Title
RESOLUTION NO. 2015-162 OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA ACCEPTING BIDS; AWARDING THE CONTRACT FOR THE “NAPLES STREET SIDEWALK INSTALLATION AND PALOMAR STREET SIDEWALK IMPROVEMENTS, ALONG NORTHSIDE FROM ORANGE AVENUE TO THIRD AVENUE (CIP# STL367 & STL369)” PROJECTS TO PORTILLO CONCRETE, INC. IN THE AMOUNT OF $391,618; WAIVING CITY COUNCIL POLICY 574-01; AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXECUTE ALL CHANGE ORDERS; AND AUTHORIZING THE EXPENDITURE OF ALL AVAILABLE CONTINGENCY FUNDS IN AN AMOUNT NOT TO EXCEED $58,742
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RECOMMENDED ACTION
Recommended Action
Council adopt the resolution.
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SUMMARY
On June 3, 2015, the Director of Public Works received four (4) sealed bids for the “Naples Street Sidewalk Installation and Palomar Street Sidewalk Improvements, along northside from Orange Avenue to Third Avenue (CIP# STL367 & STL369)” project. The project will install curb, gutter, sidewalk, driveways, ADA pedestrian ramps, pavement and other miscellaneous items of work.
ENVIRONMENTAL REVIEW
The Development Services Director has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the “Naples Street Sidewalk Installation (CIP# STL367)” project qualifies for a Class 1 categorical exemption pursuant to Section 15301 (Existing Facilities) and “Palomar Street Sidewalk Improvements (CIP# STL369)” project qualifies for a Class 3 (d) categorical exemption pursuant to Section 15303 (New Construction or Construction of Small Structures) of the State CEQA Guidelines. Thus, no further environmental review is necessary.
BOARD/COMMISSION RECOMMENDATION
Not Applicable
DISCUSSION
These projects were included in the Capital Improvement Program budget to provide missing sidewalk, drainage and roadway improvements. Due to the common scope of work and proximity of the projects, Engineering staff elected to administer both projects as a combined contract. Engineering staff prepared the contract documents and advertised the project on May 8, 2015.
Naples Street Sidewalk Installation and Palomar Street Sidewalk Improvements were identified in the Chula Vista Pedestrian Master Plan as requiring ADA compliant pedestrian facilities. The funding for this project will construct only pedestrian facilities along the south side of the Naples Street corridor and the north side of the Palomar Street corridor, providing a single contiguous walking path along each corridor. As funding becomes available, the City will provide the remaining sidewalk improvement in future CIP projects.
On June 3, 2015, the Director of Public Works received four (4) sealed bids as follows:
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Contractor |
Bid |
|
Portillo Concrete, Inc. - Lemon Grove, California |
$391,618.00 |
|
Wier Construction Corp - Escondido, California |
$411,982.00 |
|
Montgomery Construction Services, Inc.,Spring Valley, CA |
$430,454.85* |
|
Tri-Group Construction and Development, Inc., San Diego, CA |
$443,920.00 |
* The submitted bid proposal contained mathematical errors that did not affect the unit price, but affected the total bid amount. Corrections of bid totals did not change the outcome and ranking of the bids.
The low bid submitted by Portillo Concrete, Inc. is below the Engineer’s estimate of $457,426 by $65,808 (approximately 17%).
Portillo Concrete, Inc. is a currently an active licensed Class “A”, General Engineering Contractor (License No. 680144) and has performed similar work in the City with satisfactory performance. Staff has reviewed Portillo Concrete, Inc. bid and determined it to be responsive.
Therefore, staff recommends awarding the STL367 & STL369 project contract to Portillo Concrete, 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 $30,413.26. Approval of the resolution would increase the Director of Public Works authority to approve change orders, as necessary, up to contingency amount of $58,742.00 (approximately 15% of the contract), an increase of $28,328.74 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.
Wage Statement
The Contractor and its subcontractors are required by bid specifications to pay prevailing wage (“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 Director of Industrial Relations, State of California.
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 and has found no property holdings within 500 feet of the boundaries of the properties, which are the subject of these actions. 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. The Naples Street Sidewalk Installation and Palomar Street Sidewalk Improvements, along northside from Orange Avenue to Third Avenue (CIP#’s STL367 & STL369) projects supports the Strong and Secure Neighborhoods Strategic Goal as it improves safety to the residents and pedestrians as well as creates appealing communities to live, work and play.
CURRENT YEAR FISCAL IMPACT
Sufficient TransNet funds are available in STL367 & STL369 to complete the project. Therefore, there is no additional impact to the fund.
The table below summarizes the anticipated project costs:
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FUNDS REQUIRED FOR CONSTRUCTION |
|
|
A. Contract Amount |
$391,618 |
|
B. Contingency (Approximately 15% of contract) |
$58,742 |
|
C. Construction Inspection Staff Cost |
$60,000 |
|
D. Land Surveying Staff Cost |
$30,000 |
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E. Material Testing |
$20,000 |
|
F. Sweetwater Authority Water Facilities Relocation |
$27,250 |
|
TOTAL FUNDS REQUIRED FOR CONSTRUCTION |
$587,610 |
ONGOING FISCAL IMPACT
Upon completion of the project and one year contractor maintenance period, the improvements will require only routine maintenance of the street facilities.
ATTACHMENTS
1. Contractor’s Disclosure Statement
Staff Contact: Patrick C. Moneda, Senior Civil Engineer