7 5
4 DATE: October 7, 2024
TO: President and Members of the Estero Municipal Improvement District (EMID) Board of Directors
VIA: Stefan Chatwin, District Manager
Marlene Subhashini, Assistant District Manager
FROM: Andrew Brozyna, Public Works Director
Laura Galli, Engineering Manager
Ryan Marquez, Senior Civil Engineer
Claire McWilliams, Assistant Engineer
DEPARTMENT: Public Works
SUBJECT: AWARD OF CONSTRUCTION CONTRACT TO PERFORMANCE
MECHANICAL, INC. FOR THE CONSTRUCTION OF LIFT
STATION 59 EFFLUENT LINE IMPROVEMENT PROJECT (CIP
455-695); THE EXECUTION OF A TASK ORDER WITH CONSOR
PMCM, INC. FOR CONSTRUCTION MANAGEMENT AND
INSPECTION SERVICES; THE EXECUTION OF CONTRACT
AMENDMENT NO. 3 WITH BKF, INC. FOR CONSTRUCTION
DESIGN SUPPORT SERVICES
RECOMMENDATION
It is recommended that the Board of Directors of the Estero Municipal Improvement District (EMID) adopt the attached resolution authorizing:
1. The President to execute an agreement with Performance Mechanical, Inc. in the amount of $1,289,130 for the construction of Lift Station 59 Effluent Line Improvement Project (CIP 455-695);
2. The establishment of a construction contingency in the amount of $130,000 with authorization given to the District Manager or their designee to execute contract change orders up to the contingency amount;
7 5
4 3. The President to execute a task order with Consor PMCM, Inc. in the amount of $149,305 for Construction Management & Inspection services for Lift Station 59 Effluent Line Improvement Project (CIP 455-695);
4. The establishment of a contingency in the amount of $30,000 for the professional services agreement with Consor PMCM, Inc. with authorization given to the District Manager or their designee to execute contract amendments up to the contingency amount;
5. The President to execute Contract Amendment No. 3 with BKF, Inc. in the amount of $10,833 for Construction Design Support services; and
6. The establishment of a contract contingency in the amount of $16,000 for the professional services agreement with BKF, Inc., with authorization given to the District Manager or their designee to execute contract amendments up to the contingency amount.
EXECUTIVE SUMMARY
CIP 455-695 includes improvements intended to provide Pump Station 59, the District’s final and largest capacity lift station, with enhanced operational flexibility, flow measurement accuracy and reliability, and redundancy during repairs. At its July 15, 2024 Board meeting, the Board adopted EMID Resolution No. 3767 authorizing the Call for Bids based on revised plans and specifications. Four (4) bids were received and opened on Tuesday, September 10, 2024, at 2:00 PM. After reviewing the bids, the bid submitted by Performance Mechanical, Inc. in the amount of $1,289,130 was determined to be the lowest responsible and responsive bid.
Consor PMCM, Inc. (Consor) will provide construction management and inspection services throughout the duration of construction. Consor is an on-call consultant and has experience with lift station and force main projects.
BKF, Inc. (BKF) are the engineers of record for the project. Amendment No. 3 to the contract with BKF will provide for an extended construction support service period due to long lead times for materials as well as added geotechnical support services. An amendment is needed to ensure there is sufficient budget to support the project through construction.
The project has an unencumbered budget balance of approximately $1.6 million, sufficient to fully fund construction and contingency.
BACKGROUND
CIP 455-695 includes improvements intended to provide Pump Station 59, the District’s final and largest capacity lift station, with enhanced operational flexibility, flow 7 5
4 measurement accuracy and reliability, and redundancy during repairs. The specific improvements include the following:
1. Replace the existing ultrasonic effluent flow meter that measures the volume of sewage that flows to the Wastewater Treatment Plant.
2. Design, purchase, and assemble a temporary bypass for the Pump Station that can be installed by staff (and stored at the yard), to allow repairs on the system without shutting down the EMID’s sewage system and interrupting sewage flow to the Wastewater Treatment Plant.
3. Install a knife gate valve on the exterior manifold of the station’s two wet wells, to allow for isolation of half of the station for continued system operation during repairs and maintenance.
At its February 1, 2021 Board meeting, the Board adopted EMID Resolution No. 3557 authorizing a consultant agreement with BKF Engineers for professional engineering services for the subject project. At its April 3, 2023 meeting, the EMID Board adopted EMID Resolution No. 3715 authorizing the Call for Bids for the project. However, the District received one sole bid, almost one million dollars over the engineer’s estimate. At its June 20, 2023 meeting, the EMID Board subsequently adopted EMID Resolution No. 3735 rejecting the sole bid and approved additional design work in order to rebid the project.
At its July 15, 2024 Board meeting, the Board adopted EMID Resolution No. 3767 authorizing the Call for Bids based on revised plans and specifications.
On August 5, 2024, the City Council/EMID Board adopted EMID Resolution No. 3768 and City Resolution No. 2024-75 awarding a master agreement for professional on-call construction management services to Consor. Services as part of this agreement include construction management, inspection, materials testing and coordination and review of submittals, etc.
On February 1, 2021, the EMID Board of Directors adopted EMID Resolution No. 3557 awarding a contract with BKF engineers in the amount of $116,654 to provide professional engineering services for CIP 455-695, and the establishment of a project contingency of $17,000 with authority given to the District Manager to execute contract amendments up to the contingency amount. On February 13, 2023, the District Manager executed Contract Amendment No. 1 in the amount of $12,976 to address costs associated with rate escalation and other factors. On June 20, 2023, the EMID Board of Directors adopted EMID Resolution No. 3735 approving an increase in contingency funding of $25,000 for supplemental design work including geotechnical analyses, value engineering to decrease project costs, and revisions to the plans and specifications for rebidding the project. On June 22, 2023, the District Manager executed Contract Amendment No. 2 in the amount of $28,496 to refine the project details for rebidding. The total revised contract with BKF is $158,126.
ANALYSIS
7 5
4 Bids for this project were opened on Tuesday, September 10, at 2:00 PM, with the following results:
Name of Company Total Bid $ Over/(Under)
Engineer’s
Estimate
% Over/(Under)
Engineer’s
Estimate
Performance Mechanical $1,289,130 -$134,515 -0.94%
Engineer’s Estimate $1,303,995 -- --
GSW Construction $1,616,540 $461,925 27%
Anvil Builders $1,764,400 $609,785 40%
Mountain Cascade $2,295,500 $1,140,885 86%
The lowest responsible and responsive bid, in the amount of $1,289,130 was submitted by Performance Mechanical, Inc. As shown in the table above, Performance Mechanical is below the engineer’s estimate. Staff is requesting a 10% contingency in the amount of $130,000 for unexpected circumstances that may arise during construction.
Staff contacted the references listed by Performance Mechanical, Inc. and received positive comments regarding their performance. Performance Mechanical, Inc. has provided all the required documents and licenses.
Due to long lead times of approximately nine months for various specialty items including the ball valve, knife valve, and flow meter, construction is anticipated to start in summer 2025 and will be coordinated with other Capital Improvement Projects expected to take place in the Corporation Yard during that time.
Project management will be performed by District staff with construction management services provided by Consor via Task Order CON2024-01 (Attachment 3). Consor is very familiar with this type of construction and has been successfully working with the District on the Water Tanks and Facilities Improvement Project (CIP 405-660). The attached scope of work assumes the selected construction management team would share an inspector with a second project that is also planned for construction at the Corporation Yard next summer.
The shared inspector will divide their time between this project and CIP 700 Fuel System Improvement Project during the overlapping months of construction. The attached scope of work in the amount of $149,305 (Attachment 3), is reflective of the negotiated agreed upon price for these services. Staff is requesting a 20% contingency in the amount of $30,000, in case these projects do not align as planned or other unexpected circumstances arise.
BKF is the engineer of record and is contracted to provide support services during construction. The original agreement with BKF, that was scoped back in 2021, does not have sufficient budget to support these services. Contract Amendment No. 3 in the amount of $10,833 will add geo-technical support services not previously included and 7 5
4 reflects current estimated level of effort needed for design support of the project construction. Additionally, staff is requesting $16,000 in contingency for this contract in case any unexpected issues arise during construction.
CEQA
Categorically Exempt pursuant to CEQA Guidelines Section 15301(b) – Existing Facilities.
FISCAL IMPACT
Funding of $1.8M is budgeted for the project. An agreement with BKF for design services in the amount of $158,126 has been executed, leaving approximately $1.64M for the remainder of the project.
The lowest responsible bid is $1,289,130. A contingency of approximately 10%, in the amount of $130,000 is requested.
Below is the project funding history:
Project Budget Item Funding
FY 20/21 CIP 455-695 Authorized Funding $ 150,000 FY 21/22 CIP 455-695 Authorized Funding $ 1,650,000 Total $ 1,800,000
Below is the proposed projected use of funds:
Item Amount
Professional Design Services Agreement $ 168,959 Professional Design Services Contingency $ 16,000 Construction Management & Inspection
Agreement $ 149,305
Construction Management & Inspection
Contingency $ 30,000
Construction Bid $ 1,289,130
Construction Contingency (10%) $ 130,000 Misc (printing, advertising, CEQA filing, etc.) $ 15,000 Total Anticipated Expenditures $ 1,798,395 Budget Remaining $ 1,605
7 5
4 CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA Facilities and Infrastructure
ATTACHMENTS:
Attachment 1 –Resolution
Attachment 2 – Construction Agreement
Attachment 3 – Task Order CON-2024-01 with Consor, Inc.
Attachment 4 – Contract Amendment No. 3 to Agreement with BKF, Inc.