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ASR 01 Salinas Hebbron - Labor Compliance 2024-09-16.pdf

Salinas City Council
October 22, 2024

Document
ASR 01 Salinas Hebbron - Labor Compliance 2024-09-16.pdf
Meeting
October 22, 2024
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Salinas City Council
Original file
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Text extracted from the city's file for reading and search. Open the original on legistar2.granicus.com. That file is the official record.

ASR 01

GRIFFIN STRUCTURES FEE PROPOSAL

HEBBRON FAMILY CENTER REVITALIZATION PROJECT

CITY OF SALINAS
09/16/2024
Griffin Structures’ Fee Proposal is based on all reasonable costs necessary to perform Program and Construction Management services for the Hebbron Family Center Revitalization Project. For these requisite services, Griffin Structures proposes the following Not to Exceed Fee:

Phase 1 Labor Compliance (Solis Group): $ 4,020 Phase 2 Labor Compliance (Solis Group): $ 31,088 Contract Administration and Mark Up (15%): $ 5,266

Total $ 40,374

All proposed hourly rates are fully burdened and include overhead, profit, taxes, and benefits. The hours identified for each individual employee and task are estimates only and are not to be construed as not to exceed hours for any individual task, phase, or time -period. We reserve the right to reallocate hours between staff members and tasks to accomplish the overall objectives and requirements of the project.

Services are based on the attached Fee Schedule, Resource Allocation Schedule, which provides detail on the allocation of hours. Any extension of the schedule or services may result in additional fee, in good faith negotiation with the City.

ADDITIONAL SCOPE OF SERVICES
Per the City’s request, this Add Service Request consists of scope relat ed to Labor Compliance and Certified Payroll monitoring. For this service we have requested the attached proposal for the Solis Group which articulates the scope services, the number of months it includes, and a price per month.

Pasadena / Dallas / Las Vegas / Oakland / San Diego Headquarters
3452 E Foothill Blvd / Suite 200
Pasadena, CA 91107 USA

P 626 685 6989
F 626 685 6985

thesolisgroup.com
February 19, 2024

David Jacobs, PE, LS
Director of Public Works
City of Salinas, Public Works Department
200 Lincoln Avenue
Salinas, CA 93901
Re: Revised Proposal to Provide Labor Compliance Services for the City of Salinas Hebbron Family Center Phase II Project
Dear David Jacobs:

The Solís Group (TSG) is pleased to submit this cost proposal to provide labor compliance and Section 3 services required for the above referenced project. The work scope for this assignment is attached. Our fixed-fee cost proposal is summarized below and is based on project information you provided; significant change to this information may affect our fee.

Project Description
Construction
Value
Duration in Months
(including closeout)
Monthly
Fee
Life of Project
Estimate
City of Salinas
Hebbron Family Center
Phase 1: Demolition
$ 7,000,000 2 $ 2,010 $ 4,020
Project Description
Construction
Value
Duration in Months
(including closeout)
Monthly
Fee
Life of Project
Estimate
City of Salinas
Hebbron Family Center
Phase II
$ 11,000,000 16 $ 1,943 $ 31,088

TOTAL COST
$35,108

Pasadena / Dallas / Las Vegas / Oakland / San Diego Headquarters
3452 E Foothill Blvd / Suite 200
Pasadena, CA 91107 USA

P 626 685 6989
F 626 685 6985

thesolisgroup.com
Scope of Work
TSG will ensure compliance with Federal Davis-Bacon and State Prevailing Wage requirements.

We will enforce the highest wage between Davis-Bacon Prevailing Wages and California State Prevailing Wages, as determined by the California Department of Industrial Relations and Division of Labor Statistics and Research. Our scope of work will include the following tasks.

Advise Contractors of All Labor Compliance Requirements We will conduct the following activities related to pre-construction activities:
• Inform the contractor(s), via pre-bid and/or pre-construction meetings of the California Labor Code and Federal Davis-Bacon requirements, including:
o Payment of prevailing wages
o Fringe Benefit Statement submittal
o Use of apprenticeships
o Required submittals (Certified Payroll Records and related documents, Apprenticeship program participation forms (DAS-140 and CAC-2) o Non-Discrimination in Employment Practices
o Placement of required posters
o Anti-kickback provisions
o Subcontractor listing requirements
o Licensing requirements
o Unfair Competition Requirements
o Worker’s Compensation Insurance requirements
o Penalties
• Provide the contractor(s) with the applicable prevailing wage determination(s) for the project
• Provide the contractor(s) with appropriate blank forms, document submittal schedule and checklist for submitting applicable documents
• Provide technical assistance to the contractor(s) and awarding body, including contact telephone number for contractors to call for assistance and dedicated email address where contractors and staff can send or request information Compliance Monitoring
We will conduct the following activities related to monitoring and enforcement of prevailing wages and apprenticeship requirements:
• We receive, securely store, review and audit Certified Payroll Records (CPR’s), Fringe Benefit Statements, Trustee Reports, DAS-140 and CAC-2, and related documents • Verify payments by conducting regular and timely spot audits and, when necessary complete audits, of compliance documents and cross check the information with related documents
• Request supporting documents including: Inspector Logs, Job Logs, timesheets, sign- in sheets (when available), and contact Trust Funds (if applicable), when required

Pasadena / Dallas / Las Vegas / Oakland / San Diego Headquarters
3452 E Foothill Blvd / Suite 200
Pasadena, CA 91107 USA

P 626 685 6989
F 626 685 6985

thesolisgroup.com
• Conduct interviews of workers in such frequency as may be necessary to assure compliance. This information will be crosschecked against the CPR’s and related documents.
• Verify that all apprentices have been properly registered (or certified) in an apprenticeship program registered with the Bureau of Apprenticeship and Training, or with a State Apprenticeship Program recognized by the Bureau. • Verify that all apprenticeships in possession of a formal certification are registered in an approved program. Verification shall be made with the United States Department of Labor, Employment and Training Administration.

Compliance Enforcement
The following enforcement activities will be conducted:
• Monthly notification of missing or delinquent documents and corrective actions through the use of a Delinquent Documents Form to both the contractor and awarding body
• Notification of wages and penalties due through the use of a Prevailing Wages Audit Worksheet
o When documents are not received, we will inform the awarding body of recommended penalty-related contract amounts to be withheld for contractor(s) failure to submit timely documents
• Provide copies of all related correspondence and notifications to the awarding body • Notification to the contractor(s) of Right to Obtain a Review of Assessment and/or conduct Settlement Meeting
• Collect and distribute wage restitutions to affected employees • Notify awarding body of underpayment amounts and recommended assessment of liquidated damages and penalties to be withheld
• Provide a final summary at end of project of items due

It is our practice to communicate with contractors and owners regarding apparent or potential violations of the California Labor Code, to ensure that contractors are aware of the requirements and have an opportunity to promptly and voluntarily resolve any issues. If issues are not promptly and voluntarily resolved and a determination of a Labor Code violation is reached, penalty assessment is recommended in accordance with Labor Code requirements.

Coordination activities with public and private agencies, and the awarding body Potential project participants (auditors, interested parties) with whom we will coordinate include the following:
• U.S. Department of Labor
• California Department of Industrial Relations
• California Division of Labor Standards Enforcement
• Division of Apprenticeship Standards

Pasadena / Dallas / Las Vegas / Oakland / San Diego Headquarters
3452 E Foothill Blvd / Suite 200
Pasadena, CA 91107 USA

P 626 685 6989
F 626 685 6985

thesolisgroup.com
• Joint Labor-Management Committees established pursuant to the federal Labor Management Cooperation Act of 1978, such as the Center for Contract Compliance Coordination activities include:
• Provide copies of compliance and enforce action notices and correspondence to the awarding body
• Respond to inquiries and request for copies of documents such as Certified Payroll Records. Copies of such records will be redacted according to the California Labor Code before release
• Coordinate investigations and enforcement actions (e.g., California Labor Commissioner)
• Coordinate enforcement actions and Settlement Meetings with the awarding body’s legal Counsel
Provide Required Reports
We will provide the following reports:
• A Monthly Activity Report that will include the following:
o An Executive Summary for the reporting period
o Identification of enforcement activities taken and results o Restitution wages, penalties and liquidated damages assessed and collected o A matrix identifying current issues and their status
o List of projects monitored
• Project Closeout Report, composed of the elements included in the Monthly Report, and including items that may be due but do not affect the completion of the project

The following databases will be maintained and provided with the reports • A database of employees interviewed and findings, wage restitutions, and liquidated damages assessed and collected

We will provide support, as necessary, to assist in fulfilling state and federal reporting requirements.

Section 3 Monitoring Services

1. Documentation Related to Searching for Section 3 Employees TSG will collect documentation from contractor(s) demonstrating progress towards fulfilling Section 3 contractual requirements. The following reports shall be obtained by TSG:
• Documentation of intent and efforts to comply with Section 3 requirements and goals. • Workforce Projections for the contractor and all subcontractors • Construction Schedule
• A list of the contractor’s current employees and lists of current employees of all subcontractors • Proof of public notices announcing Section 3 resident employment and Section 3 business contracting opportunities at the project jobsite

Pasadena / Dallas / Las Vegas / Oakland / San Diego Headquarters
3452 E Foothill Blvd / Suite 200
Pasadena, CA 91107 USA

P 626 685 6989
F 626 685 6985

thesolisgroup.com

2. Section 3 Employment Documentation
TSG will collect Monthly Section 3 hire reports that cumulatively report each Section 3 employee’s name, employer, date hired, address, family size, annual income, Section 3 status and hours worked on the project to date.

3. Section 3 Business Contact/Hiring Compliance
TSG will collect documentation demonstrating the contractor(s) progress toward fulfilling the Section 3 policy monthly. Failure to provide documentation to the consultant could result in the recommendation to retain 10% of a progress payment until all required documentation is received.
• TSG will collect and document contractor(s) efforts to identify contract opportunities to facilitate participation by Section 3 businesses.
• TSG will collect and document contractor(s) efforts to contact business outreach agencies to assist in recruiting Section 3 business enterprises. • TSG will collect and document contractor(s) efforts to post public notices announcing Section 3 business contracting opportunities at the project jobsite. • TSG will collect and document contractor(s) efforts to advertise for subcontracting opportunities in local newspaper outlets. • TSG will collect and document contractor(s) efforts to solicit written bids from Section 3 businesses desiring to participate in this project. • TSG will collect and document contractor(s) efforts to follow up with initial solicitations of interested Section 3 businesses. A copy of telephone logs shall document this effort. • TSG will collect and document contractor(s) effort to conduct a pre-bid conference to assist Section 3 business enterprises in completing bid documents for subcontracts.
• TSG will collect and document contractor(s) efforts to assist all potential subcontractors needing assistance in obtaining bonding, line of credit, or financing.

Pasadena / Dallas / Las Vegas / Oakland / San Diego Headquarters
3452 E Foothill Blvd / Suite 200
Pasadena, CA 91107 USA

P 626 685 6989
F 626 685 6985

thesolisgroup.com
Standard Rate Schedule
TSG’s rates cover all direct labor, overhead, fringe benefits and profit, and expenses such as travel (mileage, parking, etc.) and communication (postage, reports, telephone, etc.). Our standard billing rates are presented in the table below.

TSG Standard Rate Schedule
2024 2025 2026 2027 2028
Principal NC NC NC NC NC
VP/Ops $220 $225 $225 $230 $230
Senior Project
Manager $185 $190 $190 $195 $195
Project Manager 2 $174 $179 $179 $184 $184
Project Manager 1 $149 $154 $154 $159 $159
Senior Analyst $122 $126 $126 $130 $130
Analyst $111 $115 $115 $118 $118
Site Interviewer $103 $106 $106 $110 $110

Project Specific Pricing Methodology
We develop project-specific cost estimates by service (i.e., Labor Compliance Administration, PLA Administrator Services, etc.) based on the following factors:
• Construction Value
• Planned Construction Duration
• Number of Prime contracts to be monitored
• Estimated number of subcontracts to be monitored
Utilizing actual staff hours required to perform on similar past work, we develop estimates of the total average monthly staff hours necessary to provide monitoring for projects of similar size, duration, and construction team composition. We issue monthly invoices for a lump-sum amount calculated as the total fixed-fee for the project, divided by the sum of the planned construction duration plus two months for closeout activities. If actual construction activities continue beyond the planned end of construction, we will continue providing all services for the monthly lump-sum fee.

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