AWARD CONTRACT FOR CONSTRUCTION MANAGEMENT SUPPORT

Transcription

1 . ' Metra Los Angeks County One Gateway Plaza zi3.gzz.zooo Tel Metropolitan Tnnsportation Authority Los Angeles, CA rnetro.net CON5 CONSTRUCTION COMMITTEE APRIL 21,201 1 SUBJECT: BUS FACILITIES CAPITAL PROJECTS ACTION: AWARD CONTRACT FOR CONSTRUCTION MAGEMENT SUPPORT RECOMMENDATIONS A. Authorize the Chief Executive Officer to negotiate and award a 3 year time and material contract under RFP No. PS with MARRS Services, Inc. the highest qualified proposer for Construction Management Services for Bus Facilities Capital Projects, for an amount not to exceed $2,500,000 inclusive of two I year options. B. Authorize the Chief Executive Officer to execute individual Task Orders within the Board approved authority. C. Should the CEO be unable to negotiate a satisfactory contract at fair and reasonable prices with the highest qualified proposer, authorize the CEO to negotiate with the next most highly qualified firm, until a satisfactory contract can be negotiated. On February 1, 2010, the Board adopted the Metro Acquisition Policy Statement which includes changes to the levels and types of authority delegated to the CEO to approve and award specified contract actions. Per the Metro Acquisition Policy, awards to the other than the lowest, responsive, responsible bidder under sealed bid procedures over $500,000 require Board approval.

2 DISCUSSION On November 24, 2010, requests for proposals were issued for Construction Management Consultant (CMC) services to assist Metro in managing the construction of Bus Facilities Capital Projects. The CMC Contract is a time and material contract for a term of 3 years with two, oneyear options. All rates will be negotiated prior to award and be fully burdened for year one through three. Rates for the option years will be negotiated prior to the end of the base contract period. The primary role of the CMC is to provide highly skilled and qualified individuals to assist Metro as part of the Construction Management and administration of construction contracts. The CMC staff will be part of a fully integrated Construction Management team working with Metro in the project and field offices. The CMC Contract is funded on a Task Order basis, involving a separate Task Order budget for the CMC needs for each of the Bus Facilities Capital Projects. The Task Order separates the funding into manageable parts that allow for efficient cost control and budget management by Metro. The Task Order will be issued for a not-to-exceed amount utilizing the hourly rates set forth in the Contract. We can request specific tasks to be performed within each Task Order, provided that the estimated cost is within the total contract authorized funding limit. We estimate that the Construction Management Support Services for the Bus Facilities Capital Projects will be required starting the summer of FINCIAL IMPACT The funding of $2,500,000 for this contract is included in the FYI I and FYI2 budgets in cost center 851 0, Construction Procurement, under various Bus Facility Capital project numbers. Task Orders under this contract will be funded within the life of project (LOP) budgets for each individual capital project. As such, approval of this action will not increase the LOP budgets of any individual capital projects. Since this is a multi-year contract, the cost center manager and Executive Director of Transit Project Delivery will be accountable for budgeting the contract cost in future years, including any options exercised. CMSSC Bus 2641 Capital Projects

3 lm~act to Budget The current funding for this action will come from various approved Bus Facility Capital Project budgets, which are funded by various sources including Federal 5307, TDA 4, Proposition A, or Proposition C. The funds have been specifically set aside for these uses as part of the Capital Program. Approval of this action will not impact the bus and rail operating budget. ALTERTIVES CONSIDERED The Board may reject the recommendation. We do not recommend this alternative, as rejection will require an extensive hiring effort to provide additional permanent staff to fill the required construction management positions. This would not be cost effective and could cause delays, since many of the CMC resources are only required on a periodic basis for peak workloads and specific tasks over the life of the project. After Board approval of this CM Contract, the Contracting Officer will negotiate and award the contract in accordance with Metro Procurement Policies and Procedures. A. Procurement Summary B. FundingIExpenditure Plan Prepared By: Henry Fuks, Deputy Executive Officer, Project Management Tim Lindholm, Director of Capital Projects CMSSC Bus 2641 Capital Projects

4 \ I Krishniah td. Murthy Executive Director, Transit Project Delivery Arthur T. Leahy Chief Executive Officer I 1 V CMSSC Bus 2641 Capital Projects

5 ATTACHMENT A PROCUREMENT SUMMARY (PS ) CONSTRUCTION MAGEMENT SUPPORT SERVICES FOR BUS CAPITAL PROJECTS ~ Contract Number: PS-I Recommended Vendor: MARRS Services, Inc. T Non-Competitive Modification Task Order Procurement Dates: A. Issued: November 24,2010 B. AdvertisedIPublicized: November 19,2010 C. Pre-proposal1Pre-Bid Conference: December 20, 2010 D. ProposalslBids Due: January 11,2011 E. Pre-Qualification Completed: March 17,2011 F. Conflict of Interest Form Submitted to Ethics: March 18, 2011 G. Protest Period End Date: April 26, 2011 H. Small Business Commitment: 80% DALP Solicitations Picked BidslProposals Received: 12 up1downloaded: Contract Administrator: B. Mahaffey Project Manager: J. Gleig Telephone Number: (2 13) Telephone Number: (2 1 3) A. Procurement Background A Request for Proposals was issued on November 24,2010, to identify the most highly qualified contractor to furnish labor, materials, and other related items required for the performance of Construction Management Services on Metro Bus Facilities Capital Projects on a Time and Materials basis. The Contractor may be called on to furnish a full range of construction management services or to provide individual staff members to augment Metro staff. Work will be assigned as needed on a task order basis. The Contract will be for a term of 3 years, with 2 one-year options. Funding is contingent on fiscal year availability. CMSSC Bus 2641 Capital Projects

6 Government Code 4525 et seq requires the selection of construction management contractors to be performed on the basis of professional qualifications. Price is not a factor in source selection. B. Background on Recommended Contractor MARRS Services, Inc. has 15 years track record of providing successful projects and construction management (CM) services for Metro, as well as other municipal and infrastructure projects. MARRS Los Angeles office will be the primary performing office for CM services for the Metro Bus Facilities projects. C. Evaluation of Pro~osalsIBids MARRS Services, Inc.was determined to be the most qualified proposer based upon the Evaluation Team's review of all submitted proposals. The procurement is in compliance with Metro Acquisition Policies and Procedures, and California Government Code section 4525 et seq. The factors against which the proposals were evaluated were identified in the solicitation: o Experience with similar kinds of work. o Quality of Staff for the work to be done. o Understanding of the work. The Evaluation Team reviewed the contents of each proposal against the factors and subfactors and provided a rating of each proposal based on the maximum points allowed in each category; the proposals were ranked in descending order. Price is not a factor in the evaluation. See Attachment A-I for a complete list of proposers in alphabetical order. D. CostlPrice Analvsis Explanation of Variances Procurement staff will negotiate reasonable labor rates for each category of staff required by the statement of work, based on a thorough analysis of the rates proposed. The analysis includes, among other things, a comparison with similar firms offering the same services, a detailed analysis of rates and factors that will comprise the labor hour billing rates, and compliance with applicable accounting principles. If reasonable rates cannot be negotiated with the most highly qualified firm, negotiations will proceed, in order, to the next most qualified firm(s) until reasonable rates can be achieved. The pricing for each Task Order will be determined by applying the fixed negotiated labor rates plus the fee factor to the estimated number of labor hours required for the CMSSC Bus 2641 Capital Projects

7 task to establish either a lump sum price or a Not-To-Exceed amount for each Task Order. BidIProposal Amount $ $ Staff Estimate RecommendedINegotiated Amount $ E. Small Business Participation The Diversity and Economic Opportunity Department (DEOD) recommended a Disadvantaged Business Enterprise Anticipated Level of Participation (DALP) of 40% for this Time and Material task order procurement. MARRS Services, Inc. (DBE Prime) made a 80% DALP commitment. DEOD will monitor the proposers' DBE commitments based on the cumulative value of each task order issued. Small Business _ Goal 40% DALP Small Business Commitment 80% DALP Subcontractor(s ) MARRS Services, Inc. (Prime) Safework, Inc. Simplex Construction Management Ramos Consulting Services % Committed 74% 2% 2% 2% Total Commitment 80% CMSSC Bus 2641 Capital Projects

8 ATTACHMENT A-I LIST OF PROPOSERS BidderIProposer Name BidlProposal Amount Best and Final Offer Amount Note those that were disqualified as explained above: 1 BRJ& Associates, LLC - DBE 2 Axiom Corporation 3 Global Business Solutions, Inc. 4 Integrated Engineering Management - DBE 5 Jacobs 6 Keller CMS, Inc. 7 MARRS Services, Inc. 8 Owen Design Management 9 Vanir Construction Management, lnc. 10 Vanir Construction Management, Inc. 11 Yang Management, Inc. CMSSC Bus 2641 Capital Projects

9 ATTACHMENT B Attachment B: Funding 1 Expenditure Plan Construction Management Support Services for Bus Capital Projects Capital Project Division 3 Master Plan Phases Il-IV (CP202260) Bus Facility Deferred Maintenance Program (CP202306) Various Capital Projects (FY 13 and FY 1 4) FYI 1 $25,000 $25,000 $0 FYI 2 $500,000 $300,000 $0 FYI 3 $200,000 $500,000 $500,000 FYI4 $25,000 $1 75,000 $250,000 $750,000 $1,000,000 $750,000 % of Total 30% 40% 30% Cost: $50,000 $800,000 $1,200,000 $450,000 $2,500, % Sources of Funds Various (e.g. TDA4, Prop C, Federal 5307) $50,000 $800,000 $1,200,000 $450,000 $2,500, % CMSSC Bus 2641 Capital Projects

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11 Metro Los Angeles County One Gateway Plaza 213.gz2.zooo Tel Metropolitan Transportation Authority Los Angeles, CA gooiz-2952 rnetro.net CON6 CONSTRUCTION COMMITTEE APRIL 21,201 1 SUBJECT: ACTION: RAIL FACILITIES CAPITAL PROJECTS AWARD CONTRACT FOR CONSTRUCTION MAGEMENT SUPPORT A. Authorize the Chief Executive Officer to negotiate and award a 3 year time and material contract under RFP No. PS with J.L. Patterson & Associates, Inc. the highest qualified proposer for Construction Management Services for Rail Facilities Capital Projects, for an amount not to exceed $2,500,000 inclusive of two 1 year options. B. Authorize the Chief Executive Officer to execute individual Task Orders within the Board approved authority. C. Should the CEO be unable to negotiate a satisfactory contract at fair and reasonable prices with the highest qualified proposer authorize the CEO to negotiate with the next most highly qualified firm, until a satisfactory contract can be negotiated. On February 1, 201 0, the Board adopted the Metro Acquisition Policy Statement which includes changes to the levels and types of authority delegated to the CEO to approve and award specified contract actions. Per the Metro Acquisition Policy, awards to the other than the lowest, responsive, responsible bidder under sealed bid procedures over $500,000 require Board approval.

12 DISCUSSION On November 24, 201 0, requests for proposals were issued for Construction Management Consultant (CMC) services to assist Metro in managing the construction of Rail Facilities Capital Projects. The CMC Contract is a time and material contract for a term of 3 years with two, one year options. All rates will be negotiated prior to award and be fully burdened for year one through three. Rates for the option years will be negotiated prior to the end of the base contract period. The primary role of the CMC is to provide highly skilled and qualified individuals to assist Metro as part of the Construction Management and administration of construction contracts. The CMC staff will be part of a fully integrated Construction Management team working with Metro in the project and field offices. The CMC Contract is funded on a Task Order basis, involving a separate Task Order budget for the CMC needs for each of the smaller Rail Facilities Capital Projects. The Task Order separates the funding into manageable parts that allow for efficient cost control and budget management by Metro. The Task Order will be issued for a not-toexceed amount utilizing the hourly rates set forth in the Contract. We can request specific tasks to be performed within each Task Order, provided that the estimated cost is within the total contract authorized funding limit. We estimate that the Construction Management Support Services for the Rail Facilities Capital Projects will be required starting the summer of FINCIAL IMPACT The funding of $2,500,000 for this contract is included in the FYI I and FYI2 proposed 5 year Capital Program in Cost Center 8510, Construction Procurement, under various Rail Facilities Capital project numbers which are shown in Attachment B. Task orders under this contract will be funded within the life of project (LOP) budgets for each individual capital project. As such, approval of this action will not increase the LOP budgets of any individual capital projects. Since this is a multi-year contract, the Cost Center Manager and Executive Director of Transit Project Delivery will be accountable for budgeting the contract cost in future years, including any options exercised. Impact to Budaet The current funding for this action will come from various approved Rail Facilities Capital Project budgets, which are funded by various sources including Federal 5307, Construction Management Support Services Contract No

13 TDA 4, Proposition A and Proposition C and Pasadena Gold Line Insurance Settlement. The funds have been specifically set aside for these uses as part of the Rail Facilities Capital program. Approval of this action will not impact the bus and rail operating budget. ALTERTIVES CONSIDERED The Board may reject the recommendation. We do not recommend this alternative, as rejection will require an extensive hiring effort to provide additional permanent staff to fill the required construction management positions. This would not be cost effective and could cause delays, since many of the CMC resources are only required on a periodic basis for peak workloads and specific tasks over the life of the project. NEXT STEPS After Board approval of this CM Contract the Contracting Officer will negotiate and award the contract in accordance with Metro Procurement Policies and Procedures. ATTACHMENTS A. Procurement Summary 6. FundingIExpenditure Plan Prepared By: Henry Fuks, Deputy Executive Officer, Project Management Construction Management Support Services Contract No

14 ~rishniahw. Murthy Executive Director, Transit Project Delivery Arthur T. Leahy Chief Executive Officer Construction Management Support Services Contract No

15 ATTACHMENT A PROCUREMENT SUMMARY (PS ) CONSTRUCTION MAGEMENT SUPPORT SERVICES FOR RAIL CAPITAL PROJECTS Contract Number: PS Recommended Vendor: J. L. Patterson & Associates, Inc. Type of Procurement (check one) : IFB RFP [XI RFP - A&E [7 Non-Competitive Modification Task Order Procurement Dates: A. Issued: November 24,2010 B. AdvertisedIPu blicized: November 19, 2010 C. Pre-proposal1Pre-Bid Conference: December 22, 2010 D. ProposalsIBids Due: January 12,2011 E. Pre-Qualification Completed: March 17, 2011 F. Conflict of Interest Form Submitted to Ethics: March 18, 2011 G. Protest Period End Date: April 26, 2011 H. Small Business Commitment: 45% Solicitations Picked BidsIProposals Received: 7 upidownloaded: Contract Administrator: B. Mahaffey Project Manager:. J. Gleig Telephone Number: (21 3) Telephone Number: (21 3) A. Procurement Backaround A Request for Proposals was issued on November 24,201 0, to identify the most highly qualified contractor to furnish labor, materials, and other related items required for the performance of Construction Management Services on Metro Rail Facilities Capital Projects on a Time and Materials basis. The Contractor may be called on to furnish a full range of construction management services or to provide individual staff members to augment Metro staff. Work will be assigned as needed on a task order basis. The Contract will be for a term of 3 years, with 2 one-year options. Funding is contingent on fiscal year availability. Government Code 4525 et seq requires the selection of construction management contractors to be performed on the basis of professional qualifications. Price is not a factor in source selection. Construction Management Support Services Contract No

16 B. Backaround on Recommended Contractor J. L. Patterson & Associates, Inc. (JLP) located at 725 Town and Country Road, #300, Orange, CA has been providing construction management services for over 20 years, and has experience with the original construction of the Metro Blue Line and continuing with the Metrolink Commuter Rail System, as well as the Metro Red Line. JLP is well versed in Metro's meticulous requirements in managing construction of rail projects. C. Evaluation of ProposalsIBids JLP was determined to be the most qualified proposer based upon the Evaluation Team's review of all submitted proposals. The procurement is in compliance with Metro Acquisition Policies and Procedures, and California Government Code section 4525 et seq. The factors against which the proposals were evaluated were identified in the solicitation: o Experience with similar kinds of work. o Quality of Staff for the work to be done. o Understanding of the work. The Evaluation Team reviewed the contents of each proposal against the factors and subfactors and provided a rating of each proposal based on the maximum points allowed in each category; the proposals were ranked in descending order. Price is not a factor in the evaluation. See Attachment A-I for a complete list of proposers in alphabetical order. D. CostlPrice Analvsis Explanation of Variances Procurement staff will negotiate reasonable labor rates for each category of staff required by the statement of work, based on a thorough analysis of the rates proposed. The analysis includes, among other things, a comparison with similar firms offering the same services, a detailed analysis of rates and factors that will comprise the labor hour billing rates, and compliance with applicable accounting principles. If reasonable rates cannot be negotiated with the most highly qualified firm, negotiations will proceed, in order, to the next most qualified firm(s) until reasonable rates can be achieved. The pricing for each Task Order will be determined by applying the fixed negotiated labor rates plus the fee factor to the estimated number of labor hours required for the task to establish either a lump sum price or a Not-To-Exceed amount for each Task Order. Construction Management Support Services Contract No

17 BidIProposal Amount $ $ Staff Estimate RecommendedINegotiated Amount $ E. Small Business Participation (Completed by DEOD) The Diversity and Economic Opportunity Department (DEOD) recommended a Disadvantaged Business Enterprise Anticipated Level of Participation (DALP) of 40% for this Time and Material task order procurement. JL Patterson & Associates, Inc. made a 40% DALP commitment. DEOD will monitor the proposers' DBE commitments based on the cumulative value of each task order issued. Small Business Goal 40% DALP Small Business Commitment 40% DALP Su bcontractor(s ) Kal Krishnan Consulting Services, Inc. Safework, Inc. MARRS Services, Inc. % Committed 14% 12% 14% Total Commitment 40% Construction Management Support Services Contract No

18 ATTACHMENT A-I LIST OF PROPOSERS BidderIProposer Name BidIProposal Amount Best and Final Offer Amount Note those that were disqualified as explained above: 1 Anil Verma Associates, Inc. 2 Berg & Associates, Inc. 3 Global Business Solutions, Inc. 4 Hill International 5 Owen Design Management 6 J. L. Patterson & Associates, Inc. 7 Yang Management, Inc. Construction Management Support Services Contract No

19 ATTACHMENT B Attachment B: Funding 1 Expenditure Plan Construction Management Support Services for Rail Capital Projects Capital Project FY 11 FY 12 FY 13 FY 14 TOTAL % of Total EscalatorIElevator Modernization Program (CP ) Vertical Systems Modernization Program - Elevator Installations (MRL - MBL) (CP ) 191, ,500 51, , ,900 51, , ,950 18% 21% MRL Stations Entrance Canopies (CP ) 23, ,150 64, ,550 14% Pasadena Gold Line Deficiencies (CP ) 9, , , ,850 20% 199, , ,750 28% Total Contract Cost: 708, ,350 2,500, % Source of Funds Various (e.g. Federal 5307, Prop A and C, PGL insurance settlement) 32,900 1,396, , ,350 2,500, % Construction Management Support Services Contract No