BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Amendment No. 1 to Agreement No. A4088A with Ghirardelli Associates, Inc., to Increase the Not-to-Exceed Fee and Extend the Term of Agreement for Construction Management Services for the Watersheds Asset Rehabilitation Program, Project No. 62084001.
End
RECOMMENDATION:
Recommendation
Approve Amendment No. 1 to Agreement No. A4088A with Ghirardelli Associates, Inc., for Construction Management Services for the Watersheds Asset Rehabilitation Program to:
i. Increase the compensation limit by $150,000, resulting in a revised total not-to-exceed amount of $1,376,227; and
ii. Extend the term of Agreement No. A4088A to December 31, 2020.
Body
SUMMARY:
The purpose of the Watersheds Asset Rehabilitation Program (Program) is to reduce the backlog of Operations and Maintenance (O&M) Division’s projects that are identified for restoration of creeks by undertaking erosion repair of existing creeks and levee banks and removal of sediments to maintain design flow capacity. By repairing and maintaining creeks and levee banks, the potential for failure is reduced, water quality impact is minimized due to reduced erosion, and the life cycle of the facilities can be extended or realized. The Program helps to maintain the integrity of existing flood protection facilities.
On July 11, 2017, the Board approved Agreement No. A4088A (Agreement) with Ghirardelli Associates, Inc. (Consultant) for the not-to-exceed amount of $1,226,227. The Consultant provides construction management (CM) services for five Santa Clara Valley Water District (Valley Water) projects described in the Program. Two of the five projects are stream erosion repair projects and the other three projects are levee erosion repair projects. For all projects, the main scope is to restore each of the facilities to as-built conditions.
To date, construction of four of the five projects have been completed. Amendment No. 1 to this Agreement will increase the not-to-exceed fee by $150,000 to extend the Agreement level of services required to adequately provide CM services for construction of the remaining Uvas Creek Phase 1 and Phase 2 Projects.
Program Background
The Program was established as a means to plan, design, and construct Watersheds O&M projects. Implementation of projects within the Program is in addition to the routine O&M projects that are designed and constructed by in-house O&M staff during each Stream Maintenance Program season, which occurs from mid-June to as late as November.
This Program was initiated to reduce the backlog of prioritized O&M projects. Work performed pursuant to this Program supplements erosion repair and animal conflict repair work that is normally performed by O&M staff. Identified sites can change from year to year depending on winter storms, associated higher stream flows, and the potential for increased erosion. The scope of work, in general, includes the following items, all facets of which are to maintain and restore the creek channel capacities:
a. Bank erosion repair for levees and embankments due to rodents/burrowing animals;
b. Geomorphic channel restoration with bed and bank repair; and
c. Sediment removal.
Basis for Amendment Recommendation
The Agreement requires the Consultant to provide CM services for five Valley Water projects, including 1) El Camino Storm Drain Erosion Repair Project, 2) Uvas Creek Levee Erosion Repair Project (Uvas Creek Project), 3) Coyote Creek Levee Erosion Repair Project Downstream of Highway 237, 4) Coyote Creek Levee Erosion Repair Project Upstream of Highway 237, and 5) Stevens Creek Erosion Repair Project (Stevens Creek Project).
The original scope of work (SOW) of the Consultant is to perform CM services for the Uvas Creek Project in one phase. However, construction for the Uvas Creek Project is being performed in two separate phases. Similarly, construction for the Stevens Creek Project was performed in two separate phases, compared to one phase described in the original SOW. This increases the level of effort required for CM services beyond the original intent of the Agreement.
Implementation of the Stevens Creek Project was planned to be performed in one phase for permanent repair. However, the Stevens Creek Project was performed in two phases, due to an emergency repair in 2017, followed by the permanent repair in 2018. On August 18, 2017, the CEO declared that the failed condition of the maintenance Access/Trail road and bank condition along Stevens Creek constituted an emergency pursuant to California Public Contract Code section 22050. In November 2017, Valley Water completed emergency bank erosion repairs downstream of Stevens Creek from El Camino Real to mitigate additional erosion damages until a permanent fix could be completed the following year in 2018. The permanent repair for the Stevens Creek Project was initiated on April 2018 and completed on November 2018. Valley Water utilized the Consultant CM services for both emergency and permanent repairs. City of Mountain View reimbursed Valley Water for $350,678.88 for the trail repair on February 16, 2019. Valley Water staff has submitted a reimbursement request to FEMA and Cal-OES for up to 93% of the total cost of $2,578,099.21 for both emergency and permanent repairs for the Stevens Creek Project.
Implementation of the Uvas Creek Project was planned to be performed in one phase to repair the inboard and outboard levee slopes in the same construction contract. However, a delay in regulatory permit acquisition for the inboard side of the levee caused the construction of the project to be performed in two phases, one for the outboard phase in 2018-19 (Phase 1) and another for the inboard phase in 2019 (Phase 2).
Although CEQA approval for the inboard and outboard levee slopes (both phases) are covered under the Santa Clara Valley Habitat Plan (VHP), California Department of Fish and Wildlife (CDFW) is claiming jurisdictional rights to the inboard side of the levee (Phase 2) and has required Valley Water to obtain a Streambed Alteration Agreement (SAA). To remain in good faith with project construction schedule and expectations originally conveyed to City of Gilroy and the public, Valley Water pursued implementing advanced construction work for the outboard side of the levee (Phase 1), while staff is coordinating with CDFW to obtain the SAA for Phase 2.
Amendment No. 1 will allow the Consultant to continue to provide CM services for the completion of the existing Uvas Creek outboard levee repair and the upcoming Uvas Creek inboard levee repair. In the future, new full-time employees (FTEs) at Valley Water will provide CM services for the upcoming San Tomas Aquino Creek Erosion Repair Project and other projects. At this stage of the project, the project team believes that it would be more cost-effective to have the Consultant continue to provide CM services for the Uvas Creek levee repairs rather than have new staff learn and provide CM services for this project.
Consultant Work Performed to Date
The CM services Agreement with Consultant for the Program includes the following tasks:
Task 1 - Project Management
Task 2 - Preconstruction Services
Task 3 - Construction Contract Management -
Documentation and Coordination
Task 4 - Construction Contract Management -
Change Management and Administration
Task 5 - Inspections, Special and Specialty Inspections
Task 6 - Safety Management
Task 7 - Training, Testing, Start-up, and Commissioning [NOT USED]
Task 8 - Claims and Disputes Management
Task 9 - Acceptance and Close-Out
Task 10 - Supplemental Services
To date, budgets for Tasks 1 through Task 6 have been fully expended. There is $38,700 remaining for Task 8, $32,700 for Task 9 and $254,400 for Task 10 to complete the construction of Phase 1 in September 2019.
To continue CM services for the Program, Amendment No. 1 will allocate additional funds to Tasks 3 and 5. With the addition of $150,000 and remaining money in other tasks, adequate CM services will be provided for completion of Phase 1 and Phase 2 Uvas Creek Projects.
Amendment No. 1 Additional Scope of Services
Staff recommends amending the Agreement to increase the fees for CM documentation/coordination and inspections, and to extend the Agreement term to allow sufficient time to perform the additional services.
The proposed amount for Amendment No. 1 is $150,000 and the tasks are summarized below:
1. Additional CM documentation/coordination for Task 3: $60,000
2. Additional inspections for Task 5: $90,000
Board approval is recommended so that the Consultant can perform the above-described services for the duration of the construction. The current not-to-exceed fee for this Agreement is $1,226,227. Approval of this proposed amendment would increase the not-to-exceed fee to $1,376,227.
The current Agreement with the Consultant expires on January 31, 2020. Staff’s recommendation is to extend the term of the Agreement to December 31, 2020 to provide CM services for all project phases in the Program.
A summary of the tasks and fees for the proposed amendment is presented in Table 1.
Table 1 - Summary of Tasks and Fees for Amendment No. 1
|
Task |
Description |
Original Agreement |
Amendment No. 1 |
Total |
|
1 |
Project Management |
$20,000 |
- |
$20,000 |
|
2 |
Preconstruction Services |
$30,000 |
- |
$30,000 |
|
3 |
Construction Contract Management-Documentation and Coordination |
$200,000 |
$60,000 |
$260,000 |
|
4 |
Construction Contract Management-Change Management and Administration |
$120,000 |
- |
$120,000 |
|
5 |
Inspections, Special and Specialty Inspections |
$503,191 |
$90,000 |
$593,191 |
|
6 |
Safety Management |
$20,000 |
- |
$20,000 |
|
7 |
Training, Testing, Start-up, and Commissioning-NOT USED |
- |
- |
- |
|
8 |
Claims and Disputes Management |
$40,000 |
- |
$40,000 |
|
9 |
Acceptance and Close-Out |
$32,720 |
- |
$32,720 |
|
10 |
Supplemental Services |
$260,316 |
- |
$260,316 |
|
Total Not-to-Exceed Fees |
$1,226,227 |
$150,000 |
$1,376,227 |
FINANCIAL IMPACT:
Amendment No. 1 to Agreement No. A4088A with Ghirardelli Associates, Inc., for CM services for the Watersheds Asset Rehabilitation Program will increase the not-to-exceed fee by $150,000 from $1,226,227 to $1,376,227. There are adequate funds in the Project’s FY 2019 Board-Approved Budget to encumber the requested additional funds.
CEQA:
The recommended action does not constitute a project under CEQA because it does not have a potential for resulting in direct or reasonably foreseeable indirect physical change in the environment.
ATTACHMENTS:
Attachment 1: Agreement
UNCLASSIFIED MANAGER:
Manager
Ngoc Nguyen, 408-630-2632