DATE: 10/16/2024
TO: Honorable Mayor and City Council Members
Honorable President and Board Members
FROM: Utilities Department
2024-88
REQUEST FOR CITY COUNCIL AND
CORONA UTILITY AUTHORITY ACTION
SUBJECT:
MAINTENANCE/GENERAL SERVICES AGREEMENT TO N2W ENGINEERING, INC.
FOR CONSTRUCTION SERVICES FOR SMALL FACILITY MAINTENANCE
PROJECTS
EXECUTIVE SUMMARY:
This staff report requests the City Council to award a Maintenance/General Services Agreement to N2W Engineering, Inc. for Construction Services for Small Facility Maintenance Projects. This agreement will help ensure prompt maintenance and repairs for routine and unforeseen small-scale tasks that arise regularly at various facilities.
RECOMMENDED ACTION:
That the City Council:
a. Award Request for Proposals No. 24-058AH for Construction Services for Small Facility Maintenance Projects to N2W Engineering, Inc.
b. Authorize the City Manager, or his designee, to execute the Maintenance/General Services Agreement with N2W Engineering, Inc. in the amount of $300,000 per fiscal year and authorize the extension of the agreement with two additional twoyear optional renewal periods. c. Authorize the City Manager, or his designee, to issue a purchase order to N2W Engineering, Inc. for $300,000.
d. Authorize the City Manager, or his designee, to approve amendments/change orders necessary for the execution of the work, including any rate and/or total compensation increases negotiated by the Parties made in accordance with and shall not exceed the percentage of change in the United States Bureau of Labor Statistics Consumer Price Index All Urban Consumer for Riverside, California, Area (CPI-U), for the most recent twelve (12) months for which statistics are available.
e. Authorize the City Manager, or his designee, to approve and execute any documents necessary to implement change orders, up to the amount authorized by Corona Municipal Code Section, 3.08.060(J) with respect to the total compensation provided for in the attached Maintenance/General Services Agreement.
That the Corona Utility Authority review, ratify, and to the extent necessary, direct the City Council to take the above actions.
BACKGROUND & HISTORY:
The Utilities Department (UD) is responsible for maintaining and operating a wide range of facilities, including 4 water treatment plants, 24 well sites, 18 booster stations, 19 water storage tanks, 46 pressure-reducing stations, 3 sewer treatment plants, 14 sewer lift stations, and 3 reclaimed water booster stations. These facilities are essential for reliably serving the residents and businesses of the City of Corona and its service area. Regular maintenance and timely repairs are crucial to prevent early deterioration, mitigate safety hazards, and ensure the efficient operation of these facilities.
UD implements preventative and corrective maintenance programs to keep these facilities operational and extend their useful life. This includes addressing small jobs that arise regularly and routine tasks such as replacing valves and pumps, as well as fixing leaks. Additionally, UD must have a backup general contractor available for emergency work and 24-hour response to ensure that any unexpected issues can be addressed promptly, thereby minimizing service disruptions and maintaining the high standards of operation required by federal, state, and local regulations.
ANALYSIS:
To select a vendor that best serves the City’s service needs, the Purchasing Division conducted the competitive process through a Request for Proposals (RFP), as allowed by Corona Municipal Code (CMC) Section 3.08.060(H). Staff believes that the RFP conducted for these services is in the City's best interest because of the importance of high-quality workmanship. Specifically, an RFP allows staff to evaluate potential contractors on additional criteria other than their bid amounts, such as their staffing levels, performance with similar municipal agencies, and their safety history.
The proposals were evaluated based on four essential criteria: Work Plan/Work Organization, Qualifications of Company and Personnel, Approach to Safety Measures, and Reasonableness of Cost and Price.
RFP 24-058AH was advertised on PlanetBids, the City’s electronic bidding platform, on March 28, 2024, pursuant to CMC Section 3.08.110 non-public projects formal bidding procedure requirements.
UD’s staff prepared a comprehensive price form, the scope of work, and approved materials. The successful contractor must provide all labor, materials, tools, equipment, supplies, services, tasks, transportation, and all incidental and customary work to complete the required services.
The City received three (3) responsive proposals by the April 30, 2024, submission deadline. The summary of proposal scoring, and evaluation rankings are presented below:
City Staff recommends that City Council award RFP 24-058AH and approve the Maintenance/General Services Agreement in the amount of $300,000 to N2W Engineering, Inc. All licenses and references for the contractor have been reviewed and verified by City Staff, and all other required documentation is in order.
The full contract amount for these services is non-guaranteed and will depend on UD’s needs each fiscal year.
FINANCIAL IMPACT:
Funding for the recommended actions is available in the Fiscal Year 2025 Utilities Department operating budget within the Sewer Utility Fund 572, Water Utility Fund 570, and Reclaimed Water Utility Fund 567. Funding for future fiscal years’ service will be recommended through the annual budget process.
ENVIRONMENTAL ANALYSIS:
This action is categorically exempt pursuant to Section 15301 of the Guidelines for the California Environmental Quality Action (CEQA), which states that “operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the CEQA determination” and is therefore exempt from CEQA. This action involves repairs to existing infrastructure to maintain public health and safety and therefore is exempt from the requirements of CEQA. Therefore, no environmental analysis is required.
Rank Company City
1 N2W Engineering, Inc. Irvine
2 Augustine General Engineering, Inc. Rancho Cucamonga
3 Valverde Construction, Inc. Livermore
PREPARED BY: AFTAB HUSSAIN, MAINTENANCE MANAGER
REVIEWED BY: TOM MOODY, DIRECTOR OF UTILITIES
ATTACHMENT:
1. Exhibit 1 – MGSA with N2W Engineering, Inc.