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PUC awards several WESIP construction contracts; officials push local‑hiring targets
Summary
The Commission approved multiple WESIP construction awards including Mountain Cascade for the San Andreas pipeline and S.J. Amoroso for University Mound reservoir seismic upgrades, and staff emphasized proactive steps and a 50% local‑hiring target tracked via certified‑payroll software.
The San Francisco Public Utilities Commission on June 23 approved a series of construction contracts under the Water System Improvement Program and heard staff describe efforts to maximize San Francisco resident participation on those projects.
Julia Labonte and Michael Carlin presented awards and contract details. Labonte said Mountain Cascade was the low bidder for the San Andreas Pipeline No. 3 installation (WD2513) with a bid of $16,300,000 — about 32% under the engineer’s estimate — and that six contractors bid for that contract. For the University Mound Reservoir seismic upgrades (WD2539), S.J. Amoroso submitted the low bid in a competitive field; staff explained the work includes roof‑structure reinforcement and other site improvements.
Commissioners noted the frequency of low bids relative to engineer estimates and asked staff to flag and track change orders to limit risk of later cost increases. Labonte said contracts include customary contingency (approximately 10%) and that quarterly reports will include scorecards and change‑order updates.
Assistant general manager for infrastructure described outreach to maximize local hiring and workforce development. Guillermo Rodriguez, director of CityBuild at the Office of Economic and Workforce Development, said staff met with prime contractors and subcontractors before mobilization to identify core workers and apprenticeship opportunities; he said Amaroso projects about 30 on‑site workers for University Mound and staff expect to secure roughly three new referrals from CityBuild for every ten additional workers. The Commission heard an aspirational local‑hiring target of 50% for local participation on University Mound and other contracts and staff said they will use certified‑payroll software to monitor progress.
Separately, the Commission approved a professional services agreement (CS918) for construction management services on the Irvington Tunnel to Hatch Mott McDonald (not to exceed $15,000,000, five‑year term).
All contract awards were approved by voice vote; commissioners requested continued oversight of change orders and contractor performance.
