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CC - PUBLIC HEARING: (1) FOUR-FIFTHS VOTE REQUIREMENT: Waiver of Formal Bid Procedures and Award of a Contract with Esplanade General Contractors in an Amount Not-to-Exceed $78,574 to Construct Two City Hall Offices; and (2) Authorization to the Public Works Director/City Engineer to Approve Amendment(s) to the Contract to Cover Contingencies in an Amount Not-to-Exceed $10,000.
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Meeting Date: July 10, 2023
Contact Person/Dept.: Joe Susca/Public Works-Administration
Phone Number: (310) 253-5636
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Attachments: Yes [] No [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (07/06/2023); Esplanade General Contractors (06/22/2023); via GovDelivery to the following distribution lists: Construction, Street Maintenance and Closures (4389), City Council (11562), Public Notifications (2755) (06/26/2023); (Website) Posting on the City’s Public Notices Webpage (06/27/2023).
Department Approval: Yanni Demitri, Public Works Director/City Engineer (06/27/2023)
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RECOMMENDATION
Staff recommends the City Council (1) waive the formal bidding requirements and award a construction contract to Esplanade General Contractors (“Esplanade”) in an amount not-to-exceed $78,574 for CIP No. PF-036 -- Public Works / Engineering Office Construction / Conversion project, pursuant to Culver City Municipal Code (CCMC) Section 3.07.090.E (requires a four-fifths vote); and (2) authorize the Public Works Director/City Engineer to approve amendments to the contract to cover contingencies in an amount not to exceed $10,000.
PROCEDURE
1. Mayor seeks motion from City Council to receive and file the affidavit(s) of publication or posting of notice(s) and any correspondence received in response to the public hearing notices; and,
2. Mayor calls on staff for a brief staff report and City Council poses questions to staff as desired; and,
3. Mayor seeks a motion to open the public hearing; and
4. Mayor seeks a motion to close the public hearing after all public testimony has been presented; and,
5. The City Council discusses the item and arrives at its decision.
BACKGROUND
The increase in senior level management staff in the Public Works Department at City Hall requires the conversion of two existing workstations into private offices for their use (the “Project”).
Staff obtained two price quotes to prepare construction documents and to provide construction support services for the Project from the following two firms:
1. SAA Architects: $21,600
2. RTI Consulting: $39,300
SAA Architects is located in Culver City with excellent references, and staff entered into a $21,600 agreement with them administratively to complete the scope of work.
DISCUSSION
The construction work for the two private offices includes HVAC ductwork relocation, ceiling air returns and vents, relocating an existing thermostat, relocating and/or capping fire sprinklers, wall framing, ceiling soffits, light fixtures, doors with interior windows, wallpapering, and individual light switches that, collectively, will mirror the neighboring offices at City Hall. The chairs, work surfaces, file cabinets and partitions that comprise the existing workstations will be re-used to furnish the private offices.
Currently, a large amount of work is available on the market for General Contractors to complete, reducing their interest in responding to broadly publicized requests for bids, especially when the jobs are as small as this Project. To encourage contractors to respond, SAA recommended, and staff agreed, to limit the number of competing firms to no more than five in lieu of completing a formal bid procedure pursuant to CCMC Section 3.07.090. Staff invited the following five pre-qualified firms to respond with bids to construct the Project: GCX Interiors, Cannon Group Constructors, Interscape Construction, Esplanade and Holwick Constructors, and two responded with the following bids:
1. Holwick $91,394
2. Esplanade $78,574
Pursuant to CCMC Section 3.07.090.E, the City Council, by four affirmative votes, may award a contract for a Public Works Project without complying with the formal bid procedures set forth in Section 3.07.075; provided, a public hearing is held on the award of the contract. Notice of the public hearing was published on the City’s Public-Notices webpage (06/27/23), via GovDelivery (06/26/23), and on the bulletin board in City Hall’s courtyard (06/26/23).
The City and SAA have had prior, favorable experience with Esplanade, and staff recommends the City Council waive the formal bidding procedure and select this contractor to construct the Project. Due to existing contractual obligations to complete work for their other clients, Esplanade anticipates construction of the new offices will commence in mid-September and conclude approximately six weeks later.
FISCAL ANALYSIS
The Revised Budget for Fiscal Year 2022/2023 includes $50,000 in CIP Project No. PF-036 Public Works/Engineering Office Construction/Conversion. During Fiscal Year 2022/2023 mid-year budget appropriations, an additional $40,000 was appropriated from the General Fund in Public Works object account 10160150.514100 (Engineering - Departmental Special Supplies) for expenditures associated with the office buildout. The $90,000 was budgeted for the Public Works office buildout in the following accounts:
$25,000 budgeted in 20480000.730100.PF036; ($14,200 Available Budget)
$25,000 budgeted in 42080000.730100.PF036; ($14,200 Available Budget)
$40,000 budgeted in 10160150.514100 ($37,858 Available Budget)
Of the $90,000 in budgeted funding, $21,600 has been spent under the SAA agreement. That leaves $66,258 in remaining funding budgeted specifically for the Public Works office buildout. An additional $32,316 will be used from Public Works Account No. 10160230.619800 (Building Maintenance - Other Contractual Services) to sufficiently fund the $78,574 for the Esplanade contract and up to $10,000 in contingency.
MOTIONS
That the City Council:
1. Waive formal competitive bidding procedures, pursuant to CCMC Section 3.07.090.E, and award a construction contract with Esplanade General Contractors in an amount not-to-exceed $78,574 to build two new offices at City Hall (requires a four-fifths affirmative vote); and
2. Authorize the Public Works Director/City Engineer to approve amendments to the Esplanade General Contractors contract in an amount up to $10,000 to cover contingencies; and
3. Authorize the City Attorney to review/prepare the necessary documents; and
4. Authorize the City Manager to execute such documents on behalf of the City.