Agenda 07/09/2013 Item #11B 7/9/2013 11 .B.
EXECUTIVE SUMMARY
Recommendation to reject the response from Great Lakes Dock and Dredge (GLDD) to Invitation
to Bid (ITB) 13-6076R, "Collier County Beach Renourishment Project" and postpone the
hydraulic beach renourishment one to two years until competitive market conditions
stabilize. This option includes the possibility of executing emergency truck haul
renourishment as conditions warrant.
OBJECTIVE: To reject the Great Lakes Dock and Dredge (GLDD) bid to renourish the
Vanderbilt, Pelican Bay, Park Shore and Naples Beaches via an off shore sand source utilizing
hopper dredges.
CONSIDERATIONS: ITB 13-6076R Collier County Beach Renourishment Project was issued
on May 17, 2013 with notices sent to 1,581 firms and 79 firms downloading full packages. A
single response was received on the June 17, 2013 due date. GLDD bid approximately $32M to
place 360,000 Cubic Yards (CY's) of sand on these beaches. Collier County budgeted
approximately $15M for beach renourishment in FY 2013.
GLDD was the contractor who renourished Collier County beaches in 2006 for a cost of
approximately $18M by placing 663,000 CY's of sand on the beaches. Staff anticipated a unit
price increase but was surprised by the extent of this increase. Staff has been concerned that
avoiding turtle nesting season would have a negative impact on pricing. Demand typically
exceeds dredging capacity during this period of time. However, within the past six months
additional demand factors have negatively impacted the dredging market, including:
1. Hurricane Sandy destroyed the New Jersey and New York coasts when landfall was
made in October, 2012. The entire dredging community was eagerly anticipating
renourishment plans from the United States Army Corps of Engineers (USACE) and for
the first time on May 22, 2013,both the New York Corps District and the Philadelphia
Corps District announced that they are moving forward with the updating of plans and
specifications for immediate construction on a number of large projects. This is a
bonanza of work that will continue for many years and the dredgers are reluctant to
commit capacity this year in anticipation of these significant projects. The dredging
community has always preferred working with the USACE as opposed to local
communities. The dredgers believe that there is the potential for a significant number of
large, expensive, multi-year projects and the USACE will tolerate significant price
increases and larger claims. Corps project tend to utilize the same specifications making
project familiarity and equipment standardization the normal. These are all large projects
that all utilize hopper dredges.
2. On June 21, 2013, the Jacksonville Corps District announced in a webinar a list of
Florida projects that would be moving forward this year. This was the second webinar to
discuss Corps status in Florida and the first time specific projects were announced. As is
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7/9/2013 11 .B.
the case of Captiva just to our north, immediate construction is anticipated. The USACE
is delaying bid openings week by week until all funding sources are identified. The
dredging community indicated that there was not sufficient capacity to accomplish all of
Florida's work.
3. Louisiana received funding for the rebuilding of two large restoration islands as part of
the Mississippi delta rebuild program. This is a large multi-year project that was
awarded within the past two weeks and has secured the capacity of the Louisiana
dredging community.
Sam Morrison, the Vice President of GLDD indicated in a phone call on Tuesday 6/18/2013 that
this was definitely a supply and demand issue. The size and complexity of the project, along with
the timing and scope uncertainty were all factors in the price of the bid. In a follow-up discussion
with GLDD on 6/21/2013, they informed Collier County that the price could be reduced to
$24.4M if the work was to be performed in the Summer of 2014; the scope was modified to
accommodate a single pipeline corridor for pumping; no damages were assessed for delays; truck
haul renourishment is utilized for Vanderbilt and Pelican Bay beaches and the only beaches to be
renourished with a dredge via pumping is the Park Shore and Naples beaches. $24.4M is still
$9.4M over the project budget of $15M and staff is recommending that the GLDD bid be
rejected. The single bid with an inflated price clearly indicates that the dredging market is not
competitive at this time.
There are several beach renourishment options that Collier County can pursue. However, two
critical points need to be considered in evaluating any options. The first is that the Tropical
Storm Fay Project Worksheet (PW) expires on 12/31/2014. This PW would provide
reimbursement for approximately 155K CY's of material to renourish the beaches. The second
consideration is that the Florida Department of Environmental Protection (FDEP) and USACE
permits will expire on 1/12/2015.
A summary of available options are listed below. Advantages and disadvantages for each option,
along with relevant truck haul information, are provided as Attachments A through D of this
document.
Option 1 - Reject the GLDD bid and postpone the hydraulic beach renourishment one to two
years until the competitive market conditions stabilize. This option includes the possibility of
executing emergency truck haul renourishment as conditions warrant. Any emergency truck
haul renourishment will be executed as expeditiously as possible with the scope of work and
degree of difficulty dictating the final schedule.
Option 2 - Reject the GLDD bid but execute the TS Fay FEMA PW project (155K CY's) and a
limited hot spot renourishment (60K CY's) to achieve the dry beach standard of 85 and 100 feet
beach width where hot spots exist. The total renourishment will be approximately 215K CY's
and is expected to take 3 months to complete.
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7/9/2013 11 .B.
This option will utilize TS Fay FEMA monies to completely fund the 60K CY's hot spot
renourishment in Vanderbilt Beach; 35K CY's of the hot spot in the Park Shore Beach segment
and 60K CY's of the Naples beach hot spot.
Option 3 - Reject the GLDD bid and perform a six-year truck haul renourish by placing
approximately 360K CY's or $15M worth of truck haul sand on the beaches. This option is
expected to take 5 months to complete.
The timeline referenced in the options above are approximate and will depend on sand
availability and the number of qualified vendors available to execute this project.
FISCAL IMPACT: $15M is budgeted in Fund 195 for beach renourishment in FY 2013/14 as
per the Office of Management and Budget.
GROWTH MANAGEMENT IMPACT: There is no impact to the Growth Management Plan
related to this action.
COASTAL ADVISORY COMMITTEE RECOMMNEDATION: The Coastal Advisory
Committee recommended on 6/20/2013 to proceed to renourish all the beaches via truck haul as
soon as possible with a 5-1 vote.
TOURIST DEVELOPMENT COUNCIL RECOMMNEDATION: The Tourist Development
Council met on 6/24/2013 voted 5-4 to postpone the dredging for one to two years but perform
emergency truck haul as needed.
CITY OF NAPLES RECOMMENDATION: The City of Naples met in special session on
7/1/2013 and recommended that the beaches be truck haul renourished only to the extent that
FEMA TS Fay funding is utilized to repair hot spots to achieve the dry beach standard of 85 and
100 feet beach width. They stipulated that all truck haul activity must cease by January 1, 2014,
that damages to the City's roads and beach ends be repaired if damaged and the Board of County
Commissioners present the finalized plans to the Naples City Council for approval.
Staff cannot guarantee that all the work would be completed by January 1, 2014 and would not
recommend an open ended commitment to maintain and repair the City of Naples roadways and
beach ends.
LEGAL CONSIDERATIONS: This item has been approved as to form and legality and
requires majority vote for approval. - CMG
RECOMMENDATION: Reject the GLDD bid and postpone the hydraulic beach renourishment
one to two years until competitive market conditions stabilize. This option includes the
possibility of executing emergency truck haul renourishment as conditions warrant.
Prepared By: J. Gary McAlpin, P.E., Coastal Zone Management,Natural Resources Department
Attachments:
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7/9/2013 11.B.
Attachment A—Option 1-Postpone dredging but perform emergency renourishment if needed
Attachment B—Option 2-Execute TS Fay truck haul and limited hot spot dredging
Attachment C—Option 3- Execute a six year truck haul renourishment
Attachment D—Truck haul volumes,rates and timeframe
Attachment E—Project Location/Access Map
Attachment F—TS Fay and Limited Hot Spots to Beach Width Standards only
Attachment G—Letter from City of Naples
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7/9/2013 11 .B.
COLLIER COUNTY
Board of County Commissioners
Item Number: 11.11.B.
Item Summary: Recommendation to reject the response from Great Lakes Dock and
Dredge (GLDD)to Invitation to Bid (ITB) 13-6076R, "Collier County Beach Renourishment
Project" and postpone the hydraulic beach renourishment one to two years until competitive
market conditions stabilize. This option includes the possibility of executing emergency truck
haul renourishment as conditions warrant.
Meeting Date: 7/9/2013
Prepared By
Name: PuigJudy
Title: Operations Analyst, GMD P&R
6/28/2013 2:05:24 PM
Submitted by
Title: Director-Coastal Management Programs,Coastal Zon
Name: McAlpinGary
6/28/2013 2:05:26 PM
Approved By
Name: PuigJudy
Title: Operations Analyst, GMD P&R
Date: 6/28/2013 2:36:06 PM
Name: LorenzWilliam
Title:Director-CDES Engineering Services,Comprehensive
Date: 6/28/2013 3:03:26 PM
Name: MarkiewiczJoanne
Title: Manager-Purchasing Acquisition,Purchasing&Gene
Date: 6/28/2013 4:28:07 PM
Name: JohnsonScott
Title: Purchasing Agent,Purchasing&General Services
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7/9/2013 11.B.
Date: 6/28/2013 4:32:06 PM
Name: McAlpinGary
Title: Director-Coastal Management Programs,Coastal Zon
Date: 6/28/2013 4:41:30 PM
Name: GreeneColleen
Title: Assistant County Attorney,County Attorney
Date: 7/1/2013 9:51:37 AM
Name: MarcellaJeanne
Title: Executive Secretary,Transportation Planning
Date: 7/1/2013 5:02:13 PM
Name: KlatzkowJeff
Title: County Attorney
Date: 7/2/2013 8:19:17 AM
Name: IsacksonMark
Title: Director-Corp Financial and Mgmt Svs,CMO
Date: 7/2/2013 9:07:44 AM
Name: OchsLeo
Title: County Manager
Date: 7/2/2013 12:42:08 PM
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7/9/2013 11 .B.
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OFFICE OF THE MAYOR
TELEPHONE(239)213-1000• FACSIMILE(239)213-1010
735 EIGHTH STREET SOUTH• NAPLES, FLORIDA 34102-6796
July 1, 2013
The Honorable Georgia Hiller, Chair
Members of the Board of County Commissioners
Collier County Government
3299 Tamiami Trail East
Naples, Florida 34112
Re: 2013 Collier County Beach Renourishment Project
Dear Chairwoman Hiller and Commissioners:
On behalf of the Naples City Council, I extend our appreciation for your
consideration of options for the 2013 Beach Renourishment Project. You and
your staff have devoted considerable time to evaluate effective options.
Following receipt of truck-haul only bids in April, we recommended that the
project be re-advertised for bids to obtain pricing for hydraulic dredging, and you
directed your staff to pursue that approach. Unfortunately, the receipt of only one
bid at $32 million, well over the $15 million allocated for the project, suggests that
renourishment utilizing hydraulic dredging is not financially feasible and
therefore, not in the best interest of the citizens of Collier County.
On July 1, 2013, the Naples City Council met in a special-called meeting to
determine whether to develop a recommendation for consideration by the Board
of County Commissioners. After receiving an excellent presentation from Mr.
Gary McAlpin, Director, Coastal Zone Management, and significant public input
from many interested citizens, the Naples City Council unanimously approved the
following recommendations for your consideration:
• Utilize as much of Tropical Storm Fay funding ($8.0 million) as possible to
renourish the beach at the "hot spot" areas that qualify for Fay funding;
• Conduct the beach renourishment utilizing the truck-haul method, and let
the contract as soon as possible or no later than November 1st, and
complete the project by January 1, 2014, whether or not the desired
quantity of sand has been placed on the beach;
7//r) . %v 4`L,
Packet Page-163-
7/9/2013 11.B.
• Coordinate with the selected in-land mine source to insure mateciat is
stock-piled to insure required quantity of sand is available for trucking
when needed;
• Coordinate with City and County staff and the Sheriff's Office to develop
acceptable routes and beach access for the "hot spot" areas for
renourishment, followed by continual monitoring of traffic speeds,
utilization of vehicles meeting acceptable safety standards, compliance
with required routes, and documentation (photographs, reports, etc.) of the
road conditions before and after the truck-haul renourishment project;
• Resurface roads and beach ends used for the project upon completion;
• Allow the Naples City Council to review and approve the proposed "truck-
haul" route for those areas within the incorporated City limits; and
• Re-advertise the bid for the beach renourishment project utilizing hydraulic
dredging next year or the following year.
The City of Naples thanks you for your leadership and recognition of the
importance of the Collier County beaches for the citizens, businesses, and
visitors.
Please let us know if we can be of further assistance to you.
Sincerely,
John F. Sorey, Ill
Mayor
City of Naples
cc: Naples City Council
Leo E. Ochs, Jr., County Manager, Collier County
741.1. 6•717/74;... i//ZJ /�/ / ✓%Ot'.. rx ri d/> i/iii 077/7.4,/,'"4"
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