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AWARD A PROFESSIONAL SERVICES AGREEMENT FOR CONSTRUCTION MANAGEMENT SERVICES FOR THE VETERANS AFFAIRS MEDICAL FACILITY OFF-SITE UTILITIES IMPROVEMENTS PROJECT
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RECOMMENDATION
It is recommended that the City Council by motion:
1. Approve findings pursuant to Stockton Municipal Code section 3.68.070 in support of an exception to the competitive bidding process.
2. Award a Professional Services Agreement in the amount of $701,261 to TRC Engineers, Inc. of Sacramento, CA, for the Construction Management Services for the Veterans Affairs Medical Facility Off-site Utilities Improvements, Project No. M20026 (Attachment A).
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
The United States Department of Veterans Affairs (VA) is constructing a new Medical Campus on property located at 6505 Manthey Road, French Camp, San Joaquin County. To facilitate the design and construction of the water and sanitary sewer utility services in accordance with the City Utility Master Plans, the Municipal Utilities Department (MUD) has taken the project lead to plan, design, and construct the connection-ready utility services for the VA medical campus. See Attachment B for the map of the proposed off-site utilities improvements project.
On June 12, 2020, the MUD advertised a Request for Proposals (RFP) for Construction Management and Inspection Services for the VA Medical Facility Off-site Utilities Improvements Project. On July 16, 2020, four (4) firms submitted proposals. After proposals were evaluated, TRC Engineers, Inc. was deemed to be the most qualified and highest-ranked firm.
If approved, this action will authorize the award of a Professional Services Agreement in the amount of $701,261 to TRC Engineers, Inc. (TRC) of Sacramento, CA. The project is anticipated to start construction in early 2021 and be completed in the summer of 2021.
DISCUSSION
Background
On May 21, 2019, by Resolution No. 2019-05-21-1106, the City Council approved the execution of a Funding Agreement with the VA, in the amount of $8,500,000, for the design and construction of connection ready-water and sanitary sewer utility services for the VA’s Community Based Outpatient Clinic (CBOC) and Central Utility Plant (CUP) facilities. The City Council also approved an engineering services contract with Kjeldsen, Sinnock, and Neudeck, Inc. (KSN) to design, engineer, and provide technical support for the off-site water and sanitary sewer utilities for the new VA medical facilities.
On December 10, 2019, by Resolution No. 2019-12-10-1107, the City Council certified that the Final Supplemental Environmental Impact Report (SEIR) prepared for the off-site utilities improvements project is in compliance with the California Environmental Quality Act (CEQA) and adopted the CEQA Findings and Mitigation and Monitoring Program (MMRP).
Right-of-way and easement acquisitions are in progress and will be completed prior to construction contract award.
Present Situation
On June 12, 2019, an RFP for construction management and inspection services was advertised in The Stockton Record and posted to the City’s Bid Flash webpage. Additionally, an electronic notification was generated through AskStockton and sent to more than 2,900 entities.
A mandatory pre-proposal meeting was held on June 26, 2019, with nine (9) prospective proposers in attendance. On July 16, 2019, the City received four (4) proposals from the following firms:
• AnchorCM, Inc. of Lafayette, CA
• Consolidated CM, Inc. of Oakland, CA
• Inferrera Construction Management Group, Inc. of Shingle Springs, CA
• TRC Engineers, Inc. of Sacramento, CA
A Selection Committee comprised of MUD staff evaluated and ranked all the proposals based on each firm’s understanding of the project, experience with similar kinds of work, qualifications of staff, project approach, and cost proposal.
TRC Engineers, Inc. received the highest ranking based on the above-noted criteria and was determined to be the highest-ranked firm for this project.
Staff negotiated a fee in the amount of $701,261 with TRC Engineers, Inc. for construction management and inspection services for the VA Medical Facility Off-site Utilities Improvements Project. The negotiated fee is approximately 10% of the estimated cost of construction, which is reasonable for a project of this size and complexity.
It is recommended that Council approve a motion to award a Professional Services Agreement to TRC Engineers, Inc. of Sacramento, CA, for construction management and inspection services for the VA Medical Facility Off-site Utilities Improvements, Project No. M20026. The project is anticipated to start construction in early 2021 and be completed in the summer of 2021.
FINDINGS
Pursuant to Stockton Municpal Code (SMC) section 3.68.070, Council may approve findings which support an exception to the competitive bidding process. These findings include:
1. A strict cost-competitive basis for the selection of a professional may lower the quality and thoroughness of the services provided.
2. Use of the RFP process is appropriate for this Professional Services Contract because it relies on the evaluation of professional qualifications and performance as the basis for the selection of a vendor, which is a typical practice for this type of work. Use of these criteria resulted in the selection of a vendor with over twenty years of experience in Construction Management of a wide range of improvement projects, specializing in water and sanitary sewer utilities.
3. Considering the size, complexity, and schedule requirements of the project, the City does not have sufficient staff resources to monitor and ensure compliance of the project in a cost-effective and timely manner.
4. The City negotiated a contract following the solicitation of competitive proposals in accordance with SMC section 3.68.070.A.3.
FINANCIAL SUMMARY
There are sufficient funds available in the MUD CIP Account Numbers 434-7703-670 (Wastewater Sanitary System Expansion) at 65% ($455,819.65) and 424-7623-670 (Water Transmission Mains) at 35% ($245,441.35) under Project Number M20026 to award the agreement in the amount of $701,261 to TRC Engineers, Inc. of Sacramento, CA, for the construction management and inspection services for the VA Medical Facility Off-site Utilities Improvements, Project No. M20026.
There is no impact to the City’s General Fund or any other unrestricted fund from this action.
Attachment A - Professional Services Agreement with TRC Engineers, Inc.
Attachment B - Map of the proposed off-site utilities improvements project.