DATE:
April 18, 2023
TO:
Mayor and Council Members
Chair and Board Members, Hesperia Water District
FROM:
Nils Bentsen, City Manager
BY:
Rachel Molina, Assistant City Manager
Dani Fox, Deputy Development Services Director
SUBJECT:
Award Professional Services Agreements for Project Management and Construction Management Services
RECOMMENDED ACTION
It is recommended that the City Council and Board of Directors of the Hesperia Water District approve the award three (3) Professional Services Agreements (PSAs); one to Transtech Engineers, Inc. in the amount of $500,000 for a term of three (3) years, one to TKE Engineering, Inc. in the amount of $500,000 for a term of three (3) years, and one to Willdan Engineering in the amount of $500,000 for a term of three (3) years for project management and construction management services.
BACKGROUND
The City’s Capital Improvement Program (CIP) requires the design and construction of City projects, including without limitation, street improvement projects, traffic signal projects, water and wastewater projects, drainage projects, etc. that require engineering studies, preparation of environmental documents, development of master plans, design surveying, geotechnical investigations, preparation of plans and specifications, construction engineering services, construction management, construction overview and inspection, and project closeout. Managing CIP projects is a complex process that involves familiarity with construction procedures and local, state, and federal laws and regulations. Managing CIP projects requires a broad spectrum of knowledge and experience as well as fiduciary responsibility.
The City’s current CIP contains multiple projects that have been delayed due to workloads placed upon current project managers employed with the City. There are too many critical projects and too few project managers. In order to address the backlog of City projects, staff proposes to use the services of professional engineering firms to assist with managing some of those critical projects. Once the backlog of projects begins to clear up, staff will analyze whether such services will continue to be needed.
Having consultants under contract is more efficient and cost effective and will provide timelier project implementation rather than preparing a Request for Proposal (RFP) for each individual project and going through the RFP review process each time. Every project identified in the CIP requires professional management services throughout the duration of the various phases of the project from preliminary engineering through construction completion.
ISSUES/ANALYSIS
The Public Contract Code requires contracts for professional services to be awarded based on qualifications of a firm. Staff solicited professional project management and construction management services by issuing a Request for Proposals (RFP) through a formal process using Public | Purchase, the City’s online site. A total of nine (9) Proposals were received and reviewed by a selection committee. The Proposals were evaluated based on criteria such as past experience, technical expertise and approach to the scope of work. Transtech Engineering Inc., TKE Engineering, Inc., and Willdan Engineering were deemed the top ranked firms.
Staff desires to contract with the three top rated firms to provide flexibility in assigning projects to be managed. Typical project management costs on a project amount to approximately 5% of the estimated project construction cost. Staff will solicit cost proposals from the firms for each project and award a Task Order under the contract to perform the project management services on that project. The firms will manage the capital project from initiation of design through completion of construction under the supervision of the Deputy Director of Development Services or designee.
Therefore, staff recommends agreement amounts of $500,000 each for Transtech Engineering, Inc., TKE Engineering, Inc., and Willdan Engineering for a three-year period. Awarding the three contracts will not require the City or District to utilize the entire contract amount, actual expenditures will be based on cost proposals submitted by each consultant for each individual project for a lump sum, not-to-exceed amount.
FISCAL IMPACT
Funding for the various projects is budgeted each year in the Adopted CIP Budget. Projects budgeted each fiscal year will include adequate appropriation authority for the project management services needed on each project.
ALTERNATIVE(S)
Provide alternative direction to staff.
ATTACHMENT(S)
None
City of Hesperia STAFF REPORT City of Hesperia STAFF REPORT City of Hesperia
STAFF REPORT
City of Hesperia
STAFF REPORT
Staff Report to the Mayor and Council Members and Chair and Board Members, Hesperia Water District Award Professional Services Agreements for Project Managerment and Construction Management Services April 18, 2023