BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☐ No ☒
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT: Title
Receive Report of Bids, Ratify Addenda, Approve the Contingency Fund, and Award the Construction Contract to Granite Rock Company for Construction of the Stevens Creek Evelyn Fish Passage Project, Under the Watersheds Asset Rehabilitation Program, Project No. 62084001, Contract No. C0708 (Mountain View, District 7).
End
RECOMMENDATION: Recommendation
A. Ratify Addenda No. 1, 2, and 3 to the Contract Documents for the Stevens Creek Evelyn Fish Passage Project;
B. Award the Construction Contract to Granite Rock Company, located in San Jose, CA, in the sum of $4,852,260; and
C. Approve a contingency sum of 10% in the amount of $485,226 and authorize the Chief Executive Officer or designee to approve individual change orders up to the designated amount.
Body
SUMMARY:
The Stevens Creek Evelyn Fish Passage Project (Project) aims to restore fish-passage along Stevens Creek between Evelyn Avenue and Central Expressway. The Project will consist of reconstructing the eroded channel bed and addressing existing creek bank failure as well as implementing additional enhancements to the Stevens Creek bypass culvert. The Project is estimated to take two (2) years to complete, with the work in the channel limited to the summer construction season of June 15 to October 15 each year. The Project is proposed to be implemented under the Stream Maintenance Program 2 (SMP-2) permit. A map of the Project location is shown on Attachment 1.
Background
As stewards of Santa Clara County’s watersheds and hundreds of miles of streams, Santa Clara Valley Water District (Valley Water) administers the Stream Maintenance Program (SMP) to ensure streams, flood control channels, and related facilities function properly. Valley Water owns and manages approximately 333 miles of streams and channels. Routine maintenance is necessary to reduce flood risks, ensure structural integrity, enhance ecologic function, and improve public safety. Maintenance activities are prioritized and scheduled based on several factors including, Board policies, condition assessments, stream maintenance guidelines, regulatory permit requirements, county and municipal code compliance, and Valley Water’s Safe, Clean Water and Natural Flood Protection Program commitments.
Valley Water first established the SMP in 2001 (SMP-1) and later updated it in 2011 (SMP-2). The environmental impact report (EIR) for SMP-1 was certified in 2002 and a supplemental EIR (SEIR) for SMP-2 was certified in 2012. One of the many projects implemented under the SMP-2 was the Evelyn Bridge Fish Passage Project (Project No. 26042002) in the year 2015 (2015 Evelyn Project). This project was constructed on Stevens Creek between Evelyn Avenue and Central Expressway as a required mitigation project for SMP-2, in response to a National Marine Fisheries Service (NMFS) 2013 Biological Opinion. Stevens Creek is part of the Lower Peninsula Watershed and supports a population of Central California Coast Steelhead (Oncorhynchus mykiss) that are listed as threatened under the Endangered Species Act.
Soon after construction, several flood events in 2016 and 2017 eroded nearly all the placed streambed material. Following these events, the fishery agencies deemed this location of the creek ineffective for fish passage, thus holding Valley Water non-compliant with the SMP-2 mitigation action.
Furthermore, Valley Water is currently in the process of updating the SMP to include modifications to maintenance techniques and activities, work limits, best management practices, mitigation approaches, and mitigation monitoring. The updated program reflects lessons learned, mitigation feasibility, and represents a collaborative dialogue with regulatory agencies and stakeholders. Rehabilitation and rebuild of the 2015 Evelyn Project is required by the fishery agencies as a condition of issuance of the SMP-3 permits, which will cover Valley Water’s stream maintenance from 2027-2036.
Discussion
Staff started planning of the rehabilitation project for the 2015 Evelyn Project in June 2022 and the scope and conceptual plan was developed for implementation as part of the Watershed Asset Rehabilitation Program (WARP) as the Stevens Creek Evelyn Fish Passage Project (Project).
The Project consists of three main elements.
• First, the Project will reconstruct the channel bed with engineered streambed materials and large rock to restore fish passage through a set of eight chutes and seven pools. An existing creek bank failure along the west bank downstream of Evelyn Avenue will be graded and stabilized with large rock.
• Second, two root wads and a footer log will be installed to enhance instream habitat for fish and enable upstream passage.
• Third and last, an existing boulder weir that regulates the high creek flows to the Stevens Creek bypass culvert will be rebuilt to more reliably retain lower creek flows in the main channel for fish passage and then overflow to the bypass culvert to convey higher flows.
Since most of the work is in the channel, work windows will be limited to dry season and thus will take two years to complete. The work is being proposed as part of the 2025 SMP work plan to be submitted for regulatory agencies approval, which is anticipated to be received by June 2025.
Addenda Ratification
Three (3) addenda (Attachment 2) were issued during the bid advertisement period to clarify the Project Contract Documents and answer bidders’ questions. To formally incorporate the addenda into the Project Contract Documents, staff recommends that the Board ratify the addenda.
Contract Award
Due to the sensitive nature of the work and specialty construction related to fish habitat creation and natural channel construction, Staff concluded that the Project meets the requirements of Valley Water’s process for “Contractor Prequalification Determination for CIP Projects”. Pre-qualification of Bidders for the Project was conducted in compliance with Public Contract Code Section 20101.
The pre-qualification of bidders process was conducted in October/November 2024 and completed in February 2025. As a result of that process ten firms were pre-qualified to proceed to bid and were notified. Only the prequalified contractors were eligible to submit bids for the Project.
A report of bids received at the bid opening for the Project on June 4, 2025 is summarized in Table 1.
Table 1 - Bid Opening Results
|
Contractor(s) |
Bid Price |
Difference from EE (-) or + % |
Deemed Responsive |
|
Granite Rock Company San Jose, CA |
$4,852,260 |
(8.8)% |
Yes |
|
Gordon N. Ball, Inc. Walnut Creek, CA |
$5,694,000 |
7.0% |
Yes |
|
Engineer’s Estimate (EE) |
$5,320,000 |
|
|
Of the 2 total bids submitted, the lowest responsive bid was submitted by Granite Rock Company of San Jose, California. The bid submitted by Granite Rock Company is approximately 9% lower than the Engineer’s Estimate of $5,320,000. The AACE International cost estimating guidelines provides an expected range of accuracy for projects in bidding (Class 1) with a range of -10% to +15%. Both bids submitted are within the expected range of accuracy for Class 1 estimates and therefore, staff deems the contractor bids as reasonable.
Staff reviewed the bid proposals and recommends the Board award the Construction Contract to Granite Rock Company as the responsible bidder submitting the lowest responsive bid.
Contingency Funds
The Contract award sum for the Project is $4,852,260. To allow staff to quickly address unforeseen or changed site conditions and other unanticipated occurrences, without causing unnecessary delays or consequential costs to the Project, staff recommends the Board approve encumbering a contingency amount of $485,226 (10% of the contract amount) for the subject Project.
The above-contingency amount was estimated due to known and unknown risks, such as:
1. Unanticipated variances in quantities and cost of various lump sum items estimated in the Bid Proposal;
2. Unforeseen or differing site/field conditions that may be significantly different from the baseline or as-built information used in the preparation of Project Contract Documents;
3. Coordination issues and risks associated with weather conditions and unplanned water releases in the channels that may pose construction delays.
Approval of individual change orders for the Project will be subject to approval at the following designated amounts:
Engineering Unit Manager: $100,000
Deputy Operating Officer: $250,000
Chief Executive Officer: Up to the Total Amount of Contingency
Relevant Prior Board Actions
On January 24, 2012, the Board certified the Supplemental Environmental Impact Report (SEIR) for the Stream Maintenance Program - 2 (SMP 2).
On April 22, 2025, the Board adopted the plans and specifications and authorized advertisement for bids for the construction of the Stevens Creek Evelyn Fish Passage Project.
Rights-of-Way
Construction access and staging will take place within Valley Water fee land, existing rights-of-way, and properties owned by the County of Santa Clara (County), City of Mountain View (City), and Peninsula Corridor Joint Powers Board (JPB). Staff have obtained from the County a “Conditional Right of Way Clearance for Bidding Purposes Only”. Staff have also obtained a “Real Property License Agreement” from the City for right-of-way, access, and construction staging. Regarding right-of-way with the JPB, a license agreement and right of entry permit (Encroachment Agreement) with the JPB is anticipated in Summer of 2025. Construction work will be phased in 2025 to end work at the JPB right of way, considering additional time needed to finalize a JPB Encroachment Agreement. Work within the JPB right of way will commence after approval and execution of the Encroachment Agreement.
Regulatory Permits
This Project will be implemented using the Stream Maintenance Program 2 (SMP-2) Permits. To comply with the SMP-2 permit requirements, this work will be conducted during the summer instream working season (June 15 - October 15).
Staff have obtained a bid-only Excavation Permit from the City of Mountain View and a bid-only encroachment permit from the County of Santa Clara. The contractor will be required to obtain final excavation, and encroachment permits from the City, County, and the JPB.
Public Outreach
Staff has coordinated with the County of Santa Clara, the City of Mountain View, PG&E, and the Peninsula Corridor Joint Powers Board for the planned implementation of the Project.
Valley Water will inform the surrounding neighborhood by conducting a pre-construction meeting on July 16, 2025, to inform residents about the Project and potential construction impacts. A mailer and social media will be used to reach out to neighbors, and construction signs will be installed at the Project site.
Next Steps
If the Board approves the recommendations, staff will proceed with Contract administration managed by Valley Water staff to facilitate the construction of the Project, which is anticipated to begin in July 2025 and be completed by November 2027. The Project Delivery Process Chart (Attachment 3) highlights the current Project phase and the staff recommendation before the Board.
ENVIRONMENTAL JUSTICE AND EQUITY IMPACT:
There are no environmental justice and equity impacts anticipated with the Stevens Creek Evelyn Fish Passage Project. This action is unlikely to result in adverse impacts and is not associated with an equity opportunity.
FINANCIAL IMPACT:
The Project is included under the Watershed Asset Rehabilitation Program (WARP), Project No. 62084001. The WARP is included in the Capital Improvement Program (CIP) Fiscal Years (FY) 2026-30 Five-Year Plan and in the FY 2024-25 Adopted budget. The total cost for the recommended construction contract, including the contingency sum of $485,226 is $5,337,486 and does not change the overall total project cost reflected in the CIP FY 2026-30 Five-Year Plan. There are adequate funds in the FY 2024-25 Adopted budget to encumber funds for Project construction. The Project is funded by the Watersheds Stream Stewardship Fund (Fund 12).
CEQA:
Valley Water is the lead agency under the California Environmental Quality Act for implementation of the Project. The Project is covered under the Stream Maintenance Program Update (SMP-2), 2014-2026 and the Supplemental Environmental Impact Report for the Stream Maintenance Program was certified by the Board on January 24, 2012.
ATTACHMENTS:
Attachment 1: Map
Attachment 2: Addendum No. 1, 2 and 3
Attachment 3: Project Delivery Process Chart
UNCLASSIFIED MANAGER: Manager
Bhavani Yerrapotu, 408-630-2735