Loading...
HomeMy WebLinkAboutRES 23-7400 (JILK CONSTRUCTION)Page 1 of 2 RES NO. 23-7400 CITY OF HERMOSA BEACH RESOLUTION NO. 23-7400 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA, APPROVING THE FIRST AMENDMENT TO THE JILK HEAVY CONSTRUCTION, INC. CONSTRUCTION CONTRACT FOR CIP 629 MUNICIPAL PIER STRUCTURAL REPAIRS AND CIP 660 MUNICIPAL PIER ELECTRICAL REPAIRS FOR AN ADDITIONAL NOT-TO-EXCEED CONTRACT AMOUNT OF $268,511 WHEREAS, On February 27, 2023, the City Council awarded a construction contract to Jilk Heavy Construction, Inc. (Jilk) for Capital Improvement Program (CIP) Project 629 Municipal Pier Structural Repairs and CIP 660 Municipal Pier Electrical Repairs in the amount of $2,243,263 plus a 25 percent contingency in the amount of $560,815. WHEREAS, During the construction phase of the CIP, Jilk identified a fractured concrete deck panel on the underside of the Pier that was not included in the original scope of work as it was not readily visible from the water surface. Staff worked with its structural engineering design team to formulate a repair solution and determined that the permanent repair is the replacement of a precast concrete deck panel approximately 5 feet in width by 40 feet in length. Jilk provided a change order request to perform the required repairs at a cost of $268,511. WHEREAS, There is a legal exception to this typically applicable statutory competitive bidding requirements when a public agency determines that such a competitive selection/public bidding process would produce no competitive advantage for the public agency or would be futile because of the nature of the procurement (See Graydon v. Pasadena Redevelopment Agency, et al. (1980) 104 Cal. App 3d 631, 635.); WHEREAS, Here the facts contained in this Resolution and the corresponding staff report demonstrate that separately bidding and/or awarding the replacement of a precast concrete deck panel approximately 5 feet in width by 40 feet in length would provide no competitive advantage and would be futile due to the: (i) need for continuity with Jilk and the other work Jilk has performed on the Pier; (ii) substantial delay in completion of all of the repair work needed to DocuSign Envelope ID: 95C7E5DC-D1FB-453F-908E-538D5AE1193D Page 2 of 2 RES NO. 23-7400 make the Pier accessible to the public; (iii) the need to preserve the Jilk’s warranty and performance obligations over all work on the project; and (iv) potential issues associated with coordination and overlapping of physical space, project experience, interrelated nature of work, and proximity to the original scope of work if a second, separate contractor were to be used for the repair work. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. For all of the reasons set forth herein, the City Council hereby waives the typically applicable competitive bidding requirements for the Municipal Pier repair work and approves and authorizes the Mayor to execute the First Amendment to the Jilk Construction Contract (attached hereto as Exhibit “A”) for the replacement of a precast concrete deck panel approximately 5 feet in width by 40 feet in length in the amount of $268,511 based on the "no competitive bid advantage" allowed pursuant to applicable California law. SECTION 2. The City Clerk is directed to certify the adoption of this Resolution. SECTION 3. This Resolution will become effective immediately upon adoption. PASSED, APPROVED, and ADOPTED on this 14th day of November, 2023. Justin Massey PRESIDENT of the City Council and MAYOR of the City of Hermosa Beach, CA ATTEST: APPROVED AS TO FORM: Myra Maravilla Patrick Donegan City Clerk City Attorney DocuSign Envelope ID: 95C7E5DC-D1FB-453F-908E-538D5AE1193D Exhibit A FIRST AMENDMENT TO THE CONSTRUCTION AGREEMENT BETWEEN THE CITY OF HERMOSA BEACH AND JILK HEAVY CONSTRUCTION, INC. This First Amendment to the Construction Agreement (“First Amendment”) is entered into by and between the City of Hermosa Beach, a municipal corporation (“City”) and Jilk Heavy Construction, Inc. (hereinafter referred to as “CONTRACTOR”) as of November 14, 2023. RECITALS A.City and Contractor are parties to Agreement dated February 27, 2023 (the “Agreement”) by which City engaged Contractor for furnishing labor, equipment, and materials for CIP Project No. 629 and CIP 660 Municipal Pier Structural and Electrical Repairs in the City of Hermosa Beach. B.City and Contractor now desire to amend the Agreement to increase the contract amount by $268,511. NOW, THEREFORE, in consideration of the foregoing, the Agreement is amended as follows: 1.Section 3 of the Agreement is amended to read as follows: COMPENSATION. CONTRACTOR agrees to receive and accept the prices set forth in its Change Order ($268,511) as full compensation for furnishing all materials, performing all work, and fulfilling all obligations hereunder. Said compensation shall cover all expenses, losses, damages, and consequences arising out of the nature of the work during its progress or prior to its acceptance including those for well and faithfully completing the work and the whole thereof in the manner and time specified in the aforesaid contract documents; and also including those arising from actions of the elements, unforeseen difficulties or obstructions encountered in the prosecution of the work, suspension or discontinuance of the work, and all other unknowns or risks of any description connected with the work. Except as above modified, in all other respects the Agreement is hereby reaffirmed in full force and effect. CITY OF HERMOSA BEACH CONTRACTOR Justin Massey, Mayor ATTEST: APPROVED AS TO FORM: Myra Maravilla, City Clerk Patrick Donegan, City Attorney DocuSign Envelope ID: 95C7E5DC-D1FB-453F-908E-538D5AE1193D State of California ) County of Los Angeles ) ss City of Hermosa Beach ) November 15, 2023 Certification of Council Action RESOLUTION NO. 23-7400 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HERMOSA BEACH, CALIFORNIA, APPROVING THE FIRST AMENDMENT TO THE JILK HEAVY CONSTRUCTION, INC. CONSTRUCTION CONTRACT FOR CIP 629 MUNICIPAL PIER STRUCTURAL REPAIRS AND CIP 660 MUNICIPAL PIER ELECTRICAL REPAIRS FOR AN ADDITIONAL NOT-TO-EXCEED CONTRACT AMOUNT OF $268,511 I, Myra Maravilla, City Clerk of the City of Hermosa Beach do hereby certify that the above and foregoing Resolution No. 23-7400 was duly approved and adopted by the City Council of said City at its regular meeting thereof held on the 14th day of November 2023 and passed by the following vote: AYES: MAYOR MASSEY, MAYOR PRO TEMPORE FRANCOIS, COUNCILMEMBERS SAEMANN, DETOY and JACKSON NOES: NONE ABSTAIN: NONE ABSENT: NONE Myra Maravilla City Clerk DocuSign Envelope ID: 95C7E5DC-D1FB-453F-908E-538D5AE1193D