TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 7, 2023
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Issue purchase order and enter into an agreement with Hey and Associates Inc. for professional engineering post-award services for Contract 11-187-3F, Addison Creek Channel Improvements, SSA in an amount not to exceed $1,649,671.19, Account 501-50000-612450, Requisition 1605722 (As Revised)
Body
Dear Sir:
Authorization is requested to issue a purchase order and enter into an agreement with Hey and Associates Inc. (Hey) for professional engineering post-award services for Contract 11-187-3F, Addison Creek Channel Improvements, SSA.
The District’s agreement with Hey will consist of providing post-award engineering services for the above-mentioned contract, including submittal reviews, field visits, design support, responding to requests for information, review of change orders, coordination and support services, and as-needed consulting services.
Design of the subject contract was performed by Hey, who was also selected by the Engineering Department to provide the needed professional engineering post-award services because, as the designer, they have intimate knowledge of the specialized work to be performed under Contract 11-187-3F. Utilizing this firm maintains continuity of responsibility with one firm if problems occur during or after construction. It is prudent to continue to work with Hey for this contract, rather than initiate a new consultant selection process.
The post-award services under this agreement are scheduled to last approximately 1,095 days and are expected to be completed in September 2026.
The deliverables to be provided under this agreement include:
• Submittal reviews
• Conformed plan set services
• Responses to RFIs
• Change order documentation
• Supplementary drawings
• Permitting support
• Construction material testing
• Contractors claim review support documentation
It is estimated that approximately 39 persons will work on the contract at various times with an anticipated total of 11,236 man-hours. The estimated average consultant payroll rate for the term of the Agreement is $47.12/hour.
Hey shall be paid an hourly rate based on the direct labor rate in effect for the year the work is performed, plus reimbursable direct costs up to a total amount not to exceed $65,523.13. The components of the total fee for the agreement with Hey are as follows:
|
Item |
Fee |
|
|
|
|
1. Hey and Associates Inc. Fee |
|
|
A. Direct Labor |
$ 267,449.27 |
|
B. Overhead and Profit |
$ 532,785.69 |
|
C. Total Labor Fee |
$ 800,234.96 |
|
|
|
|
2. Reimbursable Direct Costs |
$ 65,523.13 |
|
|
|
|
3. PCE Sub-Consultants |
|
|
A. GSG Consultants, Inc. (MBE) |
$ 253,060.00 |
|
B. Interra, Inc. (MBE) |
$ 139,392.98 |
|
C. Orion Engineers, PLLC (VBE) |
$ 49,613.62 |
|
D. Terra Engineer, Ltd. (WBE) |
$ 182,322.86 |
|
E. Upland Design Ltd. (WBE) |
$ 20,500.74 |
|
F. Total PCE Sub-Consultants |
$ 644,890.20 |
|
|
|
|
4. Non-PCE Sub-Consultants |
|
|
A. Total Non-PCE Sub-Consultants |
$ 139,022.90 |
|
|
|
|
Total Fee (Not to Exceed) |
$1,649,671.19 |
The work to be completed by the Minority-owned Business Enterprises (MBE), Veteran-owned Business Enterprises (VBE), and Women-owned Business Enterprises (WBE) represents approximately 39.1% of the total dollar value of this agreement. Assuming the maximum cost of the agreement is reached, the MBE, WBE and VBE firms listed will receive approximately $644,890.20 in total compensation.
The Diversity Section has reviewed the Agreement and has concluded that Hey is in accordance with the District’s Affirmative Action Policy.
Inasmuch as the firm of Hey possesses a high degree of professional skill, it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order and enter into an agreement without advertising, per Section 11.4 of the Purchasing Act, in an amount not to exceed $1,649,671.19.
Funds for the 2023 expenditure, in the amount of $200,000.00 are available in Account 501-50000-612450. The estimated expenditures for 2024 is $911,000.00, the estimated expenditures for 2025 is $438,671.19, and the estimated expenditures for 2026 is $100,000.00. Funds for the 2024, 2025, and 2026 expenditures are contingent on the Board of Commissioners’ approval of the District budget for those years.
Requested, Catherine A. O’Connor, Director of Engineering, KMF:JK
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, Chairman Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for September 7, 2023
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