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HomeMy WebLinkAboutHA35590A-D - Res HA-80 - One Quail PlaceRESOLUTION NO. HA-80 CONTRACT NO. HA35590A PALM DESERT HOUSING AUTHORITY STAFF REPORT REQUEST: ADOPT RESOLUTION NO.-80 OF THE PALM DESERT HOUSING AUTHORITY, DECLARING THAT DUE TO THE EVENT OF AN EMERGENCY, THE PUBLIC INTEREST AND NECESSITY DEMAND THE IMMEDIATE EXPENDITURE OF PUBLIC MONEY TO SAFEGUARD LIFE, HEALTH, OR PROPERTY IN THE ESTIMATED TOTAL NOT -TO -EXCEED AMOUNT OF $308,511.00 SUBMITTED BY: Jessica Gonzales, Senior Management Analyst - Housing CONTRACTOR: VINCOR Construction, Inc. 2707 Saturn Street Brea, CA 92821 DATE: July 28, 2016 CONTENTS: Palm Desert Housing Authority Resolution No. HA-80 VINCOR Construction, Inc. Proposal (dated July 21, 2016) Recommendation By Minute Motion, that the Housing Authority Board, 1) Waive further reading and adopt Resolution No. HA-80 of the Palm Desert Housing Authority declaring that due to the event of an emergency, the public interest and necessity demand the immediate expenditure of public money to safeguard life, health, or property in the estimated total not -to -exceed amount of $308,511.00; and 2) Authorize Emergency Contract No. HA 35590A with VINCOR Construction, Inc., in the amount not to exceed of $70,116.00, plus 10% contingency in the amount not to exceed $7,012.00 (for unforeseen changes) for re-routing plumbing at One Quail Place building No. 30 pursuant to Section 3.30.070 of the City of Palm Desert Municipal Code and VeriClaim File No. 16018820 and 16019410 approval; 3) Delegate the Interim Executive Manager to negotiate a contract agreement(s) with a contractor(s) to be determined for Building Nos. 19, 22 and 40 in the amount not to exceed $210,348.00 plus 10% contingency in the amount not to exceed $21,035.00 (for unforeseen changes), and to authorize any necessary emergency actions for the completion of the project including approval of funds for such repairs; 4) Authorize the Palm Desert Housing Authority's Legal Counsel to finalize a contract agreement with VINCOR Construction, Inc. and a contract agreement for Building Nos. 19, 22 and 40; 5) Authorize the Interim Executive Director to review and approve written requests for the use of the contingency amount of $7,012.00 for Building No. 30 and Staff Report Adopt Resolution NoHA-80 July 28, 2016 Page 2 of 4 and Approve Contract No. HA 35590A - VINCOR Construction, Inc. $21,035.00 for Building Nos. 19, 22, 40 for unforeseen changes; and 6) Authorize the Palm Desert Housing Authority Chairman and/or the Interim Executive Director to execute any contracts and any documents necessary to effectuate the actions taken herewith. Monies are available in the FY 2016/2017 Palm Desert Housing Authority's ("Authority") capital replacement budget. Housing Commission Recommendation The Housing Commission will receive the recommendation as informational at its regular meeting of September 14, 2016. Strategic Plan Obiective: This request does not apply to a specific strategic plan goal. Executive Summary In the past months, it was brought to staff's attention that there were different flooring issues including moisture and plumbing Teaks in units at four (4) buildings at One Quail Place. Staff submitted a claim to address the water intrusion to the Authority's insurance adjuster, VeriClaim. After further review of the issues, VeriClaim confirmed that in order to address the covered costs of the water intrusion repairs, that the Authority would need to repair at its own cost the interior pipes which involve rerouting the plumbing and abandoning the existing plumbing lines. VeriClaim has requested that the Authority take immediate action in order to prevent further property damage and so that repairs may occur during the period that the insurance will cover the costs of relocation as well as remediation and related construction repairs. Given these particular circumstances, the interests of the Authority and its residents will be best served by immediately contracting for this repair, without the additional time that would be needed to prepare plans and advertise bids. Therefore, staff recommends that the Authority Board authorize Emergency Contract No. HA 35590A with VINCOR Construction, Inc., in the amount not to exceed of $70,116.00, plus 10% contingency in the amount not to exceed $7,012.00 (for unforeseen changes) pursuant to Section 3.30.070 of the City of Palm Desert Municipal Code. Background After staff was made aware that there were different flooring issues including moisture and plumbing Teaks in units at four (4) buildings at One Quail Place, leak tests were performed of the sewer lines, main water service lines, irrigation, etc., the property manager, RPM, communicated that there was no sources of the water intrusion found and all tests results were within normal readings of the typical test being performed. Staff then contacted the Authority's insurance adjuster, VeriClaim to review policy coverage and assist in repairing the ongoing issues at the four (4) buildings. After further review, VeriClaim approved having an engineer assess the condition of the four (4) buildings at One Quail Place. It was then that staff was informed, although it has not been confirmed, that the engineer Staff Report Adopt Resolution No.-80 and Approve Contract No. HA 35590A - VINCOR Construction, Inc. July 28, 2016 Page 3 of 4 suggested that the source of the water intrusion may be the interior pipe lines of these units as they could have pin hole leaks creating moisture on the slab not allowing the flooring to adhere, discolor, etc. VeriClaim confirmed that in order to address the covered cost of the water intrusion, that the Authority had to repair at its own cost the interior pipes which involved rerouting the plumbing and abandoning the existing plumbing lines. Young and Associates Consulting, Inc. ("Young and Associates") was the recommended engineer to provide the specifications for this work by the insurance adjuster since Young and Associates was contracted by Vericlaim to complete the repair construction scope and is very familiar with the needed repairs for the buildings. On July 15, 2016 staff conducted a walk with Young and Associates in order to develop the specifications and the scope of work for each building. Having identified what is believed to be the source of water intrusion, staff recommends that the Authority Board authorize immediate action in order to prevent prolonged water intrusion in the units that may cause mold to develop or the spread of mold to other units and in order to avoid a recurrence in units that will be immediately remediated. Additionally, the insurance, who is paying the costs of remediation, has requested that the Authority take immediate action so that repairs may occur during the period that the insurance company is paying relocation costs. The Authority may need to incur additional relocation costs, or perform repair work in occupied units, if the repair work is not immediately commenced. Given these particular circumstances, staff recommends that the interests of the Authority and its residents will be best served by immediately contracting for this repair, without the additional time that would be needed to prepare plans and advertise bids. Young and Associates completed the specifications and scope of work for Building No. 30. Staff not knowing the cost, obtained a proposal from VINCOR Construction, Inc in the amount of $70,116.00 to perform the repair work for Building No. 30 only. Young and Associates has used that information to estimate the cost of the repair work to reroute the plumbing for the remaining buildings. The specifications will be the same; however the scope for each of the buildings will vary due to the connections of existing services (i.e., the boiler system servicing the buildings and the cold water shutoffs). Under the Palm Desert Municipal Code section 3.30.070, the Board may pass a resolution by four -fifths of its members declaring that the public interest and necessity demand the immediate expenditure of public money to safeguard life, health, or property. This procedure may be utilized in lieu of advertising for bids. Additionally, under State Law, a public agency may dispense with public bidding where public bidding is not in the public interest and would not provide an advantage under the circumstances. (See Graydon v. Pasadena Redevelopment Agency (1980) 104 Cal. App. 3d 631.) Staff is recommending approval and adoption of the attached resolution. The proposal provided by VINCOR Construction, Inc is $70,116.00 to perform the repair work for building No. 30 and has been used to estimate the cost of all repair work for all buildings to be $280,464.00. Staff is requesting authorization to spend up to this amount plus a contingency for unforeseen changes, for a total not -to -exceed amount of $308,511.00. Additionally, due to the immediate action needed for this repair, staff also recommends the Authority Board delegate to the Interim Executive Director to authorize any necessary emergency action for the completion of the project and approval of funds for such repairs including to the authorization to review and approve written requests from $28,047.00 for the use of the contingency for unforeseen changes. Staff Report Adopt Resolution No. July 28, 2016 Page 4 of 4 Fiscal Analysis 80 and Approve Contract No. HA 35590A - VINCOR Construction, Inc. The fiscal impact is the cost of the re-routing of plumbing for four (4) buildings at One Quail Place in the estimated total not -to -exceed amount of $308,511.00 which will be paid from the FY 2016/2017 Housing Authority's budget. Submitted by: Department Head: ca Gonzales enior Management Analyst Jak et Mre, Director of Housing Review: Stephen Ar n, Risk M : nager 14,1J',(43Y HOUS ON n7 •.a` . .0/ (.p VER FJED BY: Original or file with City C 'rk'S Office �}V 400/ i I< , jai al I annex; Lx) fir, d Sp%�S€f AMES Atm e Approval: McCarthy, Interim Execi tive Director 5-0 RESOLUTION NO. HA- 80 A RESOLUTION OF THE PALM DESERT HOUSING AUTHORITY DECLARING THAT DUE TO THE EVENT OF AN EMERGENCY, THE PUBLIC INTEREST AND NECESSITY DEMAND THE IMMEDIATE EXPENDITURE OF PUBLIC MONEY TO SAFEGUARD LIFE, HEALTH, OR PROPERTY WHEREAS, on or about February 10, 2016, the Palm Desert Housing Authority became aware of water intrusion issues at One Quail Place located at 72600 Fred Waring Drive, Palm Desert California; WHEREAS, after an investigation performed by the Authority's insurance contracted engineer, it was discovered that certain plumbing would need to be re-routed to avoid future problems; and WHEREAS, the Authority desires to immediately contract for the repairs. NOW, THEREFORE, THE PALM DESERT HOUSING AUTHORITY HEREBY FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS: 1. The Board finds that due to the event of an emergency, the public interest and necessity demand the immediate expenditure of public money to safeguard life, health, or property. 2. The Interim Executive Director is hereby authorized to immediately contract with VINCOR Construction, Inc., or another qualified firm to complete the re-routing of the plumbing at One Quail Place. 3. The total compensation under the contract shall not exceed $308,511.00. PASSED, APPROVED, and ADOPTED by the Palm Desert Housing Authority, this 28th day of July, 2016, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: ATTEST: RACHELLE D. KLASSEN, SECRETARY PALM DESERT HOUSING AUTHORITY ROBERT A. SPIEGEL, CHAIRMAN 1 P6402\0001\869149.6 G:\nouswG\Jessica Gonzales\HOUSING AUTHORITY\PROPERTIES\ONE QUAIL\Building 40, 30, 22, 19\Resolution Rerouting Plumbing VI doc VINC OR CONSTRUCTION INC. 2707 Saturn St. Brea, CA 92821 TEL 714-528-2900 FAX 714-528-2901 E-MAIL: john@vincorinc.com July 21, 2016 City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 Attn: Jessica Gonzales Re: 8 Unit Plumbing Repairs Scope of Work: General Conditions: 1. Provide regulated work area utilizing caution tape, delineators to demarcate the regulated construction work area. 2. Survey, layout and safe off area. 3. Provide plans showing new plumbing line route with existing As -Builds provided by others includes permit and plan check fees. Additional design, plans and engineering required by the City of Palm Desert will be additional cost. 4. Work to be performed in (3) Phases. 5. Dumpsters, clean-up, site supervision, equipment rentals as needed. Construction: 6. Saw cut and demo existing concrete slab in each unit to expose existing UG 1" cold and hot water line at (8) locations — (2)ea per unit x (4) Main POC. Concrete patching to be done by others. 7. Cap and abandon existing UG 1" line and other existing plumbing lines fed from existing in place. Excavate and backfill as required. 8. Re-route new hot and cold water in existing walls and ceilings to kitchen and bathrooms POC's with all required supports, hangers and fittings at (8) units. (6 units = 2 bathrooms ea + 1 kitchen ea) + (2 units = 1 bathroom ea + 1 kitchen) = (14 bathrooms and 8 kitchens). 9. Cut and remove existing wall and ceiling to run new plumbing line as needed. Wall and ceiling patching to be done by others. 10. Replace all tub and shower valves for (14) bathroom units being re -piped with Moen Single Lever Handle with Chrome Trim or approved equal. Actual fixture unit to be determined and not to exceed $200 per fixture unit. Clarifications: Any additional work due to unforeseen conditions will be treated as a supplemental to the work order. Excludes wall, floor and ceiling repairs, any finishes and new fixtures. All work to be executed as per Request for Proposal (RFP), Plumbing Re -pipe Services for Building 30 at One Quail Place dated 7/19/16. Prevailing wages apply including DIR Requirements. - COPPER TOTAL = $70,116.00 - PEX TOTAL = $63,384.00 Please call me with any questions or comments. Thank you