TITLE
Recommendation to authorize City Manager to award a contract to Manson Construction Company to provide dredging services at the Catalina Landing Marina in the estimated amount of $783,000 plus a
25 percent contingency amount of $195,750. (District 2)
DISCUSSION
City Council approval is requested to enter into a contract to provide dredging services at the Catalina Landing Marina (Marina). The City of Long Beach is the trust grantee for the State of California for this property located at 310-340 Golden Shore. The Abbey Company is the lessee of this property, and the marina associated with it. Catalina Express is the primary tenant for the marina and the major ferry service for visitors and residents of Catalina Island.
Since the marina and approach channel are located at the mouth of the Los Angeles River, they regularly fill with sediment, and need to be dredged to maintain the depth for safe operations of the Catalina Express ferries, and other commercial and recreational watercraft. The Army Corps of Engineers (ACOE) is responsible for maintaining the depth of the adjacent Los Angeles River channel, and recently completed maintenance dredging to ensure its navigation. Issues related to the City's responsibilities for dredging were disputed with the lessee, and the City Council approved the settlement on January 23, 2007, which contained the City's responsibility for maintaining the depth of the marina. The marina has not been dredged since 2000 and estimates are that 50,000 cubic yards of sediment, unsuitable for open-ocean disposal or beach renourishment, must be dredged to ensure the safe passage of vessels.
For the past two years, the Parks, Recreation and Marine Department (PRM), Harbor Department, and ACOE have been working cooperatively to plan the dredging of the marina. In addition to the ACOE work, the Harbor Department has a number of dredging projects, totaling over one million cubic yards of sediment that must be completed in support of the slip fill project at Pier G. To simplify, better manage, and potentially realize reduced construction and disposal costs, the PRM and Harbor Departments agreed to combine the sediment removal for all work components into a single project to be placed in the Pier G slip fill. Because of the scale and complexity of the projects, ACOE will bid, award and administer the project, with PRM coordinating for the City of Long Beach.
The ACOE advertised the project for bid on July 29, 2009, with a download link to the website for the Purchasing Division of the Department of Financial Management. The bid solicitation and selection was conducted by ACOE, consistent with Federal Business Opportunities (FBO) guidelines. Two bids were received and a public bid opening occurred on September 18, 2009. Manson Construction Company, of Seattle, Washington (not an MBE, WBE, SBE or local) was selected by ACOE as the lowest competitive bidder.
This item was reviewed by Deputy City Attorney Gary Anderson and Budget and Performance Management Bureau Manager David Wodynski on September 29, 2009.
TIMING CONSIDERATIONS
The use of Pier G as a disposal location for the marina's contaminated material is extremely time sensitive, due to the fixed construction schedule for the Pier G fill. The disposal of the dredged material from the marina are programmed and scheduled for May 2010, as part of the much larger Pier G slip fill project. Because of the nature of this material and the City's contractual obligation to dredge, if contract approval is delayed, it could result in having to dispose of this material in an upland disposal site, which would be a much more costly alternative.
FISCAL IMPACT
The cost of the City's contract with Manson Construction Company for the dredging of the Catalina Landing Marina is $783,000. The City will have the option of adding expenditures up to 25 percent (or $195,750) above the contract amount as a contingency and ACOE project administration costs. The ACOE, as overall manager of the dredging work, requested advanced payment by the City for its portion of project costs. Through an MOU with the City Manager's Office, the Harbor Department has agreed to provide payment to ACOE for the dredging projects within its existing appropriations. The City Manager will reimburse the Harbor Department upon completion of the dredging project using an existing Tidelands Fund reserve created for the Catalina Landing Marina project.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
PHIL HESTER
DIRECTOR OF PARKS, RECREATION & MARINE
NAME |
APPROVED: |
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PATRICK H. WEST |
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CITY MANAGER |