TITLE
Recommendation to adopt Plans and Specifications No. R-6636 for the Repair of Water Damage and ADA (Americans with Disabilities) Improvements at the Central Health Facility in the City of Long Beach, California, authorize City Manager to award the contract to Enviro-Tech Abatement Services in an estimated amount of $296,134 and execute all necessary documents related to the contract; and
Increase appropriation in the Insurance Fund (IS 390) in the Department of Health and Human Services (HE) $485,606 and in the Capital Projects Fund (CP) in the Department of Public Works (PW) by $176,184. (District 6)
DISCUSSION
On May 16, 2006, the City Council authorized the City Manager to execute an agreement with Enviro-Tech Abatement Services for an amount not to exceed $309,422 for emergency response abatement services at the Central Facilities Center (CFC), located at 1133 Rhea Street (Council letter attached). These services were required due to major water damage which occurred on the weekend of March 4-5, 2006, as a result of a broken water pipe. It is necessary to increase appropriations as the CFC now requires restoration to repair the damage to drywall and fixtures from the incident in addition to previously required renovation work to comply with the Americans with Disabilities Act (ADA). It is more efficient to proceed with both renovations at the same time to minimize closure of the CFC and to expedite reopening of the facility.
Following a competitive bidding process supervised by the Department of Public Works, it was determined that the low bid was submitted by Enviro-Tech Abatement Services for $176,184 for the restoration work, and for $119,950 for the ADA work, for a total bid of $296,134. New appropriation is being requested to allow the restoration work to proceed.
ADA funding is already budgeted for the ADA portion of the work in the Department of Public Works.
This matter was reviewed by Senior Deputy City Attorney Donna F. Gwin on June 5, 2006 and by Budget Management Officer David Wodynski on June 6, 2006.
TIMING CONSIDERATIONS
City Council action on this item is requested on June 13, 2006, as services at the Central Facilities Center cannot be provided to the community until the facility's reconstruction is completed.
FISCAL IMPACT
The contract award is for an estimated $296,134 plus a 15% contingency amount of $44,420, if necessary. The DHHS is expecting to be reimbursed from the City's master property insurance coverage for the water damage, subject to a $50,000 deductible. An appropriation increase is requested to accommodate these expenses in the Insurance Fund (IS 390) in the Department of Health and Human Services (HE) in the sum of $485,606 ($309,422 for the emergency abatement work and $176,184 for the water damage repair).
Because the project is being managed by Public Works, it is requested that the $176,184 be transferred to the Department of Public Works (PW) with a corresponding appropriation increase in the Capital Projects Fund (CP) in the Department of Public Works (PW).
Sufficient funds are budgeted in the Capital Projects Fund (CP) in the Department of Public Works (PW) for the ADA Portion of the project.
Upon receipt, revenue -from insurance reimbursement proceeds will be depositied back in the Insurance Fund.
SUGGESTED ACTION:
Approve recommendation.
Respectfully submitted,
RONALD R. ARIAS
DIRECTOR HEALTH AND HUMAN SERVICE
CHRISTINE F. ANDERSEN
DIRECTOR OF PUBLIC WORKS
APPROVED:
GERALD R. MILLER
CITY MANAGER