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DATE: |
September 25, 2024 |
01 |
SUBJECT
Title
AUTHORIZATION TO ISSUE REQUEST FOR STATEMENT OF QUALIFICATIONS AND TO NEGOTIATE AND AWARD CONTRACTS FOR AS-NEEDED ENGINEERING DESIGN, PROJECT MANAGEMENT, AND PROFESSIONAL LAND SURVEYING AND RELATED CEQA EXEMPTION (DISTRICTS: ALL)
Body
OVERVIEW
The County of San Diego (County) Department of Public Works (DPW) is responsible for constructing and maintaining reliable infrastructure throughout the unincorporated areas of the county. DPW currently maintains 1,947 miles of roads, 208 bridges, 56 miles of guardrail, over 18,000 culverts, 208 traffic signals and a myriad of other facilities including but not limited to traffic safety devices, airports, water and wastewater facilities, closed landfills, pathways, and sidewalks. DPW also develops projects that improve our communities, such as complete street roadway improvements, drainage and watershed quality improvements, new sidewalks and bike lanes, intersection improvements, bridge widenings and replacements, and related facilities for our growing communities. These facilities support the transportation of persons and goods throughout the county, sustain and bolster economic development, encourage business opportunities, and promote thriving communities.
DPW relies on dedicated County staff and as-needed contracted professionals to maintain and improve County infrastructure. DPW’s budget for capital projects changes from year to year based on needs and available funding. The approved capital project budget in Fiscal Year 2024-25 is over $180 million and has more than doubled over the past decade, partially due to additional gas tax approved in 2017 under Senate Bill 1, the Road Repair and Accountability Act, and partially due to one-time funding for capital improvements. DPW has increased staffing levels to support long term workload needs, but additional as-needed contracted professionals are required to assist with the delivery of one time projects and specialized work. As-needed contracted professional services offer many benefits such as providing greater flexibility in subject matter expertise that can change from one project to the next. Contracted staffing levels can also be adjusted quickly as work levels increase or decrease throughout the life of a project or when priorities change, which increases efficiency. DPW is not obligated to use any of the contract capacity that is awarded for as-needed contracts providing significant flexibility should budgets or priorities change. Awarded as-needed contracts also include language that helps minimize County liability for work done by as-needed contracted professionals reducing overall risk to the County.
DPW coordinates with the Department of Purchasing and Contracting (DPC) to procure as-needed contracted professional services in accordance with the County Board of Supervisors (Board) Policy F-40, Procuring Architectural, Engineering and Related Professional Services (F-40) and County Code of Administrative Ordinances, Article XXIII, Section 401 (Section 401). The procurement process starts with DPC issuing a Request for Statement of Qualifications to gather information on engineering firms interested in working on County projects. Subject matter experts subsequently review and rate each firm based on their qualifications. This competitive process ensures the most qualified consulting firms are identified and selected to support DPW in the design and delivery of projects that will maintain and improve the County’s infrastructure. The use of F-40 contracts allows DPW to supplement our in-house resources for one-time project needs for engineering design, project management, technical report development, professional land surveying, and associated subject matter expertise that support DPW programs, and assist with the delivery of capital improvement projects.
DPW develops projects that maintain and improve County infrastructure. Over the past several years, DPW has experienced an increase in the size and number of capital projects because of new regulations and initiatives, and associated increased funding from federal, State, and local sources. At the federal level, DPW has seen increases in Federal Aviation Administration funding for County Airports, and we anticipate new funding for transportation programs from the Inflation Reduction Act, Bipartisan Infrastructure Law and the Infrastructure, Investment and Jobs Act. At the State level, funding has increased as a result of the Road Repair and Accountability Act. And as the local level, DPW has received additional funding to support projects to meet water quality regulations and closed landfills. These are in addition to ongoing historic funding sources to support and maintain infrastructure such as gas tax, grants, service and user fees, and Transnet funding, a half-cent countywide sales tax administered by the San Diego Association of Governments. DPW also supports other County departments with as-needed contracted professionals such as Planning and Development Services’ initiatives around the Climate Action Plan and Development Feasibility Analysis. These increases and initiatives are driving the need for additional as-needed contracted professional services to support the associated increase in projects.
As-needed contracted professionals have always played an important role in supplementing County staff resources to ensure the delivery of projects on time and within budget. Historically, these services were procured without Board approval because those contracts were under the $1 million authority set for the Director of Purchasing and Contracting (DPC Director) in Section 401(b)(2). However, based on historical data and future projections, DPW now forecasts that up to $10 million in as-needed contracted professional services are needed each year over the next five years, exceeding the DPC Director’s approval authority under Section 401(b)(2). To ensure a full spectrum of as-needed contracted professional services are available to support County staff, DPW is requesting authority from the Board to procure four as-needed contracts for professional services in the amount of $2.5 million per contract, per year. Each contract will allow an option to renew annually for up to an additional four years to meet current and future demands. DPW has estimated that up to $50 million in as-needed contracted professional support will be necessary over the next five years to successfully deliver the inventory of capital projects that are currently in progress and planned in the future. Supplementing the capacity provided by existing contracts, this procurement will provide the additional capacity needed to address DPW’s full workload.
This is a request for the Board to authorize issuance of a Request for Statement of Qualifications to negotiate and award up to four contracts for as-needed contracted professional services. The maximum combined amount for the four contracts is $10 million annually for a one-year initial term with four one-year options for a total capacity not to exceed $50 million over a five-year period.
RECOMMENDATION(S)
CHIEF ADMINISTRATIVE OFFICER
1. Find that the proposed action is exempt from the California Environmental Quality Act (CEQA) under CEQA Guidelines Section 15060(c)(3) because it is a government fiscal activity that does not involve any commitment to any specific project that could result in a potentially significant physical impact on the environment and is thus not a project as defined by Section 15378 of the State CEQA Guidelines.
2. In accordance with Board Policy F-40, Procuring Architectural, Engineering and Related Professional Services, approve and authorize the Director, Department of Purchasing and Contracting, to issue a Request for Statement of Qualifications for as-needed engineering, design, project management and professional land surveying services, and upon successful negotiation and determination of a fair and reasonable price, award up to four contracts for an initial term not to exceed one year, with up to four one-year option periods, and a not-to-exceed annual value of up to $2,500,000 per contract and a total not-to-exceed value of $50,000,000; and to amend contracts as needed to reflect changes in services and funding allocation.
EQUITY IMPACT STATEMENT
DPW uses data gathered from CalEnviroScreen (4.0) and California’s Healthy Places Index (HPI - 3.0) to identify and prioritize capital improvement projects. DPW uses the collected data to prioritize projects based on risk to public health and safety, with considerations to historically underserved communities. Board of Supervisors (Board) Policy F-40, Procuring Architectural, Engineering and Related Professional Services also mandates the use of Board policy B-53 which promotes small and disadvantaged businesses during the procurement process.
HPI and CalEnviroScreen are metrics used to compare community conditions across the State and determine if communities are disproportionately burdened by pollution sources and to explore local factors that predict life expectancy. The HPI score combines 25 community characteristics, such as housing, education, economic, and social factors, and is used to compare community conditions shaping health outcomes for residents. Communities are rated on a scale of 0 to 100, where scores closer to 100 indicate healthier community conditions, and scores closer to 0 indicate less healthy community conditions. CalEnviroScreen identifies pollution sources within communities and how those sources impact human health and the environment. A pollution burden score is calculated that reports how significantly communities are impacted by pollution sources.
SUSTAINABILITY IMPACT STATEMENT
Today’s action to authorize a Request for Statement of Qualifications for as-needed contracted professional services support the County of San Diego’s (County’s) Sustainability Goals to protect the environment, and health and well-being of residents. Performing maintenance work in a timely manner has economic, environmental, health and wellbeing benefits and prevents more costly repairs in the future. Maintenance and improvement projects also support the County’s sustainability goals of protecting ecosystems, habitats, and water quality objectives among others.
FISCAL IMPACT
Funds for this request are included in the Fiscal Year 2024-25 Operational Plan in the Department of Public Works, Road Fund. If approved, a competitive solicitation for as-needed contracted professional services will be issued and contracts could be awarded resulting in an estimated annual expenditure up to $10,000,000 per year for five years starting in Fiscal Year 2024-25. The potential funding sources are State of California Gas Tax, available prior year Road Fund fund balance, TransNet, Transportation Impact Fees, and State and federal grants. The total expenditures for all five years will not exceed $50,000,000 through Fiscal Year 2028-29. As projects and funding are identified, the Department of Public Works will return to the Board of Supervisors to establish appropriations in future Operational Plans. There will be no change in net General Fund cost and no additional staff years.
BUSINESS IMPACT STATEMENT
When approved by the Board of Supervisors for advertising and award, County of San Diego contracts will be competitively bid and help stimulate the local economy by creating employment opportunities. Non-professional job classifications, as identified by the California Department of Industrial Relations (DIR), that are employed on public works projects must be paid the prevailing wages determined by DIR according to the type of work and location of the project. The prevailing wage rates are usually based on rates specified in collective bargaining agreements.
Details
ADVISORY BOARD STATEMENT
N/A
BACKGROUND
The Department of Public Works (DPW) continually strives to maintain and improve the vast network of public infrastructure in the unincorporated communities of the County of San Diego (County). This infrastructure includes 1,947 miles of roads, 208 bridges, 56 miles of guardrail, over 18,000 culverts, 208 traffic signals and a myriad of other facilities including traffic safety devices, airports, water and wastewater facilities, closed landfills, pathways, and sidewalks among others. DPW also develops improvements in our communities such as road widening, drainage and watershed protection, sidewalks, roundabouts, bridges, and related facilities for our growing communities. These capital projects serve the public by supporting the transportation of persons and goods throughout the county, sustaining jobs, encouraging business opportunities, and promoting safe, thriving, and sustainable communities. Infrastructure that is safe, accessible, thoughtfully planned, and well-maintained is essential to the quality of life for residents, businesses, and visitors in the county.
DPW develops projects that maintain and improve County infrastructure. Over the past several years, DPW has experienced increases in the size and number of capital projects as a result of new regulations and increased funding from federal, state, and local sources. At the federal level, DPW has already seen Federal Aviation Administration funding for County Airports quadruple and anticipates increases in transportation funding from the Bipartisan Infrastructure Law and the Infrastructure, Investment and Jobs Act. At the state level, funding increases greater than 25% have been observed with the Road Repair and Accountability Act. Local funding has also increased over the past several years as a result of water quality regulations and Transnet funding, a half-cent countywide sales tax administered by the San Diego Association of Governments, which has increased by over 45%. This growth, along with inflationary pressures, are driving the need for additional as-needed contracted professional service capacity to support the associated increase in projects and costs.
Each year DPW evaluates and updates the forecast of planned and potential capital projects. The capital project plan spans five years allowing DPW to maintain infrastructure efficiently in accordance with the County’s Strategic Initiatives. The current five-year capital project plan forecasts a funded budget of over $700 million, which is comprised of all project costs including staff, consultants, and construction among others. Historically, DPW has procured several consultant contracts for as-needed contracted professional services to meet project needs up to a maximum of $1 million per year per contract, which is within the Director of Purchasing and Contracting’s delegated authority under Administrative Code Section 401(b)(2). However, based on recent growth, the forecasted five-year capital project plan will require additional as-needed contracted professional services capacity to meet project needs.
While DPW manages numerous as-needed professional contracts that are necessary for the delivery of projects and services, this procurement is proposed for as-needed contracted professional services associated with the project design process. DPW relies heavily on as-needed contracted professionals to fulfill its mission to deliver the capital program each year and to support other County programs and initiatives. DPW’s capital program has more than doubled in the last 10 years and is forecasted to continue to grow with efforts to maintain aging infrastructure and deliver new projects and services to unincorporated communities. In addition to delivering capital projects that address aging roadway infrastructure, DPW also works to meet mandates to reduce stormwater pollution and carbon emissions, improve aging sewer and water systems, improve airport infrastructure, and responsibly manage closed landfills. DPW also supports other County initiatives with as-needed professional contracts, such as the Department of Planning and Development Services’ efforts around the Climate Action Plan and Development Feasibility Analysis.
Recent increases in DPW projects and project delivery requirements have prompted an increase of DPW engineering and project management positions, however these positions are not capable of sustaining the current and projected workload, which has increased the need for as-needed contracted professional services. As-needed contracted professional services offer many benefits such as providing greater flexibility in types of subject matter expertise that can change from one project to the next. Contracted staffing levels can also be adjusted quickly as work levels increase or decrease throughout the life of a project or when priorities change, which increases efficiency. DPW is not obligated to use any of the contract capacity awarded if budgets, priorities or other program changes occur. Awarded contracts also include language that helps minimize County liability for work done by as-needed contracted professionals reducing overall risk to the County.
The following list provides some examples of projects that are part of the capital project plan that may be supported by as-needed contracted professional services if this County Board of Supervisors (Board) action is approved.
|
Project |
District |
Community |
Estimated Construction Cost |
Estimated Completion Fiscal Year |
|
Intersection Improvements |
|
|
|
|
|
1. Jamacha Blvd and La Presa |
1 |
Spring Valley |
$850K |
FY24-25 |
|
2. Riverford Road Roundabouts |
2 |
Lakeside |
$12M |
FY27-28 |
|
3. Rancho Santa Fe Roundabouts |
3 |
Rancho Santa Fe |
$8M |
FY25-26 |
|
4. South Santa Fe at Buena Creek |
5 |
Twin Oaks |
$5.5M |
FY26-27 |
|
Maintenance |
All |
Various |
$14M (FY24-25) |
Ongoing |
|
Resurfacing |
All |
Various |
$66M (FY24-25) |
Ongoing |
|
Road Reconstruction |
|
|
|
|
|
5. Etcheverry Road Paving |
2 |
Ramona |
$700K |
FY25-26 |
|
6. Ashwood Street Corridor |
2 |
Lakeside |
$29M |
FY26-27 |
|
7. 2nd Street Road Gap |
2 |
Julian |
$1M |
FY26-27 |
|
8. Paseo Delicias Roadway Drainage |
3 |
Rancho Santa Fe |
$1.5M |
FY26-27 |
|
9. Sunset Avenue Retaining Wall |
4 |
Valle De Oro |
$600K |
FY24-25 |
|
10. Cole Grade Road |
5 |
Valley Center |
$19.1M |
FY25-26 |
|
11. Camino Del Rey Drainage |
5 |
Bonsall |
$7.5M |
FY26-27 |
|
Sidewalks |
|
|
|
|
|
12. Presioca Street |
1 |
Spring Valley |
$350K |
FY25-26 |
|
13. Tavern Road Sidewalk |
2 |
Alpine |
$1M |
FY24-25 |
|
14. Stagecoach Multi-Use Pathway |
5 |
Fallbrook |
$8M |
FY25-26 |
|
Traffic Signals |
|
|
|
|
|
15. Lake Jennings Park Road |
2 |
Lakeside |
$900K |
FY24-25 |
|
16. Oleander Ave and Poinsettia |
5 |
N. County Metro |
$950K |
FY25-26 |
|
17. Stage Coach Lane |
5 |
Fallbrook |
$850K |
FY26-27 |
|
18. Fallbrook Street / Old Stage Road |
5 |
Fallbrook |
$750K |
FY25-26 |
|
Watershed Protection |
All |
Various |
|
|
This is a request for the Board to authorize issuance of a Request for Statement of Qualifications to negotiate and award up to four contracts for as-needed contracted professional services. The maximum combined amount for the contracts is estimated at $10 million annually for a one-year initial term with four one-year options for a total capacity not to exceed $50 million over a five-year period.
ENVIRONMENTAL STATEMENT
CEQA Guidelines Section 15060(c)(3) exempts activities from CEQA review that are not considered projects as defined by CEQA Guidelines Section 15378, such as government funding or fiscal activities that do not involve commitment to a specific project that may result in a potentially significant physical impact to the environment. Today’s action seeks Board of Supervisors authorization to issue a Request for Statement of Qualifications and negotiate and award consulting contracts. It does not guarantee that any projects will be constructed. Once future projects are ultimately selected and proposed, they would be subject to further CEQA review prior to construction. As such, the proposed action is a funding or fiscal activity exempt from CEQA review by Section 15060(c)(3) of the CEQA Guidelines.
LINKAGE TO THE COUNTY OF SAN DIEGO STRATEGIC PLAN
These recommendations align with the County of San Diego’s (County’s) 2024-2029 Strategic Plan by implementing the Community strategic initiative. Use of consultants in project delivery aids in capital project delivery by providing expertise in subject matters that are of interest to the public. Procuring as-needed contracted professional services to ensure timely project delivery will also fulfill the County’s commitment to Community Safety, Quality of Life, and Partnership. Projects on which as-needed contracted professionals contribute deliver safety and mobility improvements that enhance the community’s well-being and protect our environment.
Respectfully submitted,
AMY HARBERT
Interim Deputy Chief Administrative Officer
ATTACHMENT(S)
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