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Anaheim, CA 92805
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CITY COUNCIL AGENDA REPORT
City of Anaheim
DEPARTMENT OF PUBLIC WORKS
DATE: APRIL 2, 2024
FROM: DEPARTMENT OF PUBLIC WORKS
SUBJECT: AWARD OF MASTER AGREEMENTS FOR STREET
MAINTENANCE, CONSTRUCTION, AND IMMEDIATE
RESPONSE
ATTACHMENT (Y/N): YES ITEM # 08
GOVERNMENT CODE § 84308 APPLIES: YES
RECOMMENDATION:
That City Council, by Motion:
1) Determine that the projects to be performed under the Master Agreement shall be categorically exempt under the California Environmental Quality Act (CEQA), Sections 15301 and 15302 of Title 14 of the California Code of Regulations; 2) Approve the Master Agreement for Street Maintenance, Construction, and Immediate Response for a two-year term, with up to two additional two-year terms, in an amount not to exceed $2 million per work order package with a limit per contractor of $4 million in total awards during each fiscal year of the agreement term, excluding change orders;
3) Authorize and direct the Public Works Director, on behalf of the City, to execute the Master Agreement with PALP, Inc., dba Excel Paving Company; Onyx Paving Company, Inc.; Hardy & Harper, Inc.; Roy Allan Slurry Seal, Inc.; R.J.
Noble Company; Towo Enterprise, Inc.; Teichert Energy and Utilities Group, Inc. dba Teichert Utilities; and such other contractors pre-qualified by the City in the future during the term of the Master Agreement;
4) Authorize the Public Works Director or designee, on behalf of the City, to take any and all actions as are necessary or advisable to implement and administer the Master Agreement; and
5) Authorize de minimis changes that do not substantially change the terms and conditions of the Master Agreement, as determined by the City Attorney’s Office.
DISCUSSION:
Since 2014, the Public Works Operations Division has utilized a Master Agreement Program to maintain contracts with pre-qualified contractors to supplement the City of Award of Master Agreements for Street Maintenance, Construction, and Immediate Response April 2, 2024
Anaheim’s (City) forces and accelerate the department’s response to urgent repair and replacement needs related to concrete and asphalt assets in City right-of-way. The Program provides the department the flexibility to contract as needed to perform time-sensitive and specialized construction and repair activities as may be needed from time to time without increasing the workforce or purchasing specialized equipment that may be needed for specific projects. This program also establishes access to contractors with specialized equipment for immediate response should an emergency event occur.
The types of work typically performed under the Program include, but are not necessarily limited to: repair, replacement, and restoration of street and sidewalk assets such as grinding and overlay of asphalt pavement roadways, pavement preservation, and/or concrete work including sidewalk, curb ramps, driveway approaches, curb and gutter, and cross gutters.
On February 15, 2024, a Request for Qualifications was advertised on the City’s online bidding platform. The solicitation established the minimum qualifications required by the City to participate in the Master Agreement program. The minimum qualifications included, but were not limited to:
possession of a current and active contractor’s license, registration with the Department of Industrial Relations (DIR) as a Public Works Contractor, adequate insurance and bonding capacity, safety record, financial stability, reasonable emergency response fees, and history of successfully completing contracts of a similar scope of work. In response to the Request, the City received seven pre-qualification applications which staff reviewed against the evaluation criteria listed above.
Upon review, staff determined that all seven applicants met the minimum requirements of the Program, and therefore recommends that City Council award Master Agreements to the following seven applicants:
1. PALP, Inc. dba Excel Paving Company
Long Beach, CA
License Number: 688659 – A, C-12, C-31
2. Onyx Paving Company, Inc.
Anaheim, CA
License Number: 630360 – A, C-12
3. Hardy & Harper, Inc.
Lake Forest, CA
License Number: 215952 – A, C-8, C-12
4. Roy Allen Slurry Seal, Inc.
Santa Fe Springs, CA
License Number: 372798 – A, C-12
5. R.J. Noble Company
Orange, CA
License Number: 782908 – A, C-12
6. Towo Enterprise, Inc.
Fullerton, CA
License Number: 986567 A, B
Award of Master Agreements for Street Maintenance, Construction, and Immediate Response April 2, 2024
7. Teichert Energy and Utilities Group, Inc., dba Teichert Utilities Long Beach, CA
License Number: 1051426 – A, B, C-31
The Master Agreements for consideration are for a two-year period with two optional two-year renewals. The Master Agreements include a limit of $2 million per work order and not-to-exceed $4 million total per fiscal year. The services authorized by these agreements will be used on an as- needed basis to supplement the forces of the Department’s field crews for budgeted Capital Improvement Projects and regularly programmed maintenance. Expenditures will be within the Council approved budget for specific projects and/or the repair and maintenance program budget.
Time-sensitive or specialized Work that cannot be accommodated by the Department’s field crews will be assembled into work order packages for bidding. The contractors participating in the Program that are pre-qualified for the scope of work will be invited to provide competitive bids to perform the work through the City’s online bidding platform. The lowest responsive bidder will be issued the work order to perform the work. In the event services are needed immediately to respond to an emergency or to restore or maintain essential City operations, the Master Agreement contains provisions for immediate response at the pre-established labor, material, and equipment rates in the Agreement.
ENVIRONMENTAL DETERMINATION:
The projects to be carried out under this Master Agreement will consist of replacements, repairs, maintenance, or improvements with no expansion of capacity, therefore they will fall into one or more of the following CEQA Categorical Exemptions: Section 15301, and/or Section 15302. Section 15301 allows for the repair, maintenance, or minor alteration of existing public improvements and Section 15302 allows for the replacement or reconstruction of existing improvements that will be on the same site and will have substantially the same purpose and capacity.
COMMUNITY WORKFORCE AGREEMENT (CWA):
For the purposes of defining applicability under this Agreement, any street/sidewalk work orders valued greater than $1 million issued under this agreement will be acknowledged as “Large Neighborhood Improvement Projects” and therefore covered “Project Work” as defined in the CWA the City entered into with the Los Angeles/Orange Counties Building and Construction Trades Council and the Signatory Craft Councils and Local Unions.
IMPACT ON BUDGET:
There is no budgetary impact as a result of pre-qualifying the contractors for the Master Agreement.
Projects awarded to a contractor shall utilize funding as provided by the approved Public Works Capital Improvement Program and restricted transportation funds in the Public Works Department budget. Funds for subsequent fiscal years will be subject to approval through the annual budgeting process.
Respectfully submitted,
Rudy Emami
Director of Public Works
Award of Master Agreements for Street Maintenance, Construction, and Immediate Response April 2, 2024
Attachments:
1. Sample Master Agreement
2. Exhibit A for each company