DEPARTMENT
Infrastructure Division
AGENDA NO. 6b
MEETING DATE
February 13, 2024
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Consent Calendar
Project Manager: Alisha Reinhardt
Award Contract No. WD-2893, Sunol Valley Chemical Facility Improvements
Summary of
Proposed
Commission Action:
Award Contract No. WD-2893, Sunol Valley Chemical Facility Improvements, to the responsible bidder that submitted the lowest responsive bid, Anvil Builders Inc., in the amount of $9,348,500 and with a duration of 660 consecutive calendar days (approximately one year and 10 months), to provide improvements at the Sunol Valley Chloramination Facility , including rehabilitation of the fluoride feed facility, system integration with the Sunol Dechlorination Facility, upgrading the main programmable logic controller , and replacing chemical metering pumps.
Background: The San Francisco Public Utilities Commission (SFPUC) Sunol Valley Chloramination Facility is a chemical feed facility that provides chloramine disinfection, pH control, and fluoride addition for the unfiltered Hetch Hetchy water supply. In addition, the chemical systems
at the adjacent Sunol
Dechlorination Facility remove chlorine and adjust the pH of waters entering into Alameda Siphons 1, 2, and 3. The primary objective of the project is to increase reliability at the Sunol Valley Chloramination Facility and Sunol Dechlorination Facility by addressing various deficiencies of the chemical feed systems, controls, main programmable logic controller, and various related equipment, which will lower the current maintenance costs for the existing equipment.
Scope of Contract: The Contract work location is in Sunol, CA.
The Contract work at Sunol Valley Chloramination Facility includes:
• Rehabilitation of the fluoride feed facility;
• System integration with the Sunol Dechlorination Facility; • Replace chemical metering pumps; and
• Upgrade the main programmable logic controller .
Funding and Costs: Funding Source: Project No. 10037277 Sunol Valley Chloramination Facility Engineer’s Estimate: $8,500,000
Award: $9,348,500
Schedule: Estimated Notice-to-Proceed Date: July 2024
Agenda Title: WD-2893, Sunol Valley Chemical Facility Improvements Commission Meeting Date: February 13, 2024
Estimated Completion Date: July 2026
Contract Duration: 660 consecutive calendar days ( 570 consecutive calendar days to Substantial Completion and an additional 90 consecutive calendar days to Final Completion)
Bid History:
Advertised: November 3, 2023
Bids Received: On December 14, 2023, SFPUC received and publicly opened three bids, as follows:
Bid Rank &
Firm
Base Bid
Amount
Compensable
Delay (90-day
Duration)
LBE Bid
Discount Adjusted Bid Final
Rank
1. Anvil
Builders,
Inc.
$9,348,500 $45,000 N/A $9,393,500 1
2. Western
Water
Constructors
$9,995,000 $45,000 N/A $10,040,000 2
3. Plant
Construction
Company,
L.P.
$10,878,692 $76,500 N/A $10,955,192 3
Because the SFPUC anticipates that potential unforeseen conditions or other factors outside of the contractor’s control may impact the schedule, Staff included a requirement in the Invitation f or Bids for bidders to provide a daily compensable time extensi on rate. At the bid opening, Staff announced that SFPUC would use the value of a 90-day compensable d elay to calculate the Compensable Delay amount bid adjustment. Staff used the daily rate in each bid to determine the total Compensable D elay value shown in the table by multiplying the bidder’s daily rate times 90. The Adjusted Bid value in the table is the sum of the Base Bid and Compensable Delay. Staff used the Adjusted Bid value to compare and rank the bids to determine the lowest bidder. However, the contract award amount is the Base Bid value (not the Adjusted Bid value) and, if the Commission awards the Contract, the bidder’s daily compensable delay rate will become a term of the Contract.
Environmental
Review:
On December 30, 2022, the San Francisco Planning Department determined the Project to be exempt from environmental review under the California Environmental Quality Act (CEQA) Guidelines s ection 15061(b)(3) (Common Sense Exemption ) under Case Number 20 22-010476ENV. The exemption determination can be found here:
https://sfpuc.sharefile.com/d-s11ccc42a1e624354a3fc2546baff24d7.
Agenda Title: WD-2893, Sunol Valley Chemical Facility Improvements Commission Meeting Date: February 13, 2024
On December 12, 2023, the SFPUC took the first Approval Action for the Project for the purposes of the CEQA, pursuant to San Francisco Administrative Code section 31.04(h) (Resolution 23 -0219, Award Contract No. WD -2862, San Antonio Pump Station Motor Control Center Replacement and Seismic Retrofit).
Local Business
Enterprise
Participation and
Non-Discrimination
In Contracting:
The Contract Monitoring Division established a 8% LBE subcontracting requirement for this Contract. The contractor committed to 8.08% LBE participation with its bid submittal.
Attachment: 1. Contract Monitoring Division Memorandum
Agenda Title: WD-2893, Sunol Valley Chemical Facility Improvements Commission Meeting Date: February 13, 2024
Location Maps
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) Water Enterprise Capital Improvement Program provides for the replacement of equipment at the end of its useful service life and upgrades to ensure reliable water treatment system; and WHEREAS, On November 3, 2023, the SFPUC advertised Contract No. WD-2893, Sunol Valley Chemical Facility Improvements; and
WHEREAS, The Engineer’s Estimate is $8,500,000 for this construction work to provide improvements at the Sunol Valley Chloramination Facility, including rehabilitation of the fluoride feed facility, system integration with the Sunol Dechlorination Facility, upgrading the main programmable logic controller, and replacing chemical metering pumps; and WHEREAS, The Contract duration is 660 consecutive calendar days; and WHEREAS, On December 14, 2023, the SFPUC received and publicly opened three bids; and
WHEREAS, SFPUC staff and Contract Monitoring Division (CMD) reviewed the bids and the application of bid preferences and determined that Anvil Builders Inc. is the responsible bidder with the lowest responsive bid; and
WHEREAS, The CMD established a 8% Local Business Enterprise (LBE) subcontracting requirement for this C ontract, and Anvil Builders Inc. committed to 8.08% LBE participation in its bid submittal; and
WHEREAS, On December 30, 2022, the San Francisco Planning Department determined the Project to be exempt from environmental review under the California Environmental Quality Act Guidelines s ection 15061(b)(3) (Common Sense Exemption ) under Case Number 2022 - 010476ENV; and
WHEREAS, Funds are available from Project No. 10037277, Sunol Valley Chloramination Facility; now, therefore, be it
RESOLVED, That this Commission hereby awards Contract No. WD-2893, Sunol Valley Chemical Facility Improvements , in the amount of $9,348,500 and with a duration of 660 consecutive calendar days , to the responsible bidder that submitted the lowest responsive bid, Anvil Builders Inc.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of February 13, 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: January 3, 2023
To: Alisha Reinhardt, Project Manager, SFPUC
Derek Wong Contract Analyst, SFPUC
From: Michelle Kassatly, Contract Compliance Officer, CMD
Subject: WD-2893 Sunol Valley Chemical Facility Improvement
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. The Micro/Small-LBE subcontracting participation requirement is 8% for this project. Below is a summary of CMD’s review.
Bid Discount
Bidder
LBE
Status,
Type
and Size
Base Bid
Compensable
Delay LBE Bid
Discount
Adjusted Bid
with LBE Bid
Discount
Anvil Builders Inc. Non-LBE $9,348,500 $45,000 Not eligible $9,393,500 Western Water
Constructors, Inc.
Non-LBE $9,995,000 $45,000 Not eligible $10,040,000
Plant
Construction
Company, L.P.
Non-LBE $10,878,692 $76,500 Not eligible $10,955,192
LBE Subcontracting Participation Requirement
Anvil Builders Inc. (“Anvil”) is the lowest responsive bidder. Anvil met the 8% Micro/Small-LBE subcontracting requirement by listing the following Micro/Small-LBE firm(s) on Section 00 43 36 (Subcontractor List):
Subcontractor Scope of
Work
LBE Status,
Type and Size
Listed
Amount
Credited
Amount
Credited
Participation
Larratt Bros
Plumbing Inc. Plumbing SF LBE-OBE
(Small) $755,000 $755,000 8.08%
TOTAL $755,000 $755,000 8.08%
Anvil also listed the following non-LBE subcontractor(s) on Section 00 43 36.
City & County of San Francisco
London N. Breed, Mayor
Office of the City Administrator
Carmen Chu, City Administrator
Contract Monitoring Division
Stephanie Tang, Director
Subcontractor Scope of Work Listed
Amount Participation
Anvil Power Inc Electrical, Instrumentation
and Controls $2,200,000 23.53%
Redwood Painting Co Inc Painting Coating $88,000 0.94%
TOTAL $2,288,000 24.47%
Good Faith Efforts Requirements
Anvil utilized Approach C (Good Faith Negotiations) on CMD Form 2B to meet the Good Faith Efforts (“GFE”) Requirements. Anvil demonstrated that it met the GFE requirements under Approach C by achieving at least 50 points.
Based on the foregoing, CMD has determined that Anvil 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 [email protected].