SFPUC Commission Meeting
October 22, 2024
Request for Approval to Amend
Construction Management Services
Contract PRO.0096
Mountain Tunnel Improvements
Project
Presented by: Lucas Hoffman, CM
2 Mountain Tunnel Overview - Location
Project Scope and Inspection
Locations
Siphon
Extension
Early Intake Adit
Second Garrote
Flow Control
Facility and
New Priest
Adit
Tunnel Repairs &
Contact Grouting
Invert Paving
Roadway
Improvements
19-Mile-Long
Tunnel
Mountain Tunnel Schedule
6 Year Contract
4 Key Schedule Information Dates
NTP- HH 1000R January 29, 2021
Days 2,160 Contract Days
1362 Days Completed
Mountain Tunnel Outages
• Outage 1 Completed January 4, 2022 – March 6, 2022
• Outage 2 Completed January 3, 2023 – March 5, 2023
• Outage 3 Completed December 5, 2023 – March 15, 2024 • Outage 4 December 3, 2024 – March 14, 2025
• Outage 5 Decmeber 2, 2025 – March 13, 2026
Substantial Completion October 29, 2026
Final Completion December 28, 2026
Percent Complete 62%
PRO.0096 Amendment No. 3 Summary
5 PRO.0096 Contract Modification
Request
6 Why Contract Modification Is Required
• Increased quantity of inspection services due to the multiple project site locations along the 19-mile corridor and extended working hours during the five multi
month tunnel shutdowns
• Increased construction environmental compliance
services due to winter storms and water treatment
plants for construction water and potable water for
Moccasin camp
• Additional construction management and
administration costs associated with negotiations and
removal of some of the work from the construction
contract
Next Steps
• Seek Commission approval for contract
amendment to increase budget and extend
schedule.
• Seek subsequent approval by the Board of
Supervisors.
7 Questions
8 AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
DEPARTMENT Infrastructure AGENDA NO. 11
MEETING DATE October 22, 2024
Calendar: Regular Calendar
Contract Manager: Lucas Hoffman
Approve Amendment No. 3 to Contract No. PRO.0096, Mountain Tunnel Improvements Construction Management Services
Summary of
Proposed
Commission Action:
Approve Amendment No. 3 to Contract No. PRO.0096, Mountain Tunnel Improvements Project Construction Management Services, with AECOM Technical Services Inc., increasing the contract amount by $9,500,000 and extending the contract duration by five months, for a total not-to-exceed contract amount of $34,000,000 and a total contract duration of eight years and five months, to continue providing specialized construction management services for the Mountain Tunnel Improvements Project, subject to Board of Supervisors approval under Charter Section 9.118.
Background: San Francisco Public Utilities Commission (SFPUC) Water Enterprise Mountain Tunnel conveys the Hetch Hetchy water supply from Kirkwood Powerhouse approximately 19 miles to Priest Reservoir. It is a critical, non - redundant link in the Hetch Hetchy water system. Having been in service since 1925, sections of the original lining have deteriorated due to age, original construction deficiencies, and deferred maintenance, resulting in vulnerabilities to meeting water quality and delivery reliability level -of- service objectives. The Mountain Tunnel Improvements Project (Project) is a multi-year project to perform rehabilitation and improvements to extend the life of this critical water conveyance facility.
On April 23, 2019, by Resolution No. 19- 0085, this Commission awarded Contract No. PRO.0096, Mountain Tunnel Improvements Construction Management Services, to AECOM Technical Services, Inc., in an amount not- to-exceed $24,500,000 and a duration of eight years.
The purpose of Contract No. PRO.0096 is to provide support to the SFPUC to perform construction management and inspection services for the ongoing construction Contract HH -1000R, Mountain Tunnel Improvements Project.
This professional services contract provides special ized expertise in managing and inspecting tunnel rehabilitation construction work and related improvements, including construction of access tunnel adits , deep shafts, underground flow control valving and steel piping, lining repairs and contact grouting, as well as other specialized work.
The SFPUC requires the continued services of this qualified construction management (CM) firm for the duration of construction to supplement SFPUC Construction Management Bureau staff to monitor project budget, Agenda Title: PRO.0096, Mountain Tunnel Improvements Construction Management Services Commission Meeting Date: October 22, 2024
schedule, and scope, and to provide quality assurance , inspection services, and construction document control for Contract HH-1000R, Mountain Tunnel Improvements Project.
The reasons and proposed amounts for the contract cost increases requested in this Amendment No. 3 are summarized in Table 1 below, including original task order budgets and recommended modifications. Cost increases are primarily due to the need for increa sed quantity of inspection services but also for increased environmental construction compliance services and contract administration. A significantly lower level of effort for construction inspection services (Task Order No. 4) was originally estimated an d budgeted whereas the actual and future anticipated needs are much greater, accounting for most of the cost increase.
The original estimate underestimated the
number of inspectors and shifts required for the multiple project locations and work activities along the 19- mile-long
corridor as well as continuous 24
hour/7 day 12- hour duration construction work schedules during the five annual multi-month tunnel shutdown periods. Inspectors are assigned 12-hour shifts to align with the contractor’s crews to maximize efficiency and safety coordination during the shutdowns. Round the clock shifts, necessary overtime, and total number of inspectors and specialized inspectors required for the multiple work sites along the 19- mile corridor were underestimated in the original contract budget.
The c ontract budget increase is also needed for increased environmental construction compliance services resulting from winter storm damage to the various project locations and increased compliance services for the construction water treatment plant to meet regulatory compliance. This amendment also provides budget for unanticipated additional contract administration and management costs by the CM team to support removal of the scope of work for the South Fork site and various roadway improvements from construction Contract HH -1000R and constructability negotiations for the work at the South Fork site in a potential, future construction contract.
The contract duration extension proposed in Amendment No. 3 is to provide additional time for the CM Consultant to assist with the extensive closeout documentation for this complex construction project and to help resolve any outstanding claims that may be subm itted by the contractor at the end of the project.
Agenda Title: PRO.0096, Mountain Tunnel Improvements Construction Management Services Commission Meeting Date: October 22, 2024
Scope of Contract: The primary role of Contract No. PRO.0096 is to provide construction management and inspection services for the Mountain Tunnel Improvement Project under the direction of the SFPUC Construction Management Bureau.
The work under this contract consists of the following tasks:
Pre-Construction Services - constructability review of the 95% project design and bidding support assistance;
Construction Contract Administration – support for review and development of the following: safety plan, contract management, risk management plan, status meetings, partnering, contractor payment s, processing submittals and requests for information, claims and dispute review, value engineering review, and reports;
Construction Contracts Management - change management and processing, cost and scheduling analysis, and trending; Construction Inspection - quality control inspections, record drawing verification, materials testing, and survey controls;
Construction Project Controls - document and records management, project schedule reviews and management, pre-purchased materials and equipment schedules, construction cost control and forecasting; and Environmental Construction Compliance Services – environmental oversight, inspections, and specialty monitoring.
Amendments to the
Contract:
Amendment No. 1: On January 4, 2021, staff executed Amendment No. 1 to include the Community Benefits language from the Request for Proposals (RFP) that was inadvertently left out of the executed agreement in error, and with no changes to the agreement amount or duration.
Amendment No. 2: On August 6, 2021, staff executed Amendment No. 2 to amend the agreement to update an error to the Other Direct Costs language, and with no changes to the agreement amount or duration.
Proposed Amendment No. 3: Staff recommends Commission approval of proposed Amendment No. 3 to increase the contract amount by $9,500,000 for a total not-to-exceed contract amount of $34,000,000 and extend the contract duration by six months for a total contract duration of eight years and five months, to continue providing specialized construction management services for construction Contract HH-1000R, Mountain Tunnel Improvements Project.
Funding and Costs: Funding Source: Project No. CUH 10221, Mountain Tunnel Improvements Project
Original Not-to-Exceed Amount: $24,500,000
Amendment Nos. 1-2 Amount: $0
Proposed Amendment No. 3 Amount: $9,500,000
Total Not-To-Exceed Contract Amount: $34,000,000
Schedule: Original Duration: Eight years
Amendment Nos. 1-2 Duration: Zero months
Proposed Amendment No. 3 Duration: Five month
Total Duration: Eight years and five months
Agenda Title: PRO.0096, Mountain Tunnel Improvements Construction Management Services Commission Meeting Date: October 22, 2024
Environmental
Review:
On October 23, 2019, the San Francisco Planning Department approved the Final Mitigated Negative Declaration for the Mountain Tunnel Improvements Project (Case No. 2 017-014249ENV), as required by the California Environmental Quality Act (CEQA).
On November 12, 2019, by Resolution No. 19- 0213, this Comm ission adopted the Final Mitigat ed Negative Declaration, approved the P roject, and adopted the CEQA F indings contained in Resolution No. 19- 0213 and the Mitigation Monitoring and Reporting Program, as required by the CEQA.
Construction management services under this amendment i s for Project work that is within the scope of the Final Mitigated Negative Declaration.
The Final Mitigated Negative Declaration, Resolution No. 19- 0213, CEQA Findings contained in Resolution No. 19- 0213, and Mitigation Monitoring and Reporting Program can be found here:
https://sfpuc.sharefile.com/public/share/web-
s4b638353655140a2acdc58395f53b596
Local Business
Enterprise
Utilization and
Non-Discrimination
in Contracting:
The Contract Monitoring Division (CMD) established a 12% Local Business Enterprise (LBE) subcontracting requirement for this contract. AECOM Technical Services Inc., committed to 26.8% LBE subcontractor participation with its proposal, and this amount remains unchanged.
Attachment(s): 1. CMD Memorandum
Agenda Title: PRO.0096, Mountain Tunnel Improvements Construction Management Services Commission Meeting Date: October 22, 2024
Table 1: PRO.0096 Amendment No. 3 Summary
Task
Order
Task Summary
Current Budget
Proposed
Amendment No. 3
Modifications
Proposed Budget
1 Pre-Construction Services* $706,579 ($358,350) $348,229 2 Construction Contract
Administration
$7,484,558 $961,792 $8,446,350
3 Construction Contract
Management
$2,775,205 $438,150 $3,213,355
4 Construction Inspection $8,411,681 $8,116,291 $16,527,972 5 Construction Project Control $2,262,557 ($286,546) $1,976,011 6 Environmental Construction
Compliance Services
$2,859,420 $628,663 $3,488,083
Total $24,500,000 $9,500,000 $34,000,000
*Task Order 1 is closed out and actual cost is $348,229 Agenda Title: PRO.0096, Mountain Tunnel Improvements Construction Management Services Commission Meeting Date: October 22, 2024
Location Map:
Mountain Tunnel Improvements Project
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, Qualified construction management services to supplement San Francisco Public Utilities Commission (SFPUC) Construction Management Bureau staff are necessary to monitor project budget, schedule, and s cope and to provide quality assurance inspection and construction document control for construction on Contract No. HH -1000R, Mountain Tunnel Improvements Project (Project); and
WHEREAS, On April 23, 2019, by Resolution No. 19- 0085, this Commission awarded Contract No. PRO.0096, Mountain Tunnel Improvements Project Construction Management Services, to AECOM Technical Services Inc., in an amount not -to-exceed amount of $24,500,000, and with a duration of eight years; and
WHEREAS, On January 4, 2021, the SFPUC issued Amendment No. 1 to include the Community Benefits language from the Request for Proposals that was inadvertently omitted from the executed agreement, and with no changes to the contract amount or duration; and
WHEREAS, On August 6, 2021, the SFPUC issued Amendment No. 2 to update an error to the Other Direct Costs language, and with no changes to the agreement amount or duration; and
WHEREAS, Staff recommends the Commission approve Amendment No. 3 to increase the contract amount by $9,500,000, and extend the contract duration by five months, for a total not-to-exceed contract amount of $34,000,000 and a total contract duration of eight years and five months, to provide for continued c onstruction management support during the six years of construction and to provide support for project closeout; and
WHEREAS, The Contract Monitoring Division established a 12% Local Business Enterprise (LBE) subconsultant participation requirement for this Contract and AECOM Technical Services Inc. , committed in its proposal to 26.8% LBE subconsultant participation, and this remains unchanged; and
WHEREAS, On October 23, 2019, the San Francisco Planning Department approved the Final Mitigated Negative Declaration for the Mountain Tunnel Improvements Project (Case No. 2017-014249ENV), as required by the California Environmental Quality Act (CEQA); and
WHEREAS, On November 12, 2019, by Resolution No. 19- 0213, this Commission adopted the Final Mitigated Negative Declaration, approved the P roject, and adopted the CEQA Findings contained in Resolution No. 19- 0213 and the Mitigation Monitoring and Reporting Program, as required by the CEQA , and c onstruction management services under this amendment is for Project work that is within the scope of the Final Mitigated Negative Declaration; and
WHEREAS, The San Francisco Planning Department is the custodian of records, located in File No. 2017- 014249ENV, 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, Staff has made the Project files, including the Final Mitigated Negative Declaration, Resolution No. 19-0213, the CEQA Findings contained in Resolution No. 19- 0213, and the Mitigation Monitoring and Reporting Program 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 Mitigated Negative Declar ation, Resolution No. 19- 0213, the CEQA Findings contained in SFPUC Resolution No. 19-0213, the Mitigation and Monitoring Reporting Program, and all written and oral information provided by the San Francisco Planning Department, the public, relevant public agencies, SFPUC and other experts and the administrative files for the Project; and
WHEREAS, Funds for this contract are available from Project No. CUH 10221, Mountain Tunnel Improvements Project; now, therefore, be it
RESOLVED, This Commission has reviewed and considered the Final Mitigated Negative Declaration and the record as a whole, and finds that the Final Mitigated Negative Declaration is adequate for its use as the decision –making body for the Project and incorporates the CEQA Findings contained in Resolution N o. 19-0213 by this reference thereto as though set forth in this Resolution; and be it
FURTHER RESOLVED, This Commission further finds that since the Final Mitigated Negative Declaratio n was finalized, th ere have been no substantial P roject changes and no substantial changes in P roject circumstances that would require major revisions to the Final Mitigated Negative Declaration due to the inv olvement of new significant environmental effects or an increase i n 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, This Commission hereby approves Amendment No. 3 to Contract No. PRO.0096, Mountain Tunnel Improvements Project Construction Management Services, with AECOM Technical Services Inc., increasing the contract amount by $9,500,000 and extending the contract duration by five months, to continue providing specialized construction management services for the Mountain Tunnel Improvements Project , for a total not-to-exceed contract amount of $34,000,000, and a total contract duration of eight years and five months, subject to Board of Supervisors approval under Charter Section 9.118.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of October 22, 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
MEMORANDUM
Date: September 26, 2024
To: Lucas Hoffman, SFPUC
Randy Anderson, SFPUC
From: Jovi Cuntapay-Vitin, CMD
Subject: CMD Modification No. 1 (SFPUC Amendment No. 3) Memo for PRO.0096 Mountain Tunnel Construction Management Services (Peoplesoft No. 1000015367)
The San Francisco P ublic Utilities Commission (“SFPUC”) has requested a modification for the above referenced contract by increasing the contract amount by $9,500,000.00 for a total agreement amount of $34,000,000 with a time extension of six (6) months for a total contract duration of eight (8) years and five (5) months. Per the SFPUC, the increase is necessary to provide continued construction management services for construction Contract HH -1000R, Mountain Tunnel Improvements Project.
LBE Subconsulting Participation
The LBE subconsulting participation requirement established for this contract is 12%. Per CMD Form 2A, AECOM Technical Services, Inc. (“AECOM”) committed to a 26.80% of LBE participation. The LBE subconsulting participation commitment applies to the entire contract including any amendments, change orders and amendments. The LBE participation reflected on the AECOM’s CMD Form 2A at the time of proposal is as follows:
Subcontractor Scope of Work Status, Type
and Size
LBE Credited
Participation
BioMaAs, Inc. Environmental Compliance
Services SFLBE-MBE 10.10%
Effective Management Services,
LLC
Construction Management
Services SFLBE-MBE 13.30%
The Their Group, LLC Construction Management-
Inspection SFLBE-WBE 3.00%
Galen Construction Controls
Scheduler PUCLBE-OBE 0.40%
TOTAL 26.80%
As of September 26, 2024, AECOM’s total invoiced amount to-date is $18,532,178.79. The LBE participation achieved by AECOM is as follows:
Subcontractor
Scope of Work
Status,
Type and
Size
Credited LBE
Participation
LBE Participation To-
Date
(NOT including Modification No.
1)
1455 Market Street, Suite 16A, San Francisco, CA 94103
Telephone (415) 554 0630
Invoiced
BioMaAs, Inc.
Environmental
Compliance
Services
SFLBE-
MBE 10.10%
$1,644,524.43 8.87%
Effective
Management
Services, LLC
Construction
Management
Services
SFLBE-
MBE 13.30%
$7,243,687.96 39.09%
The Their
Group, LLC
Construction
Management-
Inspection
SFLBE-
WBE 3.00%
$1,469,357.12 7.93%
Galen Construction
Controls Scheduler
PUCLBE-
OBE 0.40% $1,205,235.07 6.50%
TOTAL 26.80% $11,562,804.58 62.39%
AECOM is required to make good faith efforts to utilize LBEs for any scope of work, or portions thereof, which can reasonably be subcontracted out throughout the life of the contract.
Based on the foregoing and taking into consideration the proposed increase and the original contract amount, AECOM confirmed that it will remain committed to assigning work that may arise from future task orders to its original listed LBE subconsultants. AECOM informed the CMD that it anticipates meeting its 26.80% LBE commitment, as follows:
Subcontractor
Scope of Work Status, Type
and Size
Projected LBE
Participation for entire
contract including this
Modification No. 1
BioMaAs, Inc. Environmental
Compliance Services SFLBE-MBE $ 3,433,935.00 10.10%
Effective
Management
Services, LLC
Construction
Management Services
SFLBE-MBE
$ 4,521,914.00
13.30%
The Their Group, LLC
Construction
Management-
Inspection
SFLBE-WBE
$ 1,019,981.00
3.00%
Galen Construction Controls
Scheduler PUCLBE-OBE $ 135,997.00 0.40%
TOTAL $ 9,111,827.00 26.80%
Going forward, SFPUC staff and AECOM will obtain CMD approval for each subconsultant addition and LBE substitution according to established procedures. Additionally, in order to ensure compliance with the LBE ordinance and requirements, the SFPUC and AECOM must notify CMD of any changes to the scope of work as well as any changes to information provided to CMD.
Contingent on the conditions set forth above, CMD approves the subject modification.
Should you have any questions, please contact me at [email protected].