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June 7, 2022
ITEM TITLE
Contract Award and Appropriation: Awarding a Public Works Contract to Blue Pacific Engineering & Construction for the Chula Vista Elite Athlete Training Center (CVEATC) Bridge Repair Project and Appropriating Funds for That Purpose
Report Number: 22-0168
Location: 2800 Olympic Parkway, Chula Vista, CA 91915; Wueste Road Entrance Department: Engineering
Environmental Notice: The Project qualifies for a Class 1 Categorical Exemption pursuant to Section 15301 (Existing Facilities) of the California Environmental Quality Act State Guidelines. Notwithstanding the foregoing, the Project was adequately covered in previously adopted/certified Environmental Impact Report, EIR 89-11 and Supplemental Environmental Impact Report, SEIR 89-11 for the Olympic Training Center
Recommended Action
Adopt a resolution approving the contract to Blue Pacific Engineering & Construction for the CVEATC Bridge Repair project (CIP GGV0241) and appropriating funds for the construction phase of the project (4/5 Vote Required).
SUMMARY
On February 9, 2022, the Director of Engineering and Capital Projects received six (6) sealed bids for the “CVEATC Bridge Repair (GGV0241)” project. After review of bids, staff is recommending award of the public works contract to the lowest responsive an d responsible bidder, Blue Pacific Engineering & Construction.
Staff is concurrently recommending an appropriation of $2,484,000 to cover the construction costs as shown below in the Current -Year Fiscal Impact Section. Adoption of the resolution would: 1) accept bids; 2) appropriate $2,484,000.00 from unanticipated revenue and the general fund to the CVEATC Bridge Repair project (CIP GGV0241); and 3) award the public works contract for the construction phase of the project to Blue Pacific Engineering & Construction in the amount of $1,713,727.00.
ENVIRONMENTAL REVIEW
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The proposed Project has been reviewed for compliance with the California Environmental Quality Act (CEQA) and it has been determined that the Project qualifies for a Class 1 Categorical Exemption pursuant to Section 15301 (Existing Facilities) of the State CEQA Guidelines. Notwithstanding the foregoing, it has also been determined that the Pedestrian Bridge Repair in the Chula Vista Elite Athlete Training Center was adequately covered in p reviously adopted/certified Environmental Impact Report, EIR 89 -11 and Supplemental Environmental Impact Report, SEIR 89 -11 for the Olympic Training Center. Thus, no further environmental review is necessary.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
Per Resolution No. 2018-178, City staff created the Chula Vista Elite Athlete Training Center (CVEATC) Bridge Repair project (CIP GGV0241) for the design and repair of the CVEATC bridge and guard house. City staff filed a claim with City’s insurance provider, Lexington Insurance Company (“Lexington”) , to fund and complete CIP GGV0241. City has received a total of $1,083,852.68 on the claim which have been appropriated into the project. A total of $870,895 has been incurred for desig n and consultant costs leaving a balance of $212,957 in the CIP fund for the project. Ongoing discussions between Lexington and the City are held to reconcile funds required for the project. Lexington recently provided a Sworn Statement in Partial Proof of Loss (Attachment 3) and a partial payment of $1,015,924.40 (Attachment 4) for the construction portion of the project . It is anticipated that Lexington will provide an additional payment of approximately $1,468,075.60 to cover the remaining costs assoc iated with the project. Therefore, staff recommends appropriating $2,484,000 to cover construction, construction management, and various staff costs associated with oversight of the project.
Bidding Process
On December 17, 2021 , Engineering and Capital Projects Staff advertised the project and received six (6) sealed bids on February 9, 2022. The base bid totals from the prime contractors were as follows:
Ranking Contractor Base Bid Amount
1 Blue Pacific Engineering & Construction $ 1,713,727.00 2 TC Construction Company, Inc. $ 1,796,818.00
3 Wright Construction Engineering Corp $ 1,846,378.00
4 LB Civil Construction, Inc. $ 1,868,607.50
5 – NR Entenman Development Group Inc. $ 1,914,811.59
6 Wier Construction Corp $ 2,009,530.30
NR = Non-Responsive
The low bid by Blue Pacific Engineering Construction (Blue Pacific) of $1,713,727.00 , which was approximately 10.4% above the Engineer’s estimate. Blue Pacific is currently an active licensed contractor (License No. 824455) with the following classifications: A – General Engineering, B – General Building, C27 – Landscaping, C-8 – Concrete, and C10 – Electrical. Blue Pacific has had satisfactory performance on work within the region.
Entenman Development Group (“E ntenman”) submitted a bid price of $1,914,811.59 which is $538,000 higher than the sum of the extended prices grand total of $1,376,811.59. Pursuant to the bid requirements P a g e | 3
and conditions, the sum of extended prices grand total of $1,376,811.59 would have prevailed, however, City staff determined the bid to be non-responsive.
Staff recommends awarding the public works contract for CIP GGV0241 to the lowest responsive and responsible bidder, Blue Pacific , and appropriating $ 2,484,000 to cover the construction costs as shown below in the Current-Year Fiscal Impact Section.
Disclosure Statement
Attachment 1 is a copy of the Contractor’s Disclosure Statement.
Wage Statement
The Contractor that is awarded the contract and its subcontractors are required to pa y prevailing wage to persons employed by them for work under this contract. The prevailing wage scales are those determined by the Director of Industrial Relations, State of California.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the Council members and has found that District 3 Councilman Stephen Padilla has real property holdings within 1,000 feet, but beyond 500 feet, of the boundaries of the property which is the subject of this action. Staff has determined that the decision would change the parcel’s development potential, income-producing potential, highest and best use, character, and/or market value.
Consequently, pursuant to California Code of Regulations Title 2, sections 18700 and 18702.2(a)(8), this item presents a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal.
Gov't Code § 87100, et seq.) for the above-identified member.
Staff is not independently aware and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
Approval of this resolution will result in the appropriation of $2,484,000 to CIP GGV0241 to initiate and cover the construction phase of the project, as well as to cover staff costs associated with oversight of the project. $1,015,924.40 of the $2,484,000 has been received. The balance is expected to be covered by an additional payment(s) of approximately $1,468,075.60 from Lexington Insurance Company . Staff will return to City Council if the additional anticipated payment(s) is/are not received to ensure there is no direct impact to the General Fund.
Summary of Construction Costs for GGV0241 are as follows:
Funds Required for Construction (GGV0241)
A. Contract Amount $ 1,713,727
B. Contract Contingency $ 342,745
C. Construction Engineering Cost
(Construction Management Consultant and Inspection Staff) $ 400,000 D. City Staff Cost $ 240,485
Total Funds Required for Construction $ 2,696,957
Available Funding (GGV0241)
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A. Project Balance $ 212,957
B. Appropriation (CIP Funds) GGV0241 $ 2,484,000
Total Funds Available for Construction $ 2,696,957
ONGOING FISCAL IMPACT
Upon completion of the project, the improvements will require routine maintenance by the City’s operator at the Chula Vista Elite Athlete Training Center.
ATTACHMENTS
1. Disclosure Statement
2. Project Location Map
3. Sworn Statement in Partial Proof of Loss
4. Payment Check
Staff Contact:
William Valle, Director of Engineering
Yan Liu, Associate Engineer