Item Coversheet
CITY OF CARMEL-BY-THE-SEA
CITY COUNCIL
Staff Report 

April  4, 2023
CONSENT AGENDA

TO:

Honorable Mayor and City Council Members 
SUBMITTED BY:

Robert Harary, P.E, Director of Public Works
APPROVED BY: 

Chip Rerig, City Administrator
SUBJECT:

Resolution 2023-034, authorizing the City Administrator to execute a Construction Contract with Rehak General Engineering, in the amount of $128,600, including a 15% contingency, for the City Hall Wall Repair Project, and approving a Capital Project Budget Adjustment of $113,600 to complete the Project

 
RECOMMENDATION:
Adopt Resolution 2023-034, authorizing the City Administrator to execute a Construction Contract with Rehak General Engineering, in the amount of $128,600, including a 15% contingency, for the City Hall Wall Repair Project, and approving a Capital Project Budget Adjustment of $113,600 to complete the Project
BACKGROUND/SUMMARY:

In June 2022, Council adopted the Capital Improvement Program (CIP) Budget for Fiscal Year 2022/23 which included $100,000, funded by Measure C, for the City Hall Retaining Wall Emergency Repair Project.

 

The original Project description was,

 

“This new, unanticipated Project is identified as a high-priority emergency repair for the planter retaining wall on the south side of the City Hall building. The planter retaining wall not only supports the planter box, but is also a structural element of the building wall and foundation. A structural repair plan is underway, but the cost for this Project is unknown at this time. At this time, $100,000 is adopted for repairs. The Project design is being overseen by the Building Official, and a Project Manager will be needed for bidding and construction of the Project.”

 

In August 2022, Council adopted Resolution 2022-065, awarding a Professional Services Agreement to Ausonio, Inc. for Project Management Services for delivery of nine facility renovation Projects, including this Project.

 

The Project was designed by Steve Mayone Structural Engineering, Inc. with geotechnical services provided by subconsultant Grice Engineering, Inc. Multiple repair configurations were considered, and since City Hall is a historic facility, the goal was to restore the side wall of City Hall and the redwood planter box after the structural repairs are completed.

 

Specifically, the office currently occupied by the Director of Community Planning and Building is supported by an exterior wall which rests on small, inadequate concrete wall footings. The building and the planter box, especially when the soil is saturated, pushes laterally out onto the planter wall, destabilizing the building wall. The problem was worsened in the recent past when a fire pipeline was installed immediately south of the planter wall, reducing the lateral resistance of the building.

 

The final design was approved for a building permit, and the Project was extensively advertised for construction bids. Notices were published in the Carmel Pine Cone and Monterey County Weekly, Central Coast Builders Association, and posted on the City’s and other public purchasing websites. In addition, courtesy calls were made to a dozen contractors that specialize in underground shoring, foundations, and even house movers.

 

Two bid proposals were received and opened at a Public Bid Opening held on March 16, 2023, with the following results:

 

 

Rehak General Engineering

Comercial Solutions Group

Project Team Estimate

Base Bid – Wall

(Basis of Award)

$111,850

$119,275

$140,000

Additive #1 –

Parking Lot

65,000

67,064

56,400

Additive #2 –

Extended Wall Repair

52,800

63.573

74,600

Totals

$229,650

$249,912

$271,000

 

Both bid proposals were responsive. The low base bid of $111,850, submitted by Rehak General Engineering, was 6% below the other bid and 20% below the Project Team’s estimate.

 

Rehak General Engineering possesses both A, General Engineering, and B, General Building contractor's licenses. They are a family-owned and operated business since 2010. They specialize in earth retention systems, foundation repairs, drainage systems, and custom homes with a number of projects completed in the Monterey area. They had favorable references, and In the past few years repaired retaining walls for Napa County and performed a landslide repair for the City of San Carlos.

 

The work includes removing the existing redwood retaining wall; installing a helical pier system to temporarily shore the building; excavating and installing a permanent concrete foundation footing for the adjacent portion of the City Hall exterior wall; installing retaining wall drainage systems; backfilling and replacing the redwood planter retaining wall; replacing the light sconces and hand railings, and removing and replacing a limited section of asphalt parking lot and concrete sidewalk.

 

The bids included two additive tasks. The first additive would be to reconstruct the south parking lot after the wall is repaired. Staff believes that while the bid was competitive, we would likely save money if we repave the parking lot as part of an upcoming, annual paving project. Note that parking lots are not eligible for external TAMC funding. The second additive would be to extend the replacement of the redwood planter wall up along the ADA ramp to better match the planter wall to be reconstructed. Due to funding constraints, both additives are not recommended.

 

A 15% contingency is highly recommended. Underground structural work has inherent risks, especially with a historic building which cannot be damaged or put out of service. Should differing site conditions warrant an urgent field change, this contingency would be immediately available. Any funds remaining would be returned to the CIP fund balance.

 

Construction will take approximately three months from the Notice to Proceed. City Hall will remain open during construction, and access to the ADA ramp will be maintained. However, the Contractor may close off and utilize the south parking lot during the Project. Public Works staff will replant the planter box and restore the parking lot markings and signs.

FISCAL IMPACT:

Council appropriated $100,000 to this Project in CIP Account Number 301-311-00-43008. Total estimated expenses for this Project, including the cost for this construction contract, are listed below.

 

No.

Company

Services

Cost

1

Ausonio, Inc.

Project Management, and Construction Management

$55,000

2

Mayone Structural

Engineering &

Grice Engineering

Engineering, Design, and Construction Support

26,000

3

Rehak General Eng.

Retaining Wall Repair

111,850

4

Rehak General Eng.

2 Bid Additives –

Not Recommended

0

5

N/A

15% Construction Contingency

16,750

6

Miscellaneous

Advertising,

Materials Testing

4,000

 

 

Total

$213,600

  

 

A budget adjustment of $113,600 will be needed to complete the Project. As shown in the Resolution in Attachment #1, $113,600 would be transferred from General Fund End Balance Account 101-130-00-49009, to CIP Account Number 301-311-00-43008.

 

This Project demonstrates the need to provide a CIP Contingency Fund account to pay for carry-over and future capital improvement projects that have become more costly to execute due to inflation and other factors, as was presented at the March 21, 2023 Special Meeting for the first review of the Fiscal Year 2023/24 CIP.

PRIOR CITY COUNCIL ACTION:

In June 2022, Council adopted the CIP Budget for Fiscal Year 2022/23 which included $100,000 for the City Hall Retaining Wall Emergency Repair Project.

 

In August 2022, Council awarded a Professional Services Agreement to Ausonio, Inc. for Project Management Services for delivery of nine facility renovation projects, including this Project.

ATTACHMENTS:
ATTACHMENTS:
Description
Attachment 1) Resolution 2023-034