DEPARTMENT
Infrastructure Division
AGENDA NO. 10
MEETING DATE
November 12, 2024
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Regular Calendar
Contract Manager: Judy Chin
Approve Modification No. 1 to Job Order Contract No. JOC-98, Electrical (C-10 License) Construction, San Francisco, San Mateo, Santa Clara, and Alameda Counties
Summary of
Proposed
Commission Action:
Approve Modification No. 1 to Job Order Contract No. JOC-98, Electrical (C- 10 License) Construction, San Francisco, San Mateo, Santa Clara, and Alameda Counties, with U.S. Electric Technologies, Inc., to increase the c ontract duration by three years for a total contract duration of five years and to increase the contract amount by $2,500,000 for a revised not-to-exceed contract amount of $ 7,500,000, for additional time and capacity for facility and asset
improvements.
Background: A Job Order Contract is an indefinite quantity , task-order based contract that enables the San Francisco Public Utilities Commission (SFPUC) to complete tasks quickly and efficiently on an as-needed basis under a single, competitively bid construction contract using published pre-set unit prices.
The SFPUC has used Job Order Contracts for a wide range of construction activities including general building construction and general engineering construction, specialized electrical work in power turbines and switchyards, spot sewer repair, marine related services, lighting upgrades, repair of heating, ventilation, and air conditioning systems, and energy efficiency retrofits.
The not-to-exceed amount of this contract is $5,000,000. Under San Francisco Administrative Code section 6.62, the Commission may increase the maximum contract value by up to 150% of the original contract value (an additional $2,500,000) for a total potential maximum contract amount of $7,500,000.
The duration of this contract is two years. Under San Francisco Administrative Code section 6.62, t he Commission may extend the term to a maximum duration of five years. The SFPUC may not issue any new task orders under this contract after four years from the date th
e Controller certifies the
availability of funds for this contract.
On August 8, 2023, by Resolution No. 23-0144, the Commission awarded Job Order Contract No. JOC -98, Electrical (C -10 License) Construction, San Francisco, San Mateo, Santa Clara, and Alam eda Counties , to U.S. Electric Technologies, Inc., with an original not -to-exceed contract amount of $5,000,000 and an original contract duration of two years.
Agenda Title: JOC-98, Electrical (C-10 License) Construction, San Francisco, San Mateo, Santa Clara, and Alameda Counties
Commission Meeting Date: November 12, 2024
Scope of Contract: The contract work locations are San Francisco, San Mateo, Santa Clara, and Alameda counties.
The scope of work for potential task orders consists of:
• Cathodic Protection;
• Electrical Construction;
• Electrical Equipment and Supplies;
• General Building Construction;
• General Engineering Construction;
• Lenel Systems Integration;
• Lenel Systems Components;
• Low Voltage Systems Construction; and
• PLC Systems Integration.
Modifications to the
Contract:
Recommended Modification No. 1: Staff recommends Commission approval to extend the c ontract duration by three years for a total contract duration of five years and to increase the contract amount by $2,500,000 for a revised not- to-exceed contract amount of $7,500,000, for additional time and capacity for facility and asset improvements such as cathodic protection, electrical construction, electrical equipment and supplies, general building construction, general engineering construction, L enel systems integration, Lenel s ystems components, low voltage systems construction, and PLC s ystems integration for the SFPUC Operations and Bureaus.
Funding and Costs: Funding: Staff encumbers f unds for each Task Order concurrently with issuance of a Notice-to-Proceed. The SFPUC Enterprise Operations and Bureaus requesting work provide the funding for each Task Order.
Original Not-to-Exceed Award Amount: $5,000,000
Recommended Modification Amount: $2,500,000
Total Not-to-Exceed Contract Amount: $7,500,000
Schedule: Certification Date: September 12, 2023
Original Duration: two years
Recommended Modification: three years
Total Revised Contract Duration: five years
Local Business
Enterprise
Utilization and
Non-Discrimination
in Contracting:
The Contract Monitoring Division established an 8% Local Business Enterprise subcontracting requirement for this c ontract. U.S. Electric Technologies, Inc., committed to 9.20% Local Business Enterprise subcontractor participation in its bid submittal.
Attachment: 1. Contract Monitoring Division Memorandum
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) requires as-needed construction for a wide range of construction activities to support its facilities, including general building construction and general engineering construction, specialized electrical work in power turbines and switchyards, spot sewer repair, marine related services, lighting upgrades , repair of heating, ventilation, and air conditioning systems, and energy efficiency retrofits. SFPUC typically utilizes a Job Order Contract (JOC) to perform this work; and
WHEREAS, On August 8, 2023, by Resolution No. 23- 0144, this Commission awarded Job Order Contract No. JOC-98, Electrical (C -10 License) Construction, San Francisco, San Mateo, Santa Clara, and Alameda Counties to U.S. Electric Technologies, Inc.; and
WHEREAS, The contract certification date was September 12, 2023; and
WHEREAS, The original contract amount was for an amount not -to-exceed $5,000,000 and the original contract duration was two years; and
WHEREAS, Staff recommends approval of Modification No. 1 to increase the contract duration by three years for a total contract duration of five years and to increase the contract amount by $2,500,000 for a revised not-to-exceed contract amount of $7,500,000, for additional time and capacity fo r facility and asset improvements such as cathodic protection, electrical construction, electrical equipment and supplies, general building construction, general engineering construction, Lenel systems integration, Lenel systems compone nts, low voltage systems construction, and PLC systems integration for Operations and Bureaus; and
WHEREAS, The Contract Monitoring Division established a Local Business Enterprise (LBE) subcontracting requirement of 8% for this c ontract, U.S. Electric Technologies, Inc., committed to 9.20% Local Business Enterprise subcontractor participation with its bid submittal, and this amount remains unchanged; and
WHEREAS, Funds will be available from various SFPUC Enterprise funds when Task Orders are issued; now, therefore, be it
RESOLVED, That this Commission hereby approves Modification No. 1 to Job Order Contract No. JOC -98, Electrical (C -10 License) Construction, San Francisco, San Mateo, Santa Clara, and Alameda Counties with U.S. Electric Technologies, Inc., increasing the contract duration by three years for a total contract duration of five years and increasing the contract amount by $2,500,000 for a revised not-to-exceed contract amount of $7,500,000.
I hereby certify that the foregoing resolution was adopted by the Public Utilities Commission at its meeting of November 12, 2024.
Director of Commission Affairs,
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 General Email [email protected]
MEMORANDUM
Date: October 4, 2024
To: Judy Chin, SFPUC
Jen Walker, SFPUC
From: Jovi Cuntapay-Vitin, CMD
Subject: Modification No. 1 for JOC-98 Electrical (C-10), San Francisco, San Mateo, Santa Clara and Alameda Counties (PeopleSoft Contract ID: 1000030460)
SFPUC has requested to modify the above referenced contract by $2,500,000 for a total agreement amount of $7,500,000, and with a time extension of three (3) years, for a total contract duration of five (5) years. Pursuant to communications with the SFPUC, the scope of work for Modification No.1 consists of the continuation of performing electrical work.
The Micro/Small-LBE subcontracting participation requirement established for this contract is 8%.
Per bid documents, the Prime, U.S. Electric Technologies, Inc. (“USET”), committed to a 9.20% of LBE participation for this contract – please see the below table. The LBE subcontracting participation commitment applies to the entire contract including any modifications, change orders and amendments.
The Micro/Small LBE participation reflected on the Prime Contractor’s, USET’s, Section 00 43 36 at the time of bid is as follows:
Subcontractor Scope of Work
LBE Status,
Type and
Size
Original
Credited
Participation
Speedy’s Hardware, Inc. Job Materials Supplier SF LBE-MBE (Micro) 4.20%*
FavourPC, Inc. Electrical Engineering
Services
SF LBE-OBE
(Micro) 5.00%
Trinet Construction, Inc. Civil Earthwork SF LBE-WBE
(Micro)
-
TOTAL 9.20%
* Per CMD Rules and Regulations and CMD Attachment 1, only 60% of the cost of the items will count toward the LBE subcontracting participation requirement for suppliers that performs a Commercially Useful Function by taking possession of the items and assuming the risk of delivery.
As of October 4, 2024, per SOLIS, USET invoiced to-date $328,000. The Micro/Small LBE participation achieved by USET is as follows:
Subcontractor Scope of
Work
LBE
Status,
Type and
Size
Participation To-Date
(NOT including Modification No. 1)
Current Credited
Speedy’s Hardware,
Inc.
Job Materials
Supplier
SF LBE-MBE
(Micro)
$67,650.00* $40,590.00*
FavourPC, Inc.
Electrical
Engineering
Services
SF LBE-OBE
(Micro)
$0.00 $0.00
Trinet Construction,
Inc.
Civil Earthwork SF LBE-WBE
(Micro)
$0.00 $0.00
TOTAL $40,590.00*
13.20%
* Per CMD Rules and Regulations and CMD Attachment 1, only 60% of the cost of the items will count toward the LBE subcontracting participation requirement for suppliers that performs a Commercially Useful Function by taking possession of the items and assuming the risk of delivery.
Per communications with USET, FavourPC, Inc. (“FavourPC”), a listed LBE, have not been utilized yet because Task Order No. 9, where they are included in , is yet to be awarded, hence, no invoices can be submitted yet. USET is required to make good faith efforts to utilize LBEs for any scopes of work, or portions thereof, which can reasonably be subcontracted throughout the life of the agreement. In light of th is requirement, and as part of USET’s good faith efforts, USET added and is also utilizing the certified LBE firm: Trinet Construction, Inc. (“Trinet”). Trinet is included in Task Order Nos. 1 and 2 and is yet to start.
Moreover, USET confirmed that it wi ll remain committed to assigning work that may arise from future task orders to its original listed LBE subcontractors. USET informed the CMD that it anticipates meeting its 9.20% LBE subcontracting participation commitment, as follows:
Subcontractor Scope of Work
LBE Status,
Type and
Size
Projected Participation
(including Modification No. 1)
Speedy’s Hardware,
Inc.
Job Materials
Supplier
SF LBE-MBE
(Micro) $525,000.00* 4.20%
FavourPC, Inc.
Electrical
Engineering
Services
SF LBE-OBE
(Micro) $375,000.00 5.00%
Trinet Construction,
Inc.
Civil Earthwork SF LBE-WBE
(Micro)
- -
TOTAL $900,000.00 9.20%
* Per CMD Rules and Regulations and CMD Attachment 1, only 60% of the cost of the items will count toward the LBE subcontracting participation requirement for suppliers that performs a Commercially Useful Function by taking possession of the items and assuming the risk of delivery. Hence, only $315,000.00 of Speedy’s Hardware, Inc.’s participation will be given LBE credit.
Going forward, in order to ensure compliance with the Chapter 14B post -award requirements, SFPUC staff and USET will continue to notify and obtain CMD approval for any proposed subcontractor additions and/or substitutions throughout the term of this contract as well as any changes to the scope of work and the information provided to CMD . CMD will review this information to determine and facilitate progress towards the project’s LBE subcontracting commitment. Contingent upon the conditions set forth above, CMD approves this modification.
Should you have any questions and/or concerns regarding the above, I can be reached at [email protected].