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HomeMy WebLinkAbout2000-04-10 City Council (8)City of Palo Alto Manager’s Report 3 TO:HONORABLE CITY COUNCIL FROM:CITY MANAGER DEPARTMENT: UTILITIES DATE:APRIL 10, 2000 CMR:193:00 SUBJECT:APPROVAL OF AMENDMENT NO. 1 TO CONTRACT NO. C9111693 WITH UTILITY CONSTRUCTORS FOR PROVIDING OVERHEAD CONSTRUCTION SERVICES RECOMMENDATION Staff recommends tha~ Council: Approve and authorize the Mayor to execute the attached Amendment No. 1 to contract C9111693 with Utility Constructors, to increase the contract amount by $100,000. The new total contract price will be $1,347,344. Increase the allocation for the final yearof a 3 year extension authority for fiscal year 2000-2001 from $876,512 to 1,276,512 for a total contract price of $2,623,856. Approve a minor change to the scope of work to include underground work related to the maintenance of the electric system. BACKGROUND In February 1999, the City entered into a contract with Utility Constructors in the amount of $370,832 for providing overhead construction services on the City’s overhead electric transmission and distribution system (CMR: 146:99). The contractor was asked to provide two overhead crews (four-man crew and two-man crew) to be used full time by the City’s Electric Operations Division for a period of five months, with an option to extend the term for two additional 12 month periods. The contractor services include: replacement of deteriorated poles on the overhead electrical system; replacement of transformers, air switches, connectors, insulators, conductors, and other miscellaneous equipment; and overhead maintenance work required on the electric system to assure compliance with standards meeting potential General Order 95 guidelines. In addition, the contractor’s crews CMR:193:00 Page 1 of 3 will be available to assist Electric Operations in the restoration of power during emergency and storm events. Utility Constructors was selected because of its recent experience with related projects, understanding of the scope of services to be provided, commitment of firm pricing for the entire contract periods, and the foreman’s qualifications and experience. Utility Constructors has been working under that contract and has performed in an outstanding manner. The existing contract allows the City and Utility Constructors to extend the contract for up to two additional 12 month periods, through July 31, 2001. In July 1999, staff issued contract Change Order #1 to extend the performance through July 31, 2000 and increase the contract amount by $876,512 for a total contract price of $1,247,344. DISCUSSION As a result of an ongoing overhead line and underground system inspection programs required by General Order 95 and General Order 128 of the State of California, several potential problems and safety hazards have been identified. These potential problems will affect the reliability of the electric system if not fixed as soon as possible. Utilities Engineering and Operations proposes to have the contractor, Utility Constructors, perform this high priority maintenance work to maintain the safety of the overhead and underground electric system. Utility Constructors has agreed to provide a three-man crew to perform the additional maintenance work under the existing contract. Funding for this additional work was not included in the price of the original contract which will require an additional $100,000 for the remainder of current fiscal year and $400,000 for the final optional fiscal year 2000-2001. The attached amendment will not only increase the contract amount to cover additional overhead maintenance work but will also change the scope of the contract to include underground work related to the maintenance of the electric system. RESOURCE IMPACT This amendment will increase the contract amount by $100,000 for FY 1999-2000 and $400,000 for FY 2000-2001. However, no additional funds are required. Funds for this project are available in the FY 1999-2000 Electric Capital Improvement Program Budget and Distribution Operation and Maintenance Budget. Continued work under this contract for FY 2000-2001 will be subject to satisfactory performance by the contractor and appropriation of required funds in these fiscal years. This action has no impact on construction work forces since it is being performed by an outside contractor. .~ CMR:193:00 Page 2 of 3 POLICY IMPLICATIONS This report does not represent any change to existing City policies. ENVIRONMENTAL REVIEW This project is categorically exempt from California Environmemal Quality Act (CEQA). ATTACHMENTS Attachment A: Amendment No. 1 to Contract No. C9111693 PREPARED BY: Sager Farraj, Senior Power Engineer DEPARTMENT HEAD APPROVAL: drector of Utilities CITY, MANAGER APPROVAL: EMI HARRISON Assistam City Manager CMR:193:00 Page 3 of 3 AMENDMENT NO. ONE TO"CONTRACT NO. C9111693 BETWEEN THE CITY OF PALO ALTO AND uTILITY CONSTRUCTORS -This Amendment No.1 to Contract .No. C9111693 ("Contract") is entered into , by and between the CITY OF PALO ALTO, a chartered city and a municipal corporation of the State of California ("CITY"), and UTILITY CONSTRUCTORS, a partnership, located at 7039 Ceres Ct., Suite 15, Redding, California 96002 ("CONTRACTOR"). RE C I TAL S: WHEREAS~ the Contract was entered into between the parties for the provision of providing overhead construction services and incidental underground electrical work; and WHEREAS, the parties wish to amend the Contract; NOW, THEREFORE, in consideration of the’covenants, terms, conditions, and provisions of this Amendment, the parties agree: follows: SECTION i.Section 4 is hereby amended to read as ’~SECTION 4 -COMPENSATION 4.1 In consideration of the full performance of the Services by CONTRACTOR, CITY will pay CONTRACTOR a total sum not to exceed One Million Three Hundred Forty Seven Thousand Three Hundred Forty Four Dollars ($1,347,344) payable within thirty (30) days of submission by CONTRACTOR of its itemized billings, in triplicate, in accordance with the following fee schedule set forth in Exhibit "B". Payment of the services will be made in monthly progress payments in proportion to the quantum of services performed, as set forth in Exhibit "A"." 00328 c10071834 1 SECTION 2. An amendment to the Scope of Services, Exhibit "A’;] is hereby attached. SECTION 3. Except as herein modified, all other provisions of the Contract, including any exhibits and subsequent amendments thereto, shall remain in full force and effect. IN WITNESS WHEREOF, the parties have by their duly authorized representatives executed this Amendment on the date first above written ATTEST: City Clerk APPROVED AS~TO FORM: CITY OF PALO ALTO Mayor UTILITY hONSTRUCTORS Senior Asst. City Attorney APPROVE D: Assistant City Manaqer By: Its: Taxpayer I.D. No.68-0328862 Director of Utilities Acting Director of Administrative Services Purchasing/Insurance Review Attachment : EXHIBIT ~A":SCOPE OF PROJECT AND TIME SCHEDULE 00328 cl 0071834 CERTIFICATE OF ACKNOWLEDGMENT (Civil Code § 1189) STATE ) ) ) = On ~i~C/’/ Z% ~0Oo , before me, the undersigned, a notary public in and for said County, personally appeared ¯ ~~ (or proved to me on the basis of satisfactory evidence) to be the person(~ whose name(~ is/~r~ subscribed to thewithin instrument, and acknowledged to me that he, she/t-bey executed th@-- same in- h~m/her/th~i4~ authorized capaci{y~, and ~that by h-i.s/her/t/~4~i~ signature(~ on the instrument the person(~, or the entity upon behalf of which the person(~ acted, executed the instrument. WITNESS my hand and official seal. 00328 el 0071834 3 Amendment to Exhibit "A" Part II - Scope of Work or Services as Amended: As a result of an ongoing overhead line and underground system inspection programs required by General Order 95 and General Order 128 of the State of California, several potential problems and safety hazards have been identified. Utilities Engineering and Operations requests the contractor (Utility Constructors) to.perform this high priority maintenance work to maintain the safety of the overhead and underground electric system. Utility Constructors is lo provide a three-man crew to performthe additional maintenance work and incidental underground Work under the existing contract. Page 1 6f 1