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1 TO Eugene D, Seroka, Executive Director Harbor Department FROM The Mayor TRANSMITTAL DATE APR COUNCIL FILE NO. COUNCIL DISTRICT 15 PROPOSED SECOND AMENDMENT TO PERSONAL SERVICE AGREEMENT NO WITH THE HDR ENGINEERING INC, FOR THE C STREET/l-110 ACCESS RAMP IMPROVEMENTS PROJECT ENGINEERING DESIGN SERVICES Transmitted for further processing and Council consideration. See the City Administrative Officer report attached. CAO 649-d
2 REPORT from OFFICE OF THE CITY ADMINISTRATIVE OFFICER Date: To: From: April 8, 2015 The Mayor Miguel A. Santana, City Administrative Officer CAO File No Council File No. Council District: 15 Reference: Subject: Correspondence from the Harbor Department dated February 27, 2015; referred by the Mayor for report on March 3, 2015 PROPOSED SECOND AMENDMENT TO PERSONAL SERVICE AGREEMENT NO. OS WITH THE HDR ENGINEERING INC, FOR THE C STREET/l-110 ACCESS RAMP IMPROVEMENTS PROJECT ENGINEERING DESIGN SERVICES SUMMARY The Harbor Department (Port) Board of Harbor Commissioners (Board) requests approval of Resolution No authorizing the proposed Second Amendment to Personal Service Agreement No (Agreement) with HDR Engineering, Inc. (HDR) to continue to provide environmental documentation and engineering design services for the C Street/l-110 Access Ramp Improvements Project (Project). The Project was developed to improve Port access from the Freeway by reconfiguring the C Street/l-110 Freeway s off ramp/on-ramp and combining two City of Los Angeles (City) street intersections into one at Figueroa Street and Harry Bridges Boulevard (See Attachment). The proposed Second Amendment will increase the contract amount by $400,000, extend the contract teem by 11 months, and revise the expiration date to June The above-referenced Resolution No , amending the Agreement, and this report, incorporate revised Information received from the Port subsequent to the initial request submittal. BACKGROUND In June 2008, the Board approved an Agreement with HDR for a contract term of three years in the amount of $3,712,200. The Agreement included provisions for a 15 percent Change Order Authority (contingency fee), which equated to an amount of $484,200. In November 2008, the Board approved a cooperative agreement between the Port and the State of California, Department of Transportation (Caltrans) for the preparation of the Project report and environmental documentation. The Project report included investigative studies, environmental clearance, and right-of-way engineering and acquisition services. The Port states that Caltrans is providing project oversight of the construction and the majority of the work will be located in the Caltrans right-of-way. In 2011, the Board and Council approved the First Amendment to the Agreement by increasing the contract amount by $500,000 and contract term by five years, to
3 CAO File No. PAGE July The revised total of the base compensation for HDR was $4,212,200 (C.F ). The First Amendment was to provide additional time for HDR to complete the project design and provide support sen/ices during construction. Pursuant to Executive Directive No. 4, the Mayor s Office waived this item and therefore no CAO report was attached. PROPOSED SECOND AMENDMENT The Port states that the HDR has completed the project design work and is currently providing project design support services during construction. The Project has been under construction for approximately one year and is scheduled to be completed in May The initial Project was divided into 10 scope of work Tasks. According to the Port, the proposed Second Amendment will focus on Task 9, Engineering (Design) Services during Construction, due to an increase in the original scope of work because of a need for the re-designing of retaining walls and relocating underground utilities (See Attachment II). As stated, the initial contract amount was $3,712,200 and the First Amendment increased the contract amount by $500,000, for a total revised, base contract amount of $4,212,200. In addition, the Port requested and received a voluntary five-percent discount in the amount of $35,922 on all invoices for services over a one-year period. The proposed Second Amendment will increase the contract amount by $400,000 and extend the contract term by 11 months. The proposed $400,000 compensation will be used only on an "as needed basis during the construction phase and close out of the Project. The proposed amended contract amount will be for a total of $4,576,278. Both the First and Second Amendments, Change Order Authority amount, and five-percent discount are as follows: The proposed 11 month contract extension will allow HDR to continue providing design services through the construction period and maintain a single professional engineering entity which has experience with the Project. The contract extension will off-set a six-month delay in starting construction due to additional time needed by the City and Caltrans to obtain permits and coordinate the construction dates so as not to conflict with other nearby projects. The Port states that the proposed Amendment will support six one-year equivalent jobs for the five-county region.
4 CAO File No. PAGE The City Attorney has reviewed and approved the proposed Amendment as to form. The original Agreement and proposed Amendment are in compliance with applicable provisions of City Ordinances and contracting requirements. The proposed Agreement is subject to the Living Wage, Services Workers Retention, Equal Benefits, Affirmative Action and Minority, Women and Other Business Enterprises compliance. The Port states that HDR will continue to maintain a 25 percent Small Business Enterprise participation. According to the Port, it prepared a Charter Section 1022 determination as part of the original Agreement and concluded that the work could be performed more economically and feasibly by the independent contractor instead of City employees because of the expertise required and the specialized nature and limited duration of the work. The Port Director of Environmental Management has determined that the original and proposed Amendments are an administrative action that is exempt from the requirements of the California Environmental Quality Act (CEQA) In accordance with Article II, Section 2(f), of the Los Angeles City CEQA Guidelines. RECOMMENDATION That the Mayor: 1, Approve Harbor Department (Port) Board of Harbor Commissioners Resolution No authorizing the proposed Second Amendment to Personal Service Agreement No with HDR Engineering, Inc. (HDR) to continue to provide environmental documentation and engineering design services for the "C Street/l-110 Access Ramp Improvements and increase the maximum contract amount by $400,000 to $4,576,278, increase the contract term by 11 months, for a revised expiration date of June 2017, and 2. Return the document to the Port for further processing, including Council consideration. FISCAL IMPACT STATEMENT Approval of the proposed Second Amendment to Harbor Department (Port) Agreement with HDR Engineering, Inc. (HDR) will increase the contract term by 11 months to June 2017 and the contract amount by $400,000, for a revised total contract amount of $4,576,278. The original three-year Agreement with HDR was in the amount of $3,712,200. In 2008, the Harbor Board approved a cooperative agreement between the Port and the State of California, Department of Transportation (Caltrans) to prepare an environmental documentation and engineering design services report for the oversight of the construction and environmental clearances for the C" Street/l-110 Access Ramp Improvements Project (Project). In 2011, the First Amendment increased the contract term by an additional five years, to July 2016, and contract amount by $500,000, for a revised compensation total of $4,212,200. The Port requested and received a voluntary five-percent discount in the amount of $35,922 on all invoices for services over a oneyear period. The proposed amended contract will be for a revised total amount of $4,576,278. There is no impact on the City General Fund and funding for the proposed Amendment has been included in the Harbor Revenue Fund. Any future funding for the Agreement will be requested as part of the Port s annual budget process.
5 CAO File No. PAGE TIME LIMIT FOR COUNCIL ACTION Pursuant to Charter Section 373, "Long Term Contracts Approved by Council, the proposed Agreements must be approved by the Council before they become effective. Unless the Council takes action by disapproving a contract that is longer than three years within 60 days and submission to Council, the contract will be deemed approved. MAS:ABN: Attachments
6 ATTACHMENT H
7 ATTACHMENT II C Street/M 10 Access Ramp Improvements Method of Compensation Exhibit D-2 TASK 1 PROJECT MANAGEMENT AND COORDINATION CamptflSo ffo ft /or v/wk perform* d undtt this Totk wffl br poki under TiM ft J 2-10 N/A TASK 2 GEOTECHNICAL ENGINEERING SERVICES A Lump Sum $235, TASK 3 PROJECT APPROVAL/ ENVIRONMENTAL DOCUMENTS IPA/ED1 PHASE Lump Sum $601, TASK 4 PRELIMINARY DESIGN PHASE <35% DESIGN PLANS1 Lump Sum $730,687,00 f i ' TASKS Lump Sum SIXTY-FfVE PERCENT CONSTRUCTION DOCS <66% DESIGN) $802, TASK 6 FINAL DESIGN DOCUMENTS <95% DESIGN) Lump Sum $434, l TASK 7 SIGNATURE SUBMITTA). Lump Sum $183, 't TASKS Lump Sum BIDDING PHASE $37, TASKS Nat to Exceed (Time and Material) DESIGN SERVICES DURING CONSTRUCTION $528, TASK 10 Not to Exceed AS NEEDED ENGINEERING SERVICES 5703, Total: $4,126,000.00
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