Rancho Palos Verdes City Council
   

JUNE 6, 2006AWARD OF CONSTRUCTION CONTRACT FOR RESIDENTIAL STREET OVERLAY AND SLURRY SEAL PROJECT JUNE 6, 2006AWARD OF CONSTRUCTION CONTRACT FOR RESIDENTIAL STREET OVERLAY AND SLURRY SEAL PROJECT
JUNE 6, 2006AWARD OF CONSTRUCTION CONTRACT FOR RESIDENTIAL STREET OVERLAY AND SLURRY SEAL PROJECT

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL

FROM: DIRECTOR OF PUBLIC WORKS

DATE: JUNE 6, 2006

SUBJECT: AWARD OF CONSTRUCTION CONTRACT FOR RESIDENTIAL STREET OVERLAY AND SLURRY SEAL PROJECT (AREA 2)
STAFF COORDINATOR: BINDU VAISH, ASSISTANT ENGINEER

RECOMMENDATIONS

1. Approve the construction plans

2. Award a contract for the construction of the Residential Street Overlay and Slurry Seal Project to Sequel Contractor Inc. for the contract bid amount of $2,126,226.60, and authorize staff to spend up to an additional $180,910.40 for possible extra work or unforeseen conditions, for a total authorization of $2,307,137.

3. Authorize the Mayor and City Clerk to execute a contract with Sequel Contractors, Inc.

4. Approve project Change Order No. 1 to Sequel Contractor Inc. to reduce the scope of work by the amount of $319,607 to $1,806,619.60, see attachment.

5. Award a contract to CBM Consulting, for the Contract Management, and Inspection services in an amount not to exceed $100,000.

6. Authorize the Mayor and City Clerk to execute a contract with CBM Consulting.

7. Adopt Resolution 2006-___, a resolution of the City Council for the City of Rancho Palos Verdes, amending Resolution 2005-53, the budget Appropriation for fiscal year 2005-2006, for a budget adjustment to the street maintenance and CIP fund

8. Adopt Resolution 2006___, a resolution of the City Council for the City if Rancho Palos Verdes, amending Resolution 2005-53, the budget appropriation for the fiscal year 2005-2006, for a budget adjustment to the City’s Transportation development act (bikeways) fund and capital improvement projects fund

BACKGROUND

The City has traditionally implemented an annual residential overlay and slurry seal project. The one exception to this was in fiscal year 2004-2005, when the project was deferred due to financial uncertainty. The streets included in this year’s program follow the recommendation of the Pavement Management Program. The project area limits for Area 2 are shown in the attached exhibit.

ANALYSIS

 Contract for Construction

The project was advertised and sealed bids were received and opened at 11:00 a.m. on April 11, 2006. Sequel Contractors, Inc. submitted the lowest responsive bid of the five responsive bids received. Additionally one bid from Copp Construction was received but determined to be non responsive. The following table summarizes bids:

CONTRACTOR BID AMOUNT
Sequel Contractors, Inc. $2,126,226.60
Sully Miller Contracting Co. $2,144,000.00
Hardy and Harper, Inc. $2,229,901.10
Excel Paving Company $2,263,720.00
Silvia Construction $2,686,133.00
Copp Construction $2,387,002.00
(Non responsive)

The City has previously worked with Sequel Contractors, Inc. on paving projects of a similar nature. Staff found that the work performed was satisfactory. In addition, references were contacted and reported satisfactory on similar projects. The bid documents and bonds (from a California surety company) are in order and their contractor’s license is current.

Project bid award amount is $2,126,226.60, which is higher than the available funds of $2,087,530.00. Therefore to complete the project within available funds change order number 1 must be issued in the amount of $319,607 to reduce the construction cost to $1,806,619.60 and remain within the budget.

 Contract for Construction Management and Inspection Services

Staff submitted a request for proposal to five firms, Willdan. CBM Consulting Inc., DMC Engineering, SA Associates, and HY-COM & Associates. All five firms submitted a proposal. Proposals have been reviewed and staff has concluded that all five firms are equally qualified to perform the work. Based on qualifications, experience, and depth of understanding of the project, staff recommends award of a contract for construction management and inspection services to CBM Consulting.

CONCLUSION

Adopting the staff recommendations will award a construction contract to Sequel Contractors, Inc, and a contract to CBM Consulting for construction management and inspection services for the Area 2 FY 04–05 Overlay and Slurry Seal Program

Construction will begin in June 2006 and be completed by September 2006.

ALTERNATIVES

An alternative is to reject all construction bids and re-advertise the construction project. This alternative could take approximately two months to complete and lower bids are not anticipated.

FISCAL IMPACT

Funding for the program comes from a combination of General Fund, and Proposition C.
The breakdown is as follows:

Costs
Construction Bid Amount $2,126,226.60
Change Order one ($319,607.00)
Contingency $180,910.40

Construction Management and Inspection $100,000.00
Total Costs $2,087,530.00
Funding sources
General Fund Continue appropriation 04-05 $1,145,000.00
General Fund Budgeted 05-06 $ 776,976.00
Traffic Congestion relief monies $ 140,000.00
Transportation Development Act (TDA) monies $25,554
Total Available Fund $2,087,530.00

Respectively submitted,

Ray Holland
Director of Public Works

Reviewed by,

Les Evans
City Manager

Attachments:
Exhibit of streets
Resolution: FOR A BUDGET ADJUSTMENT TO THE CITY’S STREET MAINTENANCE AND CIP FUNDS
Resolution: budget adjustments to the city's transportation development act (bikeways) fund and capital improvement projects fund
Change Order 1
Professional Service Agreement
Construction Contract
RESOLUTION NO. 2006-,______

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS
VERDES, AMENDING RESOLUTION 2005-53, THE BUDGET APPROPRIATION
FOR FISCAL YEAR 2005-06, FOR A BUDGET ADJUSTMENT TO THE CITY’S
STREET MAINTENANCE AND CIP FUNDS

WHEREAS, Section 3.32 of the Rancho Palos Verdes Municipal Code provides that all expenditures in excess of budgeted allocations must be by supplemental appropriation of the City Council: and

WHEREAS, on May 31, 2005, the City Council of the City of Rancho Palos Verdes adopted Resolution 2005-53 approving a spending plan and authorizing a budget appropriation for the 2005-06 fiscal year: and

WHEREAS, the City has received $140,000 from the state for Prop 42 Traffic Congestion relief, and desires to use these monies to partially fund the 04-05 Residential overlay and slurry seal project

WHEREAS, a budget increase in the Street Maintenance Fund is necessary to transfer the Prop 42 monies to the CIP fund for the Residential Overlay and slurry seal project expenditures.

BE IT, THEREFORE, RESOLVED BY THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES:

The following adjustments be made to the following fund budgets:

Increase in the Capital Improvement Fund

Improvements Other Than Buildings 330-930-82 $ 140,000
Transfer In from Street Maintenance Fund 330-391-10 $ 140,000

Increase in Street Maintenance Fund

Transfer Out to CIP fund 202-3003-491-91-00 $ 140,000

PASSED, APPROVED, AND ADOPTED THE 6th DAY OF June 2006.

___________________________
MAYOR
ATTEST:

______________________
CITY CLERK

State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )

I, JO PURCELL, City Clerk of The City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2006-,____ was duly and regularly passed and adopted by the said City Council at regular meeting thereof held on June 6th, 2006.

_____________________________
CITY CLERK
CITY OF RANCHO PALOS VERDES

 

RESOLUTION NO. 2006-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS
VERDES, AMENDING RESOLUTION 2005-53, THE BUDGET APPROPRIATION
FOR FY05-06, FOR BUDGET ADJUSTMENTS TO THE CITY'S TRANSPORTATION DEVELOPMENT ACT (BIKEWAYS) FUND AND CAPITAL IMPROVEMENT PROJECTS FUND

WHEREAS, Section 3.32 of the Rancho Palos Verdes Municipal Code provides that all expenditures in excess of budgeted allocations must be by supplemental appropriation of the City Council: and

WHEREAS, on May 31, 2005, the City Council of the City of Rancho Palos Verdes adopted Resolution 2005-53, approving a spending plan and authorizing a budget appropriation for FY05-06: and

WHEREAS, Transportation Development Act Article 3 monies are available for the Residential Overlay project; and

WHEREAS, the City Council desires to use available restricted monies for the Residential Overlay project; and

WHEREAS, the City Council desires that the FY05-06 budget be adjusted.

BE IT, THEREFORE, RESOLVED BY THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES:

The following adjustments be made to the FY05-06 budget:

Transportation Development Act Fund
Transfers Out #340-3040-491-91-00 To CIP $25,554

Capital Improvement Projects Fund
Transfers In #330-3030-391-10-00 From Bikeways $25,554
Improvements #330-3030-461-73-00 Residential Overlay $25,554

PASSED, APPROVED, AND ADOPTED THE 6th day of June 2006 2006.

___________________________
MAYOR
ATTEST:

______________________
CITY CLERK

State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )

I, CAROLYNN PETRU, City Clerk of The City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2006- was duly and regularly passed and adopted by the said City Council at regular meeting thereof held on June 6th, 2006.

_____________________________
CITY CLERK

CHANGE ORDER 1

May 30, 2006

Bindu Vaish
Assistant Engineer
Public Works City of Rancho Palos Verdes,
30940 Hawthorne Blvd.
Rancho Palos Verdes, CA 90275

Dear Mrs. Vaish,

This letter is to acknowledge that the scope of work for residential overlay and slurry seal project for FY04-05, Area 2 has been modified per the attached spreadsheet. This will reduce the value of the contract to about $1,806,619.60, however no adjustments will be made to any of the unit prices and no claims in that regard will be made. We are willing to have this change made in the form of a change order, which will be incorporated into the award of the project.

Sincerely,

Mr. Tom Pack
Sequel Contractor Inc.