DEPARTMENT
Infrastructure Division
AGENDA NO.
7d
MEETING DATE
November 12, 2024
AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
Calendar: Consent Calendar
Project Manager: Janet Ng
Award Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines
Summary of
Proposed
Commission Action:
Award Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines , to the responsible bidder that submitted the lowest responsive bid, Anvil Builders, Inc., in the amount of $4,807,600, and with a duration of 1,435 consecutive calendar days (approximately three years and 11 months) to procure and install butterfly valves for water transmission pipelines in the Regional Water System . This action constitutes the Approval Action for the Project for the purposes of the California Environmental Quality Act (
CEQA), pursuant to San Francisco
Administrative Code section 31.04(h). The Planning Department has determined that the Project is exempt from the CEQA. The Commission will rely on that determination to make its decision on this action.
Background: The San Francisco Public Utilities Commission (SFPUC) operates and maintains la rge diameter transmission pipelines in the Regional Water System. Safe entry for personnel is required to perform maintenance and inspect the interior of pipelines . This project will procure and install seven butterfly valves ranging in diameter from 36 inches to 90 inches to provide safe pipeline entry for personnel to perform planned and future operational, maintenance, and project work on various pipelines in the Regional Water System.
Scope of Contract: The contract work location is in San Mateo and Santa Clara Counties.
The contract work consists of:
• Fabricating butterfly valves ranging in size from 36 inches to 90 inches in diameter;
• Handling, transporting and storing butterfly valves; and • Installing butterfly valves within the Regional Water System.
Funding and Costs: Funding Source: Water Enterprise Capital Improvement Program, Project No. 10035029, As -Needed Pipeline Repair and Project No. 10036840, BDPL1-4 Lining Repair
Engineer’s Estimate: $7,000,000
Award Amount: $4,807,600
Agenda Title: Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines
Meeting Date: November 12, 2024
Schedule: Estimated Notice-to-Proceed Date: April 2025
Estimated Final Completion Date: March 2029
Contract Duration: 1,435 consecutive calendar days (approximately three years and 11 months) (1,375 consecutive calendar days to Substantial Completion and an additional 60 consecutive calendar days to Final Completion).
Bid History:
Advertised: July 22, 2024
Bids Received: On August 29, 2024, the SFPUC received and publicly opened bids from five firms:
Bid Rank Base Bid
Amount
LBE Bid
Discount
Compensable
Delay (30-day
Duration)
Adjusted
Bid
Final
Rank
1. Sierra
Mountain
Construction,
Inc.
$4,637,630 N/A $30 $4,637,660 1
2. Anvil
Builders, Inc.
$4,807,600 N/A $15,000 $4,822,600 2
3. NTK
Construction,
Inc.
$5,624,500 N/A $15,000
$5,639,500 3
4. Mountain
Cascade, Inc.
$5,936,500 N/A $15,000
$5,951,500 4
5. Cratus, Inc. $6,338,500 N/A $7,500 $6,346,000 5
The Contract Monitoring Division determined that none of the bidders are eligible for the Local Business Enterprise (LBE) bid discount in accordance with Chapter 14B of the San Francisco Administrative Code.
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 30 days to calculate the Compensable Delay bid adjustment amount. Staff used the daily rate from the bids to determine the total Compensable Delay values shown in the table above by multiplying the bidder’s daily rate times 30. The Adjusted Bid value in the table above is the sum of the Base Bid and Compensable Delay less any applicable Local Business Enterprise and Social Impact Partnership Program bid discounts.
Staff used the Adjusted Bid value to compare and r ank 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.
Agenda Title: Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines
Meeting Date: November 12, 2024
Protest: On September 12, 2024, the SFPUC received a protest letter from Anvil Builders, Inc., protesting the bid submitted by Sierra Mountain Construction, Inc. (SMCI). After review of the protest, the Contract Administration Bureau, in consultation with the City Attorney’s Office , deemed the protest to be with merit and upheld the protest on October 3, 2024.
On October 8, 2024, SMCI provided a rebuttal to the determinat ion and requested a hearing. On October 18, 2024, in accordance with CAB’s and the City Attorney Office’s hearing instructions, SMCI submitted a written statement for review. The hearing team reviewed SMCI’s written statement, upheld the protest , and deeme d SMCI’s bid to be non- responsive. Anvil Builders, Inc., was deemed to be the responsible bidder submitting the highest ranked responsive bid.
Environmental
Review:
On November 1, 2024, the San Francisco Planning Department determined the Project to be categorically exempt from environmental review under the CEQA Guidelines s ection 15301, Class 1 (Existing Facilities) and section 15302, Class 2 (Replacement or Reconstruction) under Case Number 2024- 004142ENV. The exemption determination can be found here:
Link
This action constitutes the Approval Action for the Project for the purposes of the CEQA, pursuant to San Francisco Administrative Code section 31.04(h).
Local Business
Enterprise
Utilization and Non-
Discrimination in
Contracting:
The Contract Monitoring Division waived the Local Business Enterprise (LBE) subcontracting requirement for this contract.
Agenda Title: Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines
Meeting Date: November 12, 2024
PROJECT LOCATION MAP
WD-2910, PROCUREMENT AND INSTALLATION OF MEDIUM AND LARGE DIAMETER
VALVES FOR REGIONAL PIPELINES
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO.
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) operates and maintains large diameter transmission pipelines in the Regional Water System, and in order to inspect the interior of pipelines and to perform maintenance on the pipelines, safe pipeline entry is needed; and
WHEREAS, On July 22, 2024, the SFPUC advertised Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines (Project); and
WHEREAS, The Engineer’s Estimate is $7,000,000 for this construction work to procure and install valves for safe pipeline entry in San Mateo and Santa Clara Counties; and
WHEREAS, The contract duration is 1,435 consecutive calendar days; and
WHEREAS, On August 29, 2024, the SFPUC received and publicly opened bids from five firms; and
WHEREAS, SFPUC staff review ed the bids and determined that Anvil Builders, Inc., is the responsible bidder with the lowest responsive bid; and
WHEREAS, The Contract Monitoring Division waived the Local Business Enterprise (LBE) subcontracting requirement for this contract; and
WHEREAS, On November 1, 2024, the San Francisco Planning Department determined the Project to be categorically exempt from environmental review under the C alifornia Environmental Quality Act Guidelines section 15301, Class 1 (Existing Facilities) and section 15302, Class 2 (Replacement or Reconstruction) under Case Number 2024-004142ENV; and
WHEREAS, Funds are available from Project No. 10035029, As-Needed Pipeline Repair and Project No. 10036840, BDPL1-4 Lining Repair; now, therefore, be it
RESOLVED, That this Commission hereby awards Contract No. WD-2910, Procurement and Installation of Medium and Large Diameter Valves for Regional Pipelines , in the amount of $4,807,600, and with a duration of 1,435 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 November 12, 2024.
Director of Commission Affairs
San Francisco Public Utilities Commission
CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe.
Contract Monitoring Division
Dear Janet Ng,
This is to inform you that 14BPREBID0001840 - '14B Requirements' has been approved.
Requester: Janet Ng
Department: PUC
LBE Participation Requirement Waiver Justification: 14B.8(A) (Lack of Subcontracting Opportunities) Requested total cost: $16,000,000.00
Short Description: Request Waiver of Chapter 14B for Construction Contract WD-2910 to Procure Valves Ranging in Size from 20" to 90" in Diameter
Reason for determination: Approved under 14b.8(A) authority.
Take me to the CMD 14B PREBID Waiver Request
Thank you.
Ref:TIS4646236_oAv4o41sYWCrjBXbukOV