Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Michael P. Callagy, County Executive Officer
Sam Lin, Interim Director, Project Development Unit
Subject: Best Value Procurement for Fire Station No. 59
RECOMMENDATION:
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Measure K: Adopt a resolution authorizing the Interim Director of the Project Development Unit, or designee, to use the Design-Bid-Build Best Value contractor procurement, pursuant to Public Contract Code §20155, for construction of the new Fire Station No. 59, located in Pescadero.
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BACKGROUND:
Public Contract Code §20155 establishes a program for ten counties, including the County of San Mateo, authorizing the award of Design-Bid-Build construction contracts for projects of more than $1,000,000 to the bidder who offers the proposal that affords the best value to the County based upon the evaluation of certain pre-identified qualitative criteria, including price and contractor qualifications.
This approach allows consideration of qualitative factors such as contractor experience with complex site conditions, project staffing, and the proposed technical approach when pre-qualifying and selecting contractors. The County has previously used best value procurement for Design-Build and Construction-Manager-at-Risk contracts.
DISCUSSION:
Fire Station No. 59 project presents unique challenges that warrant the flexibility provided by best value procurement. The Fire Station is a critical emergency services facility located in rural Pescadero. Due to its location and site conditions, the project faces a range of conditions requiring strong technical expertise including:
• Completion of ground improvements that require removal of existing soil to mitigate risks associated with liquefaction during an earthquake.
• Installation of a specialized foundation design to mitigate local seismic risk.
• Underground work managing power lines and well water system connection.
• Installation of an on-site water storage system meeting code requirements for fire suppression and a wastewater solution that can be integrated with the ground improvements.
Traditional low-bid project delivery will not ensure that the County receives a contractor team with the right qualifications and management capabilities to address these complexities. As a result, utilization of best value procurement will reduce costs, expedite project completion, reduce claims, and result in a better final product.
This project delivery approach has been successfully adopted by peer local government agencies, including the Counties of Solano, San Francisco; City of Los Angeles, San Rafael, and Santa Clara Valley Water District, on projects with similar high-stakes and technical demands.
Using Best Value for Fire Station No. 59 allows the County to:
• Evaluate contractor qualifications beyond lowest cost
• Incorporate project-specific criteria into contractor ranking (e.g., experience with seismic retrofits or rural fire station builds)
• Prioritize teams with proven performance under constrained schedules
• Reduce risk of claims, delays, and cost overruns
Evaluation criteria for the Fire Station No. 59 project would include at a minimum:
• Past performance on similar fire station or rural emergency service facilities
• Experience with geotechnical mitigation and seismic work
• On-site project management team qualifications
• Schedule and logistics approach
• Safety record and litigation history
• Price (as a weighted component)
A transparent evaluation and selection process will be established by the Project Development Unit, consistent with Public Contract Code requirements.
The County Attorney has reviewed and approved the accompanying resolution as to form.
COMMUNITY IMPACT:
The project will increase fire service to residents who live and work on the South Coast and act as a strategic base for wildfire response.
FISCAL IMPACT:
Funding for the future construction contract is included in the CDF Pescadero Fire Station Measure K capital projects budget included in the FY 2025-26 Adopted Budget.