RESOLVED, That this Commis sion he reby accepts work performed by M Squared Construction, Inc. under Contract No. WD -2811, 8-Inch and 16- Inch Ductile Iron Water Main Replacement on 17 th Street from Clayton Street to Douglass Street and Various Side Streets ; approves Modification No. 5 (Fina l) increasing the contract amount by $145,274 for a tota l contract amount of $7,481,120 and a total c ontract duration of 952 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 January 9, 2024.
Secretary, Public Utilities Commission
City & County of San Francisco
London N. Breed, Mayor
Office of the City Administrator
Carmen Chu, City Administrator
Contract Monitoring Division
Stephanie Tang, Director
MEMORANDUM
Date: November 6th, 2023
To: Ryan Freeborn, Project Manager, SFPUC
Jon Cantu, Project Manager, SFPUC
From: Michelle Kassatly, Contract Compliance Officer, CMD
Subject: Closeout for WD-2811 8-Inch and 16-Inch Ductile Iron Water Main Replacement on 17th Street from Clayton Street to Douglass Street and Various Side Streets (PeopleSoft Contract ID: 1000017277)
The Contract Monitoring Division (“CMD”) has determined that M Squared Construction Inc (“M Squared”), the LBE prime contractor, has made a good faith effort to substantially comply with the LBE subcontracting requirements associated with this project.
At the time the project was advertised, a Micro/Small-BE subcontracting participation requirement of 20% was established. M Squared’s Section 00 43 36 reflected a Micro/Small- LBE subcontracting participation of 20.20%. M Squared was awarded the contract in the amount of $6,300,314.00. After thirteen change orders, the final contract amount is $7,481,119.63. M Squared’s Micro/Small-LBE subcontracting participation is as follows:
Firm
LBE Status,
Type and
Size
Scope of
Work
Original Credited
Contract
Participation
Final Credited
Contract Participation
Ronan
Construction
SF-LBE
Micro-OBE
Concrete
Flatwork,
Sawcutting,
Traffic
Control
$680,000 10.79% $493,642.33 6.60%
Basset
Engineering
SF-LBE
Micro-OBE
Pavement
Restoration $592,900 9.41% $1,019,419.00 13.62%
TOTAL $1,272,900 20.20% $1,513,061.33 20.22%
Pursuant to communications with M Squared and the SFPUC, “Ronan’s anticipated work at time of bid did not end up matching what was performed during the contract.” M Squared is required to make good faith efforts to utilize LBE’s participation for any scopes of work, or portions thereof, which can reasonably be subcontracted throughout the life of the project. Considering this requirement, in good faith, M Squared increased the scope of work to another LBE, Basset Engineering.
Based on the foregoing, CMD concurs with the closeout of this contract.