HomeMy WebLinkAbout2019-08-28 e-packet@6:01Wednesday, August 28, 2019
6:01 PM
City of South San Francisco
P.O. Box 711 (City Hall, 400 Grand Avenue)
South San Francisco, CA
Municipal Services Building, Council Chambers
33 Arroyo Drive, South San Francisco, CA
Joint Special Meeting City Council and Successor Agency
Special Meeting Agenda
August 28, 2019Joint Special Meeting City Council
and Successor Agency
Special Meeting Agenda
NOTICE IS HEREBY GIVEN, pursuant to Section 54956 of the Government Code of the State of
California, that the Successor Agency to the City of South San Francisco Redevelopment Agency and the City
Council will hold a Joint Special Meeting on Wednesday, August 28, 2019, at 6:01 p.m., in the Municipal
Services Building, Council Chambers, 33 Arroyo Drive, South San Francisco, California.
Purpose of the meeting:
Call to Order.
Roll Call.
Agenda Review.
Public Comments - comments are limited to items on the Joint Special Meeting.
ADMINISTRATIVE BUSINESS
Kilroy Oyster Point Construction Project Quarterly Report Q2 2019 (April 2019 -
June 2019) for Fiscal Year 2018 - 2019. (Eunejune Kim, Public Works Director,
Kilroy/Cumming Representatives)
1.
Adjournment.
Page 2 City of South San Francisco Printed on 10/4/2019
City of South San Francisco
Legislation Text
P.O. Box 711 (City Hall, 400
Grand Avenue)
South San Francisco, CA
File #:19-70 Agenda Date:8/28/2019
Version:1 Item #:1.
Kilroy Oyster Point Construction Project Quarterly Report Q2 2019 (April 2019 -June 2019)for Fiscal Year
2018 - 2019.(Eunejune Kim, Public Works Director, Kilroy/Cumming Representatives)
RECOMMENDATION
Kilroy /Cumming will present to the Successor Agency,to the Redevelopment Agency,and City Council,
the Kilroy Oyster Point construction project Quarterly Report Q2 for 2019.Staff recommends the City
Council receive the information. There is no action requested.
BACKGROUND/DISCUSSION
The Kilroy Oyster Point project has been under construction since late 2017 and is a joint project between the
Successor Agency to the Redevelopment Agency and developer, Kilroy. This development was entitled in 2011
for 2.25 million square feet of new office/research; new hotel site; new park, bay trail, beach area and
infrastructure to support the development. The current operations include landfill modifications and earthwork
to prepare the site for development. The difficult and unique grading operations required to modify the existing
landfill in accordance with environmental regulations are nearly complete within the project site. The new
grading elevations are designed to accommodate long term settlement, sea level rise, utility infrastructure and
building development. The completed grading operations include Developer parcel 1D located on the
southwest side of the project and Successor Agency land 1C, hotel site, and recreational parcels on the east side
of the project.
The contractor will continue installation of new backbone infrastructure, which includes new utilities and
roadway over the next year. City staff and the project team have been coordinating with Calwater to obtain
drinking water conveyance design approval from the Department of Drinking Water (DDW). Calwater will
own and operate the potable water infrastructure. Grading for the new recreational trail along the shoreline to
accommodate sea level rise will occur next year.
Kilroy,the developer,with their Program Manager,Cumming,is managing the construction project as outlined
in the Agreement for Development Management Services Agreement (DMSA).
Budget
Payments and progress to date on construction commitment are for completion of the grading operations, refuse
relocation, building demolition, temporary road, CCIP insurance coverage, and Title 27 grading. Soft cost
payments to date include legal services, community outreach, professional services contracts, permitting, and
agency and developer project cost and construction management. Payments to date on Phase IC for both hard
and soft costs are $31.1M out of a total approved budget of $62.2M.
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File #:19-70 Agenda Date:8/28/2019
Version:1 Item #:1.
Change Order Status
Owner’s Contingency of $1,023,893 remains unutilized. Construction Contingency, currently sits at
$1,180,250, with ($2,0550,201) having been approved for expenditure on the Generator Temporary Power
Solution, Public Restroom Safety Measures and Temporary Road Public Safety Concerns and Road Widening
resolutions. Additional exposures exist for the following identified issues on site:
·Excess refuse on site requiring off haul
·Saturated refuse on site is unstable and unsuitable for use as the foundation layer
·Cement treatment to stabilize saturated refuse
·Import of additional clay cap material and cover soil
FISCAL IMPACT
There is no fiscal impact.
CONCLUSION
Quarterly reports will be presented to the Successor Agency and City Council throughout construction,which is
targeted for completion before the end of 2021.
Attachments:
1.Cumming - KOP Quarterly Report - 2019 Q2
2.KOP - Quarterly Report // Q2 2019 - Update Presentation
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Project: Kilroy Oyster Point Date: August 20, 2019
Subject: Quarterly Report – 2019 Q2 Report No: 5
Costs in this report are reflective of the figures provided by the City to the Oversight Board on January 14, 2019
Page 1 of 3
1.Project Progress / Scope
1.1 Schedule Update
•Current schedule indicates completion of key project milestones as follows:
o New Oyster Point Blvd – Stage 1 – July 2020;
o Decommission of Oyster Point Blvd and Switchover to New Road – December 2020;
o New Oyster Point Blvd – Stage 2 – April 2021;
o Landscaping and Overall Completion – November 2021.
1.2 Completed Work
•Gabion retaining wall is complete at the Point.
•Engineered fill placed in utility corridor at Oyster Point Blvd and Marina Blvd.
•Fine grading, gravity sewer line and storm drain are completed at the Hub.
•Public concerns continue to be addressed, including:
o Monitoring air quality
o Increased traffic control signage and manpower
o Car wash plan for residents
1.3 Current Work
•Remaining landfill relocation and grading for the Phase IID.
•Design Development of the Public and Marina Restrooms is underway.
•Pump Station #1 – design finalized and issued for bid.
•Installation of the storm drain system at the Point.
1.4 Upcoming Work
During the upcoming quarter, the project team will focus on the scope of work summarized in Table 1:
Table 1: Upcoming Work
Milestone Description
Pump Station Contract award for construction of new pump station and decommissioning of previous pump station – by
end September 2019.
DDW Final approval of drinking water conveyance design from DDW, expected early September 2019.
CalWater Mainline
Installation
Work to begin September 2019.
Dry Utilities Joint trench installation will begin in October 2019.
PG&E - Energization Energization pending for temporary power, which will eliminate current use of generators powering HD.
Attachment 1 - KOP Quarterly Report - 2019 Q2
Project: Kilroy Oyster Point Date: August 20, 2019
Subject: Quarterly Report – 2019 Q2 Report No: 5
Costs in this report are reflective of the figures provided by the City to the Oversight Board on January 14, 2019
Page 2 of 3
2. Risk Items
2.1 Utility Coordination
• DDW (Department of Drinking Water) Approval
o Final approval from DDW is consistently an area of risk and concern.
• Temporary Power Energization
o PG&E has missed multiple dates for connection.
• Permanent Power Design
o Radius LLC (Utility Engineer) and PG&E continue to coordinate final PG&E design.
3. Project Cost Updates
Current project completion is tracking at 48% overall on expenditure against the complete Teichert contract (Phase IC, ID & IID), while the project
schedule has progressed to 43% completion. Completion is tracking well against overall contract disbursements, as the expenditure curve begins
to plateau during utility and hard scape construction.
Soft cost burn rates have slowed as design has been finalized and on-going project management continues. Hard costs have been fully
committed with payments tracking well against forecasts.
Project: Kilroy Oyster Point Date: August 20, 2019
Subject: Quarterly Report – 2019 Q2 Report No: 5
Costs in this report are reflective of the figures provided by the City to the Oversight Board on January 14, 2019
Page 3 of 3
4. Change Order Status
Owner’s Contingency of $1,023,893 remains unutilized.
Construction Contingency, originally $3,235,251, has a balance of $1,180,250 after having utilized $2,055,001 to date for unforeseen and
approved changes 001 – 021, related to temporary power solutions, public restroom and temporary road safety concerns, road widening
resolutions and gabion retaining wall modifications.
On-going change management continues with respect to the following identified items on site:
1) Remaining excess refuse on site requiring relocation;
2) Cement treatment to stabilize saturated refuse in place to use as foundation layer;
3) Import of additional clay cap material and cover soil;
The cost implications of these issues have been estimated and are being monitored closely by the project team.
* Costs in this report are reflective of the figures provided by City to the Oversight Board on 1/14/2019.
** These numbers and cost estimates are presented for discussion purposes only. The parties disagree on which of them, or oth ers, bear
responsibility for paying these costs, and they reserve all their rights with respect to any claims or other action they might take with respe ct
thereto.
The project team, in conjunction with Kilroy and City staff oversight, continue to drive the project forward to meet the scope, schedule and cost
objectives of the development.
Next Quarterly Report to be issued for Q3 2019.
1
Quarterly Report // Q2 2019Where Innovation WorksAttachment 2
2
1. Project Progress / Scope
1.1 Schedule Update
1.2 Completed Work
1.3 Current Work
1.4 Upcoming Work
2. Risk Items
2.1 Utility Coordination (PG&E and DDW)
3. Project Cost Update
3.1 Project Cost Update
3.2 Change Order Update
Table of
Contents
3
1 Project Progress / Scope
4
1.1
Key Milestone Dates
•New Oyster Point Blvd –Stage 1 –July 2020;
•Decommission of Oyster Point Blvd and Switchover to New Road –
December 2020;
•New Oyster Point Blvd –Stage 2 –April 2021;
•Landscaping and Overall Completion –November 2021.
Schedule
Update
5
1.2
•Gabion retaining wall is complete at the Point.
•Engineered fill placed in utility corridor of new OP Blvd & Marina Blvd.
•Fine grading, sewer & storm drain lines are complete at the Hub.
•Public concerns continue to be addressed, including:
•Monitoring air quality
•Car wash plan for residents
•Increased traffic control signage and manpower
Completed
Work
6
RECREATION
AREA
GABION WALL
FINE GRADED
HUB
7
GABION WALL
COBBLE STOCKPILE
GABION WALL
CLAY STOCKPILE
8
1.3
•Remaining landfill relocation and grading for the Phase IID.
•Design Development for the public and marina restrooms.
•Pump Station #1 -design finalized and issued for bid.
•Installation of the storm drain system at the Point.
Current
Work
9
1.4
Upcoming
Events
Milestone Description
Pump Station Contract award for construction of new pump
station and decommissioning of previous pump
station by the end of September 2019.
DDW Final approval of drinking water conveyance
design from DDW, expected early September.
Cal Water Mainline
Installation
Work to begin September 2019.
Dry Utilities Joint trench installation will begin in October
2019.
PG&E Energization pending on new temporary power
solution, which will eliminate generators.
10
2 Risk Items
11
2.1
•DDW (Department of Drinking Water) Approval
I.Final approval from DDW (Department of Drinking Water) is
consistently an area of risk and concern
•Temporary Power Energization
I.PG&E has missed multiple dates for connection.
•Permanent Power Design
I.Radius LLC (Utility Engineer) and PG&E continue to coordinate
final PG&E design
Utility
Coordination
12
3 Project Cost Update
13
3.1
Project
Cost
Update
•Project progress is tracking at 43%, with contract expenditure slightly higher 48%.
14
3.2
Change
Order
Update
•Contingency shown above does not account for project changes under review, namely:
Excess Refuse Offhaul
Cement Treatment
Cover Soil Material Import
Clay Cap Material Import
15
3.2
Change
Order
Update
(Continued)
On-going change management continues with respect to the following identified items
on site:
1)Remaining excess refuse on site requiring relocation;
2)Cement treatment to stabilize saturated refuse in place to use as
foundation layer;
3)Import of additional clay cap material and cover soil;
Cost implications of these issues have been estimated and are being managed closely
by the project team.
•Costs in this report are reflective of the figures provided by City to the Oversight
Board on 1/14/2019.
•These numbers and cost estimates are presented for discussion purposes only. The
parties disagree on which of them, or others, bear responsibility for paying these
costs, and they reserve all their rights with respect to any claims or other action they
might take with respect thereto.
The project team, in conjunction with City staff oversight, continue to drive the project
to meet the scope, schedule and cost objectives of the development.
16
Where Innovation Works