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Item # 23
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
July 19, 2022
TOPIC: Construction Funding and Construction Engineering Services
AGENDA TITLE
Approve Appropriation Adjustments and the Second Amendment to the Agreement with
Butier Engineering, Inc. to Increase the Agreement Amount by $376,000, for a Total
Amount not to Exceed $1,612,924, for Construction Engineering and Inspection Services
for the South Main Corridor Improvements Project (Project Nos. 17-9001, 20-6958, 21-
6461) (General Fund)
RECOMMENDED ACTION
1. Approve an appropriation adjustment to recognize $291,000 from prior year fund
balance in the Water Fund, Public Works Water Revenue, Prior Year Carryforward
and appropriate the same amount to the Acquisition & Construction, Water Utility
Capital Projects, Water Capital Project expenditure account. (Requires five affirmative
votes)
2. Approve an appropriation adjustment to re -appropriate FY 2021-22 general fund
monies in the amount of $1,000,000 in the Public Works Revenues, Prior Year Carry
Forward revenue account, and appropriate the same amount to the PWA Service
Enhancements, Improvements Other Than Building expenditure account for the South
Main Corridor Improvements Project (No. 17-9001). (Requires five affirmative votes)
3. Authorize budget reallocation of $130,144.72 in unspent HUTA 2103 Gas Tax funds
to the Main Street Rehabilitation from Warner Avenue to Edinger Avenue (Project No.
20-6958) from Gas Tax Local Street Improvements Project (No. 20-6956).
4. Authorize the City Manager to execute the second amendment to the agreement with
Butier Engineering, Inc., for construction engineering and inspection services, to
increase the agreement amount by $376,000, subject to non -substantive changes
approved by the City Manager and the City Attorney.
5. Approve an amendment to the Project Cost Analysis in the amount of $ 1,421,144.72
for $130,144.72 in additional contingency funds, $291,000 in additional contract
administration, inspection and testing, and $1,000,000 for public art related expenses.
The new estimated total construction delivery cost is $23,005,389.72, subject to non -
substantive changes approved by the City Manager and City Attorney.
South Main Corridor Appropriation Adjustments and Agreement Amendment
July 19, 2022
Page 2
6. Approve an amendment to the Fiscal Year 2022-23 Capital Improvement Program to
include $291,000 in construction funds for South Main Street Water Improvements
Project (Project No. 21-6461).
7. Approve an amendment to the Fiscal Year 2022-23 Capital Improvement Program to
include $130,144.72 in construction funds for Main Street Rehabilitation from Warner
Avenue to Edinger Avenue (Project No. 20-6958).
8. Approve an amendment to the Fiscal Year 2022-23 Capital Improvement Program to
include $1,000,000 in construction funds for South Main Street Corridor Improvement
(Project No. 17-9001).
DISCUSSION
On January 19, 2021, the City Council awarded a construction contract to C.S. Legacy
Construction for the South Main Street Corridor Improvements (Exhibit 1). The project's
scope of work includes monument signs, enhanced lighting, hardscaping, landscaping,
irrigation, traffic signals, signing, striping, street pavement rehabilitation, sewer main
replacement, and water main repair over a 2.5-mile stretch of Main Street from First Street
to Dyer Road.
On September 21, 2021, the City Council approved appropriation adjustments and
amendments to increase project contingencies and construction funding due to
unforeseen utility conflicts. As a result of the increased scope of work associated with
the utility issues, the project schedule has been extended by three months, requiring
additional construction engineering activity. Staff recommends adding $291,000 in Water
Utility Capital funding to cover increased construction engineering costs (Exhibit 2).
In addition, the construction team was able to take advantage of favorable unit pricing
and increase the amount of sidewalk, and curb and gutter replaced by the project. In
order to account for the additional improvements, $130,144.72 in Gas Tax funding will be
added to the project contingencies (Exhibit 2) through the reallocation of unspent project
funds from the FY 2019-20 Gas Tax Local Street Improvement Project (No. 20-6956).
In recent months, the desire for public art installations to reflect the history of South Main
Street has grown within the community. Therefore, the Public Works Agency is partnering
with the Community Development Agency and the Arts and Culture Commission to
integrate public art along the South Main Street Corridor. Art will range from inspiring
poems etched into the sidewalk, to art on cross walks, and artwork to be placed in bus
shelters.
The City of Santa Ana's Community Development Agency issued a Call for Public Art
Proposals to artists or art teams with connections or ties to Santa Ana for original designs
which will be embedded into the project along South Main Street between First Street and
Warner Avenue. On December 21, 2021, Council allocated $1,000,000 in General Fund
South Main Corridor Appropriation Adjustments and Agreement Amendment
July 19, 2022
Page 3
monies for PWA Service Enhancement (South Main Corridor Public Art) in the First
Quarter Budget Update. Staff recommends adding the $624,000 from the General Fund
allocation to the South Main Corridor Improvements Project (No. 17-9001). The
increased funding will allow for the implementation of the art, continued oversight and
consistency in delivering the project (Exhibit 2).
On January 19, 2021, the City Council also authorized the City Manager to execute an
agreement with Butier Engineering, Inc., to provide construction engineering services for
the South Main Corridor Improvement Project. On September 21, 2021, staff returned to
City Council to amend the agreement by increasing compensation by $300,000, due to
the increased project scope to address the utilities issues. Now, with the three-month
project extension and the added art scope, the funds approved in the first amendment will
not be sufficient to complete the project.
Staff requests approval of an amendment to the agreement with Butier Engineering, Inc.,
to increase the agreement amount by an additional $376,000, for a total of $1,612,924
for construction engineering services (Exhibit 3). This funding will come from the
remainder of the $1,000,000 General Fund allocation to the South Main Corridor
Improvements Project (No. 17-9001). The increased agreement capacity will allow for
continued oversight and consistency in delivering the project, including managing the art
initiative (Exhibit 4).
ENVIRONMENTAL IMPACT
In accordance with the California Environmental Quality Act, the recommended actions
are exempt from further review. Categorical Exemption Environmental Review Nos. ER-
2020-103, ER-2020-105, ER-2020-109, and ER-2020-110 were filed for the project.
FISCAL IMPACT
Approval of the requested Appropriation Adjustments will provide the following funding:
1. Recognize $291,000 from prior year fund balance in the Water Fund, Public Works
Water Revenue, Prior Year Carryforward revenue account (No. 06017002-50001) and
appropriate the same amount to the Acquisition & Construction, Water Utility Capital
Projects, Water Capital Project expenditure account (No. 06617647-66301).
2. Re -appropriate FY 2021-22 general fund monies in the amount of $1,000,000 in the
Public Works Revenues, Prior Year Carry Forward revenue account (No. 01117002-
50001) and appropriate the same amount to the PWA Service Enhancements,
Improvements Other Than Building expenditure account (No. 01117017-66220), for
the South Main Corridor Improvements Project (No. 17-9001).
Approval of the request to reallocate funds will provide funding in the amount of
$130,144.72 in unspent HUTA 2103 Gas Tax.
South Main Corridor
July 19, 2022
Page 4
Appropriation Adjustments and Agreement Amendment
All funds are available for expenditure in Fiscal Year 2022-23; however, any remaining
balances not expended at the end of the fiscal year will be carried forward into FY 2023-
24 for expenditure.
The following table summarizes the $1,421,144.72 that will be made available by this
Council action to fund the additional construction costs:
Fiscal
Accounting Unit —
Fund
Accounting Unit —
Y
Year
Account No.
Description
Account No.
Amount
project No.
Description
APPROPRIATION ADJUSTMENTS
Water Utility Capital
2022-23
06617647-66301
Water
Projects,
$291,000
( Proj. 21-6461)
Water Capital
Project
PWA Service
01117017-66220
Enhancement,
2022-23
(Proj. 17-9001)
General Fund
Improvements
$1,000,000
Other Than
Building
REALLOCATION OF FUNDS
Gas Tax HUTA
05917663-66220
Select Street
2103,
2022-23
(From Proj. 20-6956
Construction
Improvements
$130,144.72
To Proj. 20-6958)
Other
Than Building
Total:
$1,421,144.72
EXHIBIT(S)
1. Location Map
2. Amendments to Fiscal Year 2022-23 CIP
3. Amendment to Agreement with Butier Engineering
4. Revised Cost Analysis
Submitted By: Nabil Saba, P.E., Executive Director — Public Works Agency
Approved By: Kristine Ridge, City Manager
EXHIBIT 1
SANTA ANA
Project No. 17-9001,18-6911, 20-6958, 21-6451, 21-6461 &
Uarii 19-6940
PUBLICWO- South Main Street Corridor Improvements
PROJECT TITLE:
South Main Street Water Main
Improvements
PROJECT CATEGORY:
Utility/Drainage/Lighting
Improvements
Water Improvements
LOCATION MAP
N
CITY OF SANTA ANA FY22/23CIP
CAPITAL IMPROVEMENT PROJECT WORKSHEET
PROJECT DESCRIPTION:
This project will replace aging water distribution pipelines and
related appurtenances including fire hydrants and valves along
South Main St from 1st St to Warner Ave.
F
OJECT NEED:
lacement of obsolete water mains to ensure system reliability and
rotect water quality.
PROJECT COSTS FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28 FY 28/29
Construction 291,000 - - - - - -
TOTAL 291,000 - - - - - -
SOURCE OF FUNDS FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28 FY 28/29
WATER CAPITAL 291,000 - - - - - -
TOTAL 291,000 - - - -
AGENCY: DIVISION: CONTACT: DATE:
Public Works Water Resources Armando Fernandez, Senior Civil Engineer 21-Jun-2022
PROJECT TITLE:
Main Street Rehabilitation: Warner
to Edinger
PROJECT CATEGORY:
Street Improvements
Arterial Street Rehabilitation
LOCATION MAP
N
CITY OF SANTA ANA FY22/23CIP
CAPITAL IMPROVEMENT PROJECT WORKSHEET
PROJECT DESCRIPTION:
Reconstruction/resurfacing of existing pavement and
replacement/installation of missing or damaged, curbs, gutters,
sidewalks, driveway approaches, and wheelchair ramps within this
segment of roadway.
PROJECT NEED:
The City's Pavement Management Program (PMP) has been
developed to prioritize and recommend the most cost-effective roadway
repairs, and maximize the return from available funding for street
pavement. This segment of Main Street pavement rehabilitation is
identified as a high priority in the PMP.
PROJECT COSTS FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28 FY 28/29
Construction 130,145 - - - - - -
TOTAL 130,145 - - - - - -
SOURCE OF FUNDS FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28 FY 28/29
GAS TAX 130,145 - - - - - -
RMRA SB1 -
TOTAL 130,145 - - - - - -
AGENCY: DIVISION: CONTACT: DATE:
Public Works Design Engineering Jason Gabriel, Principal Civil Engineer 21-Jun-2022
PROJECT TITLE:
South Main Street Corridor
Improvements
PROJECT CATEGORY:
Arterial Improvements
Arterial Street Rehabilitation
LOCATION MAP A
N
n i k'
AGENCY:
Public Works
CITY OF SANTA ANA FY21/22CIP
CAPITAL IMPROVEMENT PROJECT WORKSHEET
PROJECT DESCRIPTION:
The proposed improvements throughout the entire corridor consists
of delineated parking spaces and tree planters, new bus shelters,
ADA curb ramps, Edwardian style street lighting, and pavement
rehabilitation.
PROJECT NEED:
The project contains a focus area in the North from 1st Street to
Chestnut Avenue and in the South from Stanford Street to St Andrew
Place. The two Focus areas improvements include sidewalk extensions
(`bulb -outs'), enhanced crosswalks, delineated parking spaces, street
trees and landscaping, concrete intersections, sidewalk furniture,
monument signage, and decorative string lighting. The project also
includes Sewer and Waterline improvements.
PROJECT COSTS FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28
Construction 1,500,000 - - - - - -
TOTAL 1,500,000 - - - - - -
SOURCE OF FUNDS FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28
GAS TAX 1,500,000 - - - - - -
TOTAL 1,500,000 - - - - -
DIVISION:
C/P Enaineerina
CONTACT: DATE:
Sean Thomas, Senior Civil Engineer 23-Aug-2021
SECOND AMENDMENT TO AGREEMENT TO PROVIDE CONSTRUCTON
ENGINEERING SERVICES FOR THE SOUTH MAIN CORRIDOR PROJECT
THIS SECOND AMENDMENT to the above -referenced agreement is entered into on July 19,
2022 by and between Butier Engineering, Inc. ("Contractor") and the City of Santa Ana, a charter
city and municipal corporation organized and existing under the Constitution and laws of the State
of California ("City").
RECITALS
A. The parties entered into Agreement No. A-2021-005, dated January 19, 2021, by which
Contractor agreed to provide construction engineering services for the South Main Corridor
Project for the City's Public Works Agency ("Agreement"). The Agreement runs through
January 18, 2024, with options to extend the Agreement for up to two (2) one (1) year
periods. The Agreement is current and in effect.
B. On September 21, 2021, the parties entered into a First Amendment to the Agreement (#A-
2021-186) to increase the overall compensation of the Agreement.
C. The parties now wish to further amend the Agreement to increase the compensation to pay
for services required for the duration of the Agreement, including any exercised extension
periods.
The Parties therefore agree:
1. Section 2, Compensation, subsection a, shall be amended to increase the compensation by
$376,000. The total sum to be expended under this Agreement, including any extension periods,
shall not exceed $1,612,924.
2. Except as modified by this Second Amendment, all terms and conditions of the Agreement, as
amended, shall remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment to the
Agreement the date and year first above written.
ATTEST:
CITY OF SANTA ANA
Daisy Gomez Kristine Ridge
Clerk of the Council City Manager
[signatures continue on the next page/
APPROVED AS TO FORM:
Sonia R. Carvalho
City Attorney
By: `J
Brandon Salvatierra
Deputy City Attorney
RECOMMENDED FOR APPROVAL
Nabil Saba
Executive Director
Public Works Agency
BUTIER ENGINEERING, INC.:
Name:
Title:
COST ANALYSIS
CONSTRUCTION OF PROJECT NOS. 17-9001, 18-6911, 20-6958, 21-6451, 21-6461, & 19-6940: SOUTH MAIN STREET CORRIDOR
IMPROVEMENTS
Current Cost Analysis
Amendment Amount
Updated Cost Analysis
Construction Contract
$ 12,759,695.00
$ 12,759,695.00
Contract Administration
$ 1,087,191.00
$ 291,000.00
$ 1,378,191.00
Inspection and Testing$
656,859.00
$ 656,859.00
Contingencies
$ 7,080,500.00
$ 130,144.72
$ 7,210,644.72
Public Art
$
$ 624,000.00
$ 624,000.00
Public Art Construction Management
$
$ 376,000.00
$ 376,000.00
TOTAL ESTIMATED CONSTRUCTION COSTS
$ 21,584,245.00
$ 1,421,144.72
$ 23,005,389.72