TO: Board of Supervisors
FROM: Steve Lederer, Director of Public Works
REPORT BY: Liang Chin Su, Assistant Engineer
SUBJECT: Award of Construction Contract for the Oakville Grade Road MPM 1.35 Storm Repair Project, RDS 19-65 and Budget Amendment
RECOMMENDATION
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Award of Construction Contract to ETIC of Pleasant Hill, California in the amount of $1,318,628 for the Oakville Grade Road MPM 1.35 Storm Repair, RDS 19-65 project, and approve a Budget Amendment. (Fiscal Impact: $1,812,355 Expense; Capital Improvement Projects Fund; Not Budgeted; Discretionary)
[4/5 vote required]
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BACKGROUND
Excessive rains saturated a 160-foot-long portion of Oakville Grade Road near MPM 1.35 causing movement of the road and supporting ground in early 2019. The damage occurred during a declared disaster event and FEMA inspected the site on August 15, 2019. Through a qualifications-based process, the County selected MGE Engineering Inc. (MGE) as the most qualified firm for this investigation and design of the project. On August 18, 2020, the Board of Supervisors (Board) awarded a Professional Services Agreement to MGE for a maximum of $298,735 for the surveying, geotechnical and design services through project completion. The Board also approved a budget transfer of $69,331 to fund the preliminary design and engineering phase. On March 16, 2021, the Board approved a budget transfer of an additional $44,998 to complete the preliminary design and engineering phase.
On January 24, 2023 the Board approved a budget transfer of $268,280 to fund MGE’s Phase 2 Engineering Design services as well as additional staff time through the design and bidding phase of the project after FEMA approved the proposed project scope, method of repair and cost to restore the facility back to pre-disaster conditions which consists of a 160-foot-long soldier pile wall as well as asphalt and road base replacement, soil stabilization, culvert replacement, and guardrail installation at the shoulder.
On February 6, 2024, the Board approved Amendment No. 1 to Agreement No. 210080B which increased the contract maximum by $50,805 for MGE to perform spotted owl survey per FEMA’s environmental requirement to begin construction on Oakville Grade Road. Amendment No. 1 also modified the term of the agreement to expire on June 30, 2024, with an automatic renewal not to exceed three additional years. The Board also approved the Plans and Specifications and authorized to advertise for sealed bids and opening of the bids pursuant to Section 20150.8 of the Public Contract Code. Bids were opened on March 28, 2024 (see attached table of bid results).
JPB Designs was the original apparent lowest bidder; however, JPB Designs submitted to the County a claim of a clerical ‘bid mistake’ [PCC 5103(b)] describing its failure to correctly input pricing for four (4) different bid items and requested bid relief. JPB Designs notified the County of this mistake within five (5) days of bid opening. JPB Designs may not be relieved of its bid without consent of the Napa County Board of Supervisors as the awarding authority for this contract [PCC 5101(a)]. Staff recommends granting the requested relief consistent with the Board’s authority under Public Contract Code Section 5101(b) as all of the required factors to grant relief exist in this instance [PCC 5103].
After granting this relief, staff recommends awarding the contract to the lowest responsive bidder, ETIC of Pleasant Hill, CA for their base bid of $1,318,628. ETIC’s base bid is lower than the engineer’s estimate which is $1,590,000. The total project cost, including construction, construction management and contingency, is $2,290,767.
Staff is requesting approval to award the construction contract to ETIC and approve the proposed Budget Amendment of $1,812,355 to fully fund the project. After completion of the project, staff will seek for reimbursement of up to 75% of project cost from FEMA and 18.75% from CalOES which will be returned to the Accumulated Capital Outlay (ACO) Fund.
The Construction start date is contingent upon results from the Northern Spotted Owl Survey however in general construction is anticipated to be completed by the end of 2024.
ETIC is not a local vendor however, the Public Contract Code requires that the construction contract be awarded to the lowest responsible and responsive bidder regardless of whether the low bidder is local or not. Staff reached out to the local construction contractor community by advertising the request for bids in the Napa Valley Register and the Solano-Napa Builder's Exchange, and by posting on the County website. Staff also sent "Notices to Contractors" to the local construction community.
Requested Actions:
1. Award of the construction contract for the “Oakville Grade Road MPM 1.35 Storm Repair Project”, RDS 19-65 to ETIC of Pleasant Hill, California for their low base bid of $1,318,628 and authorization for the Chair to sign the construction contract; and
2. Approve a Budget Amendment for the following (4/5 vote required):
a. Increase Transfers Out appropriations by $1,812,355 in the Capital Improvement Projects (ACO) Fund (Fund 3000, Sub-Division 3000000, Account 56100) offset by use of its available fund balance to transfer to Project S9103; and
b. Increase Construction Services appropriations by $1,812,355 in Project S9103 budget (Fund 2040, Subdivision 2040500, Project S9103, Account 52360) offset by a transfer-in revenue from Capital Improvement Projects.
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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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
Approval is needed to repair the damaged road from the 2019 storm. |
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Is the general fund affected? |
Yes |
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Future fiscal impact: |
Construction will likely finish in FY 2024/25. Staff will attempt to obtain California Office of Emergency Services (CalOES) and FEMA reimbursement to offset most of the costs of the project. |
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Consequences if not approved: |
Future rain events would likely cause additional slide at this location and the County would lose FEMA and CalOES funding. |
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.]