HomeMy WebLinkAbout1997-04-14MINUTES
CITY COUNCILIREDEVELOPM ENT AGENCY
CITY OF HUNTINGTON BEACH
5:00 PM - Council Chamber
Huntington Beach, California
Monday, April 14, 1997
A video tape recording of this meeting is
on file in the Office of the City Clerk
CALL TO ORDER
Mayor Bauer called the adjourned regular meetings of the City Council, Redevelopment
Agency, Public Financing Authority, and Parking Authority of the City of Huntington Beach -to
order at 5:00 p.m. in the Council Chamber.
PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by Mayor Bauer.
CITY COUNCIL/REDEVELOPMENT AGENCY/PUBLIC FINANCING AUTHORITYIPARKING
AUTHORITY ROLL CALL
Present: Harman, Dettloff, Bauer, Green, Garofalo
Absent: Julien, Sullivan
LATE COMMUNICATIONS ANNOUNCED BY THE CITY CLERK
Pursuant to the Brown (Open Meetings) Act, the City Clerk announced the following late
communications regarding Agenda Items which had been received following the distribution of
the agenda:
Communication from Ernest C. Brown, Hearing Officer, dated April 11, 1997 regarding the Bid
Protest Hearing, Findings of Fact and Conclusions of Law regarding the Pier Plaza
Improvement Project (Coastal Side of Pacific Coast Highway from 1st Street to 7th Street,
Huntington Beach), CC-1029
Proposal by Concept Marine Company to Provide Professional Construction Management
Consulting Services dated August 22, 1996
Slide Report Pier Plaza Project1800 MHz Countywide Public Safety Communications System
Project
Page 2 - Council/Agency Minutes - 04/14/97
PUBLIC COMMENTS ON CLOSED SESSION
There were no persons present to address Council regarding the closed session items
scheduled on the agenda.
MOTION TO RECESS CITY COUNCIL/REDEVELOP MENT AGENCY/PUBLIC FINANCING
AUTHORITYIPARKING AUTHORITY TO CLOSED SESSION - APPROVED (120.80)
A motion was made by Harman, second Dettloff, to recess the City Council, Redevelopment
Agency, Public Financing Authority, and Parking,Authority to closed session to confer with its _
City Attorney regarding pending litigation pursuant to Government Code
Section 54956.9(b)(3)(B). (Facts and circumstances, including, but not limited to, an accident,
disaster, incident, or transactional occurrence that might result in litigation against the agency
and that are known to a potential plaintiff or plaintiffs, which facts or circumstances shall be
publicly stated on the agenda.) Subject: Pier Plaza Bid Protest. The motion carried
unanimously with Councilmembers Julien and Sullivan absent.
The Pier Plaza Project consists of parking lots north and south of the Huntington Beach Pier, a
plaza and amphitheater at the foot of the pier, a beach restroom/concession building, and
replacing the existing restaurant building at the base of the pier with a building pad for a new
restaurant. An invitation for bids to construct the Project was advertised on February 4, 1997.
The bid package included "deductive alternatives" for certain elements of the Project, such as
using masonry instead of poured -in -place concrete for the sand walls (Alternative "A") and the
parking lot walls (Alternative "B"). In this way the City could reduce the cost of the Project by
altering the Project design. Bids were received from ten different firms. City staff then
tabulated each of the base bids and deductive alternatives submitted. Roman ECD was the
lowest base bidder at $5,200,000, which exceeded the Project budget of $4,850,000. City
staff then announced its intention to recommend that the City Council award the Project to
Valley Crest Landscape, Incorporated which had the lowest bid for the combination of
Deductive Alternatives "A-B" at $4,875,000. On March 17, 1997, the California Court of
Appeal published its decision in FTR International v. City of Pasadena. This case holds that
the use of deductive alternatives by the City of Pasadena was invalid. Based upon this
decision, Roman filed a bid protest on March 19, 1997 and requested a hearing on the matter.
The hearing was held on April 8, 1997. The hearing officer's decision is expected to be made
available to the city by 5:00 p.m. on April 11, 1997. However, the attorney for Roman informed
representatives of the city after the close of the April 8th hearing that Roman intended to sue
to enjoin the award of any contract to Valley Crest even if the hearing officer's report rejects
the bid protest. The purpose of the closed session is to review the city's legal options should
Roman file suit.
RECONVENE
The Mayor reconvened the adjourned regular meetings of the City Council, Redevelopment
Agency, Public Financing Authority, and Parking Authority with all Councilmembers recorded
as present with the exception of Councilmembers Julien and Sullivan.
04/14/97 - City Council/Redevelopment Agency Minutes - Page 3
PUBLIC COMMENTS
There were no persons present to address Council regarding the items scheduled on the
agenda.
(CITY COUNCIUPARKING AUTHORITY) PIER PLAZA - CC-1039 - BID AWARD TO VALLEY
CREST LANDSCAPE - APPROVED - HEARING OFFICER RECOMMENDATION
REGARDING BID PROTEST ADOPTED - APPROVAL OF PROFESSIONAL
CONSTRUCTION MANAGEMENT SERVICES - CONCEPT MARINE ASSOCIATES,
INCORPORATED
The City Council and Parking Authority members considered a communication from the Public
Works Director and the Community Services Director submitting the question of whether the
city should award the construction contract to the lowest responsible/responsive bidder from
the list of bidders who submitted sealed bids to the Office of the City Clerk on March 12, 1997
for the Pier Plaza, CC-1029 and award a professional consultant contract for professional
Construction Management Services associated with the construction of Pier Plaza, or should
the city reject all ten bids received and re -advertise an amended bid.
The Community Services Director presented a staff report using slides. He presented an
overview of the Pier Plaza Project, public development, Pier Plaza amphitheater, private
development, Pier Plaza restaurant (Duke's), the public cost for Pier Plaza, public financing for
Pier Plaza, and the Pier Plaza construction bids. He informed Council that bids were received
on March 12, 1997 and the recommendation to Council was Deductive Alternatives "A and B,"
lowest construction cost - $4,875,000 - "A": Masonry sand walls versus Precast and "B":
Masonry retaining walls versus Precast. He informed Council that one bidder had filed a
protest and the hearing on the protest had been held April 8, 1997. The Community Services
Director informed Council the city bid process had been declared valid by the hearing officer
and it was recommended that Council award the contract to Valley Crest.
A motion was made by Harman, second Garofalo, to approve Alternative Motion Scenario "A":
1. Approve the low bid, Deductive Alternative ("A-B") combination, submitted by Valley Crest
Landscape, Incorporated, 1920 South Yale Street, Santa Ana, CA 92704 and authorize the
Mayor and City Clerk to execute the construction contract for the Pier Plaza Project,
CC-1029, for a total bid amount of $4,875,000;
2. Approve the transfer of all remaining unused Certificates of Participation (COP) funds, Park
Bond funds, and Parking Authority funds to the Pier Plaza Fund for the Pier Plaza Project,
CC-1029;
3. Approve an amendment to the current year budget by appropriating $6,283,417 for the
purpose of construction of the Pier Plaza Project (total Pier Plaza Project cost of
$6,355,000 less $71,583 already budgeted);
4. Authorize the Public Works Department to expend a total of $5,949,520 to cover the
contract amount of $4,875,000, estimated construction contingency of $487,500, and
supplemental expenditure of $587,020;
Page 4 - Council/Agency Minutes - 04/14/97
5. Approve staff's selection of Concept Marine Associates, Incorporated (a Construction
Management Firm) to perform the work as outlined in the Request for Proposals fcr
Professional Construction Management Services dated August 1996; and
6. Approve the attached professional services contract with Concept Marine Associates,
Incorporated and authorize the Director of Public Works to expend $330,480 to cover
contract costs of $300,435 and estimated construction contingency of $30,045.
The motion carried by the following roll call voter
AYES: Harman, Dettloff, Bauer, Green, Garofalo
NOES: None
ABSENT: Julien, Sullivan
(CITY COUNCILIPUBLIC FINANCING AUTHORITY) PUBLIC FINANCING AUTHORITY
RESOLUTION NO. 11 - ADOPTED - AUTHORIZING ISSUANCE OF REVENUE BONDS AND
CITY COUNCIL RESOLUTION NO. 97-25 - ADOPTED - APPROVING ISSUANCE OF
REVENUE BONDS - GRANT DEED - APPROVED - APPROVED DEBT FINANCING, OF A
PORTION OF COSTS OF PIER PLAZA CONSTRUCTION1800 MHz COUNTYWIDE PUBLIC
SAFETY COMMUNICATIONS SYSTEM PROJECTS (330.30)
The City Council and the Public Financing Authority considered a communication from the
Community Service Director informing Council that in order to finance the construction of the
Pier Plaza and the 800 MHz Countywide Public Safety Communications System, actions are
required by the Council and the Public Financing Authority to approve the issuance of long
term debt for a portion of the project costs.
Bob Franz, Deputy City Administrator/Administrative Services Director, reported on the
800 MHz Countywide Public Safety Communications System Project utilizing slides. His report
included 800 MHz project cost, financing the city's 800 MHz cost, the proposed debt issue, and
a summarization of the recommended action to the City Council.
Discussion was held regarding funding issues relative to the oil spill litigation monies which are
to be distributed.
The Community Services Director responded to Councilmember Garofalo's question regarding
issues relating to the financing and interest rates encountered by the company who will build
the restaurant.
A motion was made by Harman, second Green, to approve the following recommended
actions:
Adopt Public Financing Authority Resolution No. 11 - "A Resolution Of The Huntington Beach
Public Financing Authority Authorizing The Issuance, Sale And Delivery Of Not To Exceed
$8,200,000 Principal Amount Of Lease Revenue Bonds, 1997 Series A (Public Facilities
Project), Approving Distribution Of The Preliminary Official Statement Relating Thereto,
Authorizing And Approving Certain Documents In Connection With The Issuance, Sale And
Delivery Of Said Bonds, And Providing Other Matters Properly Relating Thereto."
3
04/14/97 - City Council/Redevelopment Agency Minutes - Page 5
Accept the grant of the Central Library parcel to the City of Huntington Beach and authorize
the Mayor and City Clerk to execute same and acceptance of said deed by the City Clerk on
behalf of the city.
Adopt City Council Resolution No. 97-25 - "A Resolution of the City Council of the City of
Huntington Beach Approving the Issuance of Not to Exceed $8,200,000 Huntington Beach
Public Financing Authority Lease Revenue Bonds, 1997 Series (A Public Facilities Project),
Approving the Preliminary Official Statement, Authorizing and Approving Certain Documents in
Connection with the Issuance, Sale and Delivery of Said Bonds and Providing Other Matters
Properly Relating Thereto."
Appropriate $1,215,271 for the 1996/97 unbudgeted costs for the 800 MHz Public Safety
Communications System ($1,730,000 was budgeted in 1996/97 compared to current estimated
total payments of $3,045,271 for this fiscal year).
The motion made by Harman, second Green, carried by the following roll call vote:
AYES: Harman, Dettloff, Bauer, Green, Garofalo
NOES: None
ABSENT: Julien, Sullivan
ADJOURNMENT - CITY COUNCIL/REDEVELOPMENT AGENCYIPUBLIC FINANCING
AUTHORI!TYIPARKING AUTHORITY
The Mayor adjourned the adjourned regular meetings of the City Council, Redevelopment
Agency, Public Financing Authority, and Parking Authority of the City of Huntington Beach at
5:55 p.m. to Monday, April 21, 1997 at 5:00 p.m. in Room B-8, Civic Center, 2000 Main Street,
Huntington Beach, California.
ATTEST:
City C rk and ex-officio Clerk oehe City
Council of the City of Huntington Beach
and Clerk of the Redevelopment Agency
of the City of Huntington Beach, California
City Clerk/Clerk Mayor/Chairman