January 19, 1999

Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, California 90012

Dear Supervisors:

APPROVE ONE-YEAR AGREEMENT AND OWNER PARTICIPATION AGREEMENTS FOR RESIDENTIAL SOUND INSULATION PROGRAM (2)
(3 Vote)

IT IS RECOMMENDED THAT YOUR BOARD:

Approve a one-year Agreement for the Residential Sound Insulation Grant Program (Agreement), presented in substantially final form, in the amount of $489,000, between the Community Development Commission and Pacifica Services Inc., to sound insulate seven properties in unincorporated Lennox, Del Aire and Athens, identified in Attachment A, using grant funds from the Federal Aviation Administration (FAA) and the Los Angeles World Airports (LAWA), and HOME Investment Partnerships Program (HOME) and/or Community Development Block Grant (CDBG) funds which are in the Commission's approved budget, effective following approval as to form by County Counsel and execution by both parties.

Approve one-year Owner Participation Agreements between the Commission and the seven property owners, using the form of Attachment C, which will authorize the Commission to complete the sound insulation work on behalf of the property owners, using Pacifica Services Inc., to be effective following approval as to form by County Counsel and execution by both parties.

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January 19, 1999
Page Two

Authorize the Executive Director to execute the Agreement with Pacifica Services Inc., the Owner Participation Agreements, and all related documents, for the purposes described above.

Authorize the Executive Director to approve contract change orders, in an amount not to exceed $48,900, using FAA and LAWA grant funds, for the purposes described above.

Authorize the Executive Director to execute one-year extensions to the Agreement with Pacifica Services Inc. and Owner Participation Agreements, as necessary to complete the work described above, following approval as to form by County Counsel.

PURPOSE OF THE RECOMMENDED ACTION:

The purpose of this action is to authorize the Commission to execute various documents to sound insulate the subject properties under the Residential Sound Insulation Program.

JUSTIFICATION:

The County of Los Angeles has been awarded grant funds from FAA and LAWA to sound insulate homes in the unincorporated areas of Lennox, Del Aire and Athens. The proposed Agreement with Pacifica Services Inc. and Owner Participation Agreements will enable the work to proceed, in accordance with the purposes of the two grants.

FISCAL IMPACT:

There is no impact on the County general fund.

FINANCING:

On December 17, 1991, your Board authorized the Commission to submit an application to the FAA for an Airport Improvement Program grant to implement a Noise Compatibility Program for approximately 2,113 residential units located within the flight path of the Los Angeles International Airport (LAX) in the Lennox area. This area was later expanded to include an additional 4,266 dwelling units in the unincorporated areas of Del Aire and Athens.

On September 29, 1992, the FAA approved a 10-year grant of $57.3 million, of which $45.9 million was to be funded by the FAA and $11.4 million by LAWA. To date, the Commission has received authorization to spend a total of $4 million in grant funds. An estimated $1 to $2

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January 19, 1999
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million is anticipated to be received every year from each agency, until the grant funds are fully allocated.

The Agreement with Pacifica Services Inc. will be funded using $336,290 from the FAA grant and $84,073 from the LAWA grant. HOME or CDBG funds in the amount of $68,637 will be used to correct code violations which are not covered by the FAA and LAWA grants. Additionally, a ten percent contingency of $48,900 is being set aside for unforeseen costs, using FAA and LAWA grant funds.

FACTS AND PROVISIONS/LEGAL REQUIREMENTS:

The Owner Participation Agreements will allow the Commission to enter into an Agreement with Pacifica Services Inc. on behalf of the property owners. The Agreement with Pacifica Services Inc. will be used to pay for sound insulation work and to address any code violations. The sound insulation work will be provided to the property owners in the form of grants and will not have to be repaid. Costs for the sound insulation work will be paid directly to Pacifica Services Inc. by the Commission. Any unused grant funds will be returned to the Commission.

To address code violations, the Commission will use HOME and CDBG funds to offer $5,000 grants to owner-occupied properties, and up to $1,500 per unit for rental properties to correct the code violations. Code violations in excess of these amounts will be referred to one of the Commission's loan programs, or the property owners will have the option of providing their own funds to cover these costs should they arise. Property owners participating in the Commission's loan programs will be required to sign any other agreements necessary under the respective loan program.

The proposed scope of work will include the following: removal of existing exterior windows and doors, and installation of sound-rated replacements; interior wall modifications to include sound deadening material; replacement of all exterior attic and foundation vents and replacement with sound deadening vent baffles; installation of air ventilation systems; and the placing of attic insulation.

The proposed work is being federally funded, and is not subject to the requirements of the Greater Avenues for Independence (GAIN) Program implemented by the County of Los Angeles. Instead, the contractor must comply with Section 3 of the Housing and Community Development Act of 1968, as amended, which requires that employment and other economic opportunities generated by certain U.S. Department of Housing and Urban Development (HUD) assistance be directed to low- and very low-income persons, particularly persons who are recipients of HUD housing assistance.

The Agreement with Pacifica Services Inc. and the Owner Participation Agreements will be

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January 19, 1999
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executed by the Commission and the appropriate parties following approval as to form by County Counsel.

CONTRACTING PROCESS:

On September 21, 1998, the Commission initiated an outreach to identify a contractor to complete improvements at the site. Invitations for Bids were mailed to 300 general contractors included on the Commission's vendor list. Advertisements appeared in eight local newspapers and on the County Office of Small Business Web Site. On October 21, 1998, four bids were received and formally opened. The bid submitted by Pacifica Services Inc. was the lowest responsive and responsible bid. The Summary of Outreach Activities is provided with this letter as Attachment B.

IMPACT ON CURRENT PROJECT:

Approval of the above recommended actions will enable work to be completed to sound insulate the subject properties from aircraft noise.

Respectfully submitted,

CARLOS JACKSON
Executive Director

CJ:TKSR:LJM-rg

Attachments: 4

ATTACHMENT A

List of Properties

Property Address Number of Units

10512-10518 ½ Felton Avenue 8
Inglewood

4911, 4913 Lennox Boulevard 2
Lennox

4951-4953 Lennox Boulevard 2
Inglewood

5011 West 106th Street 2
Lennox

10615 Buford Avenue 1
Lennox

10535 Buford Avenue 1
Inglewood

4927 Lennox Boulevard 1
Inglewood

ATTACHMENT B

Summary of Outreach Activities

LOS ANGELES COUNTY RESIDENTIAL SOUND INSULATION PROGRAM

On September 21, 1998, the following outreach was initiated to identify a contractor to complete sound insulation work at seven different properties, including 17 units, located in unincorporated Lennox, Del Aire, and Athens.

A. Advertising

Announcements appeared in seven local newspapers, four of which are minority publications.

The Daily News Los Angeles Times
International Daily News La Opinion
Los Angeles Sentinel Wave Community Newspapers
The Construction Marketing Data

Announcements also appeared on the public bulletin board of the Los Angeles County Library in Lennox, and on the County Office of Small Business Web Site.

Distribution of Bid Packets

The Commission's vendor list was used to mail out the Invitation for Bids to 300 general contractors. A total of twenty-eight contractors received bid packages, and 50 percent identified themselves as private firms that were owned by minorities or women.

Pre-Bid Conference and Site Walk

A total of 28 contractors attended the two-day pre-bid conference and site walk held on October 7, 1998 and October 8,1998.

Bid Results

On October 21, 1998, four bids were received. Three companies identified themselves as minority-owned.

Company Bid Amount

Pacifica Services Inc.* $489,000
Pert Construction* $539,532
UC Construction* $587,986
NBM Group $799,399

E. Firm Selected

Name;
Ownership;
Employees

Pacifica Services Inc.

Minority
Total: 425
158 minorities
43 female
63% minority
10% female

F. Firms Not Selected

Name;
Ownership;
Employees

Pert Construction

Minority
Total: 7
6 minorities
1 female
85% minority
15% female

UC Construction

Minority
Total: 4
3 minorities
1 female
75% minority
25% female

NBM Group

Non-Minority
Firm declined to
submit information

The Commission conducts ongoing outreach to include minorities and women in the contract award process, including providing information at local and national conferences, conducting seminars for minorities and women regarding programs and services, advertising in newspapers to invite placement on vendor list, and mailing information to associations representing minorities and women. The above information has been voluntarily provided to the Commission.

The recommended award of contract is being made in accordance with Commission and FAA policies and federal regulations, and without regard to race, color, creed, or gender.

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