Item 6-P

Council Meeting: August 11, 1998 Santa Monica, California

TO: Mayor and City Council

FROM: City Staff

SUBJECT: Recommendation to Authorize the City Manager to Negotiate and Execute a Professional Services Contract with Black & Veatch for Construction Management of B.I.G. Project, Palisades Park Improvements (Phase II) and South Beach Improvements

INTRODUCTION

This report recommends that the City Council authorize the City Manager to negotiate and execute a professional services contract with Black & Veatch, an engineering and construction management firm, for construction management of the Beach Improvement Group (B.I.G.) Project, Palisades Park Improvements (Phase II) and South Beach Improvements. The negotiated fees for this contract will not exceed $ 525,000.

Background

A public works construction project was advertised in March 1998 and bids were received in May 1998. After review and evaluation of the bids, the contract for the construction of Palisades Park Improvements (Phase II) and South Beach Improvements was awarded in June 1998 to Valley Crest in an amount not to exceed $ 7,332,745. Construction work is scheduled to begin in September 1998.

Discussion

Requests for Proposals to provide construction management services for the B.I.G. construction project were sent to ten (10) firms in June 1998. The City received six (6) proposals which were rated by a committee of five (5) staff members from various departments. The four (4) top rated proposing firms were interviewed and evaluated by the same committee. The firms were evaluated on factors such as technical competence, past performance record, staffing capability, approach to work, quality control and cost control/reporting. The committee's evaluation resulted in the selection of Black & Veatch as the most qualified firm to perform construction management services for the B.I.G. Project. Black & Veatch supplied the City with five (5) references and all references reported that the consultant's work was outstanding. In addition, Black & Veatch has successfully provided excellent construction management services for other City of Santa Monica public works projects.

BUDGET/FINANCIAL IMPACT

FUNDS REQUIRED:

Contract...................................... $ 525,000

Contingency (10%)......................$ 50,000

TOTAL FUNDS REQUIRED....... $ 575,000

Billings for this professional services contract, will be based on an hourly rate schedule with a total not to exceed $ 525,000. Funds are available in the following accounts:

Account No. Amount

01-740-511-20099-8900-99650 $ 375,544

01-740-511-20097-8900-99188 $ 199,456

TOTAL: $ 575,000

RECOMMENDATION

Staff recommends that the City Council:

1. Authorize the City Manager to negotiate and execute a professional services contract with Black & Veatch for construction management services for the B.I.G. Project in an amount not to exceed $ 525,000; and

2. Authorize the City Engineer to issue any necessary change orders to complete additional work within the contingency amount.