berths 145-147 wharf improvements - The Port of Los Angeles
berths 145-147 wharf improvements - The Port of Los Angeles
berths 145-147 wharf improvements - The Port of Los Angeles
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I A( y ,<br />
THE PORT<br />
OF LOS ANGELES<br />
Executive Director's<br />
Report to the<br />
Board <strong>of</strong> Harbor Commissioners<br />
DATE: SEPTEMBER 25,2008<br />
FROM:<br />
CONSTRUCTION DIVISION<br />
SUBJECT: RESOLUTION NO. - AWARD OF CONSTRUCTION CONTRACT<br />
CONTRACTOR: MANSON CONSTRUCTION COMPANY<br />
BERTHS <strong>145</strong>-<strong>147</strong> WHARF IMPROVEMENTS - TRAPAC TERMINAL<br />
SPECIFICATION NO. 2605<br />
SUMMARY:<br />
This contract will upgrade the <strong>wharf</strong> at Berths <strong>145</strong>-146 from 50 foot to 100 foot gauge<br />
crane rail and will replace the unserviceable timber <strong>wharf</strong> at Berth <strong>147</strong> with a new<br />
concrete <strong>wharf</strong> with 100 foot gauge crane rail as part <strong>of</strong> the TraPac Terminal<br />
development program. <strong>The</strong> new wharves will be equipped with Alternative Maritime<br />
Power (AMP) facilities. <strong>The</strong> adjacent <strong>wharf</strong> at Berth 144 and the Berths 136-139 <strong>wharf</strong><br />
will also be retr<strong>of</strong>itted with AMP facilities. <strong>The</strong> lowest responsive bidder is Manson<br />
Construction Company located in San Pedro, California. <strong>The</strong> contract amount plus a 5%<br />
contingency is $102,798,040, and the contract duration is 737 calendar days. This<br />
contract is subject to the conditions <strong>of</strong> a Project Labor Agreement (PLA).<br />
RECOMMENDATION:<br />
It is recommended that the Board <strong>of</strong> Harbor Commissioners:<br />
1. Find and determine that a PLA among the City <strong>of</strong> <strong>Los</strong> <strong>Angeles</strong> Harbor<br />
Department (Harbor Department), the <strong>Los</strong> <strong>Angeles</strong>/Orange Counties Building<br />
and Construction Trades Council, and contractors working on the project, is<br />
appropriate and shall be issued for the Berths <strong>145</strong>-<strong>147</strong> Wharf Improvements<br />
project, in that the PLA will promote Labor stability and advance the City's<br />
interest in lowest cost efficiency, quality, safety, and timeliness;<br />
2. Adopt Resolution No. to award the above-mentioned contract for<br />
Item Nos. 1 through 63 <strong>of</strong> the proposal schedule to Manson Construction<br />
Company in the amount <strong>of</strong> $97,902,892; that a 5% contingency not included in<br />
the original contract amount be applied for a total authorized amount <strong>of</strong><br />
$102,798,040; and that payment be authorized from the Construction Account.<br />
<strong>The</strong> contract time for performance <strong>of</strong> the work will be 737 calendar days from the<br />
Notice to Proceed;<br />
3. Authorize the Executive Director to execute and the Board Secretary to attest to<br />
this contract for and on behalf <strong>of</strong> the Board; and
DATE: SEPTEMBER 25,2008 PAGE 2 OF 5<br />
SUBJECT: RESOLUTION NO. - AWARD OF CONSTRUCTION CONTRACT<br />
CONTRACTOR: MANSON CONSTRUCTION COMPANY<br />
BERTHS <strong>145</strong>-<strong>147</strong> WHARF IMPROVEMENTS - TRAPAC TERMINAL<br />
SPECIFICATION NO. 2605<br />
4. In accordance with City Charter 655 (g), delegate and authorize the Executive<br />
Director to adjust final bid quantities and accept the construction contract upon its<br />
completion.<br />
DISCUSSION:<br />
1. <strong>The</strong> project consists <strong>of</strong> timber <strong>wharf</strong> and mooring dolphin demolition, concrete <strong>wharf</strong><br />
demolition, longshore toilet building demolition with lead and asbestos abatement,<br />
slope dredging, steel sheet pile installation, rock placement, landside grading,<br />
existing <strong>wharf</strong> modification including concrete pile driving and <strong>wharf</strong> deck<br />
construction, new concrete <strong>wharf</strong> construction, new longshore toilet building<br />
construction, AMP installation at Berth 144, Berths 136-139, and Berths <strong>145</strong>-<strong>147</strong>,<br />
concrete pile repair and replacement at Berth 143.<br />
2. This is the first major construction contract under the Clean Air Action Plan<br />
incorporating stringent air quality mitigation measures during construction required<br />
by the <strong>Port</strong>'s new Construction Emissions Policy adopted by the Board on February<br />
21, 2008, and the first major <strong>wharf</strong> construction project at the <strong>Port</strong> <strong>of</strong> <strong>Los</strong> <strong>Angeles</strong> in<br />
6 years.<br />
3. <strong>The</strong> Notice Inviting Bids was advertised February 19, 2008, on the <strong>Port</strong> <strong>of</strong> <strong>Los</strong><br />
<strong>Angeles</strong> Website, the Chinese Daily News, Eastside Journal, Dodge Construction<br />
"Green Sheet", Hoy, and the Metropolitan News Company.<br />
4. As authorized by the Executive Director on February 19, 2008, the Chief Harbor<br />
Engineer received five bids for the subject contract on August 14, 2008. Bids were<br />
received from Manson Construction Company, Dutra Construction Co., Inc., Traylor<br />
Pacific, General Construction Co., and FCI Constructors, Inc., in the amounts shown<br />
on the Analysis <strong>of</strong> Bids, attached as Transmittal NO.1. Manson Construction<br />
Company was determined to be the apparent low bidder at $97,902,892. A 5%<br />
contingency is allocated for this project for a total authorized amount <strong>of</strong><br />
$102,798,040. This 5% contingency was determined based on a qualitative review<br />
<strong>of</strong> project specific risks including schedule constraints and potential unforeseen<br />
conditions that may arise during construction.<br />
5. Construction staff has verified Manson Construction Company's state license and<br />
project references. In conformance with Section 10.8.4 <strong>of</strong> Ordinance No. 143429,<br />
certification is hereby made that Manson Construction Company has executed and<br />
filed an Affirmative Action Plan with their bid. A notification letter has been sent to<br />
the City Office <strong>of</strong> Contract Compliance as required in the ordinance.
DATE: SEPTEMBER 25,2008 PAGE 3 OF 5<br />
SUBJECT: RESOLUTION NO. - AWARD OF CONSTRUCTION CONTRACT<br />
CONTRACTOR: MANSON CONSTRUCTION COMPANY<br />
BERTHS <strong>145</strong>-<strong>147</strong> WHARF IMPROVEMENTS - TRAPAC TERMINAL<br />
SPECIFICATION NO. 2605<br />
6. This contract is consistent with State <strong>of</strong> California Prevailing Wage provisions.<br />
7. <strong>The</strong> purpose <strong>of</strong> a PLA for the referenced project is to promote efficiency <strong>of</strong><br />
construction operations , increase quality, and provide for orderly settlement <strong>of</strong> labor<br />
disputes and grievances without strikes or lockouts, thereby promoting the public<br />
interest in assuring the timely and economical completion <strong>of</strong> the project with no<br />
interruptions to ongoing terminal operations.<br />
8. Worker safety is a major concern while working within an operating terminal. <strong>The</strong><br />
work within the terminal is in localized areas surrounded by ongoing terminal<br />
operations. It is imperative to have well-trained workers who have experience<br />
working in this type <strong>of</strong> environment in order to reduce the risk <strong>of</strong> serious injury to<br />
both construction and terminal workers. <strong>The</strong> PLA will provide qualified, well-trained<br />
construction workers who have experience in performing work within an operating<br />
container terminal. This will reduce the risk <strong>of</strong> interference <strong>of</strong> terminal operations<br />
due to construction delays and the potential for worker injury.<br />
9. <strong>The</strong> PLA will also provide for the preferential recruitment and placement <strong>of</strong> local<br />
workers residing within the City <strong>of</strong> <strong>Los</strong> <strong>Angeles</strong> and surrounding areas near the <strong>Port</strong>.<br />
Additionally, this provides employment opportunities for disadvantaged workers<br />
identified as having a household income below 50% <strong>of</strong> the median, being homeless,<br />
receiving public assistance, or having a history <strong>of</strong> involvement with the criminal<br />
justice system. <strong>The</strong> PLA for this contract requires 30% local hires plus 10%<br />
disadvantaged workers .<br />
ENVIRONMENTAL ASSESSMENT:<br />
<strong>The</strong> proposed action is the award <strong>of</strong> a contract to Manson Construction Company to<br />
construct the Berths <strong>145</strong>-<strong>147</strong> Wharf Improvements Project. <strong>The</strong> <strong>wharf</strong> construction<br />
project was included in a larger terminal <strong>improvements</strong> project that was assessed under<br />
the Berths 136-<strong>147</strong> [TraPac] Container Terminal EIR (ADP: 030127-020) certified by the<br />
Board <strong>of</strong> Harbor Commissioners on December 6, 2007. As such, the Director <strong>of</strong><br />
Environmental Management has determined that the proposed action is exempt from<br />
the requirements <strong>of</strong> the California Environmental Quality Act (CEQA) under Article II,<br />
Section 2(i) <strong>of</strong> the <strong>Los</strong> <strong>Angeles</strong> City CEQA guidelines.
DATE: SEPTEMBER 25, 2008 PAGE 4 OF 5<br />
SUB..IECT: RESOLUTION NO. - AWARD OF CONSTRUCTION CONTRACT<br />
CONTRACTOR: MANSON CONSTRUCTION COMPANY<br />
BERTHS <strong>145</strong>-<strong>147</strong> WHARF IMPROVEMENTS - TRAPAC TERMINAL<br />
SPECIFICATION NO. 2605<br />
FINANCIAL IMPACT:<br />
Funds for these <strong>improvements</strong> have been budgeted in Fiscal Year 2008/2009 Capital<br />
Budget Account No. 54510, Center NO.1103, Program No. 000. It is anticipated that the<br />
funds for this contract will be expended as follows:<br />
Fiscal Year 2008/2009 $ 29,500,000<br />
Fiscal Year 2009/2010 $ 52,500,000<br />
Fiscal Year 2010/2011 $ 20,798,040<br />
Total $102,798,040<br />
Although the Contractor is not obligated to perform any work under the contract in any<br />
fiscal year in which no appropriation for the contract has been made, the Contractor<br />
agrees to resume performance <strong>of</strong> the work required by the contract on the same terms<br />
and conditions for a period <strong>of</strong> 60 days after the end <strong>of</strong> the fiscal year if an appropriation<br />
is approved within that 60-day period. <strong>The</strong> Contractor is responsible for maintaining all<br />
insurance and bonds during this 60-day period. <strong>The</strong> time for performance shall be<br />
extended during this period until the appropriation is made; however, such extension <strong>of</strong><br />
time is not compensable.<br />
If in any subsequent fiscal year funds are not appropriated for work required by the<br />
contract, the contract shall be terminated. However, such termination shall not relieve<br />
the parties <strong>of</strong> liability for any obligation previously incurred.<br />
ECONOMIC BENEFITS:<br />
Spending under this <strong>wharf</strong> rehabilitation contract is estimated to support the equivalent<br />
<strong>of</strong> 1,272 one-year full-time equivalent jobs in the five-county region.<br />
CITY ATTORNEY:<br />
<strong>The</strong> Office <strong>of</strong> the City Attorney reviewed and approved Specification No. 2605 as to<br />
form on March 10, 2008.
DATE: SEPTEMBER 25,2008 PAGE 5 OF 5<br />
SUBJECT: RESOLUTION NO. - AWARD OF CONSTRUCTION CONTRACT<br />
CONTRACTOR: MANSON CONSTRUCTION COMPANY<br />
BERTHS <strong>145</strong>-<strong>147</strong> WHARF IMPROVEMENTS - TRAPAC TERMINAL<br />
SPECIFICATION NO. 2605<br />
TRANSMITTALS:<br />
1. Analysis <strong>of</strong> Bids<br />
2. Contractor and Subcontractor List<br />
3. Site Map<br />
4. Five copies <strong>of</strong> Specification No. 2605<br />
SHAUN SHAH ESTANI<br />
Chief Harbor Engineer<br />
Construction Division<br />
MIO AEL R. CHRISTENSEN<br />
D puty Executive Director<br />
APPROVED:<br />
GERALDINE KNATZ, Ph.D.<br />
Exetutive Director<br />
/<br />
DLE:lh:lm<br />
2605801<br />
ADP NO: 020306-041