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Subcommittee forwards SFPUC request to award up to $15–16 million construction-management contract for Sonoma projects
Summary
The committee recommended the Board approve a multi-year SFPUC contract with CH2M Hill for construction-management services on five Sonoma-region water projects; testimony cited competitive procurement, CEQA status for individual projects, and a discrepancy between agenda and presenter contract amounts.
The Budget and Finance Subcommittee on April 8 voted to forward to the full Board a resolution authorizing the general manager of the San Francisco Public Utilities Commission to execute a construction-management services agreement with CH2M Hill for Sonoma Valley regional projects.
Dan Wade, SFPUC regional manager, described five projects included in the contract (Alameda Creek fishery enhancement, Alameda Siphon No.4, San Antonio pump station upgrade, Sonoma Valley water treatment plant and reservoir, San Antonio backup pipeline). The agenda text listed a not-to-exceed amount of $15,000,000; Wade told the committee the not-to-exceed amount of the contract he presented was $16,000,000 and that the contract term would be five years from May through April 2014. The committee's budget analyst confirmed the procurement was competitive and recommended approval.
Wade summarized CEQA statuses: Alameda Siphon No.4 proceeded under a mitigated negative declaration and was out to bid; Alameda Creek fishery project remained in planning with an EIR to be completed before construction; San Antonio pump station upgrade was a categorical exemption and expected to begin construction in the fall; the Sonoma Valley treatment plant EIR was expected in the coming months with certification by year-end and construction next spring; the San Antonio backup pipeline EIR was in early stages and construction was not expected until 2011. Wade said the overall water system improvement program is expected to create about 28,000 jobs systemwide and roughly 3,000 jobs in the Sonoma region.
Committee members asked about schedule risk and whether existing agreements could be extended if construction schedules lengthened; PUC staff said they had no reason to anticipate schedule overruns for the Sonoma region but acknowledged construction is not an exact science and that Board approval may be needed for future extensions. The committee forwarded the item to the full Board with recommendation.
