TITLE
Recommendation to adopt resolution authorizing City Manager to execute a construction contract and all related documents with Verizon California, Incorporated (Verizon), for the relocation of Verizon secondary demarcation points at the Long Beach marinas, in the amount of $750,000, plus an additional 10 percent contingency, if needed. (Districts 2,3)
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 (DBW). DBW 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 DBW marina rebuild loan applications
totaling $98,223,000. To date, these funds have been utilized to build Basin 8 in the
Alamitos Bay Marina (ABM), and are being used to refurbish the Shoreline Marina
(LBSM) and Rainbow Marina (RM). Of the $98,223,000 in loan requests, DBW has
approved $46,843,000, which includes $2,650,000 for Basin 8, and the remainder for
LBSM, RM, and to begin the rebuild of ABM.
As part of the rebuild of the marinas, it is necessary for Verizon to relocate network
access lines, called demarcation points, and secondary network access lines that are
necessary to meet the needs of the Marina, which are called secondary demarcation
points. In March 2005, working through the City's Technology Services Department,
Verizon provided an estimated cost of $300,000 to complete this work in LBSM and RM,
and an additional $450,000 to complete the work in ABM. In accordance with Verizon
and California Public Utilities Commission Decisions and Resolutions, which governs
the recovery from customers of actual costs of facilities provided, Verizon is required to
collect the full actual cost for this work. Using Verizon as a single source for the
services eliminates the problem of one vendor claiming they cannot fix a problem due to
the fault of another party.
The proposed agreement with Verizon will have the following terms and conditions:
Term: The term of the agreement will be from March 18, 2005 through
December 31, 2015.
Scope of Work: The work performed by Verizon will include all labor, parts, and
engineering costs necessary for the relocation of Verizon secondary
demarcation points in the marinas.
Compensation: The cost estimate provided by Verizon is $750,000 for ABM,
LBSM, and RM. In accordance with Verizon and California PUC D&R
regulations, the City must pay for the actual cost of the work. A contingency of
10 percent is requested in the event the cost exceeds the estimate.
Deputy City Attorney J. Charles Parkin prepared the attached Resolution on May 11,
2006, and Budget Management Officer David Wodynski reviewed this matter on April
21,2006.
TIMING CONSIDERATIONS
City Council action is requested on June 20, 2006, so work can continue on schedule
with the rebuilding of the marinas.
FISCAL IMPACT
DBW loan funds will be used to fund this contract. Sufficient funds to support this
activity are budgeted in the Tidelands Operating Fund (TF) in the Department of Parks,
Recreation and Marine (PR).
SUGGESTED ACTION
Approve recommendation.
BODY
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
LONG BEACH AUTHORIZING THE CITY MANAGER TO EXECUTE
AN AGREEMENT WITH VERIZON CALIFORNIA, INC. WITHOUT
ADVERTISING FOR BIDS FOR THE RELOCATION OF VERIZON
SECONDARY DEMARCATION POINTS AT THE LONG BEACH
MARNAS
Respectfully Submitted,
PHIL T. HESTER |
APPROVED: |
DIRECTOR OF PARKS, RECREATION AND MARINE |
|
|
|
|
GERALD R. MILLER |
|
CITY MANAGER |