HomeMy WebLinkAboutAgenda Report - May 19, 2021 C-04AGENDA ITEM Cw4
CITY OF LODI
COUNCIL COMMUNICATION
TM
AGENDA TITLE: Adopt Resolution Awarding Contract for Electric Utility Office Remodel Project to
Diede Construction, Inc., of Woodbridge ($2,922,000), Authorizing City Manager to
Execute Change Orders ($520,000), and Appropriating Funds ($1,150,000)
MEETING DATE: May 19, 2021
PREPARED BY: Public Works Director and Electric Utility Director
RECOMMENDED ACTION: Adopt resolution awarding contract for Electric Utility Office
Remodel Project to Diede Construction, Inc., of Woodbridge, in the
amount of $2,922,000, authorizing City Manager to execute change
orders in an amount not to exceed $520,000, and appropriating funds in the amount of $1,150,000.
BACKGROUND INFORMATION: Lodi Electric Utility (LEU) currently occupies and utilizes multiple
buildings and facilities located at 1331 South Ham Lane, a yard
shared by both Public Works and LEU for several years.
Construction of these buildings and facilities dates back to the mid-1970s. With the exception of a recent
upgrade project to LEU's Operations Dispatch Center to address ergonomic and accessibility issues, the
current LEU facilities have gone without any major improvements for over 40 years. WMB Architects,
Inc. was hired in 2018 to provide design services for the improvements.
The project will include offices, public lobbies, public counters, Americans with Disabilities Act (ADA)
access, ADA staff bathroom facilities, new accessible locker rooms, an enlarged training room, lighting,
communications, space conditioning, and associated staff support areas. The project also includes a
transformer storage building and a covered wire reel storage structure and upgrades to the interior
finishes of Public Works Municipal Utilities Service (MUS) Center that was also constructed in the mid-
1970s. A drawing of the project site plan is shown in Exhibit A.
The project scope is substantial and will prohibit the buildings to be remodeled from being utilized. To
address this impact, the project includes the temporary rental of modular buildings that include the
facilities needed to support LEU staff and electrical operations during the work. This project element was
approved by Council last year and is now in place.
Plans and specifications for this project were approved on March 18, 2020. The City received the
following three bids for this project on April 29, 2021:
Abovel(Below)
Bidder Location Bid Engineer's Estimate
Engineer's Estimate
$2,500,000.00
Diede Construction, Inc.
Woodbridge $2,922,000.00 $422,000.00
F&H Construction
Lodi $3,018,000.00 $518,000.00
CNW Construction, Inc.
Rescue $3,071,000.00 $571,000.00
APPROVED:
Manager
515/2021
Adopt Resolution Awarding Contract for Electric Utility Office Remodel Project to Diede Construction, Inc. of Woodbridge ($2,922,000), Authorizing City Manager to
Execute Change Orders ($520,000), and Appropriating Funds ($1,150,000)
May 19, 2021
Page 2
There is a significant difference between the engineer's estimate ($2,500,000) prepared by the City's
consultant, and the low bid ($2,922,000) submitted by Diede Construction, Inc. The engineer's estimate
was based on an original design that did not include a proposed Wire Reel Covered Storage Area to
protect LEU inventory assets, the Public Works MUS Finishes allowance ($300,000), nor the current
pandemic market forces that are responsible for today's escalating construction costs. The Project is
anticipated to take eight months with completion expected in the spring of 2022.
The estimated total project budget is provided in the table below:
Budget Item
Bud et
Construction
Construction Contract
$2,922,000
Project Management (City Staff)
$50,000
Testing 8r Inspection Estimate
$100,000
Office Furniture
$100,000
Conference Furniture
$20,000
Office Equipment
$10,000
Moving Expenses
$15,000
Construction Total
$3,217,000
Tem ora Staff Facilities
$223,555
Project Estimate
$3,440,555
—Contingency 150/6 of Project Estimate
$516,083
Adjusted Project Total Budget
$3,956,588
Staff recommends awarding contract for Electric Utility Office Remodel Project to Diede Construction,
Inc_, of Woodbridge, in the amount of $2,922,000, authorizing City Manager to execute change orders in
an amount not to exceed $520,000, and appropriating funds in the amount of $1,150,000.
FISCAL IMPACT: This project will reduce costs associated with unplanned and emergency
maintenance and repair work for these deteriorating facilities; and ADA and
security improvements will increase safety and reduce risk of injury for
employees and the public. The addition of covered storage will extend the
life of inventory and assets and reduce the risk of damage. This project will
not impact the General Fund.
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Adopt Resolution Awarding Contract for Electric Utility Office Remodel Project to Diode Construction, Inc., of Woodbridge ($2,922,000), Authorizing City Manager to
Execute Change Orders ($520,000), and Appropriating Funds ($1,150,000)
May 19, 2021
Page 3
FUNDING AVAILABLE: The total estimated project cost of $3,956,588 includes allowances above
the construction contract for temporary staff facilities (office trailers, moving
services and office systems furniture), new office, conference and office
equipment as well as contingencies to address unforeseen conditions,
construction administration, materials testing, and staff costs.
Budgeted Fiscal Year 2020/21:
Water Capital (56199000.77020):
Wastewater Capital (56199000.77020):
Electric Utility Fund (50199000.77020):
Total:
Requested Appropriations:
Electric Utility Fund (50199000.77020):
TOTAL:
Andrew Keys
Andrew Keys
Deputy City Manager/Internal Services Director
Charles E. Swimley, Jr.
Public Works Director
Prepared by Gary Wiman, Construction Project Manager
CES/GW11c
Attachments
Jeff Berkheimer
Electric Utility Director
$ 150,000
$ 150,000
$2,506,588
$2,806,588
$1,150.00n
$3,956,588
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CITY OF LODI
ELECTRIC UTILITY OFFICE REMODEL CONTRACT
CITY OF LODI, CALIFORNIA
THIS CONTRACT made by and between the CITY OF LODI, State of California, herein
referred to as the "City," and DIEDE CONSTRUCTION, INC., a California corporation,
herein referred to as the "Contractor."
WITNESSETH:
That the parties hereto have mutually covenanted and agreed, and by these presents do
covenant and agree with each other, as follows:
The complete Contract consists of the following documents which are incorporated herein
by this reference, to -wit:
Notice Inviting Bids
Information to Bidders
General Provisions
Special Provisions
Bid Proposal
Contract
Contract Bonds
Plans
City of Lodi Standard Plans and Specifications
All of the above documents, sometimes hereinafter referred to as the "Contract
Documents," are intended to cooperate so that any work called for in one and not
mentioned in the other is to be executed the same as if mentioned in all said documents.
ARTICLE I - That for and in consideration of the payments and agreements hereinafter
mentioned, to be made and performed by the City and under the condition expressed in
the two bonds bearing even date with these presents and hereunto annexed, the
Contractor agrees with the City, at Contractor's cost and expense, to do all the work and
furnish all the materials except such as are mentioned in the specifications to be furnished
by the City, necessary to construct and complete in a good workmanlike and substantial
manner and to the satisfaction of the City the proposed improvements as shown and
described in the Contract Documents which are hereby made a part of the Contract.
ARTICLE it - The City hereby promises and agrees with the Contractor to employ, and
does hereby employ, the Contractor to provide all materials and services not supplied by
the City and to do the work according to the terms and conditions for the price herein, and
hereby contracts to pay the same as set forth in Section 5, Clause 65 "Payment," of the
General Provisions, in the manner and upon the conditions above set forth; and the said
parties for themselves, their heirs, executors, administrators, successors and assigns, do
hereby agree to the full performance of the covenants herein contained.
ARTICLE III - The Contractor agrees to conform to the provisions of Chapter 1, Part 7,
Division 2 of the Labor Code. The Contractor and any Subcontractor will pay the general
prevailing wage rate and other employer payments for health and welfare, pension,
vacation, travel time, and subsistence pay, apprenticeship or other training programs. The
responsibility for compliance with these Labor Code requirements is on the prime
contractor.
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ARTICLE IV - And the Contractor agrees to receive and accept the following prices as full
compensation for furnishing all materials and for doing all the work contemplated and
embraced in this agreement; also for all loss or damage arising out of the nature of the
work aforesaid or from the action of the elements, or from any unforeseen difficulties or
obstructions which may arise or be encountered in the prosecution of the work until its
acceptance by the City, and for all risks of every description connected with the work; also
for all expenses incurred by or in consequence of the suspension or discontinuance of
work and for well and faithfully completing the work, and the whole thereof, in the manner
and according to the Plans and Contract Documents and the requirements of the Engineer
under them, to -wit:
Include furnishing all labor, material, tax, equipment, and services necessary for the
construction and completion of the Electric Utility Office Remodel Project and associated
improvements. Project includes: Metal Building design, abatement, demolition, concrete,
masonry, framing, drywall, flooring, cabinetry, hardware, finishes, plumbing, HVAC, electrical,
data/communications, roofing, site utilities, and all associated work as described in the project
plans (drawings) and specifications, together with Addenda issued at the time of bidding, if
any, now on file with the Director of Public Works, City Hall, 221 W. Pine Street, Lodi.
See Division 011000 "Summary of Work" for a general description of Bid Items
CONTRACT ITEMS
IltVeom
Item Description
Unit
Tce
Qty
nit
Total
.
P
1.
Mobilization/Demobilization, Bonds & Insurance
LS
NA
NA
$75,600.00
2.
Electric Utility Office Remodel
LS
NA
NA
$1,611,000.00
3.
Allowance for Public Works Office Area
ALW
NA
NA
$300,000.00
4.
New Wire Reel Storage Structures
LS
NA
NA
$411,600.00
5.
New Transformer Storage Building
LS
NA
NA
$359,300.00
6.
Allowance New Tool Room & Storage Area
ALW
NA
NA
$120,000.00
7.
All work in accordance with the contract
documents, not included under Base Bid Items 1
through 6.
LS
NA
NA
$44,500.00
TOTAL
$2,922,000.00
ARTICLE V - By my signature hereunder, as Contractor, I certify that I am aware of the
provisions of Section 3700 of the Labor Code, which requires every employer to be insured
against liability for workers' compensation or to undertake self-insurance in accordance
with the provisions of that code, and I will comply with such provisions before commencing
the performance of the work of this contract.
ARTICLE VI - It is further expressly agreed by and between the parties hereto that, should
there be any conflict between the terms of this instrument and the Bid Proposal of the
Contractor, then this instrument shall control and nothing herein shall be considered as an
acceptance of the said terms of said proposal conflicting herewith.
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ARTICLE Vil - The City is to furnish the necessary rights-of-way and easements and to
establish lines and grades for the work as specified under the Special Provisions. All labor
or materials not mentioned specifically as being done by the City will be supplied by the
Contractor to accomplish the work as outlined in the specifications.
ARTICLE VI I I - The Contractor agrees to commence work pursuant to this contract within
15 calendar days after the City Manager has executed the contract or the date stipulated
in the Notice to Proceed and to diligently prosecute to completion within 240 CALENDAR
DAYS.
ARTICLE IX- State of California Senate Bill 854 requires the following:
No contractor or subcontractor may be listed on a bid proposal for a public works
project unless registered with the Department of Industrial Relations pursuant to
Labor Code section 1725.5 [with limited exceptions from this requirement for bid
purposes only under Labor Code section 1771.1(a)].
No contractor or subcontractor may be awarded a contract for public work on a
public works project unless registered with the Department of Industrial Relations
pursuant to Labor Code section 1725.5.
This project is subject to compliance monitoring and enforcement by the
Department of Industrial Relations.
ARTICLE X - Counterparts and Electronic Signatures
This Agreement and other documents to be delivered pursuant to this Agreement may be
executed in one or more counterparts, each of which will be deemed to be an original copy
and all of which, when taken together, will be deemed to constitute one and the same
agreement or document, and will be effective when counterparts have been signed by
each of the parties and delivered to the other parties. Each party agrees that the
electronic signatures, whether digital or encrypted, of the parties included in this
Agreement are intended to authenticate this writing and to have the same force and effect
as manual signatures. Delivery of a copy of this Agreement or any other document
contemplated hereby, bearing an original manual or electronic signature by facsimile
transmission (including a facsimile delivered via the Internet), by electronic mail in
"portable document format" (".pdf') or similar format intended to preserve the original
graphic and pictorial appearance of a document, or through the use of electronic signature
software will have the same effect as physical delivery of the paper document bearing an
original signature.
WHEN SIGNING THIS CONTRACT, THE CONTRACTOR AGREES THAT THE TIME OF
COMPLETION FOR THIS CONTRACT IS REASONABLE AND THE CONTRACTOR
AGREES TO PAY THE CITY LIQUIDATED DAMAGES of $3,000.00 PER DAY AS SET
FORTH CONTRACT PROVISIONS. CONTRACTOR AGREES THAT THIS AMOUNT
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MAY BE DEDUCTED FROM THE AMOUNT DUE THE CONTRACTOR UNDER THE
CONTRACT.
IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands the
year and date written below.
CONTRACTOR: CITY OF LODI, a municipal corporation
in
Title
Ac
STEPHEN SCHWABAUER
City Manager
Date.-
Attest:
ate:
Attest:
JENNIFER CUSMIR
City Clerk
(CORPORATE SEAL) Approved As To Form:
JANICE D. MAGDICH
4
City Attorney
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04/29/21
Capital Improvement Plan
FY 2021-2022
Project Title: LEU Facility Renovation
I Munis Project Code: EUCP-17001/21007
49
Section I: Description
District Nos: 3 Project Length 1 7/17-6/22 JPriority
I
High
Renovation of Lodi Electric Utility (LEU) facilities, including but not limited to, ADA, security, and other upgrades to improve functionality of existing spaces to accommodate existing staff. Renovation activities will also include
needed repairs to flooring and roof systems.
Justification/factor driving project
Renovation of Lodi Electric Utility (LEU) facilities, including but not limited to, ADA, security, and other upgrades to improve functionality of existing spaces to accommodate existing staff. Renovation activities will also include
needed repairs to flooring and roof systems.
Additional Information
This project will improve customer service, employee safety/security and addressing operational and workforce needs. Project construction will likely commence toward the end of FY 21 - any unused funds will carry forward to FY
22. The current approved budget for FY 21 is $2,506,588. An additional $1,150,000 is needed per the request to Council on May 19, 2021 and is included here.
Section II: Estimated Project Costs
Expenditure FY 17/18 FY 18/19
Actuals Actuals
Contracts $ 9,713 $ 38,206 $
FY 19120
Actuals
60,206
Prior Years
$ 108,125
$
FY 20121 FY 21122 FY 22123 FY 23/24 FY 24125 FY 25126 Future Yrs
Estimate Budget
$ 3,656,588
$
$
Total
3,764,713
-
$
$
$
$
-
_
Total Capital Costs $ 9,713 $
60,206
$
$ 108,125
$ 3,656,588 $ $ - $ $ $ $
$
$
-
3,764,713
Section III: Funding Sources/Methods of Financing
Funding Source(s) FY 17/18 FY 18/19
Actuals Actuals
501 - EU Outlay Capital ReSE $ 9,713 $ 38,206 $
FY 19/20
Actuals
60,206
Prior Years
$ 108,125
FY 20/21 FY 21/22
Estimate Budget
$ 2,506,588
FY 22/23
FY 23/24
FY 24/25
FY 25/26
Future Yrs
Total
$
2,614,713
Total Project Financing $ 9,713 $
60,206
$ 108,125
$ 2,506,588 $ $ - $ $ - $ $ -
$
2,614,713
Section IV
Operating Budget Impact
Operating Cost or
(savings)
Personnel
Other Operating Costs
Total Operating Impact
FY 17/18 FY 18/19
Actuals Actuals
$ $
FY 19/20
Actuals
Prior Years
$
$
$
FY 20/21
Estimate
FY 21/22 FY 22/23 FY 23/24 FY 24/25
Budget
FY 25/26 Future Yrs
$
Total
-
$
$
$ $ $ $
$ $ $
RESOLUTION NO. 2021-132
A RESOLUTION OF THE LODI CITY COUNCIL AWARDING THE
CONTRACT FOR THE ELECTRIC UTILITY OFFICE REMODEL
PROJECT TO DIEDE CONSTRUCTION, INC., OF WOODBRIDGE;
AUTHORIZING THE CITY MANAGER TO EXECUTE CHANGE
ORDERS; AND FURTHER APPROPRIATING FUNDS
WHEREAS, in answer to notice duly published in accordance with law and the order of
this City Council, sealed bids were received and publicly opened on April 29, 2021, at
11:00 a.m., for the Electric Utility Office Remodel Project, described in the plans and
specifications therefore approved by the City Council on March 18, 2020; and
WHEREAS, said bids have been checked and tabulated and a report thereof filed with
the City Manager as follows:
Above/(Below)
Bidder
Location
Bid
Engineer's Estimate
Diede Construction, Inc.
Woodbridge
$2,922,000
$422,000
F&H Construction
Lodi
$3,018,000
$518,000
CNW Construction, Inc.
Rescue
$3,071,000
$571,000
WHEREAS, staff recommends awarding the contract for the Electric Utility Office
Remodel Project to Diede Construction, Inc., of Woodbridge, in the amount of $2,922,000;
WHEREAS, staff also recommends authorizing the City Manager to execute change
orders in an amount not to exceed $520,000; and
WHEREAS, staff also recommends that the City Council appropriate funds in the amount
of $1,150,000, from the fund balance of Electric Utility Fund (EUCP-21007. Contracts
50199000.77020) for Fiscal Year 2020/21.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby award
the contract for the Electric Utility Office Remodel Project to Diede Construction, Inc., of
Woodbridge, California, in the amount of $2,922,000; and
BE IT FURTHER RESOLVED that the Lodi City Council does hereby authorize the
City Manager to execute the contract and change orders in an amount not to exceed $520,000;
and
BE IT FURTHER RESOLVED that the Lodi City Council does hereby appropriate funds in
the amount of $1,150,000, as set forth above; and
BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol
Manual (adopted 11/6/19, Resolution No. 2019-223), the City Attorney is hereby authorized to
make minor revisions to the above -referenced document(s) that do not alter the compensation or
term, and to make clerical corrections as necessary.
Dated: May 19, 2021
I hereby certify that Resolution No. 2021-132 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held May 19, 2021 by the following vote:
AYES: COUNCIL MEMBERS — Chandler, Hothi, Khan, Kuehne, and
Mayor Nakanishi
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
JENNI R CUSMIR
City Clerk
2021-132