REPORT TO THE CITY COUNCIL
November 5, 2015
FROM: KEVIN R. MEIKLE, Director of Aviation
Airports Department
SUBJECT:
Title
Actions pertaining to alteration of the Fresno Yosemite International Airport Rental Car Facility (Council District 4)
1. Adopt a finding of Categorical Exemption pursuant to Article 19, Section 15301(I)(3)/Class1 (Existing Facilities) of the California Environmental Quality Act (CEQA) Guidelines for the Fresno Yosemite International Airport Rental Car Facility - Counter Improvements Project and the Ready Return Lot Reconfiguration Project
2. Award a construction contract to Corporate Project Management, Inc. of Fresno, California, for the Fresno Yosemite International Airport Rental Car Facility - Counter Improvements Project in the amount of $250,000 (Bid File 3417)
3. Approve a request from American Construction Engineers of Tollhouse, California, for relief from their bid in the amount of $195,767 for construction of the Fresno Yosemite International Airport Rental Car Facility - Ready Return Lot Reconfiguration Project
4. Award a construction contract to Davis Moreno Construction, Inc. of Fresno, California, as the second lowest bidder, for the Fresno Yosemite International Airport Rental Car Facility - Ready Return Lot Reconfiguration Project in the amount of $412,659 (Bid File 3416)
Body
RECOMMENDATIONS
In matters pertaining to alterations of the Rental Car Facility at Fresno Yosemite International Airport (FAT) staff recommends the City Council, (i) adopt a finding of Categorical Exemption pursuant to Article 19, Section 15301(I)(3)/Class1 (Existing Facilities) of the California Environmental Quality Act (CEQA) Guidelines, (ii) award a construction contract to Corporate Project Management, Inc. of Fresno, California (Bid File 3417) in the amount of $250,000, (iii) approve a request from American Construction Engineers of Tollhouse, California, for relief from their bid in the amount of $195,767, and, (iv) award a construction contract to Davis Moreno Construction, Inc. of Fresno, California, in the amount of $412,659 (Bid File 3416).
EXECUTIVE SUMMARY
As a result of Rental Car Industry (RAC) mergers, the six RAC agencies operating at FAT have consolidated into three parent firms (Avis, Enterprise, and Hertz), who collectively operate nine different brands. The work will reconfigure Rental Car Counters within baggage claim and the Ready Return Lot into three distinct operational areas. The Counter Improvement Project will renovate the entire RAC counter area and incorporate updated branding by all three operators. The Ready/Return Lot Project will be reconfigured from six separate areas into three, which will improve operational efficiency and customer wayfinding for the three RAC operators and their respective brand offerings.
BACKGROUND
In an effort to increase efficiency, realize the benefits of combining common processes, reduce operational costs, and improve the customer experience, the RACs requested consolidation of the Rental Car Counter Area and the Ready Return Lot to create larger and distinct locations for each of the three parent companies, which will better accommodate their respective rental car brands. The consolidation and reconfiguration will serve to modernize the facility and, along with the increased operational efficiencies, provide an enhanced customer service to the traveling public.
The entire rental car counter area in baggage claim will be demolished and reconstructed into three larger spaces and incorporate new counters, branding, wayfinding, and enhanced lighting. The reconfigured customer Ready-Return areas will relocate fencing, provide new circulation patterns, striping, branding and wayfinding. Completion of both projects will be in the spring of 2016. Both the RACs and Airports have carefully planned the execution of all work to ensure that there is minimal impact to operations during construction.
Plans and specifications for both Projects were prepared by CSHQA, Inc., a consulting architecture and engineering firm. A Notice Inviting Bids was advertised in the Business Journal on August 28, 2015, posted on the City’s website and faxed to ten (10) builder’s exchanges.
The Counter Improvement Plans and Specifications were distributed online to five (5) prospective bidders. Four sealed bid proposals were received and opened in a public bid opening on September 22, 2015. The bids ranged in price from $250,000 to $333,749. The lowest responsible and responsive bid from Corporate Project Management, Inc. in the amount of $250,000 is 38% below the engineer’s estimate ($402,631). The staff determination was posted on the City website on October 8, 2015.
The Ready Return Lot Reconfiguration Plans and Specifications were distributed online to six (6) prospective bidders. Two sealed bid proposals were received and opened in a public bid opening on September 22, 2015. The bids ranged in price from $195,767 to $412,659. The apparent low bid from American Construction Engineers included a clerical error lowering the price by $100,000, and the company withdrew its bid in writing on September 28, 2015. Accordingly, Staff recommends that American Construction Engineers be relieved of their obligation to perform as bid and further recommends that the Project be awarded to the second lowest bidder, Davis Moreno Construction, Inc. as the lowest responsive and responsible bidder. The bid from Davis Moreno Construction, Inc. in the amount of $412,659 is 46% below the engineer’s estimate of $762,966. The staff determination to award to Davis Moreno, Inc., was posted on the City website on October 6, 2015.
ENVIRONMENTAL FINDINGS
The Projects fall within the Class 1 Categorical Exemptions set forth in the California Environmental Quality Act (CEQA) Guidelines, Section 15301(I)(3) (Existing Facilities), as it involves the remodeling of an existing space inside the airport terminal and the reconfiguration of an existing rental car staging area. The Projects will not result in any significant negative effects relating to traffic, noise, air quality or water quality.
LOCAL PREFERENCE
The lowest responsive and responsible bidders, Corporate Project Management, Inc., and Davis Moreno Construction, Inc., are local contractors.
FISCAL IMPACT
The Rental Car Facility Counter Reconfiguration and the Ready Return Lot Reconfiguration Projects are part of the Department’s ongoing commitment to ensure FATs continued growth and viability, and is properly positioned for local and regional growth. The Projects will generate approximately 60 construction related jobs during the four month construction window. Funding for the Projects will be through the use of bond proceeds from the Series 2007 bonds, held in the Consolidated Rental Car Facility Reserve Fund. The Projects are included in the City’s FY 2016 Adopted Budget. There is no impact to the General Fund from this action.
Attachments:
Bid Evaluation - Counter Reconfiguration
Bid Evaluation - Ready Return Lot
Site Plan