DEPARTMENT
Infrastructure Division
AGENDA NO.
6h
MEETING DATE
February 27, 2024
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Consent Calendar
Contract Manager: Tracy Cael
Award Contract No. WD-2878B, Regional Groundwater Storage and Recovery Phase 2B
Summary of
Proposed
Commission
Action:
Award Contract No. WD-2878B, Regional Groundwater Storage and Recovery Phase 2B , to the sole responsible bidder that submitted a responsive bid, JMB Construction, Inc., in the amount of $6,478,750 and with a duration of 900 consecutive calendar days (approximately two years and six months), in accordance with San Francisco Administrative Code section 6.23(c)(2), to install a groundwater pump system and appurtenances at the South San Francisco Main Well.
Background: The purpose of the San Francisco Public Utilities Commission (SFPUC) Regional Groundwater Storage and Recovery Project (Project) is to provide additional dry year water supply to the regional water system by constructing up to 13 groundwater well stations that will be connected to three wholesale customers on the Upper Peninsula and to the SFPUC’s transmission system.
Construction of the Project is being performed in two phases to expedite installation of most of the wells in Phase 1, while allowing for later contracts in Phase 2 for work requiring long lead time to secure permits and easements. The Phase 1 work is complete, which included the installation of 13 well stations.
The Phase 2 work has been separated into two contracts. Phase 2A consists of additional improvements at 10 out of the 13 well sites installed in Phase 1, including installation of cathodic protection, variable frequency drives, flowmeters for water accounting, valve modifications, and well rehabilitation.
Scope of
Contract:
Phase 2B, under this Contract No. WD-2878B, consists of wor k at South San Francisco Main Well (also known as Antoinette Well ) for installation of the groundwater pump system, electrical and mechanical work, and pipeline installation that will transport groundwater to California Water Service Company's groundwater treatment plant in South San Francisco.
Funding and
Costs:
Funding: Project No. CUW30103 - Regional Groundwater Storage and Recovery Engineer’s Estimate: $8,000,000
Award Amount: $6,478,750
Schedule: Estimated Notice-to-Proceed Date: June 2024
Estimated Completion Date: December 2026
Contract: WD-2878B, Regional Groundwater Storage and Recovery Phase 2B Commission Meeting Date: February 27, 2024
Contract Duration: 900 consecutive calendar days ( 810 consecutive calendar days to Substantial Completion and an additional 90 consecutive calendar days to Final Completion)
Bid History: Advertised: October 27, 2023
Bids Received: On December 14, 2023, SFPUC received and publicly opened a single sealed bid, as follows:
Bid Rank Base Bid LBE Bid
Discount
Compensable
Delay (based
on 60 days)
Adjusted Bid
with
Compensable
Delay
Final
Rank
1. JMB
Construction,
Inc.
$6,478,750 Not
Applicable $60,000 $6,538,750 1
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 for Bids for bidders to provide a daily compensable time extension rate. At the bid opening, Staff announced that SFPUC would use the value of a 60 days to calculate the Compensable Delay bid adjustment amount. Staff used the daily rate from the sole bid to determine the total Compensable Delay value shown in the table above by multiplying the bidder’s daily rate times 60 . The Adjusted Bid value in the table above is the sum of the Base Bid and Compensable Delay less any applicable L ocal Business Enterprise bid discount. 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.
Application of bid preferences does not apply because there was only one bidder.
Evaluation of the bid documents determined that JMB Construction, Inc. met the minimum qualifications
and its adjusted bid of $6.5 million was less than the
Engineer’s Estimate of $8 million . Under San Francisco Administrative Code section 6.23(c)(2), when the department receives only one bid in response to a competitive solicitation and that bid is resp onsive, in an amount less than the Engineer’s Estimate, and from a responsible bidder, the department may proceed to award the contract to the sole bidder.
Environmental
Review:
On October 30, 2008, the San Francisco Planning Commission certified the Final Program Environmental Impact Report (Program EIR) (Case Number 2005.0159E) for the Water System Improvement Program.
On August 7, 2014, the Planning Commission certified the Final Environmental Contract: WD-2878B, Regional Groundwater Storage and Recovery Phase 2B Commission Meeting Date: February 27, 2024
Impact Report (F inal EIR) for the Regiona l Groundwater Storage and Recovery Project (Case Number 2008.1396E), which is tiered from the 2008 Program EIR.
On August 12, 2014, by Resolution No. 14- 0127, this Commission approved the Regional Groundwater Storage and Recovery Project and adopted findi ngs (California Environmental Quality Act ( CEQA) Findings) and a Mitigation Monitoring and Reporting Program required by the CEQA).
On October 29, 2020, the Planning Department issued a Minor Project Modification to the Final EIR for a new 8-inch water pipeline alignment for the Site 11 well site.
On June 3, 2022, the Planning Department issued a Minor Project Modification to the Final EIR for a utility potholing investigation at various locations, and for a new Pacific Gas and Electri c electrical service connection for the Site 11 well site. On July 18, 2023, the Planning Department issued a Minor Project Modification to the Final EIR for additional staging areas to support construction and development of the Site 11 well site.
The work under Contract No. WD -2878B, Regional Groundwater Storage and Recovery Phase 2 B, is within the scope of the project authorized under the F inal EIR and Minor Project Modifications.
The 2008 Program EIR can be found here: https://sfplanning.org/environmental - review-
documents?title=Water+System+Improvement+Program&field_environmental_revi ew_categ_target_id=212&items_per_page=10
The 2014 Final EIR , Resolution No. 14-0127, CEQA Findings , Minor Project Modifications, and Mitigation Monitoring and Reporting Program can be found here:
https://sfpuc.sharefile.com/public/share/web-
s6e63926c66484367960ad5907db02130
Local Business
Enterprise
Participation and
Non-
Discrimination in
Contracting
The Contract Monitoring Division established a 11.0% Local Business Enterprise (LBE) subcontracting requirement for this Contract. The contractor committed to a
19.19% LBE subcontractor participation with its bid submittal.
Attachment: Contract Monitoring Division Memorandum
Contract: WD-2878B, Regional Groundwater Storage and Recovery Phase 2B Commission Meeting Date: February 27, 2024
SITE MAP
Contract No. WD-2878B – Regional Groundwater Storage & Recovery Phase 2B
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) Regional Groundwater Storage and Recovery project is necessary to provide additional dry year water supply and includes construction of up to 13 groundwater well stations that will connect to three wholesale customers on the Upper Peninsula and to SFPUC’s transmission system; and WHEREAS, On October 27, 202 3, SFPUC advertised Contract No. WD-2878B, Regional Groundwater Storage and Recovery Phase 2B; and WHEREAS, The Engineer’s Estimate is $8,000,000 for this construction contract work to install a groundwater pump system and appurtenances at the South San Francisco Main Well ; and
WHEREAS, The contract duration is 900 consecutive calendar days; and WHEREAS, On December 14, 2023, SFPUC received and publicly opened a single bid in the amount of $6,478,750, which was below the engineer’s estimate of $8,000,000, and San Francisco Administrative Code section 6.23(c)(2) permits award of a contract to a sole bidder if the bid is below the Engineer’s Estimate; and
WHEREAS, SFPUC staff and Contract Monitoring Division reviewed the single bid and have determined that JMB Construction, Inc. is the responsible bidder with the lowest responsive bid; and
WHEREAS, The Contract Monitoring Division established a 11% Local Business Enterprise ( LBE) subcontracting requirement for this C ontract, and JMB Construction, Inc. committed to 19.19% LBE subcontractor participation in its bid submittal; and WHEREAS, On October 30, 2008, the San Francisco Planning Commission certified the Final Program Environmental Impact Report (Program EIR) (Case Number 2005.0159E) for the Water System Improvement Program; and
WHEREAS, On August 7, 2014, the Planning Commission certified the Final Environmental Impact Report (Final EIR) for the Regional Groundwater Storage and Recovery Project (Case Number 2008.1396E), which is tiered from the 2008 Program EIR; and WHEREAS, On August 12, 2014, by Resolution No. 14- 0127, this Commission approved the Regional Groundwater Storage and Recovery Project and adopted California Environmental Quality Act (CEQA) findings (CEQA Findings) and a Mitigation Monitoring and Reporting Program required by the CEQA; and
WHEREAS, On October 29, 2020, the Planning Department issued a Minor Project Modification to the Final EIR for a new 8-inch water pipeline alignment for the Site 11 well site ; and on June 3, 2022, the Planning Department issued a Minor Project Modification to the Final EIR for a utility potholing investigation at various locations, and for a new Pacific Gas and Electric electrical service connection for the Site 11 well site; and on July 18, 2023, the Planning Department issued a Minor Project Modification to the Final EIR for additional staging areas to support construction and development of the Site 11 well site ; and t he Planning Department determined that no supplemental environmental review was needed; and
WHEREAS, The work under Contract No. WD -2878B, Regional Groundwater Storage and Recovery Phase 2 B is within the scope of the project authorized under the Final EIR and Minor Project Modifications; and
WHEREAS, The San Francisco Planning Department is the custodian of records, located in File No. 2008.1396E, at 49 South Van Ness Avenue, Suite 1400, San Francisco, California, 94103, which have been made available for review by this Commission and the public, and those files are part of the record before this Commission; and WHEREAS, The Project files, including the Final EIR, Minor Project Modifications to the Final EIR, Resolution No. 14-0127, CEQA Findings and the Mitigation Monitoring and Reporting Program have been made available for review by this Commission and the public, and those files are part of the record before this Commission; and WHEREAS, This Commission has reviewed and considered the information contained in the Final EIR, the findings contained in SFPUC Resolution Number 14- 0127, the Minor Project Modifications to the Final EIR and all written and oral information provided by the Planning Department, the public, relevant public agencies, SFPUC and other experts and the administrative files for the Project; now, therefore, be it RESOLVED, That this Commission has reviewed and considered the Final EIR and the Minor Project Modifications and the record as a whole, finds that the Final EIR is adequate for its use as the decision –making body for the Project and incorporates the CEQA findings contained in Resolution Number 14- 0127 by this reference thereto as though set forth in this Resolution; and be it
FURTHER RESOLVED, That this Commission further finds that since the Final EIR as modified by the Minor Project Modification s were finalized, there have been no substantial project changes and no substantial changes in project circumstances that would require major revisions to them due to the involvement of new significant environmental effects or an increase in the severity of previously identified significant impacts, and there is no new information of substantial importance that would change the conclusions set forth in them; and be it
FURTHER RESOLVED, That this Commission hereby awards Contract No. WD-2878B, Regional Groundwater Storage and Recovery Phase 2B , in the amount of $6,478,750, for a duration of 900 consecutive calendar days, to the sole responsible bidder that submitted a responsive bid, JMB Construction, Inc.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of February 27, 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
1155 Market Street, 4th Floor, San Francisco, CA 94103 Telephone (415) 581-2310; Fax (415) 581-2351
MEMORANDUM
Date: January 22nd, 2024
To: Tracy Cael, Project Manager, SFPUC
Michelle Kassatly, Contract Analyst, SFPUC
From: Michelle Kassatly, Contract Compliance Officer, CMD
Subject: WD-2878B Regional Groundwater Storage and Recovery Phase 2B
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 11% for this project. Below is a summary of CMD’s review.
Bid Discount
Bidder
LBE
Status,
Type and
Size
Base Bid LBE Bid
Discount
Daily Rate for
Compensable
Delay
Adjusted Bid
with LBE
Bid Discount
JMB Construction,
Inc.
Not
Applicable
$6,478,750 Not
Applicable
$1,000 $6,538,750
LBE Subcontracting Participation Requirement
JMB Construction, Inc. (“JMB”) is the sole responsive bidder. JMB met the 11% 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
Pump Repair
Service Co
Well Rehabilitation,
Furnish & Install Well
Pump, Startup &
Testing (Partial)
SF LBE-
OBE
(Small)
$337,400 $120,6501
1.86%
1 Per JMB, Pump Repair Service Co will be supplying and installing a specially manufactured item, which results in a decreased amount in credited LBE for Pump Repair Service Co. Pump Repair Service Co further subbed out $60,000 to a non-LBE, further reducing their credited participation.
9 RK Engineering,
Inc.
Concrete Flatwork,
Structural Pads, Conc.
Rdwy Base (Partial)
SF LBE-
OBE
(Micro)
$292,000 $292,000 4.50%
DR Traffic
Control Traffic Control (Partial)
SF LBE-
MBE
(Micro)
$106,400 $106,400 1.64%
Liffey Electric,
Inc.
Electrical,
Instrumentation
SF LBE-
OBE
(Small)
$975,000 $725,0002 11.19%
TOTAL $1,710,800 $1,244,050 19.19%
JMB also listed the following non-LBE subcontractor(s) on Section 00 43 36.
Subcontractor Scope of Work Listed
Amount Participation
Accurate Corrosion Control,
Inc. Cathodic Protection $125,972 1.94%
Pipe Jacking Trenchless, Inc. Trenchless— Pilot Tube
Guided Bore $105,032 1.62%
AAA Fence Company, Inc. Gates and Fencing $49,842 0.77% Redwood Painting, Co., Inc. Coatings $40,500 0.62%
TOTAL $321,346 4.95%
Good Faith Efforts Requirements
JMB utilized Approach A (35% Approach) on CMD Form 2B to meet the Good Faith Efforts (“GFE”) Requirements. JMB demonstrated that it met the GFE requirements under Approach A by exceeding the sum of the LBE subcontracting participation requirement established for this project by at least 35%.
Based on the foregoing, CMD has determined that JMB 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].
2 Per JMB, Liffey Electric, Inc. will be supplying and installing a specially manufactured item, which results in a decreased amount in credited LBE for Liffey Electric, Inc.