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RESOLUTION NO. 2016-044 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS; AWARDING A CONTRACT FOR THE “MOSS STREET SIDEWALK INSTALLATION NORTH AND SOUTH OF MOSS STREET FROM BROADWAY TO FOURTH AVENUE (CIP #STL366)” PROJECT TO TRI-GROUP CONSTRUCTION AND DEVELOPMENT, INC. IN THE AMOUNT OF $481,872.00; WAIVING CITY COUNCIL POLICY NO. 574-01; AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXECUTE ALL CHANGE ORDERS; AND APPROPRIATING $65,000 FROM THE AVAILABLE BALANCE OF THE TRANSNET FUND TO THE “BROADWAY STREET IMPROVEMENTS BETWEEN MAIN STREET AND SOUTH CITY LIMITS (CIP #STM381)” PROJECT (4/5 VOTE REQUIRED)
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RECOMMENDED ACTION
Recommended Action
Council adopt the resolution.
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SUMMARY
On February 3, 2016, the Director of Public Works received five (5) sealed bids for the “Moss Street Sidewalk Installation between Broadway and Fourth Avenue in the City of Chula Vista, California (CIP# STL366) Project. This project is included in the Capital Improvement Program (CIP) fiscal year 2015/2016. This project will install the missing sidewalk, curb, gutter and ADA pedestrian ramps within the project limits.
ENVIRONMENTAL REVIEW
Environmental Notice
Environmental Notice
Under the California Environmental Quality Act State Guidelines, the Project qualifies for a Class 3 Categorical Exemption pursuant to Section 15303 (New Construction or Conversion of Small Structures). Similarly, under the National Environmental Policy Act [§24 CFR 58.35(a) (1]), the project is deemed Categorically Excluded (infrastructure improvements similar to those in place).
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Environmental Determination
The Director of Development Services has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the project qualifies for a Class 3 Categorical Exemption pursuant to Section 15303 (New Construction or Conversion of Small Structures) of the State CEQA Guidelines. Thus, no further environmental review is required.
Furthermore, project is Categorically Excluded under NEPA per §24 CFR 58.35(a)(1) which includes projects consisting of acquisition, repair, improvement, reconstruction, or rehabilitation of public facilities and improvements (other than buildings) when the facilities and improvements are in place and will be retained in the same use without change in size or capacity of more than 20% (eg. water or sewer lines, curbs, sidewalks, streets).
BOARD/COMMISSION RECOMMENDATION
Not applicable
DISCUSSION
This project will install the missing sidewalk along the north and south sides of Moss Street between Broadway and Fourth Avenue. The scope of work includes the installation of curb, gutter and sidewalk, ADA compliant pedestrian ramps, streetlights, upgrade an existing inlet and a storm drain biofiltration system. Other work incidental to the project includes asphalt concrete pavement, traffic control, and roadway signing and striping. This project is funded by TransNet funds and Community Development Block Grant (CDBG) funds.
On February 3, 2016, the Director of Public Works received five (5) bids as follows:
|
CONTRACTOR |
BASE BID TOTAL |
1 |
Tri-Group Construction & Development, Inc. - San Diego |
$481,872.00 |
2 |
Palm Engineering Construction Co. Inc - San Diego |
$496,430.50 |
3 |
Just Construction Inc. - San Diego |
$497.688.10 |
4 |
Crest Equipment, Inc - El Cajon |
$499,280.50 |
5 |
Portillo Concrete, Inc. - Chula Vista |
$535,381.50 |
The low bid by Tri-Group Construction & Development, Inc. of $481,872.00 is $42,124 (approximately 9%) below the Engineer's estimate of $523,996.
Tri-Group Construction & Development, Inc is a currently an active licensed Class “A” and “B”, General Engineering Contractor and General Building Contractor (License No. 792159) and has performed similar work in the City with satisfactory performance. All companies associated with this contract are registered as public works contractors with the California Department of Industrial Relations (DIR). Staff has reviewed Tri-Group Construction & Development, Inc’s bid and determined it to be responsive. Therefore, staff recommends awarding STL366 project contract to Tri-Group Construction & Development, Inc.
The proposed resolution would also authorize the Director of Public Works to approve change orders over and above existing policy limits. Under City Council Policy No. 574-01, if an individual change order causes the cumulative increase in change orders to exceed the Director’s authority, (“Maximum Aggregate Increase in Change Orders”), City Council approval is required. The corresponding maximum aggregate contract increase that may be approved by the Director of Public Works under Policy No. 574-01 is $36,731. Approval of the resolution would increase the Director of Public Works authority to approve change orders, without Council approval as necessary, up to contingency amount of $96,400 (approximately 20% of the contract), an increase of $59,669 over Policy No. 574-01. Increasing the Director’s authority will allow the project to continue without delay should unforeseen circumstances arise resulting in increased project costs during the course of construction.
Additional funds of $65,000 are required for CIP STM381 - South Broadway Improvements to cover staff and project costs.
Wage Statement
The Contractor and its subcontractors are required by bid specifications to pay prevailing wages (“Prevailing Wage Rates”) to persons employed by them for work under this Contract. In accordance with the provisions of Section 1773 of the Labor Code of the State of California, the City of Chula Vista has ascertained the general prevailing wage scales applicable to the work to be done. The prevailing wage scales are those determined by the U.S. Federal Department of Labor Relations (Davis-Bacon).
Disclosure Statement
Attachment 1 is a copy of the Contractor’s Disclosure Statement.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Council members and has found no property holdings within 500 feet of the boundaries of the properties which are the subject of this action. Consequently, this item does not present a disqualifying real property-related financial conflict of interest under California Code of Regulations Title 2, section 18702.2(a)(11), for purposes of the Political Reform Act (Cal. Gov’t Code §87100,et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter.
LINK TO STRATEGIC GOALS
The City’s Strategic Plan has five major goals: Operational Excellence, Economic Vitality, Healthy Community, Strong and Secure Neighborhoods and a Connected Community. Moss Street Sidewalk Installation North and South Of Moss Street from Broadway to Fourth Avenue project supports the Strong and Secure Neighborhoods Strategic Goal as it maintains public infrastructure vital to the quality of life for residents.
CURRENT YEAR FISCAL IMPACT
Approval of the resolution will initiate the construction phase of STL366 and appropriate $65,000 in TransNet to STM381. Sufficient TransNet and CDBG Funds are available in STL366 to complete the project and available in the TransNet Fund for said appropriation. Therefore, there is no additional impact to these funds.
FUNDS REQUIRED FOR CONSTRUCTION |
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A. Contract Amount |
$481,872 |
B. Contingency (Approximately 20% of contract) |
$96,400 |
C. Construction Inspection Staff Cost |
$105,000 |
D. Soil Testing During Construction Phase |
$26,200 |
E. Construction Land Survey |
$ 52,400 |
TOTAL FUNDS REQUIRED FOR CONSTRUCTION |
$761,872 |
ONGOING FISCAL IMPACT
Upon completion of the project, the improvements will require only routine City maintenance, which is funded through the General Fund and any applicable maintenance funding sources.
ATTACHMENTS
1. Contractor’s Disclosure Statement - Tri-Group Construction & Development, Inc.
Staff Contact: David Hicks