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HomeMy WebLinkAbout2006-03-01 STAFF REPORTS 2Q RESOLUTION NO. AMENDING THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) BUDGET FOR FISCAL YEAR 2004 — 2005; AUTHORIZE THE REVISION TO THE CONSOLIDATED PLAN'S ANNUAL PLAN UPDATE. WHEREAS Resolutions 20894 approving the CDBG budget allocations for the fiscal years 2004 - 2005 was adopted on April 7, 2004; and WHEREAS, the City is eligible to receive an entitlement of Community Development Block Grant funds as entitlement city under the Department of Housing & Urban Development (HUD) Regulations; and WHEREAS, the City has approximately $415,820 available in existing CDBG Unscheduled Capital Project from receipted program income which needs to be reprogrammed into approved and ready eligible projects; and WHEREAS, the funds must be used for eligible activities which principally benefit low and moderate income people, and WHEREAS, pursuant to the requirements of citizen involvement, public review of the City's 2004 — 2005 Annual Plan Update were held to receive citizen input on the allocation of its entitlement, as well as `Public Facilities & Improvements will also be partially funded with program income and the reprogramming of unexpended activity finds, both prior years and current'which HUD has approved this methodology; and WHEREAS, the projects have been assessed by staff and the Citizen's Advisory Committee (CAC) based on needs of low and moderate income neighborhoods to benefit the maximum number of people; and WHEREAS, the City Council held public hearings on April 7, 2004 to receive public input on the allocation of these funds; and WHEREAS the standard Term of all CDBG Subrecipient Agreements is one year, even while projects are sometimes carried for several years, requiring an amendment to extend the expiration; and WHEREAS the City Manager has recommended, and the City Council desires to approve, certain amendments; NOW, THEREFORE, be it resolved that the City Council of the City of Palm Springs, California, does hereby approve the following: SECTION 1. Allocate additional $217,830 of Community Development Block Grant funding to the Parks and Recreation Department — James O. Jesse Desert Highland Unity Center. �Pl I SECTION 2. Staff is authorized to submit a revised 2004-2005 Consolidated Plan Annual Plan Update to the Department of Housing and Urban Development which accurately reflects the CDBG projects and budget approved by the City Council. SECTION 3. The City Manager is authorized to execute the appropriate Construction Contract, in a form approved by the City Attorney, with the additional funds and Term extension as required in accordance with this Resolution, and the aforementioned Resolutions, adopting the budgets for the 2004 — 2005 fiscal year. ADOPTED this 1s1 day of March 2006. David H. Ready, City Manager ATTEST: James Thompson, City Clerk CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on 1st day of March, 2006, by the following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California OF ?ALM 3 c City Council Staff Report CITY COUNCIL MARCH 1, 2006 CONSENT CALENDAR Subject: JAMES O. JESSIE DESERT HIGHLAND UNITY CENTER EXPANSION, CITY PROJECT NO. 04-05 From: City Manager Initiated by: Public Works & Engineering Department and Community & Economic Development Department SUMMARY: The City Council will consider awarding a Construction Contract to Doug Wall Construction Inc., to construct James O. Jessie Desert Highland Unity Center Expansion, City Project No. 04-05, RECOMMENDATION: 1)1) Adopt Minute Order No. "AWARDING CONTRACT TO DOUG WALL CONSTRUCTION, INC. IN THE AMOUNT OF $528,000.00 FOR BID SCHEDULE "A" ONLY (DELETING THE WROUGHT IRON SCREEN WALL) FOR THE JAMES O. JESSIE DESERT HIGHLAND UNITY CENTER EXPANSION, CITY PROJECT NO. 04-05." 2) Adopt Resolution No. "AMENDING THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) BUDGET FOR FISCAL YEAR 2003 — 2004; AUTHORIZE THE REVISION TO THE CONSOLIDATED PLAN'S ANNUAL PLAN UPDATE". 3) Authorize the City Manager to execute all necessary documents. STAFF ANALYSIS: The JOJ Desert Highland Unity Center is a neighborhood community center which consists of an approximate 20 acres of landscaped open space, picnic tables, a children's play area, a lighted baseball field, a gymnasium and recreation center. Currently the gymnasium and the recreation center are geared toward high activity games such as basketball, volleyball, weight lifting and exercise machines. The new addition will allow for expanded leisure and recreation opportunities for all ages. The r] Item No. L. Q. City Council Staff Report March 1, 2006 - Page 2 of 4 J.O.J. Desert Highland Unity Center Expansion CP#04-05 Parks and Recreation Department had identified in their Community Development Block Grant (CDBG) application of funding the need for increased usable space in order to upgrade and improve the current level of services provided. The City Council has approved the multi-year CDBG funding for the expansion of the J.O.J. Desert Highland Unity Center. In April 2004 the Community and Econornic Development Department submitted a design request to the Public Works and Engineering Department to solicit proposals for architectural design firms for the required services to prepare preliminary conceptual drawings of the expansion of the Center, as well as final construction drawings for bidding. As a result, Engineering Department staff prepared a Request for Proposals (RFP) which was distributed in June 2004. In consultation with the Community and Economic Development Department, staff distributed eighteen (18) RFP's. On October 20, 2004, the City Council approved a contract services agreement in the amount of $57,000.00 with Interactive Design Corporation (IDC), for professional architectural design services. As a part of IDC's scope of work, the firm brought forward the Conceptual plans through the; City's Major Architectural Approval (MAA) process as the project involved the expansion of an existing City public facility. The preparation of the conceptual plans involved various stakeholders (Desert Highland Gateway Neighborhood Association, the Center's Advisory Committee, City Staff from Parks & Recreation, Public Works, Facilities and Community & Economic Development Departments) on the Project Committee Team collaborating to move forward the best proposal. On March 7, 2005 and April 13, 2005, the Architectural Advisory Committee and the Planning Commission respectively approved the Architectural Application by Interactive Design Corporation to construct an addition to the recreation buildings, to enclose an open trellis area of the gyrnnasium building, and to modify two existing bathrooms for compliance with Americans with Disability Act. On May 4, 2005, the City Council approved the conceptual design for the JOJ Desert Highland Unity Center expansion, as submitted by Interactive Design Corporation, and directed staff to proceed with the final preparation of construction plans and bid documents. The JOJ Desert Highland Unity Center Expansion plans, specifications and estimate were prepared by Interactive Design Corporation and reviewed by Staff. On November 16, 2005 the City Council approved and adopted the plans, specifications and working details, and authorized staff to advertise for construction bids. The project was advertised for bids from December 2005 to February 20, 2006. The advertising period had to be extended twice to attract more bidders. In addition to advertising, Interactive Design Corporation and the City had very aggressively outreached to prospective bidders (General Contractors) by 35 faxes and 19 personal phone calls. Eight Plan Rooms and a State Procurement website had also been contacted. The 2:00 pm February 21, 2006 bid opening received no bids. Staff had verified that morning from the on-line Plan Well that there were three plan holders, one from the City Council Staff Report March 1, 2006 - Page 3 of 4 J.O.J. Desert Highland UnitV Center Expansion CP#04-05 Coachella Valley and the other two from Orange and Los Angeles Counties, respectively. All three were presumed to be submitting bids. Further confirmation by mid-day, staff learned that the LA bidder would not submit a bid due to lack of bonding capacity. The remaining two bidders verbally confirmed that they would submit a bid. However, the Orange County bidder arrived late at approximately 2:15 p.m. and spoke with staff to share that he had driven here expecting his office calling him while en route with Subcontractor numbers to submit a bid. Nevertheless, the contractor wanted to let us know that not one of the subcontractors that they had contacted called back with any of the contract prices they needed for their bid, and therefore, their bid was incomplete. The other contractor who was expected to submit a bid failed to show up by the bid deadline. As no bids were received by the bid deadline, staff contacted the other contractor, Doug Wall Construction, Inc., who was expected to submit a bid and learned that the contractor was prepared to submit a complete bid but was unable to deliver it by the deadline. With no bidders meeting the formal submission deadline, Staff consulted with the City's U.S. Department of Housing and Urban Development (HUD) Representative seeking guidance in accepting the sealed bid and to negotiate with the sole known General Contractor. HUD concurred in proceeding with the bid award process in that the City had conducted a very extensive fair and open competitive procurement process, as well as clearly identifying and verifying the only three interested bidders. In consultation with the City Attorney and in accordance with the City's Procurement and Contracting Code, the City Attorney authorized, with the concurrence of HUD, to enter negotiations directly with the only plan-holder who was prepared to submit a bid. Therefore Staff contacted Doug Wall Construction, Inc. who was receptive to submit the sealed bid that same afternoon of February 21, 2006 and was deemed appropriate in entering into negotiations and subsequently delivered the bid. The proposal submitted by Doug Wall Construction, Inc. was in the total amount of $687,838.00 for the following bid schedules: Bid Schedule A— The Recreation Center's Expansion: $596,838.00 Additive Bid Schedule B — New Courtyard Canopy: $33,000.00 and Additive Bid Schedule C — New Gymnasium Entry: $58,000.00 The Consultant's Estimate for this project was $450,700 including contingencies. City Staff and Interactive Design Corporation representative (who's contract included bid review and analysis) met Doug Wall and negotiated the bid (price). The two additive bid schedules "B" and "C" ($33,000 and $58,000 respectively) were eliminated and also the construction of the wrought iron screen wall at the south side of the recreation building ($22,000) was eliminated from bid schedule "A" Also, the contractor, accepted to reduce some unit prices, and deducted $46,838 of the bid schedule "A". After the negotiations the final amount for this project is: $528,000.00. Several factors are attributable for such increases including, extra hardscape concrete 1t�l�c� City Council Staff Report March 1, 2006 - Page 4 of 4 J.O.J. Desert Highland Unity Center Expansion CP#04-05 demolition to correct storm-water drainage and improve disabled accessibility, asbestos and lead-base paint survey and asbestos abatement, further courtyard earthwork and irrigation as recommended by Architectural Advisory Committee, security/maintenance modifications as requested by Facility Staff because of operational experiences (i.e., substitute bollard pathway lighting and fixed exterior building lighting for palm tree mounted down-lighting; secure mechanical equipment), increased costs due to the construction profession market conditions, special to the Coachella Valley such as premium pricing from subcontractors due to more work demand than work force supply and building material cost increase. The City Council's approval of the project's award is critically important in completing this significant public facility improvement, as well as to meet HUD's timely expenditure standard. These actions within this fiscal year will continue to show evidence of progress with this project, as its progress is important in that it presents nearly the entire current year's CDBG entitlement, and the U.S. Department of Housing and Urban Development (HUD) will perform a "snap-shot" of the City's timely expenditure rate of CDBG funds on April 30, 2006. In the event this project is delayed, and Staff cannot demonstrate timely expenditures of funds to HUD, HUD has the ability to decrease the entitlement allocation of CDBG funds to the City for next year's CDBG Program. With this approval, it is intended to have the project substantially completed by the end of this fiscal year. FISCAL IMPACT: IFinance Director Review: There is no direct fiscal impact to the General Fund in that these dollars are the City's allocated federal annual entitlement funds from HUD's CDBG program. Therefore, this project is being entirely appropriated through CDBG fund accounts of 137-4806-63544, and 137-4805-63544 (PS Parks-JOJDH Unity Center), as well as CDBG fund account of 137-4805-50000 (Unscheduled Capital Projects). HUD having awarded this block grant, the City is able to address vital programs and projects within the community. Otherwise if it weren't for these federal dollars, local municipal resources may have to be provided or this community need may go unmet. _ AZL David J. Barakian ohi . Ray o d Director of Public Works/City Engineer Director of C munity & Economic Development David H. Ready, ho s mas J. on City Manager Assistant City Manager ATTACHMENTS: - Minute Order - Resolution MINUTE ORDER NO. AWARDING CONTRACT TO DOUG WALL CONSTRUCTION, INC. IN THE AMOUNT OF $528,000.00 FOR BID SCHEDULE "A" ONLY (DELETING THE WROUGHT IRON SCREEN WALL) FOR THE JAMES O. JESSIE DESERT HIGHLAND UNITY CENTER EXPANSION, CITY PROJECT NO. 04-05. I HEREBY CERTIFY that this Minute Order, awarding contract to Doug Wall Construction, Inc. in the amount of $528,000.00 for bid schedule "A" only (deleting the wrought iron screen wall) for the James O. Jessie Desert Highland Unity Center Expansion, City Project 04-05, was adopted by the City Council of the City of Palm Springs, California, in a meeting thereof held on 15t day of March, 2006. James Thompson, City Clerk lr��n� RESOLUTION NO. AMENDING THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) BUDGET FOR FISCAL YEAR 2003 — 2004; AUTHORIZE THE REVISION TO THE CONSOLIDATED PLAN'S ANNUAL PLAN UPDATE. WHEREAS Resolutions 20580 and 20581 approving the CDBG budget allocations for the fiscal years 2003 - 2004 was adopted on April 2, 2003; and WHEREAS, the City is eligible to receive an entitlement of Community Development Block Grant funds as entitlement city under the Department of Housing & Urban Development (HUD) Regulations; and WHEREAS, the City has approximately $415,820 available in existing CDBG Unscheduled Capital Project from receipted program income which needs to be reprogrammed into approved and ready eligible projects; and WHEREAS, the funds must be used for eligible activities which principally benefit low and moderate income people, and WHEREAS, pursuant to the requirements of citizen involvement, public review of the City's 2003 — 2004 Annual Plan Update were held to receive citizen input on the allocation of its entitlement, as well as Public Facilities & Improvements will also be partially funded with program income and the reprogramming of unexpended activity funds, both prior years and current'which HUD has approved this methodology; and WHEREAS, the projects have been assessed by staff and the Citizen's Advisory Committee (CAC) based on needs of low and moderate income neighborhoods to benefit the maximum number of people; and WHEREAS, the City Council held public hearings on April 2, 2003 to receive public input on the allocation of these funds; and WHEREAS the standard Term of all CDBG Subrecipient Agreements is one year, even while projects are sometimes carried for several years, requiring an amendment to extend the expiration; and WHEREAS the City Manager has recommended, and the City Council desires to approve, certain amendments; NOW, THEREFORE, be it resolved that the City Council of the City of Palm Springs, California, does hereby approve the following: y 5, SECTION 1. Allocate additional $217,830 of Community Development Block Grant funding to the Parks and Recreation Department — James O. Jesse Desert Highland Unity Center. SECTION 2. Staff is authorized to submit a revised 2003-2004 Consolidated Plan Annual Plan Update to the Department of Housing and Urban Development which accurately reflects the CDBG projects and budget approved by the City Council. SECTION 3. The City Manager is authorized to execute the appropriate Construction Contract, in a form approved by the City Attorney, with the additional funds and Term extension as required in accordance with this Resolution, and the aforementioned Resolutions, adopting the budgets for the 2003 — 2004 fiscal year. ADOPTED this 1st day of March 2006. David H. Ready, City Manager ATTEST: James Thompson, City Clerk CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on 1st day of March, 2006, by the; following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California