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APPROVE MOTION TO AUTHORIZE THE NEWCASTLE ROAD AND SOUTH AIRPORT WAY WATER TRANSMISSION MAIN, PHASE 2 (PROJECT NO. M07004)
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RECOMMENDATION
It is recommended that the City Council approve a motion authorizing the City Manager to:
1. Approve findings which support and justify an exception to the competitive bid process.
2. Award a Professional Services Contract with Carlson, Barbee and Gibson, Inc. (CBG) of San Ramon, CA, in the amount of $169,700, to revise and update the environmental documents, plans, and specifications for the Newcastle Road and South Airport Way Water Transmission Main, Phase 2 (Project No. M07004).
It is also recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this motion.
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Summary
Anticipated industrial and commercial development in South Stockton necessitates expansion of the City’s South Water System. The Newcastle Road and South Airport Way Water Transmission Main project will install a 24-inch water transmission main from Arch Road across State Route 99 to Airport Way. Construction of this 24-inch water transmission line will provide the necessary water supply to accommodate future industrial and commercial development projects in southeast Stockton.
The design and environmental services for the entire project were completed by CBG in 2010. A third of the project was constructed in 2011. However, the County expressed concerns over the portion of the project near the Stockton Metropolitan Airport which delayed the remainder of the project. Staff recently resolved the County’s concerns; however, prior to proceeding with the remaining construction, the project documents need to be updated to address any changes that may have occurred in design, environmental conditions, or permitting in the intervening six years. Utilizing CBG to perform the updates would be more efficient and cost effective than utilizing a consultant that is not familiar with the project. Staff negotiated a fee with CBG for this work in the amount of $169,700, which is approximately 5% of the estimated construction value is reasonable fee for a project of this magnitude.
Staff recommends Council approve a motion to award a Professional Services Contract with CBG of San Ramon, CA, in the amount of $169,700, to revise and update the environmental documents, plans, and specifications for the Newcastle Road and South Airport Way Water Transmission Main, Phase 2 (Project No. M07004). The project is expected to be completed by the end of 2018.
DISCUSSION
Background
The City’s adopted 2008 Water Master Plan identifies large water transmission pipelines necessary to support the growth of commercial and industrial development in southeast Stockton. Anticipated industrial and commercial development in southeast Stockton necessitates expansion of the City’s South Water System to provide adequate supply. The Newcastle Road and South Airport Way Water Transmission Main project consists of installing a 24-inch water transmission main from Arch Road south along Newcastle Road, then west across State Route 99 to Airport Way. The construction of the 24-inch water transmission line will provide the necessary drinking water and fire suppression water supplies for future industrial and commercial development projects in southeast Stockton.
To expedite the expansion of the City’s South Water System, the project was originally planned to be constructed through a reimbursement agreement with H.D. Arnaiz Corporation, as approved by Council on September 9, 2008, by Resolution No. 08-0367. H.D. Arnaiz Corporation hired CBG to perform the design and environmental services for the project. This work was completed in 2010. However, San Joaquin County had concerns about the location of the waterline in the vicinity of the Stockton Metropolitan Airport, which resulted in the project being split into two phases. Phase 1, which was not a concern to San Joaquin County, is the segment from Arch Road south along Newcastle Road for approximately 8,000 feet. Phase 1 was constructed in 2011. Phase 2 is the segment from the end of Phase 1, going west across State Route 99 and tying into the existing 24-inch water transmission line at South Airport Way, a distance of approximately 15,000 feet. San Joaquin County’s concerns regarding Phase 2 have now been addressed, and the City is ready to move forward with completion of the project.
Present Situation
Staff reviewed the project plans, specifications, and environmental/permitting documentation that was completed in 2010 by CBG, and determined that the design plans and the CEQA documents require updating. In addition, permits will need to be verified, updated, or acquired. If the project were to be designed by a new consultant not familiar with the project, the design fee would range between 12% and 15% of the construction cost (estimated at $3.3 million), or between $400,000 and $500,000. As the original Engineer of Record, CBG has the background surveys, technical data, AutoCAD drawings, and specifications for the project. Because CBG has knowledge of the project and has the original technical data, CBG can complete the update process quickly and cost effectively, as opposed to utilizing a consultant that is not familiar with the project details. Staff has negotiated a fee with CBG in the amount of $169,700 to complete the final design and update CEQA documents. This is approximately 5% of the estimated construction cost, a reasonable fee for a project of this magnitude, and significantly less than the cost of utilizing a new consultant.
Staff recommends Council approve a motion to award a Professional Services Contract with CBG of San Ramon, CA, in the amount of $169,700, to revise and update the environmental documents, plans, and specifications for the Newcastle Road and South Airport Way Water Transmission Main, Phase 2 (Project No. M07004). The project is expected to be completed by the end of 2018.
Findings
The following findings pursuant to Stockton Municipal Code section 3.68.070 support and justify exceptions to utilize the RFP process for the hiring of the previous consultant to update the final design plans, CEQA documents, and permitting for the project:
1. CBG was hired by H.D. Arnaiz Corporation to complete the original design and environmental services for this project. This work was completed in 2010.
2. As the original Engineer of Record, CBG has the background, surveys, technical data, AutoCAD drawings, and specifications for the project, and are therefore the most qualified to undertake the work.
3. CBG can complete the necessary updates in a more efficient and cost effective manner than a consultant not familiar with the project which is in the public interest.
FINANCIAL SUMMARY
The cost of the environmental and design services is not to exceed $169,700. Sufficient funds are available in Account No. 423-7623-670, Water Transmission Mains Capital Improvement Program.
Attachment A - Vicinity Map
Attachment B - Professional Services Contract with Carlson, Barbee and Gibson, Inc.