PORT OF SEATTLE
MEMORANDUM
COMMISSION AGENDA
Item No.
5a
Date of Meeting
November 1, 2011
DATE: October 21, 2011
TO: Tay Yoshitani, Chief Executive Officer
FROM: Wayne Grotheer, Director, Aviation Project Management Group
SUBJECT: Indefinite Delivery Indefinite Quantity (IDIQ) contracts for (a) Mechanical and
Electrical Engineering Design Services and (b) Commissioning Services.
Amount of This Request: $0 Source of Funds: Current and Future Operating Budgets;
Future Individual Project Authorizations
Maximum Value of Mechanical & Electrical Design IDIQ: $8,000,000
Maximum Value of Commissioning IDIQ: $2,000,000
Total Maximum Value: $10,000,000
ACTION REQUESTED:
Request Port Commission authorization for the Chief Executive Officer to execute the following
contracts: (1) up to two IDIQ contracts for mechanical and electrical design services for a total
maximum value of $8,000,000 and (2) up to two IDIQ contracts for commissioning design
services for a total maximum value of $2,000,000. Each contract will have a contract ordering
period of three years. No funding is associated with this authorization.
SYNOPSIS:
There are a number of Airport mechanical and electrical projects scheduled over the next three
years which will require design and construction support by consultants. Typical projects are:
Permanent Electrical Backup Power, Main Terminal HVAC Upgrades, Upgrade Main Terminal
Pump Station, Electrical Feeder 101 Tap Replacements, Garage and Main Terminal Lighting
Upgrades, Industrial Waste System Upgrades, Facility Monitoring System Controls Upgrades,
and a variety of as yet unidentified similar projects.
The mechanical and electrical engineering IDIQ contracts would be used for future mechanical
and electrical system upgrades of existing systems, designing new systems, and for renewal and
replacement projects. There may be some architectural, structural/civil, and acoustical ancillary
design services associated with each project.
Commissioning services will include, but not be limited to, developing commissioning criteria
and commissioning plans for the contract documents for all types of new projects, as well as
field verification of each system’s performance prior to acceptance of the project.
COMMISSION AGENDA
Tay Yoshitani, Chief Executive Officer
October 21, 2011
Page 2 of 4
The specific scope of work to be accomplished for each project shall be identified in a service
directive.
We anticipate a number of small business opportunities. The Office of Social Responsibility
(OSR) ensures effective outreach strategies to increase participation by small and disadvantaged
businesses in procurement and contracting. OSR has performed an availability analysis based on
the scope of work and established a goal of two small contractors and suppliers (SCS) firms for
the mechanical and electrical engineering procurement. OSR has determined that there will be
no SCS goal for the commissioning procurement.
BACKGROUND:
Mechanical and electrical system projects are being planned for the future. Most of the projects
have commonality of scope, which allows for design and construction support needs to be met by
the IDIQ. Most electrical and mechanical construction contracts require that commissioning
criteria be established and performed by an independent third party to ensure full functionality of
the end product. There will be separate IDIQs for the mechanical and electrical design and the
commissioning services.
The not-to-exceed cost for each mechanical and electrical design contract is $4,000,000 for each
contract for a total maximum value of $8,000,000. If only one outstanding proposal is received,
a single contract for $8,000,000 may be awarded. The contract will have a contract ordering
period up to three years (one year contract with two one-year options), during which time the
Port may issue service directives. The actual contract duration may extend beyond three years in
order to complete work started or ordered in a service directive. A service directive may be
issued only during the contract ordering period.
PROJECT JUSTIFICATION:
IDIQ contracts provide the Port with the flexibility to meet business requirements as they arise
by issuing individual service directives to accomplish tasks within a general, pre-defined scope
of work on an as-needed basis for a fixed period of time and a maximum contract amount.
Competitively bid IDIQ contracts are a widely used public sector contracting tool, consistent
with the Port’s Resolution No. 3605, as amended, and governed by CPO-1 policy.
Project Objectives:
As stated above, mechanical and electrical system projects are being planned for the future. Of
these future projects, most have commonality of scope, which could allow for their design and
construction support needs to be met by the IDIQ contracts rather than individual design and
construction support contracts per project. The IDIQ allows us to work with up to two design
teams and two commissioning teams, which greatly improves continuity of services.
Based upon the Port’s experience with previous projects it is desirable to obtain an independent
and unbiased commissioning authority perspective other than from the contractor or design
team. Since the Port does not have in-house resources to provide commissioning services, it
typically pursues a contract with an independent commissioning authority in support of the
project.
COMMISSION AGENDA
Tay Yoshitani, Chief Executive Officer
October 21, 2011
Page 3 of 4
PROJECT SCOPE OF WORK AND SCHEDULE:
Scope of Work:
This request will support the future needs to modify or replace components of mechanical and
electrical systems that have reached the end of their useful life or need to be modified or
expanded to support added customer requirements. It will provide design documents and
construction support of identified mechanical and electrical projects in addition to unknown pop-
up projects that may occur. Mechanical projects may include, but not be limited to the
following: Central Plant facilities, people and baggage conveyance systems, fire protection
systems, heating ventilation and air conditioning (HVAC) systems, stormwater treatment and
handling systems, hydraulic systems, pipe distribution systems, sanitary sewer system, controls,
plumbing and water distribution systems, passenger loading bridges, gangways, industrial waste
system upgrades, studies and lifecycle cost analyses and infrastructure upgrades to support
Airline Realignment projects. Electrical projects may include, but not be limited to: permanent
emergency generator power systems, power system feeder tap replacements, upgrading or
modifying power distribution systems, including feeders to facilities, power distribution projects,
addition of 3
rd
and 4
th
point connectors, modifications to the airfield power system, and
infrastructure upgrades to support Airline Realignment projects. Each contract will allow scope
for architectural, structural, civil, fire protection, acoustical and other ancillary design services
related to the mechanical and electrical project.
The commissioning IDIQ contracts will provide commissioning services for various projects.
During pre-construction, the consultant will review and provide comment on 60%, 90%, and
100% design drawings and specifications; prepare commissioning, training, operations and
maintenance specifications in accordance with the Port’s master specifications; develop the
Commissioning Plan; and prepare documents in support of LEED© certification where
applicable. During construction, the commissioning consultant will coordinate with the
contractor to implement the Commissioning Plan including the review and approval of
equipment submittals, installation and operational checklists, functional performance testing
criteria, and acceptance testing procedures; provide the Draft Commissioning Report for building
temporary certificate of occupancy; and prepare documents in support of LEED© certification
where applicable. Post-construction services will include a review of the contractor-provided
operation and maintenance manuals for consistency with the commissioning process; coordinate
and oversee the contractor provided equipment and system training; and provide the Final
Commissioning Report.
Schedule:
It is estimated that the contract will be executed by April 2012 and have a three-year ordering
period. The contract duration may extend beyond that period to allow work to be completed.
FINANCIAL IMPLICATIONS:
The total estimated cost for mechanical and electrical services will have a total maximum value
of $8,000,000. The total estimated cost for commissioning services will have a total maximum
value of $2,000,000. No work is guaranteed to the consultant, and the Port is not obligated to
COMMISSION AGENDA
Tay Yoshitani, Chief Executive Officer
October 21, 2011
Page 4 of 4
pay the consultant until a service directive is executed. The budget for work performed under
this contract will come from individual authorizations for capital project work.
ENVIRONMENTAL SUSTAINABILITY/COMMUNITY BENEFITS:
Each project will identify environmental sustainability and community benefits as part of its
authorization.
STRATEGIC OBJECTIVES:
Each project will identify Port strategic objectives as part of its authorization.
BUSINESS PLAN OBJECTIVES:
Each project will identify Aviation business plan objectives as part of its authorization.
TRIPLE BOTTOM LINE SUMMARY:
Each project will identify a triple bottom line summary as part of its authorization.
ALTERNATIVES CONSIDERED/RECOMMENDED ACTION:
Alternative 1 - Prepare a single procurement for identified mechanical and electrical design
services and a single procurement for commissioning services for the Port of Seattle. This
alternative would provide a higher degree of integrity in planning for design and minimize the
number of procurement processes necessary for timely completion of projects. This is the
recommended alternative.
Alternative 2 - Prepare separate procurements for each project. This alternative would require
many more procurement processes, add more time to projects, and increase administrative costs
in order to hire consultant design teams for each project. Project integration would be more
difficult to achieve. This is not the recommended alternative.
OTHER DOCUMENTS ASSOCIATED WITH THIS REQUEST:
None.
PREVIOUS COMMISSION ACTION:
No previous Commission action.
