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<,FORN'P City Council Staff Report
October 11, 2022
Agenda Item No. 8
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: David A. Webb, Public Works Director - 949-644-3311, [email protected]
PREPARED BY: Michael J. Sinacori, Assistant City Engineer [email protected]
PHONE: 949-644-3342
TITLE: West Irvine Terrace and Balboa Island Water Main Replacement — Award of Contract No. 7966-1 (23W13 & 23W11)
ABSTRACT:
The City of Newport Beach (City) has received construction bids for the West Irvine Terrace and Balboa Island Water Main Replacement project. The project will replace older, deteriorated water mains located in the West Irvine Terrace and Balboa Island communities as identified in the City's Water Master Plan. Staff requests City Council approval to award the construction contract to T.E. Roberts, Inc. of Irvine, California.
RECOMMENDATION:
a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Class 2 Section 15302(c) (replacement of existing public facilities involving negligible or no expansion of capacity) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment;
b) Approve the project plans and specifications;
c) Award Contract No. 7966-1 to T.E. Roberts, Inc. for the bid price of $4,222,889 for the West Irvine Terrace and Balboa Island Water Main Replacement project, and authorize the Mayor and City Clerk to execute the contract; d) Establish a contingency of $633,000 (approximately 15 percent of total bid) to cover the cost of unforeseen work not included in the original contract; and e) Approve Budget Amendment No. 23-024 appropriating $1,379,100 in increased expenditures in Account No. 70201931-980000-23W13 and transferring funds from the Water Enterprise Fund unappropriated fund balance to the Water Capital Fund for the West Irvine Terrace and Balboa Island Water Main Replacement. 8-1
West Irvine Terrace & Balboa Island Water Main Replacement — Award of Contract No. 7966-1 (23W13 & 23W11)
October 11, 2022
DISCUSSION:
The West Irvine Terrace and Balboa Island water mains are older, deteriorated water mains (installed between 1936 to 1953) that have outlived their design lives and are now due to be replaced. The City's Water Master Plan identified $2,981,000 of water main replacement funding for West Irvine Terrace. Due to planned construction on Balboa Island as part of Underground Utility Assessment District No. 124, staff has accelerated design and packaged water replacements on a portion of Balboa Island with the Irvine Terrace work in order to complete these critical water system improvements before the anticipated utility underground construction of AD 124. The design package also includes replacement of existing cast-iron water mains located on Little Balboa Island that have recently experienced water main breaks. A Budget Amendment appropriates the remaining necessary funds for the expanded scope of work located on Balboa Island.
At 10 a.m. on September 29, 2022, the City Clerk opened and read the following bids for this project:
BIDDER
TOTAL BID AMOUNT
Low
T.E. Roberts, Inc.
$ 4,222,889.00
2nd
Dominguez General Engineering, Inc.
$ 4,629,500.00
3rd
Creative Home/DBA CHI Construction
$ 5,226,060.00
4th
Big Ben Inc.
$ 5,771,675.00
5th
GCI Construction, Inc.
$ 5,794,740.00
6th
Paulus Engineering, Inc.
$ 5,927,771.00
7th
CEM Construction Corp.
$ 5,967,043.00
8th
Mike Bubalo Construction Co., Inc.
$ 7,674,500.00
The apparent low bidder for this project, T.E. Roberts, Inc., submitted a bid approximately 14 percent below the Engineer's Estimate of $4,900,000. T.E. Roberts submitted all the necessary forms and possesses a Classification "A" California State Contractors License as required by the project specifications. A check of the contractor's references indicates satisfactory completion of similar projects for the City and other public agencies.
T.E. Roberts successfully completed the Water Transmission Main Valve Replacement (Phase 1) project and Balboa Island Water Main Replacement (Phase I & Phase II) projects for the City.
The proposed project includes construction of new 8-inch PVC water mains, water services and fire hydrants for the West Irvine Terrace community. Work on Balboa Island will replace existing 12-inch and 6-inch cast-iron water mains located in six alleys with new 6-inch PVC water mains, water services and fire hydrants.
Work necessary to complete this contract also includes installation of new water valves, installation of fittings and connections to existing water mains, pavement restoration, restriping, traffic control, and other appurtenant work as required by the contract. 8-2
West Irvine Terrace & Balboa Island Water Main Replacement — Award of Contract No. 7966-1 (23W13 & 23W11)
October 11, 2022
Water main construction will require alley and street closures and traffic detours. The contractor will be required to keep cross traffic flowing at all times. A detailed schedule will be prepared by the contractor following award, which can be adjusted to address the concerns of businesses and residents in the project area. Project phasing has been developed to minimize impacts to the community. For example, no work will be allowed on Balboa Island during the summer season in order to minimize traffic disruptions. Work in West Irvine Terrace has a target completion of July 2023 due to planned pavement slurry sealing in August. As part of this contract, the contractor will demobilize after the West Irvine Terrace work and resume work on Balboa Island after the Labor Day holiday.
Pursuant to the contract specifications, the contractor will have 200 consecutive working days to complete the work. Work is scheduled to begin this year.
The project plans and specifications will be available for review at the October 11, 2022 City Council meeting or upon request.
FISCAL IMPACT:
Upon approval of the proposed budget amendment, sufficient funding will be available from the Capital Improvement Program (CIP) budget for completion of this contract. The Budget Amendment transfers and appropriates $1,379,100 in additional funding from the Water Enterprise Fund unappropriated fund balance. Project costs will be expended from the Water Capital Distribution & Piping Account in the Public Works Department, 70201931-980000-23W13. The Water Enterprise Fund generates revenue primarily through water rates collected by service users. The West Irvine Terrace and Balboa Island Water Main Replacement project replaces older asbestos cement and cast-iron water mains identified in the Water Master Plan for these communities.
The following funds will be expended:
Account Description
Water Capital Distribution & Piping
Water Capital Distribution & Piping
Water Capital Non Master Plan
Account Number
70201931-980000-23W 13 $
70201931-980000-23W 11 $
70201932-980000-23W05 $
Total: $
Proposed expenditures are as follows:
Vendor
T.E. Roberts, Inc.
T.E. Roberts, Inc.
GMU Geotechnical, Inc.
Various
Purpose
Construction Contract
Construction Contingency
Material Testing
Printing & Incidentals
Total:
Amount
4,360,100.00
276,575.00
291,044.00
4,927,719.00
Amount
4,222,889.00
633,000.00
69,330.00
2,500.00
4,927,719.00
Staff recommends establishing $633,000 (approximately 15 percent) for contingency Durooses to cover the cost of unforeseen conditions associated with construction. 8-3
West Irvine Terrace & Balboa Island Water Main Replacement — Award of Contract No. 7966-1 (23W13 & 23W11)
October 11, 2022
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Class 2 Section 15302 (c) (reconstruction of existing public facilities involving negligible or no expansion of capacity) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A — Location Map
Attachment B — Budget Amendment
WE
Attachment A
EAST COAST H1GHwAY
BCNN_
��. E_� TERRACE
PARK AVENUE
o
ALBOA ISLAND
WEST IRVINE TERRACE & BALBOA ISLAND
WATER MAIN REPLACEMENT
B
LOCATION MAP
%A/FCT IR\/IAIG Tr=RRA(`r=
PROPOSED WATER MAIN REPLACEMENT
CITY OF NEWPORT BEACH
PUBLIC WORKS DEPARTMENT
C-7966-1 1 23W13 & 23W11 1 10/11/22
■
ATTACHMENT B
Department: Public Works
Requestor: David A. Webb
City of Newport Beach
BUDGET AMENDMENT
2022-23 BA#: 23-024
ONE TIME: 0 Yes ❑ No
Approvals
❑ CITY MANAGER'S APPROVAL ONLY
Finance Director:-!
COUNCIL APPROVAL REQUIRED City Clerk:
0 LXNLANA I IUN FUK KLQULb 1 :
To increase expenditures in the Water Capital fund from the Water Enterprise fund for the West Irvine Terrace and Balboa Island Water Main Replacement project.
REVENUES
Fund # Org Object Project Description
702 70299 692701 INTERFUND TRANSFERS - INTRAFND XFR FRM WATER ENT FND
EXPENDITURES
Fund # Org Object
702 70201931 980000
701 70199 992702
FUND BALANCE
Fund #
702
701
Project
23W13
Description
Date 10/3/2022
Date
❑ from existing budget appropriations
❑ from additional estimated revenues
❑✓ from unappropriated fund balance
Subtotal) $
DISTRIBUTION & PIPING - CIP EXPENDITURES FOR GL
INTERFUND TRANSFERS - INTRAFUND XFER TO WATER CAPITA
Object Description
300000 WATER CAPITAL FUND - FUND BALANCE CONTROL
300000 WATER ENTERPRISE FUND - FUND BALANCE CONTROL
Subtotal $
Increase or (Decrease) $
1,379,100.00
79.100.00 1
Increase or (Decrease) $
1,379,100.00
1,379,100.00
2,758,200.00
Increase or (Decrease) $
(1,379,100.00)
Subtotal $ (1,379,100.00)
Fund Balance Change Required
8-6