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File #: 12858   
Type: Consent Status: Passed
File created: 9/12/2025 Department: Project and Facilities Management
On agenda: 9/23/2025 Final action: 9/23/2025
Subject: Amendment to Construction Contract with Mesa Energy System, Inc. for the Arrowhead Regional Medical Center Deaerator Replacement Project
Attachments: 1. CON-PFMD-092325-Amendment to Mesa Energy-ARMC Deaerator Replacement

REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS

OF SAN BERNARDINO COUNTY

AND RECORD OF ACTION

 

September 23, 2025

 

FROM

DON DAY, Director, Project and Facilities Management Department

ANDREW GOLDFRACH, ARMC Chief Executive Officer, Arrowhead Regional Medical Center

  

SUBJECT                      

Title                     

Amendment to Construction Contract with Mesa Energy System, Inc. for the Arrowhead Regional Medical Center Deaerator Replacement Project

End

 

RECOMMENDATION(S)

Recommendation

Approve Amendment No. 1 to Contract No. 24-944 with Mesa Energy Systems, Inc., for the Arrowhead Regional Medical Center Deaerator Replacement Project in Colton, in the amount of $88,918, increasing the total contract amount from $1,522,000 to $1,610,918, and extending the project completion date by 30 calendar days, from 367 days to 397 days (Four votes required).

(Presenter: Don Day, Director, 387-5000)

Body

 

COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES

Improve ARMC County Hospital Operations.

Provide for the Safety, Health and Social Service Needs of County Residents.

 

FINANCIAL IMPACT

Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The amendment, totaling $88,918, will be funded within the Project’s existing budget. The Arrowhead Regional Medical Center (ARMC) Deaerator Replacement Project (Project) (WBSE 10.10.0847), with a total budget of $2,010,483, is funded with ARMC Enterprise Funds, as part of the 2025-26 Capital Improvement Program (CIP) Budget, as approved by the Board of Supervisors (Board) on June 10, 2025 (Item No. 136).

 

BACKGROUND INFORMATION

Approval of Amendment No. 1 is requested due to constructability issues identified during the contractor's review of the construction documents for the Project. Specifically, the placement of the new unit required shifting away from the existing concrete pad due to unforeseen site conditions. This necessitated the addition of new structural beams and supports, resulting in change to construction documents under Amended Construction Documents 001.

 

The amendment addresses a 33% increase in the equipment’s weight between the design and submittal phases, which constitutes a design error and omission requiring structural reinforcement and adjustments. The amendment also includes relocation of existing underground utilities in the crawl space of the Central Plant, which were not adequately identified in the original design.

 

These changes are required to meet California Building Code and functional requirements and correct incomplete or inaccurate design documents. This amendment also includes a non-compensable time extension of 30 calendar days to accommodate material procurement timelines.

 

On April 23, 2024 (Item No. 39), the Board approved authorization for the Director of the Project and Facilities Management Department (PFMD) to advertise for competitive bids for the Project via Request for Proposals No. ANE223-ANE2C-5381.

 

On September 24, 2024 (Item No.49), the Board approved Contract No. 24-944, which was awarded to Mesa Energy Systems, Inc., in the amount of $1,522,000, with a duration of 180 calendar days for the Project.

 

On June 25, 2025, under the authority granted by the Board, the Director of PFMD approved a non-compensable contract extension of 187 calendar days for a total of 367 total calendar days, due to material lead time.

 

The Project is consistent with the County Administrative Office (CAO) approved CIP Project No. 22-011. Public Contract Code section 20136 requires all construction contract change orders and amendments to have four vote approval by the Board.

 

PROCUREMENT

Not applicable.

 

REVIEW BY OTHERS

This item has been reviewed by County Counsel (Daniel Pasek, Deputy County Counsel, 387-5455) on July 29, 2025; Arrowhead Regional Medical Center (Andrew Goldfrach, ARMC Chief Executive Officer, 580-6170) on July 29, 2025; Project and Facilities Management (Robert Gilliam, Chief of Project Management, 387-3072) on July 31, 2025; and County Finance and Administration (Yael Verduzco, Principal Administrative Analyst, 387-5285) on September 4, 2025.

 

(GA: (619) 642-7098)