TO: Board of Supervisors
FROM: Steve Lederer, Director of Public Works
REPORT BY: Daniel Basore, Engineering Supervisor
SUBJECT: Award of Construction Contract for the Administration Building Sewer Lateral Replacement, PW 24-13

RECOMMENDATION
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Award of Construction Contract to GD Nielson for the Administration Building Sewer Lateral Replacement, PW 24-13 project, and approve a Budget Amendment. (Fiscal Impact: $250,000 expense; Accumulated Capital Outlay Fund; Not Budgeted; Discretionary)
[4/5 vote required]
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BACKGROUND
On March 6, 2024, it was determined the sewer lines from the administration building needed repair and would be inoperable until the repair could be completed. This determination was made after sewage had backed up into the building and the sewer lines were camera inspected. The primary cause was a break in the line approximately 10 feet outside of the building. However multiple other failures and contributing factors were observed throughout the sewer laterals exiting the building.
The administration building is occupied by approximately 200 employees and is open to the public. The function of the restrooms and other facilities (sinks, drinking fountains, etc.) that drain to the sewer is critical. Utilizing the formal bidding process would take several weeks to months in order for the restrooms and plumbing to be operable.
Three contractors were contacted to request informal bid proposals for the sewer repairs. Two of the contractors declined to submit a bid proposal, as they were unable to commit labor and equipment within the necessary immediate timeframe. Local contractor GD Nielson was the only contractor that was able to perform the repairs immediately.
GD Nielson started the emergency repairs on March 7, 2024, at 6:00 AM. The emergency repair consisted of replacing the failed sewer laterals (approximately 125 linear feet total) from the exit of the building to a nearby sewer cleanout. No failures were observed past the cleanout. Staff coordinated with other departments and agencies (Planning, Building & Environmental Services, Information Technology Services, Napa Sanitation District, County Executive Office, etc.) as needed for the emergency repairs. The sewer line repairs were completed on March 11, 2024, and the restrooms and other facilities were reopened.
On March 12, 2024, the Board received and reviewed a report of an emergency Public Works action in response to the administration building emergency sewer repair accomplished without competitive bidding as authorized by Resolution No. 2015-37 and determined that based on the report from Public Works, the emergency did not permit the delay associated with competitive bidding procedures, and that the actions were necessary to respond to the emergency pursuant to Public Contract Code section 22050.
The work to restore the exterior concrete to the east entrance of the building was completed on March 15, 2024, and the east entrance was reopened on March 18, 2024.
Today, staff is requesting to award a $200,000 not to exceed construction contract to GD Nielson to cover the emergency work that occurred for the project. The remaining budget is to cover staff time from the initial emergency response through project closeout. Any unspent funds will be returned to the ACO.
Requested Actions:
1. Award the Contract to GD Nielson of Napa, California for the Administration Building Sewer Lateral Replacement, PW 24-13 project and authorize the Chair to sign the construction contract; and
2. Approval of a Budget Amendment for the following (4/5 vote required):
a. Increase Intrafund Transfers out appropriations by $250,000 in Accumulated Capital Outlay Fund (ACO) ( Fund 3000, Sub-Division 3000000, Account 57900) offset by use of its available fund balance to fund Project 24026; and
b. Increase Construction Services appropriations by $250,000 in Project 24026 budget (Fund 3000, Sub-Division 3000500, Account 52360, Project 24026) offset by Intrafund Transfers In revenue from ACO.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
No |
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Where is it budgeted? |
Funding will come from the Accumulated Capital Outlay (ACO) Fund |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
Today’s actions are necessary to enter into a contract with the Contractor who performed the emergency repair work so they may be compensated. |
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Is the general fund affected? |
Yes |
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Future fiscal impact: |
None |
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Consequences if not approved: |
The Contractor will not be paid for work they already performed. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: It has been determined that this type of project does not have a significant effect on the environment and is exempt from the California Environmental Quality Act. [See Class 1 (“Existing Facilities”) which may be found in the guidelines for the implementation of the California Environmental Quality Act at 14 CCR §15301; see also Napa County’s Local Procedures for Implementing the California Environmental Quality Act, Appendix B.]