DEPARTMENT
Infrastructure
AGENDA NO.
9 MEETING DATE
September 10, 2024
Last updated: 05.03.2023
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Regular Calendar
Contract/Project Manager: Ada Zhu
Accept Work, Approve Modification, and Authorize Final Payment for Contract No. DB- 129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) North
Summary of
Proposed
Commission Action:
Accept work performed by Mitchell Engineering under Contract No. DB- 129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) North; approve Modification No. 21 (Final) decreasing the contract amount by $1,276,441 for a total c ontract amount of $20,691,291 and increasing the contract duration by 696 consecutive calendar days for a total contract duration of 1,195 consecutive calendar days (approximately three years and three months ), to cover a time impact analysis reconciliation for a compensable delay related to resequencing of duct bank work and dewatering for higher groundwater , final reconciliation of bid items and costs, and for contractor to complete closeout punch- list items, including resolution of Fluidized Thermal Backfill exceeding design strength, and preparation of as - built drawings and supporting documentation; and authorize final payment to the contractor.
Background: The San Francisco Public Utilities Commission (SFPUC) is building a high voltage transmission and distribution system in the Southeast portion of the City of San Francisco to serve existing and future customers with large power needs.
This is one of three subprojects to complete the transmission and distribution system. Under t his Contract No. DB-129.1, the contractor designed and installed underground electrical duct banks and vaults south along Illinois Street from 23rd Street to the northern limits of the existing Islais Creek and north along Terry A. Franc ois Boulevard to Mission Rock Street.
In addition, the contractor designed and installed water pipe, hydrants, valves, and associated items to extend the
Emergency Firefighting Water System
(EFWS), formerly called the Auxiliary Water Service System (AWSS), a high-pressure pipeline for firefighting along Terry Francois Boulevard between Warriors Way and Mission Rock Street. The other subprojects to complete the transmission and distribution system include Contract Nos. DB- 128R2 and DB-129.2.
On February 11, 2020, by Resolution No. 20-0028, this Commission awarded Contract No. DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) North to Mitchell Engineering. The original contract amount was $24,058,409 and the original contract duration was 396 consecutive calendar days.
Agenda Title: DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) – North Commission Meeting Date: September 10, 2024
On April 13, 2021, by Resolution No. 21-0050, the Commission approved an increase of 180 calendar days to the existing duration contingency, for a revised duration contingency of 219 calendar days, and a total duration of up to 615 consecutive calendar days, with no change to the contract amount.
On December 14, 2021, by Resolution No. 21- 0184, the Commission approved an increase of 180 calendar days to the existing duration contingency, for a revised duration contingency of 399 calendar days, and a total duration up to 795 consecutive calendar days, with no change to the contract amount.
On June 14, 2022, by Resolution No. 22-0103, the Commission approved an increase of 120 calendar days to the existing duration contingency, for a revised duration contingency of 519 calendar days, and a total duration up to 915 consecutive calendar days, with no change to the contract amount.
Staff recommends Commission approval of an additional 280 calendar days to the contract duration, plus approval to add 416 days from the duration contingency to the contract duration, for a total contract duration increase of 696 calendar days, for a total contract duration of 1,195 consecutive calendar days, in order to close out the contract.
Scope of Contract: The contract work was located on Terry A. Francois Boulevard and Illinois Street in San Francisco, California.
The contract work consisted of:
• Bay Corridor Transmission & Distribution ( BCTD) electrical conduits, vaults, and associated fittings installed on Terry A. Francois Boulevard between Mission Rock Street and Warriors Way (formerly South Street);
• BCTD conduits, vaults, and associated fittings install ed on Illinois Street between 23rd Street and Marin Street; and
• EFWS pipe, hydrants, valves, and associated items installed on Terry A. Francois Boulevard between Mission Rock Street and Warriors Way.
Modifications to the
Contract:
Modification No s. 1 to 20: The SFPUC issued Modification Nos. 1 -20, decreasing the contract amount by $2,090,677 for a total contract amount of $21,967,732 and increasing the contract duration by 103 calendar days (within the duration contingency) for a total contract duration of 499 calendar days, in accordance with Resolution Nos. 21-0050, 21-0184, and 22-0103, to address additional design changes and differing site conditions, additional grounding in the high voltage transmission system, value engineering, removal of the scope of work for surface preparation a
nd coating for high pressure gate
valves, additional traffic control for re -inspection of previously installed vaults under another contract, and scheduling and coordination with Pacific Agenda Title: DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) – North Commission Meeting Date: September 10, 2024
Gas and Electric (PG&E) to complete the duct bank conduits and connection to the PG&E Potrero Switchyard on 23rd Street.
Proposed Modification No. 21 (Final): Staff recommends Commission approval of Modification No. 21 (Final) to decrease the contract amount by $1,276,441, for a total contract amount of $20,691,291, and increase the contract duration by 696 consecutive calendar days (which includes the previously approved duration contingency of 416 calendar days plus an additional 280 calendar days) for a total contract duration of 1,195 consecutive calendar days (approximately three years and three months), to cover a time impact analysis reconciliation for a compensable delay related to resequencing of duct bank work and dewatering for higher groundwater, final reconciliation of bid items and costs, and for contractor to complete closeout punch -list items, including resolution of Fluidized Thermal Backfill exceeding design strength, and preparation of as-built drawings and supporting documentation.
The project team achieved significant cost savings , decreasing the final contract amount by $3,367,118 or 14%, through the implementation of value engineering practices and resulti ng reductions to the original , planned scope of work . Scope reductions included open trench for duct bank installation instead of micro-tunneling, the removal of surface preparation and coating for high pressure gate valves , and reconciled Condition and C ontingency allowance bid items.
PROJECT TIMELINE
• May 11, 2020: Construction Notice-to-Proceed
• April 26, 2022: Close-Out Meeting to discuss requirements for substantial and final completion
• May 8, 2022: Substantial Completion
• July 7, 2022: Contractor completion of paving and restoration scope and continued toward completion of remaining punch list tasks for the duct bank, EFWS, and civil restoration
• April 28, 2023: Close of outstanding Non-Conformance Notice concerning the Fluidized Thermal Backfill, a low-strength, flowable, cementitious fill exceeding design strength at various locations • July 14, 2023: Final site walk and punch list accepted • July 19, 2023: Final Record Drawings accepted
• August 18, 2023: Final Completion and Vault Identifications accepted
• September 22, 2023: Contractor Notice of Final Completion Letter • May 6, 2024: Final Completion Checklist signed
• July 1, 2024: CMD Final Review Memo
• September 10, 2024: Commission Agenda for Closeout
Funding and Costs: Funding Source: Hetchy Power Capital Fund, Wastewater Enterprise Capital Fund, and Earthquake Safety & Emergency Response (ESER) Bond 10014227, Bay Corridor Transmission and Distribution (BCTD) Project Agenda Title: DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) – North Commission Meeting Date: September 10, 2024
Original Contract Amount: $24,058,409
Modification Nos. 1 to 20 Amount: $(2,090,677)
Proposed Modification No. 21 (Final) Amount: $(1,276,441) Total Final Contract Amount: $20,691,291
Schedule: Notice-to-Proceed Date: May 11, 2020
Original Contract Duration: 396 consecutive calendar days Modification Nos. 1 to 20 Duration: 103 consecutive calendar days Proposed Modification No. 21 (Final) Duration: 696 consecutive calendar days (which includes 280 additional calendar days plus the 416 days from the existing duration contingency that the Commission previously approved) Total Final Contract Duration: 1,195 consecutive calendar days
Local Business
Enterprise
Participation and
Non-Discrimination
In Contracting:
The Contract Monitoring Division (CMD) established 8% design and 10% construction Local Business Enterprise (LBE) subcontracting requirements on this Contract. The contractor committed to 50% for design and 10.35% for construction LBE participation with its bid submittal. CMD has determined the contractor has made a good faith effort to subs tantially comply with the LBE subcontracting requirements with a final LBE subcontractor participation of 52.55% for design and 9.07% for construction.
Attachment(s): 1. Contract Monitoring Division Memorandum Agenda Title: DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) – North Commission Meeting Date: September 10, 2024
BCTD Project Overview
DB-129.1 Project Site Map
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, On February 11, 2020, by Resolution No. 20-0028, the Commission awarded Contract No. DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) North to Mitchell Engineering; and
WHEREAS, The original contract amount was for $24,058,409 and the original contract duration was 396 consecutive calendar days; and
WHEREAS, The contract Notice-to-Proceed date was May 11, 2020; and
WHEREAS, On April 13, 2021, by Resolution No. 21-0050, the Commission approved an increase of 180 calendar days to the existing duration contingency, for a total duration contingency of 219 calendar days, and a total duration up to 615 calendar days, with no change to the contract amount; and
WHEREAS, On December 14, 2021, by Resolution No. 21-0184, the Commission approved a180 calendar day increase to the existing duration contingency, for a total duration contingency of 399 calendar days, and a total duration of up to 795 consecutive calendar days, with no change to the contract amount; and
WHEREAS, On June 14, 2022, by Resolution No. 22-0103, the Commission approved an increase of 120 calendar days to the existing duration contingency, for a total duration contingency of 519 calendar days, and a total duration up to 915 consecutive calendar days, with no change to the contract amount; and
WHEREAS, Modification Nos. 1 through 20 decreased the contract amount by $2,090,677 for a total contract amount of $21,967,732 and increased the c ontract duration by 103 calendar days for a total contract duration of 499 calendar days , in accordance with Resolution No s. 21- 0050, 21-0184, and 22-0103, to address additional design changes and differing site conditions, additional grounding in the high voltage transmission system, value engineering, removal of the scope of work for surface preparation and coating for high pressure gate valves, additional traffic control for re-inspection of previously installed vaults under another contract, and scheduling and coordination with Pacific Gas and Electric (PG&E) to complete the duct bank conduits and connection to the PG&E Potrero Switchyard on 23rd Street; and
WHEREAS, The contractor , Mitchell Engineering, has completed its work scope for contract No. DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) North; and
WHEREAS, Staff recommends the Commission approve Modification No. 21 (Final) to decrease the contract amount by $1,276,441 for a total contract amount of $20,691,291 and increase the contract duration by 696 consecutive calendar days for a total c ontract duration of 1,195 consecutive calendar days ( approximately three year s and three months ), to cover a time impact analysis reconciliation for a compensable delay related to resequencing of duct bank work and dewatering for higher groundwater , final reconciliation of bid items and costs, and for contractor to complete closeou t punch- list items, including resolution of Fluidized Thermal Backfill exceeding design strength, and preparation of as -built drawings and supporting documentation; and
WHEREAS, Contract Monitoring Division established an 8% design and 10% construction Local Business Enterprise (LBE) subcontracting participation requirement this contract, and the contractor committed to 50% for design and 10.35% for construction LBE participation with its bid submittal and has made a good faith effort to substantially comply with the LBE subcontracting requirements with a final LBE subcontractor participation of 52.55% for design and 9.07% for construction; and
WHEREAS, Funds are available from Project No. 10014227, Bay Corridor Transmission and Distribution (BCTD) Project; now, therefore, be it
RESOLVED, That this Commission hereby accepts work performed by Mitchell Engineering under Contract No. DB-129.1 Bay Corridor Transmission and Distribution – Phase 2 (2019) North; approves Modification No. 21 (Final) decreasing the contract amount by $1,276,441 for a final contract amount of $20,691,291 and increasing the contract duration by 696 consecutive calendar days for a final contract duration of 1,195 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 September 10, 2024.
Director of Commission Affairs
San Francisco 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
30 Van Ness Avenue, Suite 200, San Francisco, CA 94102 Telephone (415) 581-2310; Fax (415) 581-2351
MEMORANDUM
Date: July 1st, 2024
To: Ada Zhu, Project Manager, SFPUC
From: Michelle Kassatly, Contract Compliance Officer, CMD
Subject: Closeout for DB-129.1, Bay Corridor Transmission and Distribution – Phase 2 – South (PeopleSoft Contract ID: 1000017382)
The Contract Monitoring Division (“CMD”) has determined that Mitchell Engineering (“Mitchell”), the LBE prime contractor for this contract, has made a good faith effort to substantially comply with the LBE subconsulting requirements associated with this contract.
The LBE subconsulting and subcontracting participation requirement established for this Design Build (“DB”) project is 8% for the Design Phase and 10% for the Construction Phase. Mitchell was awarded the contract in the amount of $24,058,409.00. The final contract amount is $20,691,290.72.
LBE Subconsulting Participation:
Design Phase:
For the Design phase of the project, at the time the project was advertised, a Micro/Small LBE subconsulting requirement of 8% was established. Mitchell’s CMD Form 2A reflected a Micro/Small LBE subconsulting participation of 50%. Mitchell was awarded the contract and after 6 (six) change orders, the final contract amount is $2,212,109.61. The Micro/Small LBE subconsulting participation is as follows:
Firm Status, Type
and Size Scope of Work
Original Credited
Contract
Participation
Final Credited
Contract Participation
AGS, Inc. SF LBE-MBE
(Small)
Geotechnical Civil
Engineering 50% $1,162,540 52.55%
TOTAL 50% $1,162,540 52.55%
2 Construction Phase:
For the Construction phase of the project, at the time the project was advertised, a Micro/Small LBE subcontracting participation requirement of 10% was established. Mitchell’s Section 00 43 36 reflected a Micro/Small LBE subcontracting participation of 10.35%. Anvil was awarded the contract and after nineteen (19) change orders, the final contract amount is $18,479,181.11. Mitchell’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
Roadway
Construction, Inc
Grinding &
Paving
SF LBE-MBE
(Small) $1,119,800.00 5.10% $1,069,105.011 5.79%
On the Level
Concrete Concrete SF LBE-MBE
(Micro) $880,148.00 4.00% $256,717.30 1.39%
Total Traffic
Control
Traffic
Control
SF LBE-OBE
(Micro) $275,000.00 1.25% $349,221.25 1.89%
TOTAL $2,274,948.00 10.35% $1,675,043.56 9.07%
Per Mitchell, and as confirmed by the SFPUC, the final LBE percentage for On the Level Concrete was short of the Originally Credited Contract Participation because “this was a design-build contract and many concrete bid items were reduced or deleted from scope.”
In good faith efforts to increase LBE percentage, Mitchell increased LBE participation for Roadway Construction, Inc and Total Traffic Control. As a result, Mitchell ultimately exceeded their overall LBE commitment.
Based on the foregoing, CMD concurs with the closeout of this contract. Should you have any questions, please do not hesitate to contact me at [email protected].
1 This LBE further subcontracted out to another LBE.