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HomeMy WebLinkAbout11-Development Services CITY OF SAN BERNARDINO REQUEST FOR COUNCIL ACTION Date: June 25, 2003 ORIGINAL Subject: Authorization for the Director of Development Services to execute Change Order No. I to contract with Herman W eissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 and cancellation of the contract for the reasons explained in the attached staff report. From: James Funk, Director Dept: Development Services File No.: 4.7205 MCC Date: July 7,2003 Synopsis of Previous Council Action: 07/09/01 Allocation of $146,800 in the 2001102 Capital Improvement Program (CIP) for installation of a storm drain at Mt. View A venue & Mission Creek Account No. 248-368-5504-7205. 04/15/02 Adopted Resolution awarding a contract to Herman Weissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175; Resolution authorizing the execution of a License Agreement with San Bernardino Associated Government (SANBAG) & authorization for the Director of Finance to amend the FY 2001102 budget in the FY 2001102 Capital Improvement Program for installation of a storm drain at Mt. View Ave Recommended motion: I) Authorize the Director of Development Services to execute Change Order No. 1 to contract with Herman Weissker, Inc. authorizing final payment for all costs incurred by Contractor on this contract in the amount of $7,308,29 for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 and, 2) That the Mayor and Common Council cancel Contract with Herman Weissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 for the reasons explained in the attached staff report'~G~ ~ \! James Funk Contact person: Michael Grubbs, Acting City Engineer Phone: 5179 Supporting data attached: Staff Report, CCO #1 & Map Ward: 1 FUNDING REQUIREMENTS: Amount: $7,308.29 Source: (Acct. No.) 248-368-5504-7205 (Acc!. Description) Storm Drain Improvement at Mt. View Ave A venue and Mission Creek Finance: Agenda Item No. / I ]-7..03 CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION Staff Report Subject: Authorization for the Director of Development Services to execute Change Order No. 1 to contract with Herman Weissker, inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 and cancellation of the contract for That the Mayor and Common Council cancel Contract with Herman Weissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 for the reasons explained in this staff report. Backwound: On April 15, 2002, the Mayor and Common Council adopted a resolution awarding a contract to Herman Weissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175, in the amount of $131,080.86. This project consists of installation of a 24" reinforced concrete pipe, catch basin, jack 36" steel sleeve under the railroad track and construction of a concrete headwall at Mission Creek. Also, this project requires a License Agreement with SANBAG, who owns the railroad property that is maintained by BNSF and operated by Metrolink. Subsequent to the award of contract it was determined that a Section 1601 Streambed Alteration Agreement would be required from the California State Department of Fish and Game and a Section 404 permit would be required from the U. S. Army Corps of Engineers prior to start of any work in Mission Creek. The Streambed Alteration Agreement was approved on October 8, 2002, however, due to changes in procedure, the Section 404 Corps of Engineer Permit was not received until December 9, 2002. The change in procedure relates to the requirement for a Section 401 Water Quality Certification from the State Water Quality Control Board. The Corps of Engineers requires a Section 401 Certification from the Regional Water Quality Control Board be provided prior to issuance of the Section 404 Permit. The Regional Water Quality Control Board, in turn, required the City to commit to costly mitigation and monitoring requirement before it would issue the Section 401 Water Quality Certification. Slow response from the Board's staff resulted in an additional two-month delay. Upon receipt of the Streambed Alteration Agreement, the Corps of Engineers Permit and the Water Quality Certification, staff met with the Contractor to determine the impact on the scheduling and cost of the project. In response to our request, the Contractor submitted a request for a change order in the amount of $58,514.15 for changes to the work. In addition, the Contractor requested a change order in the amount of $17 ,860 to install temporary protection for the channel and railroad embankment during construction for a total change order amount of $76,374.15 or 58.3% of the original bid amount. In lieu of the cost of flood protection, the Contractor suggested that the project be delayed until after the winter rainy season. Staff and the Contractor agreed to delay start of construction until April 15, 2003. On April 15, the Contractor indicated that, due to the spike in fuel prices, none of his subcontractors would honor their original bids. On May 16, 2003, the Contractor submitted a letter requesting that the Contract be cancelled and that he be paid his actual costs that had been incurred to date. Staff concurs that, due to the passage of time and changes to the plan, the contract is no longer workable and should be cancelled. Staffs reviewed the costs submitted by the Contractor and find them reasonable. Staff is not proposing to rebid the project at this time. The City of Redlands recently approved, as part of a large development adjacent to Mountain View Avenue, a 102 inch storm drain in Mountain View Avenue extending from Victoria Avenue to the Santa Ana River. This storm drain will intercept most of the drainage that our storm drain was intended to collect. Staff is exploring other alternatives to collect the storm drainage on the west side of Mountain Avenue south of Victoria Avenue, which will be less costly and not require a lengthy monitoring program. Financial ImDact: There is $164,700 budgeted in Account No. 248-368-5504-7205 (Installation of Storm Drain Improvement at Mt. View Avenue and Mission Creek) which is sufficient to cover the cost of this change order. Recommendation: I) Authorize the Director of Development Services to execute Change Order No. I to contract with Herman Weissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 and, 2) That the Mayor and Common Council cancel Contract with Herman Weissker, Inc. for storm drain improvements at Mt. View Ave from Mission Creek to 800' North, per Plan No. 10175 for the reasons explained in this Staff Report. Agenda Item No. City of San Bernaralno, California Storm Drain Improvements In MT. VIEW A VENUE At MISSION ZANJA VICINITY MAP N. T.S. , DEVELOPMENT SERVICES DEPARTMENT Public Works/Engineering 300 North "0" . San Bernardino. CA 924 I 8-000 ] 909.384.51 I I . Fax: 909.384.5155 '" CONTRACT CHANGE ORDER NO. ONE FILE NO. 4.7205 DATE: JULY 7, 2003 PROJECT: STORM DRAIN IMPROVEMENTS AT MT. VIEW AVE FROM MISSION CREEK TO 800' NORTH, PER PLAN NO. 10175. TO: HERMAN WEISSKER, INC. 2631 S. RIVERSIDE AVENUE BLOOMINGTON, CA 92316 GENTLEMEN: You are hereby compensated for performing the additional work as follows: 'V._.. ITEM NO: DESCRIPTION OF CHANGE COST 1 Renewal of Railroad Insurance Policy, which expired on $ 2,831.25 01/3 I /03 per attached invoice from Contractor. 2 US USI Bonding for Project per attached invoice from $ 1,639.00 Contractor. Project Management (Labor) for the preparation of 3 submittals, meetings & subcontractor coordination. 61 hours $ 1,830.00 at $30.00 per hour per attached invoice from Contractor. SUBTOTAL $ 6,300.25 MARK-UP ON SUBTOTAL (15%) $ 945.04 i ' I nu 'ai, 717 J 0":> I/C mvDevCms Mtg: BOND (1%) $ 63.00 . TOTAL COST CCO #1 $ 7,308.29 'Ida Item II Entered Counci Ill- .~b.~ City Clerk/COC Secy City of San Bernardino 1l1.tJ\rk. r~ -# I t :rIA! 7, '2,.:t>Q3 R~Vistl~AtflLct ...~l4rP~er Change Order No. One Storm Drain Improvements At Mt. View Ave From Mission Creek To 800' North, Per Pial> No. 10175 JUSTIFICATION: Item I: Railroad Insurance Policy Herman Weissker Inc. had obtained a Railroad Insurance Policy for the Project. When it expired on January 31, 2003 they renewed the Policy beyond January 31,2003. The cost incurred on the Policy is $2,831.25. Item 2: U.S. USI Bondin~ This is the Faithful Performance and Labor and Materials Bond, which was required to be posted and maintained by the Contractor for the duration of the project. Due to the lengthy delay, the contractor had to renew the bond at a cost of $1,639.00. The City is still holding these bonds and will release them when the project is completed or cancelled. Item 3: Project Mangement (Labor) is the compensation for the time spent by H.W.I . to prepare submittals of materials, review sub-contractor's bids, direct costs associated with Meetings in City Hall and on Project site. Total cost billed is for 61 hours at $30 per hour amounting to $1,830.00. Under the provisions of Section 3-2.2.3 "Agreed Prices" of the Standard Specifications, where modifications are made to items not covered by contract unit prices, payment for the changes may be determined by agreement between the contractor and Agency. We feel the quoted price for this work is fair and reasonable SUMMARY OF CONTRACT COSTS This change order in the amount of $7,308.29 represents 5.6% of the original contract amount and is less than the contingency amount approved as part of the contract award by the Mayor and Common Council at their regular meeting of April 14, 2002. III III 2 Change Order No. One Storm Drain Improvements At Mt. View Ave From Mission Creek To 800' North, Per Plan No. 10175 HERMAN WEISSKER, INC., by execution of this change order, certifies and agrees: that the work covered by this change order has been completed in accordance with the Contract and Amendments thereto, if any, that all amounts have been paid by the Contractor for work for which previous Payment is being requested; that the final total amount of $7,308.29 is the final amount to be paid to the Contractor as agreed between the City and Contractor for this project; that this final amount includes all and any expenses, overhead, profit, markups, subcontractor costs, material costs, labor costs, any other costs the Contractor incurred for this project; that the Contractor shall not make any claims for any additional payments and hereby waives any and all claims for any additional payments; and that the Contractor shall pay his subcontractors, suppliers, laborers, and any and all other persons, company's, entities that have provided services to the Contractor for this project. HERMAN WEISSKER, INC. CONTRACTOR Accepted CITY OF SAN BERNARDINO DEVELOPMENTSER~CES Approved By: By: JAMES FUNK Director of Development Services Title: Date: Date: Approved by Mayor and Common Council Date: July 7, 2003 Item No. 3 ~~;l~;~~~~ lU:U~ ':IU:JO":'t.J~.l....... ''''''''! \ h"fMAN \ K{ ~~ , ~ \ EISSKER;" S,d_ l: 1"'," h .--.- City of San Bcrnardino 300 North "D" Strcct San Bernardino, CA 92418-0001 Atm: Mr. Michael Grubbs Acting City Engineer May 16, 2003 Transmitted Via Fax Hardcopy Via US Mail Project: Storm Drain Improvements on Mountain View Avenue Project No. 10 175 RE: Request for Termination of Agreement Dear Mr. Grubbs: Thank you for the taking the time this morning with me in resolving the future status of the above referenced project. Due to the unresolved issues facing the city concerning this project, I agree with you that terminating the agreement between the city and Herman Weissker, Inc. (HWI) would be in the best interest of both parties. Please proceed with the termination procedure to close this project withHWI. In addition, as you and I discussed this morning on the telephone, HWI has incurred and submitted for reimbursement out of pocket expenses. These expenses were for Bonding / Insurance expenses paid by HWI, and for project management expenses for the year long delay since the award of this project on AprilS, 2002. These expenses were submitted first on December 20, 2002, then on February 28, 2003, and again on May 18, 2003. The dollar amount on submitted payment request is 57,308.29. Thank you for acknowledging the city is responsible for all documented expenses incurred by HWI relating to this project. I have attached a copy of the submitted payment request if you do not already have a copy. If you have any questions or concerns regarding this matter, please do not hesitate in calling at (909) 376-8679 at your earliest convenience. Richard Thompson, P.E. V.P. - Engineering cc: Dave Boyington file 2631 S. RivenideAve BJoominaton, CA 92316 (909) 877-2470 Fax: (909) &20-2114 Page I of 1 ~~i~~/~UU~ LU.U~ ~W~~~~~~_. HER"\1A.l';f WEISSKER, INC CHANGE ORDER REQUEST II R~\.;":";:=cd " No. 00002 2631 $. Riverside Ave Phone: 909-877.2470 I310,mlll\~lon. CA n316 Fax: 909-320-2114 LE: Pre construction Costs incurred DATE: 2/2812003 JOB: 1019-230008 PROJECT: MOUN"T AIN VIEW STORM DRAIN Attn: MICHAEL WOLFF CITY OF SAN BERNARDINO DEVELOPMENT SERVICES DEPARTMENT 300 NORTH "0" STREET SAN BERNARDINO, CA 92418-0001 Phone: 909-384-5111 Fax: 909-384-5155 RE: COR To: CIOFSB From: HWI Number: 00002 DESCRIPTION OF PROPOSAL Please disregard the previously submitted (COR#2) dated 12.18-02 (copy attached), HelllWl Weissker, Inc (HWI) has revised C.O.R#2 and is resubmitting far your review and approval. TO: CONTRACT NO: ') HWI is requesliog a change order (COR) in the amount of S 7,]08.29, for the accrued casts associated with the following items. 1) Direct project management labor costs associated with the submittals for the materials to be used on this project. This included time to review the previously submitted and approved items. 2) Direct project management labor casts associated with the review of the sub-contractors bid estimates for availability and additional costs, if any, to provide the same for an extended duration. whicb bas since passed, good until 1-31-03. 3) Direct project management labor costs assoCiated with the meetings held at the development services department & job site location. 4\ Railroad Insurance policy. previously issued far the original duration of the project. After the city of San Bernardino advised HWI 'be project was going to be postponed until further notice (approximately 6 months) HWI inunediately contacted the RxR policy .";~r and froze the policy until further notice, this was quoted to HWI as a" NO ADDmONAL COST POLlCY" thru 1-31-03. HWI has previously prepared the above stated items and bas incurred the costs for procuring the same. HWI will, upon the revised Notice to Proceed (NTP) incur these cost again in order to prepare far the projects eventual staI1 date. HWlappreciatcs your reviewing this request and responding at your earliest convenience. Thanking You, HERMAN WEISSKER, INC Item 1 2 3 DeKrlption RxR Insunnce Policy (EJr.piration 1.3I.oJ) US USI Bondin. for project Project Manaaancnt (Labor) for the prt:plJ"ation of subntitws. mectinp 4; subc:onlnlc10r coordination. Stock# Quantity Unilli 1.000 Lump Sum Unit Price 52.831.25 Tu lUte Tu Amount Net Amount 0.00"/, $0.00 52.8J 1.2$ 1.000 Lump Sum 61.000 Houl'l 51,639.00 530.00 0.00"" .. O.()OI/. $0.00 $0.00 51,6J9.00 51.830.00 Unil Cost: Unil Tax: Unit Total: Subtotal: 56,300.25 50.00 $6,300.25 $6,300.25 Description Overhead Profit Markup Percent Markup Amount 10.000% 5630.03 5.000% 5315.01 cr5,'15;~003 10:U4 ~~~~~UL114 tt.t:,KlVIAN WEISSKER, INC 2631 S. RiversIde Ave Phone: 909-877-2470 BloomlOgton. CA 92316 Fax: 909-82~2114 CHANGE ORDER REQUEST No. 00002 B"G./~ / Mic ael S~ey Date: '2-::t~-03 E-pU~" Description Bond Subtotal: $6,300.25 Markup Percent Markup Amount 1.000% $63.00 , Total Cost: $7,308.29 By: MICHAEL WOLFF Date: DEVELOPMENT SERVICES DEPARTMENT Public Works/Engineering 300 North "0" . San Bernardino. CA 92418-0001 909.384.5111 . Fax: 909.384.5155 " CHANGE ORDER NO. ONE FILE NO. 4.7205 DATE: JULY 7,2003 PROJECT: STORM DRAIN IMPROVEMENTS AT MT. VIEW AVE FROM MISSION CREEK TO 800' NORTH, PER PLAN NO. 10175. TO: HERMAN WEISSKER, INC. 2631 S. RIVERSIDE AVENUE BLOOMINGTON, CA 92316 GENTLEMEN: You are hereby compensated for performing the additional work as follows: ITEM NO: DESCRIPTION OF CHANGE COST 1 Renewal of Railroad Insurance Policy, which expired on $ 2,831.25 01/31/03. 2 US USI Bonding for Project $ 1,639.00 Project Management (Labor) for the preparation of 3 submittals, meetings & subcontractor coordination. 61 hours $ 1,830.00 at $30.00 uer hour. SUBTOTAL $ 6,300.25 MARK-UP ON SUBTOTAL (15%) $ 945.04 BOND (1 %) $ 63.00 TOTAL COST CCO #1 $ 7,308.29 Change Order No. One Storm Drain Improvements At Mt. View Ave From Mission Creek To 800' North, Per Plan No. 10175 JUSTIFICATION: Item 1: Railroad Insurance Policy Herman Weissker Inc. had obtained a Railroad Insurance Policy for the Project. When it expired on January 31, 2003 they renewed the Policy beyond January 31, 2003. The cost incurred on the Policy is $2,831.25. Item 2: U.S. USI Bondin2 This is the Faithful Performance and Labor and Materials Bond, which was required to be posted and maintained by the Contractor for the duration of the project. Due to the lengthy delay, the contractor had to renew the bond at a cost of $1,639.00. The City is still holding these bonds and will release them when the project is completed or cancelled. Item 3: Project Mangement (Labor) is the compensation for the time spent by H. W.I . to prepare submittals of materials, review sub-contractor's bids, direct costs associated with Meetings in City Hall and on Project site. Total cost billed is for 61 hours at $30 per hour amounting to $1,830.00. Under the provisions of Section 3-2.2.3 "Agreed Prices" of the Standard Specifications, where modifications are made to items not covered by contract unit prices, payment for the changes may be determined by agreement between the contractor and Agency. We feel the quoted price for this work is fair and reasonable SUMMARY OF CONTRACT COSTS This change order in the amount of $7,308.29 represents 5.6% of the original contract amount and is less than the contingency amount approved as part of the contract award by the Mayor and Common council at their regular meeting of April 14, 2002. HERMAN WEISSKER, INC. CONTRACTOR Accepted CITY OF SAN BERNARDINO DEVELOPMENT SERVICES Approved By: By: JAMES FUNK Director of Development Services Title: Date: Date: Approved by Mayor and Common Council Date: July 7, 2003 Item No. HERMAN WEISSKER, INC., by execution of this change order, certifies and agrees: that the work covered by this change order has been completed in accordance with the Contract and Amendments thereto, if any. that all amounts have been paid by the Contractor for work for which previous Payment is being requested; that the final total amount of $7,308.29 is the final amount to be paid to the Contractor as agreed between the City and Contractor for this project; that this final amount includes all and any expenses, overhead, profit, markups, subcontractor costs, material costs, labor costs, any other costs the Contractor incurred for this project; that the Contractor shall not make any claims for any additional payments; and that the Contractor shall pay his subcontractors, suppliers, laborers. and any and all other persons, company's. entities that have provided services to the Contractor for this project. 2 '05/15/2003 10: 04 9098202114 HWI PAGE 02 ',--""::- .. , II. ',Hf;F..?M.'l.N VlISSK~~~~ City of San Bernardino 300 North "0" Street San Bernardino, CA 92418-0001 Attn: Mr. Michael Grubbs Acting City Engineer May 16, 2003 Transmitted Via Fax Hardcopy Via US Mail Project: Storm Drain Improvements on Mountain View Avenue Project No. 10175 RE: Request for Termination of Agreement Dear Mr. Grubbs: Thank you for the taking the time this moming with me in resolving the future status of the above referenced project. Due to the unresolved issues facing the city concerning this project, I agree with you that tenninating the agreement between the city and Herman Weissker, Inc. (HWI) would be in the best interest of both parties. Please proceed with the termination procedure to close this project with HWI. In addition, as you and I discussed this morning on the telephone, HWI has incurred and submitted for reimbursement out of pocket expenses. These expenses were for Bonding I Insurance expenses paid by HWI, and for project management expenses for the year long delay since the award of this project on April 5, 2002. These expenses were submitted fIrst on December 20, 2002, then on February 28, 2003, and again on May 18, 2003. The dollar amount on submitted payment request is $7,308.29. Thank you for acknowledging the city is responsible for all documented expenses incurred by HWI relating to this project. I have attached a copy of the submitted payment request if you do not already have a copy. If you have any questions or concerns regarding this matter, please do not hesitate in calling at (909) 376-8679 at your earliest convenience. Richard Thompson, P .E. v.P. - Engineering cc: Dave Boyington file 2631 S. Riverside Ave. Bloomington. CA 92316 (909) 877-2410 Fax: (909) 820-2114 Page 1 of I _ 05/15/2003 10: 04 9098202114 HWI HERl\1AN WEISSKER, INC ___ __ PAGE 03 CHANGE ORDER REQUEST \1 Reel.":) e.eI ,j No. 00002 2631 S. Riverside Ave Phone: 909-877-2470 B1o\1minglon.CA 92316 Fax: 909-820-2114 TITLE: Pre construction Costs incurred DATE: 2/28/2003 JOB: 1019-230008 CONTRACT NO: ') PROJECT: MOUNT AlN VIEW STORM DRAIN TO: Attn: MICHAEL WOLFF CITY OF SAN BERNARDINO DEVELOPMENT SERVICES DEPARTMENT 300 NORTH "0" STREET SAN BERNARDINO, CA 92418-0001 Phone: 909-384-5111 Fax: 909-384-5155 RE: COR To: CIOFSB From: HWI Number: 00002 DESCRImON OF PROPOSAL Please disregard the previously submitted (COR#2) dated 12-18-02 (copy attached), Hennan Weissker,lnc (HWl) has revised C.O.R#2 and is resubmitting for your review and approval. HWI is requesting a change order (COR) in the amount of $ 7,308.29, for the accrued costs associated with the following items. I) Direct project managemenllabot coSIS associated with the submittals for the materials to be used on this project. This included IUne to review the previously submitted and approved items. 2) Direct project managemenllabor cosls associated with the tevicw of the sub-contractors bid estimates for availability and additional costs, irany,to provide the same for an extended duration. which has since passed, good until 1-31-03. 3) Direct project management labor cosls assoCiated with the meetings held at the development services department & job sile location. 4) Railroad Insurance policy, previously issued for the original duration of the project. After the city of San Bernardino advised HWI thaI the project was going to be postponed until further notice (approximately 6 months) HWI immediately contacted the RxR policy issuer and froze the policy until further notice, this was quoted to HWI as a "NO ADDITIONAL COST POLICY" thru 1-31-03. HWI has previously prepared the above stated items and has incurred the costs for procuring the same. HWI will, upon the revised Notice to Proceed (NTP) incur these cost again in order to prepare for the projects eventual start date. HWI appreciates your reviewing this request and responding at your earliest convenience. Thanking You, HERMAN WEISSKER, INC Item Description Stock# 1 RxR In.uran~ Policy (Expiration \.31-(3) 2 US USI Bondinl for project 3 Projo<l Man_' (Labor) for the preparation oC submiuab, mcetiall '" subcontnlCtDr coordination. Quandty UoIts 1.000 Lump Sum Uolt Price 52,131.25 Tu Rate Tu Amount Net Amount 0.00% $0.00 52,IJI.25 l.ooo Lump Sum 61.000 Hours 51,639.00 0.00% 530.00 _ 0.00% $0.00 $0.00 51,639.00 51,830.00 Unit Cost: Unit Tax: Unit Total: Subtotal: $6,300.25 $0.00 $6,300.25 $6,300.25 Description Overhead Profit Markup Percent Markup Amciant 10.000% $630.03 5.000% $315.01 - 05/15/20i"13 10: 04 9098202114 UJ!,-KlVIAN WEISSKER,INC 2631 S. Riverside Ave Bloomington. CA 92316 Phone: 909-877-2470 Fax: 909-820..2114 HWI PAGE 04 CHANGE ORDER REQUEST No. 00002 $6,300.25 ."L. (~ / Mic ael S~ey Date: '4-:t'il-03 Expediriocloll Description Bond Subtotal: Markup Percent Markup Amount 1.000% $63.00 . Total Cost: $7,308.29 By: MICHAEL WOLFF Date: