HomeMy WebLinkAbout11 - Cathodic Protection Upgrades Project — Award of Contract No. 9483-2 (24W11)Q �EwPpRT
CITY OF
s NEWPORT BEACH
`q44:09 City Council Staff Report
October 28, 2025
Agenda Item No. 11
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY: Michael J. Sinacori, Assistant City Engineer - 949-644-3342,
msinacori@newportbeachca.gov
TITLE: Cathodic Protection Upgrades Project — Award of Contract No. 9483-
2 (24W 11)
ABSTRACT:
The City of Newport Beach (City) received construction bids for the Cathodic Protection
Upgrades Project and staff requests City Council approval to award the construction
contract to Teichert Energy & Utilities Group, Inc. of Roseville. This project will upgrade
the corrosion protection for water transmission main pipelines that distribute water from
the City's water wells throughout the water system. Work consists of installing new buried
sacrificial anodes, cathodic protection test stations and isolating flange kits.
RECOMMENDATIONS:
a) Find this project exempt from the California Environmental Quality Act (CEQA)
pursuant Section 15301(b), Class 1 (operation, repair, maintenance, permitting,
leasing, licensing, or minor alteration of existing public structures, facilities,
mechanical equipment, or topographical features, involving negligible or no expansion
of existing or former use) of the CEQA Guidelines, because this project has no
potential to have a significant effect on the environment;
b) Approve the project plans and specifications;
c) Approve Budget Amendment No. 26-035 transferring $701,593.80 from account
70201931-980000-26W 12 and $1,201,266.08 from account 70201931-980000-
16W12 to account 70201931-980000-24W11 for the Cathodic Protection Upgrades
Project;
d) Award Contract No. 9483-2 to Teichert Energy & Utilities Group, Inc. for the total bid
price of $3,673,467 for the Cathodic Protection Upgrades Project, and authorize the
Mayor and City Clerk to execute the contract; and
e) Establish a contingency of $367,000 (approximately 10% of the total bid) to cover the
cost of unforeseen work not included in the original contract.
Cathodic Protection Upgrades Project — Award of Contract No. 9483-2 (24W 11)
October 28, 2025
Page 2
DISCUSSION:
The proposed project has been broken down into 10 plan sets due to the multiple water
transmission main pipelines that the City maintains, see Attachment A for the Location
Map. The pipelines are concrete coated and cement mortar lined steel pipe (CC&ML) and
ductile steel pipe. The base bid includes eight plan sets, while the other two plan sets are
additive. The work included in this contract consists of traffic control; saw cutting,
excavation, removal, and restoration of the roadway, parkway, and sidewalks; furnishing,
installing and testing of the new cathodic protection systems and replacements, and all
associated cathodic protection facilities. The work also includes applying for and obtaining
all applicable encroachment permits from the City of Fountain Valley, the City of Costa
Mesa, the City of Huntington Beach, the County of Orange and the Orange County
Sanitation District. Staff intends to award all ten plan sets.
At 10 a.m. on October 7, 2025, the City Clerk opened and read the following bids for this
project:
BIDDER
TOTAL BID AMOUNT
Low
Teichert Energy & Utilities Group, Inc.
$ 3,673,467.00
2nd
Corrpro Companies Inc.
$ 3,806,172.00
3rd
TE Roberts Inc.
$ 4,379,107.00
4th
Calpromax Engineering, Inc.
$ 5,789,000.00
5th
EXARO Technologies Corporation
$ 6,229,298.81
The City received five bids for this project. The apparent low bidder, Teichert Energy &
Utilities Group, Inc., possesses a California State Contractor's License Classification "A",
and their affiliate, Teichert Electrical, Inc., possesses a "C-10" license as required by the
project specifications. A review of references for Teichert Energy & Utilities Group, Inc.
shows satisfactory completion of similar contracts for other municipalities.
The low bid came in at approximately 6% below the engineer's estimate of $3,900,000.
The mobilization costs were lower than the engineer's estimate for all ten plan sets.
Pursuant to the contract specifications, the contractor will have 250 consecutive working
days to complete the work. Work is scheduled to begin January 2026.
The project plans and specifications are available for review at this October 28, 2025
City Council meeting or upon request.
FISCAL IMPACT:
Upon approval of the proposed Budget Amendment and with the adopted Fiscal Year
2025-26 Capital Improvement Program budget, sufficient funding is available for the
award of this contract. The Budget Amendment transfers $701,593.80 from Water Capital
Fund account 70201931-980000-26W 12 and $1,201,266.08 from account 70201931-
980000-16W 12, to account 70201931-980000-24W 11.
11-2
Cathodic Protection Upgrades Project — Award of Contract No
The following funds will be expended:
Account Description
Water Capital Master Plan
Proposed fund uses are as follows:
Teichert Energy & Utilities Group, Inc
Teichert Energy & Utilities Group, Inc
. 9483-2 (24W 11)
October 28, 2025
Page 3
Account Number Amount
70201931-980000-24W 11 $ 4,040,467
Total: $ 4,040,467
Purpose Amount
Construction Contract $ 3,673,467
Construction Contingency $ 367,000
Total: $ 4,040,467
The Water Enterprise Fund generates revenue primarily through water rates collected
from service users.
Staff recommends establishing $367,000 (approximately 10% of the total bid) for
contingency purposes and unforeseen conditions associated with construction.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this project exempt from the California
Environmental Quality Act (CEQA) pursuant to Section 15301(b), Class 1 (operation,
repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public
structures, facilities, mechanical equipment, or topographical features, involving
negligible or no expansion of existing or former use) of the CEQA Guidelines, California
Code of Regulations, Title 14, Chapter 3, because this project has no potential to have a
significant effect on the environment.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A — Location Map
Attachment B — Budget Amendment
11-3
ATTACHMENT A
EXHIBIT A
(240 & 3GH IN FV)
EXHIBIT E -\
( 4' ON IRMNE)
- HIBIT G
EX-IIBIT B (18' ON JAMBOREE)
(36' IN H B) EXHIBIT C
(36' ON 1 6 th)
REACH #1
(W_S- NB) EH BIT F
(24° ON IRMNE & DOVER)
PACIFIC OCEAN EXHIBIT D E _iIBIT H (CDM)
�(24" ON NEWPORT)
PLAN LOCATION EXHIBIT I (1$" ON EOF-)
VICINITY MAP
NOT TO SCA, r
CATHODIC PROTECTION UPGRADES PROJECT
CITY OF NEWPORT BEACH
PUBLIC WORKS DEPARTMENT
LOCATION MAP
C-9483-2 124W 11 110/28/25
�d�PORT
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Department: Public Works
Requestor: Theresa Schweitzer
ATTACHMENT B
City of Newport Beach
BUDGET AMENDMENT
2025-26
❑ CITY MANAGER'S APPROVAL ONLY
M COUNCIL APPROVAL REQUIRED
ONETIME: 0 Yes ❑ No
Clerk:
Finance Director:
To transfer budget from 70201931-980000-26W12 and 70201931-980000-16W12 to 70201931-980000-24W11 for the
Cathodic Protection Upgrades Project.
BA#: 26-035
Date
Date 1011
Date (p
❑✓ from existing budget appropriations
❑ from additional estimated revenues
❑ from unappropriated fund balance
REVENUES
Fund #
Org
Object
Project
Description
Increase or (Decrease) $
Subtotal
$
EXPENDITURES
Fund #
Org
Object
Project
Description
Increase or (Decrease) $
702
70201931
980000
26W12
DISTRIBUTION & PIPING - CIP EXPENDITURES FOR GL
(701,593.80)
702
70201931
980000
16W12
DISTRIBUTION & PIPING -
CIP EXPENDITURES FOR GL
(1,201,266.08)
702
70201931
980000
24W11
DISTRIBUTION & PIPING -
CIP EXPENDITURES FOR GL
1,902,859.88
Subtotal
$
Net Transfer
$1,902,859.88
FUND BALANCE
Fund #
Object
Description
702
300000
WATER CAPITAL FUND -
FUND BALANCE CONTROL
Subtotal
$
No Change In Fund Balance
11-5