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SFPUC approves mitigation fund release, Treasure Island MOU and continues single‑bid JOC contract for more review

San Francisco Public Utilities Commission · September 23, 2014
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Summary

The commission approved release of $3,143,000 in mitigation funds for Wanderville Substation and renewed a Treasure Island MOU; it continued consideration of a $5 million Hetch Hetchy JOC contract after questioning single-bid procurement and outreach to increase competition.

At the Sept. 23 meeting the San Francisco Public Utilities Commission acted on several consent and procurement matters.

The commission voted to authorize the general manager to request the release of $3,143,000 in mitigation funds reserved with the Board of Supervisors for the Wanderville Substation project. The motion carried by voice vote.

Commissioners also voted to authorize renewal of a memorandum of understanding between the Treasure Island Development Authority and the SFPUC; the motion passed unanimously.

A more contested consent item was 11C, an award of a job order contract (JOC) of approximately $5,000,000 for work in the Hetch Hetchy system. Commissioners expressed concern that the procurement produced a single eligible bidder for work in the Hetch Hetchy area, where geographic distance and travel/housing constraints limit interested contractors. Staff and the assistant general manager explained the JOC structure — pre-priced work items with bidders offering multipliers — and discussed measures to mitigate single-bid risks including reviewing multipliers against engineer estimates, using micro‑JOC set‑asides that reduce bonding pressure, and expanding outreach to the regional small‑firm advisory pool. Given the concerns, the Commission voted to continue Item 11C to a future meeting for additional information and outreach results.

On an administrative item, staff corrected a notice-to-proceed date in resolution 11D (typo corrected to 05/27/2010); the amendment and the corrected resolution were approved.