Meeting_Body
CONSTRUCTION COMMITTEE
MAY 21, 2020
Subject
SUBJECT: CRENSHAW/LAX CLOSE OUT PROJECT
Action
ACTION: APPROVE RECOMMENDATION
Heading
RECOMMENDATION
Title
CONSIDER adopting the Life-of-Project (LOP) budget of $30,000,000 for a new Crenshaw/LAX Close Out Project.
Issue
ISSUE
The Crenshaw/LAX project is 95% complete. As the project reaches completion, Metro requires a close out project to provide funding for work anticipated to commence after substantial completion of the Crenshaw Project has been achieved. The funding is separate from the Crenshaw/LAX Construction Project which allows Metro flexibility to close out the Construction Project and related administrative elements in a timely manner. The scope of the new Project will include additional work required that due to timing constraints, is not recommended to be issued to the prime, Crenshaw/LAX Project design-builder. A new “catch-all contract” will be issued for bid to handle the remaining miscellaneous items that are required to be constructed separate from the design-build contract and may potentially be used for other projects as well.
Background
BACKGROUND
The Crenshaw/LAX Transit Project is a north/south light rail line that serves the cities of Los Angeles, Inglewood, Hawthorne and El Segundo as well as portions of unincorporated Los Angeles County. The alignment extends 8.5 miles, from the intersection of Crenshaw and Exposition Boulevards to a connection with the Metro Green Line south of the Aviation/LAX Station. The project provides major connections with the Los Angeles International Airport (LAX) as well as links to the C Line (Green), the E Line (Expo) and countywide bus network.
The alignment is comprised of a double-tracked rail line consisting of sections of at-grade in-street, at-grade within railroad right-of-way, aerial, and below-grade guideway sections, eight stations, park and ride facilities at two locations, utilities, landscaping, roadway improvements required by the project and a maintenance & storage facility (Division 16 - Southwestern Yard).
Discussion
DISCUSSION
The funding of the new Project will maximize the ability for Metro to mitigate the delay of the Crenshaw/LAX Construction Project substantial completion date by completing some non-revenue service required items before and after substantial completion.
The scope of the new Project will include additional work required that due to timing constraints, is not recommended to be issued to the Crenshaw/LAX Project design-builder. Therefore, a new “catch-all contract” will be issued for bid and notice to proceed issued to handle the remaining miscellaneous items that are required to be constructed but as a schedule mitigation, can be completed after substantial completion. This contract could potentially also be used for other projects subject to Board approval.
Funding is also included for legal services required to defend against any claims submitted by the design-builder.
The close out of the professional services contracts will be included as part of this Project. Current Metro and consultant staff will be allocated to perform under this Project and no new staff are being requested.
The funding in Recommendation A is requested to provide support to achieve Substantial Completion in December 2020 and to allow revenue service to commence in 2021.
Determination_Of_Safety_Impact
DETERMINATION OF SAFETY IMPACT
This Board action will not have an impact on established safety standards for Metro’s construction projects.
Financial_Impact
FINANCIAL IMPACT
Activities for this project will commence in fiscal year 2021. Funds will be requested through the annual budget development process.
Since this is a multi-year capital project, the Chief Program Management Officer and the Project Manager will be responsible for budgeting costs in future fiscal years.
Impact to Budget
Eligible local funds (i.e., non-State, non-federal) available at the time of expenditure will be utilized to fund this project. These may include operating eligible funding sources. Eligible federal funds will be utilized and supplant operating eligible local funds.
Multiyear Impact
The sources of funds for the Project are capital funds identified in the recommended Funding/Expenditure Plan as shown in Attachment A. In accordance with the Measure R and Measure M Unified Cost Management Policy, staff has evaluated the required steps to address the cost of the project that are identified in the policy, and due to the need to provide timely funding, recommend the use of countywide local funds that are not restricted to the project corridor or affected subregions.
Implementation_of_Strategic_Plan_Goals
IMPLEMENTATION OF STRATEGIC PLAN GOALS
Recommendation supports Strategic Plan Goal #1 - Provide high-quality mobility options that enable people to spend less time traveling.
Alternatives_Considered
ALTERNATIVES CONSIDERED
The Board may choose to not move forward with adopting the LOP Budget. This is not recommended as Metro will not have flexibility to complete required scope of work within the best timely and cost-effective opportunities.
Next_Steps
NEXT STEPS
Upon approval by the Board, the LOP Budget will be adopted per the Recommendation.
Attachments
ATTACHMENTS
Attachment A - Funding/Expenditure Plan
Attachment B - Projected Breakdown of Cost Allocation
Prepared_by
Prepared by:
Sameh Ghaly, Sr. Executive Officer/Project Management (213) 264-0693
William Brown, Deputy Executive Officer, Program Control (323) 903-4109
Reviewed_By
Reviewed by:
Richard Clarke, Chief Program Management Officer, (213) 922-7557
James de la Loza, Chief Planning Officer, (213) 922-2920
