AGENDA ITEM
Public Utilities Commission
City and County of San Francisco
DEPARTMENT: Infrastructure Division
AGENDA NUMBER: 13
MEETING DATE: April 28, 2026
Calendar: Regular Calendar
Contract/Project Manager: Carman Luk
Approve Increase to Cost and Duration Contingenc ies for Contract No. WW-723R, Channel Force Main Intertie
Summary of Proposed
Commission Action:
Approve an increase of $2,800,000 to the existing cost contingency and 243 calendar days to the existing duration contingency for Contract No. WW -723R, Channel Force Main Intertie, with Anvil Builders Inc., for a revised cost limit of $22,175,899 and a revised duration limit of 1,374 consecutive calendar days, due to unforeseen existing pipe conditions requiring additional pipe modifications and to extend dry weather restricted work into 2026 to support ongoing construction activities.
Background: The San Francisco Public Utilities Commission (SFPUC) Wastewater Enterprise, Sewer System Improvements Program identified the need to construct a pipeline connection between the Channel Force Main and the Islais Creek Transport/Storage Box to increase operational flexibility for dry weather sewage conveyance.
The purpose of this project is to increas e the operational flexibility and reliability of the sewer system by allowing the dry weather flows to be diverted from the existing Channel Force Main to the Islais Creek Transport/Storage Box. In addition, the completed project will allow SFPUC to inspect and rehabilitate approximately 2,000-linear feet of the existing Channel Force Main located downstream of this new pipeline connection.
The project will construct an underground pipeline connection and control-valves between two existing sewer facilities: the Channel Force Main located under Cesar Chavez Street (westbound lanes), and the Islais Creek Transport/Storage box located under Cesar Chavez Street (eastbound lanes) and within the San Francisco Municipal Transportation Agency’s Islais Creek Motor Coach Facility. The new control valves will be installed in an underground concrete vault (new underground valve-vault) to allow for access for operation, maintenance, and replacement. In addition, to operate the new control valves, this project will also construct new electrical control panels in the sidewalk along Cesar Chavez Street, between Indiana and Pennsylvania Streets. Work also include s
modifications to the interior of the Islais Creek Transport/Storage Box near the intersection of Cesar Chavez and Mississippi Streets, as well as replacement of existing air valves along the Channel Agenda Title: WW-723R, Channel Force Main Intertie
Commission Meeting Date: April 28, 2026
Force Main at two locations on Indiana Street, near 20th Street and 25th Street intersections.
On December 13, 2022, by Resolution No. 22- 0215, the
Commission awarded Contract No. WW -723R, Channel Force Main Intertie, to Anvil Builders Inc. The original contract amount was $15,796,272 and the original contract duration was 710 consecutive calendar days.
On February 25, 2025, by Resolution No. 25-0036, the Commission approved an increase of $2,000,000 to the cost contingency and an increase of 350 calendar days to the duration contingency, to address extensive dewatering needed due to unforeseen site conditions, and extend dry weather allowed work into 2025, for a revised cost limit of $19,375,899, and a revised duration limit of 1,131 consecutive calendar days.
Scope of Contract: The contract work locations are on Cesar Chavez Street just west of Indiana Street, and on Indiana Street near 20th and 25th street intersections. The contract work consists of:
• Furnish and install one 48- inch and two 66 -inch diameter valves, including ancillary piping and mechanical joints; • Construction of a new subsurface underground valve- vault on piles;
• Installation of above- ground control panels for electrical controls and instrumentations systems;
• Replacements of air release valves;
• Associated traffic controls and street restoration; and, • Testing and commission ing of all major mechanical,
electrical, instrumentation and automation systems before turning over to SFPUC for operation.
Modifications to the
Contract:
Modification Nos. 1 -4: Staff issued Modification Nos. 1 -4, increasing the contract amount by $717,031 (within the original 10% contingency), for a total contract amount of $16,513,303, with no change to the contract duration, to address multiple special traffic permits and Caltr ans encroachment permits and agreement fees, and dewatering measures in support of the shoring system, and ongoing dewatering activities in 2023.
Modifications No. 5 -11: Staff issued Modifications Nos. 5-11, increasing the contract amount by $2,309,841, in accordance with the Resolution No. 25-0036, for a total contract amount of $18,823,144, with no change to the contract duration, for ongoing dewatering activities, additional pipe modifications
, differing site
conditions, and additional excavation soil management.
Proposed to Increase Cost and Duration Contingency: Staff is seeking Commission authorization to increase the existing cost contingency by $2,800,000 and the existing duration contingency Agenda Title: WW-723R, Channel Force Main Intertie
Commission Meeting Date: April 28, 2026
by 243 calendar days, for a revised cost limit of $22,175,899 and a revised duration limit of 1,374 consecutive calendar days, due to unforeseen existing pipe conditions requiring additional pipe modifications and to extend dry weather restricted work into 2026 to support ongoing construction activities.
Funding and Costs: Funding Source: Sewer System Improvement Program funded Project No. 10034718-1, Channel Force Main Intertie
Original Contract Amount: $15,796,272
Original 10% Cost Contingency: $1,579,627
Approved Increase in Cost Contingency: $2,000,000
Modified Increases to Contract Amount: $3,026,872
Total Current Contract Amount: $18,823,144
Current Cost Contingency: $552,755
[Proposed] Additional Cost Contingency: $2,800,000
Total [Proposed] Contract Cost Limit: $22,175,899
Schedule: Notice-to-Proceed Date: June 26, 2023
Original Contract Duration: 710 consecutive calendar days Original 10% Duration Contingency: 71 calendar days
Approved Increase to Duration Contingency: 350 calendar days Modified Increases to Contract Duration: 0 calendar days Total Current Contract Duration: 710 consecutive calendar days Current Duration Contingency: 421 calendar days
[Proposed] Additional Duration Contingency : 243 calendar days
Total [Proposed] Contract Duration Limit : 1,374 consecutive calendar days
Local Business
Enterprise Utilization
and Non-
Discrimination in
Contracting:
The Contract Monitoring Division established a 16% Local Business Enterprise (LBE) subcontracting requirement for this contract. The contractor committed to a 16.52% LBE subcontractor participation with its bid submittal and this remains unchanged.
Agenda Title: WW-723R, Channel Force Main Intertie
Commission Meeting Date: April 28, 2026
Figure 1: WW-723R, Location Map of Channel Force Main Intertie
Figure 2: WW-723R, Aerial View of Channel Force Main Intertie Facility Location and Air Release Valves Locations
PUBLIC UTILITIES COMMISSION
City and County of San Francisco
RESOLUTION NO. __________________
WHEREAS, The San Francisco Public Utilities Commission (SFPUC) Wastewater Enterprise, Sewer System Improvements Program identified the need to construct a pipeline connection between the Channel Force Main and the Islais Creek Transport/Storage Box to increase operational flexibility for dry weather sewage conveyance; and
WHEREAS, On December 13, 2022, by Resolution No. 22-0215, this Commission awarded Contract No. WW-723R, Channel Force Main Intertie, to Anvil Builders Inc.; and
WHEREAS, The original contract amount was for $15,796,272 and the original contract duration was 710 consecutive calendar days; and
WHEREAS, The contract Notice-to-Proceed date was June 23, 2023; and
WHEREAS, Staff issued Modifications Nos. 1 - 4, increasing the contract amount by $717,031, within the original 10% contingency, for additional permit and agreement fees and ongoing dewatering activities in support of shoring system, for a total contract amount of $16,513,303, with no change to the contract duration; and
WHEREAS, On February 25, 2025 , by Resolution No. 25-0036, the Commission approved increase of $2,000,000 to the contract cost contingency and an increase of 350 consecutive calendar days to the duration contingency, for a revised cost limit of $19,375,899 and a revised duration limit of 1,131 consecutive calendar days; and
WHEREAS Staff issued Modification Nos. 5-11, increasing the contract amount by $2,309,841, in accordance with Resolution No. 25-0036, to support ongoing dewatering activities, additional pipe modifications , and differing site conditions, for a total contract amount of $18,823,144, with no change to the contract duration; and
WHEREAS, Staff recommends this Commission approve a n i ncrease of $2,800,000 to the existing cost contingency and an increase of 243 calendar days to the existing duration contingency to account for unforeseen existing pipe conditions requiring additional pipe modifications and to extend dry weather restricted work into 2026 to support ongoing construction activities , for a revised cost limit of $22,175,899 and a revised duration limit of 1,374 consecutive calendar days; and
WHEREAS, The Contract Monitoring Division established a Local Business Enterprise (LBE) subcontracting requirement of 16% for this contract, the contractor committed to an LBE subcontractor participation of 16.52% with its bid submittal, and this remains unchanged; and
WHEREAS, Funds are available from Project No. No. 10034718-1, Channel Force Main Intertie; now, therefore, be it,
RESOLVED, That this Commission hereby approves an increase of $2,800,000 to the existing cost contingency and an increase of 243 calendar days to the existing duration contingency, for Contract No. WW-723R, Channel Force Main Intertie, for a total cost contingency of $ 6,379,627 and a total duration contingency of 664 calendar days; and, be it,
FURTHER RESOLVED, That this Commission hereby authorizes the General Manager, or the General Manager’s designee, to consider, and, if appropriate, to approve any future modifications to the Contract , up to a total cost limit of $22,175,899 and total duration limit of up to 1,374 consecutive calendar days.
I hereby certify that the foregoing resolution was adopted by the San Francisco Public Utilities Commission at its meeting of April 28, 2026.
_______________________________
Director of Commission Affairs
San Francisco Public Utilities Commission