REPORT TO THE CITY COUNCIL
December 10, 2020
FROM: KEVIN R. MEIKLE, Director of Aviation
Airports Department
SUBJECT
Title
Actions pertaining to Job Order Contracting agreements:
1. Adopt a finding of Categorical Exemption per staff’s determination, pursuant to Section 15301(c) Class 1 of the California Environmental Quality Act Guidelines;
2. Approve Amendments No. 1 to Job Order Contracting agreements between City of Fresno and 1) Durham Construction Co., Inc., 2) Puma Construction Co., Inc., and 3) Mesa Energy Systems, Inc. (Council District 4)
Body
RECOMMENDATION
Staff recommends that Council authorize the Director of Aviation to execute Amendments No. 1 that will provide an additional one-year term and $3 million of capacity to Job Order Contracting (JOC) agreements with Durham Construction Co., Inc., Puma Construction Co., Inc., and Mesa Energy Systems, Inc.
EXECUTIVE SUMMARY
The JOC Program enables Airports to provide improved responsiveness on building maintenance and construction projects, including COVID-mitigation as may be necessary, at competitive “local market” pricing. The JOC Program administers competitively bid fixed-unit pricing for construction tasks from local contractors, which can be quickly accessed by the Airports Department to perform needed building repairs, maintenance, alterations, installations and other construction services.
BACKGROUND
Airports annually budgets for building maintenance and renovation projects as well as various unforeseen facility repairs. The JOC Program allows Airports to utilize pre-bid and preselected contractors for timely execution of construction projects at competitive rates. When submitting a bid through the JOC program, each bidder is agreeing to perform work as identified in a catalog of construction tasks at the listed unit cost multiplied by their respective adjustment factors (bid factor). The sum total of adjusted unit costs, as reflected in a Job Order, represents the total cost for a project including mobilization, permitting, overhead, etc.
On June 25, 2018, staff released the JOC specification to eleven builder exchanges and to fourteen bidders. On July 24, 2018, staff received bids from six bidders. Three of the bidders are General Contractors and three are Mechanical Contractors. The bid specifications included an extensive unit price catalog of approximately 120,000 typical construction and maintenance construction tasks, pricing, and associated technical specifications. The bidders submitted adjustment factors which is used with the pricing in the construction task catalog to prepare Job Orders for construction projects on an as needed basis.
On September 20, 2018, Council approved award of three General Building JOC Contracts and two Mechanical JOC Contracts for Airports Department (Bid File 9460). Airports has successfully completed many essential projects under these JOC contracts and is seeking authorization to amend the existing contracts with Durham Construction Co., Inc., Puma Construction Co., Inc., and Mesa Energy Systems, Inc., by extending the term one year to October 18, 2022 and adding $3 million of capacity to the original cap of $3 million resulting in a Maximum Contract Value of $6 million per contract. These three contractors have performed in a responsive and responsible manner for Airports and the allocated funds under the initial agreements have been substantially expended.
The Amendments have been reviewed and approved as to form by the City Attorney’s Office.
ENVIRONMENTAL FINDINGS
Staff has determined that Class 1 Categorical Exemptions set forth in the California Environmental Quality Act (CEQA) Guidelines, Article 19, Section 15301 (Existing Facilities) is appropriate for this action, as the proposed projects involve the restoration or rehabilitation of existing facilities. Furthermore, staff has determined that none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this action.
LOCAL PREFERENCE
Local preference does not apply because this is an amendment to an existing agreement.
FISCAL IMPACT
Future work under these agreements will be funded through appropriations for specific projects and budgeted maintenance activities as allocated in current and future adopted budgets. There is no impact to the General Fund from this action.
Attachments:
- Amendment No. 1 - Durham Construction Company, Inc.
- Amendment No. 1 - Puma Construction Company, Inc.
- Amendment No. 1 - Mesa Energy Systems, Inc.