TITLE
Recommendation to authorize City Manager to execute a construction management contract with Concept Marine Associates (CMA), a Division of TranSystems Corporation, for the rebuild of the Alamitos Bay Marina, in the amount of $5,702,000. (District 3)
DISCUSSION
The City has embarked on a rebuild program for the City's marinas, utilizing loan funds
from the State Department of Boating and Waterways (DBAW). DBAW offers loan
funds for new and rebuilt marinas, with terms of 4.5 percent for 30 years. Over the past
several years, City Council has authorized DBAW marina rebuild loan applications
totaling $98,223,000. To date, these funds have been utilized to build Basin 8 in the
Alamitos Bay Marina, and are being used to refurbish the Long Beach Shoreline Marina,
and the Rainbow Marina. Of the $98 million in loan requests, DBAW has approved
$46,843,000, which includes $2,650,000 for Basin 8, $31,718,000 for Long Beach
Shoreline Marina and Rainbow Marina, and $12,475,000 to begin the rebuild of
Alamitos Bay Marina.
Using the same model employed for the rebuild of Long Beach Shoreline Marina and
the Rainbow Marina, the Department of Public Works and the Department of Parks,
Recreation and Marine determined that the most efficient means of commencing the
improvement project would be to employ a construction management firm. Using a
competitive Request for Proposal process, CMA was one of three firms that submitted a
proposal to be considered to manage the rebuild project. All three firms made formal
presentations to a Consultant Review Committee, which unanimously determined that
CMA was the top respondent. City Council approval is now requested to execute the
contract.
The proposed agreement with CMA will have the following terms and conditions: .
Term: The term of the agreement will be for eight years, commencing upon award
of the contract.
Scope of Work: The work performed by CMA will be divided into three phases: preconstruction,
construction and post construction. Pre-construction services will
include project management and development of the design-build bid package.
During the construction phase, CMA will provide general management and
engineering services including inspection. Following construction, CMA will be
responsible for completion of pertinent documents and drawings and for project
document storage.
Compensation: The cost of the contract will be $5,702,000. An additional $48.3
million in DBAW loan applications for the Alamitos Bay Marina rebuild have been
submitted. DBAW loan terms allow loan funds of 10 percent of the project costs to
be used for engineering and inspection services. The $12.5 million in DBAW loans
have already been approved, making $1.25 million available for this contract.
Therefore, DBAW loan funds, once fully approved, will be sufficient to fund this
contract. The contract will include a 30-day, no reason termination clause, so that
the contract can be terminated if DBAW funds, or alternative funding, are not
available to complete the project.
This matter was reviewed by Deputy City Attorney J. Charles Parkin on December 5,
2005, and Budget Management Officer David Wodynski on December 6,2005.
TIMING CONSIDERATIONS
City Council action is requested on December 20, 2005, so planning and related
engineering services for the Alamitos Bay Marina rebuild can begin.
FISCAL IMPACT
DBAW loan funds will be used to fund this contract. Loan applications for the Alamitos
Bay Marina rebuild total $63,855,000, of which $12,475,000 has been approved to date.
DBAW loan terms allow loan funds of 10 percent of the project costs to be used for
engineering and inspection services. As a result, DBAW loan funds, once fully
approved, will be sufficient to fund this contract. The contract will include a 30-day, no
reason termination clause, so that the contract can be terminated if DBAW funds, or
alternative funding, are not available to complete the project. Loan proceeds will be
deposited in the Tidelands Fund (TF) in the Department of Parks, Recreation and
Marine (PR). Tidelands revenues are sufficient to cover the on-going debt service costs
of the DBAW loan.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
PHIL T. HESTER
DIRECTOR OF PARKS, RECREATION AND MARINE