City Council
Report
City Council Meeting: July 25, 2023
Agenda Item: 5.A
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To: Mayor and City Council
From: Rick Valte, Public Works Director, Public Works, Architecture Services Subject: Award Construction Contract for the 2800 Airport Avenue Renovation Project Recommended Action
Staff recommends that the City Council:
1. Adopt a finding of Categorical Exemption pursuant to Section 15301 (Existing Facilities), of the California Environmental Quality Act (CEQA) Guidelines.
2. Award Bid #SP2686 to Olympos Construction, Inc., for construction services for the 2800 Airport Avenue Building Renovation Project for the Public Works Department.
3. Authorize the City Manager to negotiate and execute a contract with Olympos Construction, Inc., in an amount not to exceed $3,312,100 (including a $301,100 contingency).
4. Authorize the Director of Public Works to issue any necessary change orders to complete additional work within contract authority.
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Summary
The Santa Monica Airport seeks to renovate the building at 2800 Airport Avenue, a permanent concrete structure. This project would upgrade the structure to comply with current code regulations, address deferred maintenance issues, minimize ongoing maintenance costs, provide additional office spaces, and maximize the buildings’ revenue potential. If approved, staff anticipates construction would commence as soon as fall of 2023 and be completed in spring of 2024. Staff recommends awarding the construction services to Olympos Construction, Inc., to renovate and structurally retrofit the building and prepare the buildings for new tenants, including the Ruskin Theater currently at 3000 Airport Avenue.
Discussion
The concrete structure was originally constructed in 1953 as an armory for the Organized Reserve Corps. It is a 22,000 sq. ft. single story (with basement) concrete structure, with wood infill walls and roof. This building was occupied by Santa Monica College (SMC) until April of 2023. The proposed building improvements have led to lease negotiations with the Ruskin Theater for one third of the building and the east side courtyard for an upgraded theater and office facility. The remainder of the building will be made available for lease as office space.
This project would upgrade all areas of the building to be able to rent spaces for the best lease rates.
Vendor Selection
Bidder Recommendation
Best Bidder Olympos Construction, Inc.
Evaluation
Criteria
Experience/Technical Competence, Ability to Meet Work
Plan/Timelines, Quality Control, Cost Control,
Stability/References, and Value Add/Breadth of Service.
Municipal Code SMMC 2.24.180
Submittals Received
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Swinerton Builders $3,136,181 Olympos Construction, Inc. $3,011,000 Bid Data- Phase 1 – Request For Qualifications
Date
Posted
Posted On Advertised In (City
Charter & SMMC)
Vendors
Downloaded
Submittals
Received
Date Publicly
Opened
03/01/23 City's Online
Bidding Site
Santa Monica Daily
Press
87 2 03/20/2023
Bid Data- Phase 2 – Request for Bids
Date Posted Posted On
Vendors
Downloaded
Date Publicly
Opened
05/08/2023 City's Online Bidding Site 2 06/05/2023
Best Bidder Justification
Olympos Construction, Inc., provided the lowest bid and have provided quality services while working within specified timelines. Based on these criteria and the criteria listed in SMMC 2.24.180, staff recommend Olympos Construction, Inc., as the lowest and best bidder.
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Environmental Review
The project is categorically exempt from CEQA pursuant to Section 15301 and Section 15302 of the CEQA Guidelines. Section 15301 exempts Class 1 (Existing Facilities) projects from CEQA, which include the 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 existing or former use. The project would renovate the existing city facility at 2800 Airport Avenue, and therefore, it has been determined that the project would fall within the Class 1 categorical exemption. Furthermore, staff has determined that none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, section 15300.2 apply to this project.
Financial Impacts and Budget Actions
Staff seeks authority to approve funding from the Airport Fund to award a contract to Olympos Construction, Inc., for construction services.
Contract Request
FY 2023-24 Budget
Request Amount
CIP Account # Total Contract Amount
$3,312,100 C5704690.689000 $3,312,100
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Prepared By: Alex Parry, Senior Architect
Approved Forwarded to Council
Attachments:
A. Oaks Initiative Form - Olympos Construction, Inc.
B. Written Comments