DATE: January 10, 2017
TO: Board of Supervisors
SUBMITTED BY: Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Declaration of Emergency Regarding the Water Intrusion Incident at the
Fresno County Plaza and Crocker Buildings
RECOMMENDED ACTION(S):
TITLE
1. Adopt Resolution acknowledging the emergency nature of the flooding at the Fresno County Plaza and Crocker Buildings and make a finding pursuant to County Administrative Policy 34 that unusual and extraordinary circumstances exist such that it is in the best interest of the County to suspend competitive bidding and negotiate and execute contracts for services and supplies as necessary for remediation and restoration of the properties.
2. Authorize the Director of Internal Services/Chief Information Officer to negotiate and execute agreements and other documents necessary for the remediation and restoration of the Fresno County Plaza and Crocker Buildings.
3. Adopt Budget Resolution increasing the FY 2016-17 appropriations and estimated revenues for the Internal Services Department, Facility Services Org 8935 in the amount of $400,000 (4/5 vote).
REPORT
Approval of Recommended Actions No. 1 and 2 will allow for the Director of Internal Services/Chief Information Officer to timely procure the necessary services and supplies to remediate and restore the damage to the twelfth, fourteenth, and fifteenth floors of the Fresno County Plaza building and the third and fourth floors of the Crocker building. Approval of Recommended Action No. 3 will appropriate the estimated funds necessary for the remediation and restoration of the Fresno County Plaza and Crocker buildings and their contents.
ALTERNATIVE ACTION(S):
There is no viable alternative action. If the Board does not approve the recommended actions, Facility Services would not have sufficient appropriations to pay for the necessary repairs.
SUSPENSION OF COMPETITION/SOLE SOURCE CONTRACT:
Recommended Action No. 1 is to suspend the customary competitive bidding process consistent with the “unusual or extraordinary circumstances” exception contained in Administrative Policy No. 34. This is consistent with the processes used for previous and similar remediation projects for emergencies such as at the Fresno County Hall of Records, Brix-Mercer Building, North Annex Jail and University Medical Center. Purchasing has reviewed the request and concurs with the Department’s request to suspend the competitive bidding process.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The County carries insurance coverage that limits the out-of-pocket deductible to a range of $5,000 to $25,000, depending upon which coverage applies to the claim. Facility Services will be responsible for paying all upfront costs beyond the deductible directly to each vendor. Those costs would then be submitted to Risk Management which would process the reimbursement claim through the County’s insurance carrier. Any unreimbursed amount will be paid out of appropriations in the Interest and Miscellaneous Expenditures Org 2540 FY 2016-17 Adopted Budget. The current estimated cost of the remediation and restoration is $90,000 for the Crocker building and $310,000 for the Plaza. Approval of the third recommended action will increase the FY 2016-17 appropriations and estimated revenues in the amount of $400,000 in the Facility Services Org 8935 to cover these costs. Should additional funds be required, staff will return to your Board at a later date.
DISCUSSION:
On November 14, 2016, at approximately 7:00 a.m., it was discovered a water fountain leak on the fourth floor of the Crocker building resulted in a flood of the fourth floor and subsequent damage to the third floor. On December 8, 2016, at approximately 7:00 a.m., a hot water pipe on the fifteenth floor of the Fresno County Plaza was determined to have a hairline fracture which resulted in water flooding the floor and subsequently leaking into the fourteenth and twelfth floors. Due to the nature of the water intrusion and the potential for further damage, a declaration of an emergency was made by the Director of Internal Services/Chief Information Officer in conjunction with the County Administrative Officer. This allowed for the engagement of service contractors to conduct remediation and restoration activities immediately. Approval of the recommended actions will allow for the building to be restored as quickly and efficiently as possible and ensure Facility Services has sufficient appropriations to make the upfront payments to vendors.
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Suspension of Competition Acquisition Request
On file with Clerk - Resolution Crocker and Plaza Emergency
On file with Clerk - Budget Resolution Org 8935
CAO ANALYST:
John Hays