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Staff Report
City Council
Item No. 6.C
Meeting Date: May 10, 2023
From: John Corella, Director of Engineering/Public Works Title: Award Contract to Jacobsson Engineering Construction Company for the Via De Anza Street Improvements Project - Phase II, CIP No. 8835
City Council
RECOMMENDATION:
To award a contract to Jacobsson Engineering Construction, Inc. in the amount of $545,167 for constructing the CDBG Public Improvements Project: Via De Anza Street Improvements Project - Phase II (C08835); and, approve a fifteen percent (15%) contingency in the amount of $81,775 for any unforeseeable construction costs; thereby, bringing the total construction budget for this Project to $626,942; and, authorize the City Manager to execute the required contract documents; and, authorize the City Engineer to request bonds and insurance for the Project and to issue the Notice to Proceed.
BACKGROUND:
The Via De Anza Street Improvements Project - Phase II (Project) is a bid solicitation for the reconstruction and improvements along Via De Anza Street. The Project is in the Ocotillo Square neighborhood between Dinah Shore Drive and Olancha Road, west of Date Palm Drive (a Project Location Map is attached). The Project will be using the City’s Community Development Block Grant (CDBG) program funding for Public Infrastructure. Engineering Staff identified Via De Anza and connecting streets as eligible for the use of the amended 2022 CDBG Annual Action Plan funding through the Public Improvements portion of the program in the amount of $419,845.
The Project is a continuation of the Via De Anza Street Improvements Project - Phase I, which was completed in March 2023. The Via De Anza Street Improvements Project - Phase I consisted of the construction of street improvements along the west side of Via De Anza between Dinah Shore Drive and Olancha Road including minor infill improvements on Via Altamira and Olancha Road.
On August 10, 2022, City Council authorized the Director of Engineering/Public Works to execute Task Order 09 for Engineering Design Services for Via De Anza Street
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Improvements Project - Phases II and III to NAI Consulting, Inc. (NAI) in the amount of $38,400.
The proposed street improvements and rehabilitation consists of constructing sidewalk, curb and gutter, curb ramps, driveways, and placing new asphalt concrete on the east half of the street. Private improvements, including reconstructing garden walls, mailboxes, and driveway improvements, will be placed to conform to the existing right of way and necessary setbacks.
In coordination with Coachella Valley Water District (CVWD), the Project will also include the replacement and relocation of a domestic water pipeline within the Project’s limits. CVWD prepared Plans, Specifications, and Estimates (PS&E) for the water main relocation and appurtenances in accordance with CVWD’s design standards. These design standards were incorporated together with the PS&E prepared for the street improvements.
On December 14, 2022. City Council authorized the City Manager to execute a 100% Reimbursement Agreement with CVWD for the relocation and replacement of a water main at an estimated construction cost of $470,000.
DISCUSSION:
On Wednesday, March 22, 2023, the City advertised an invitation to bid, requesting qualified contractors to perform the described scope of work found in the Bid Specifications and Plans for this Project. This solicitation was made available to contractors for twenty-eight (28) calendar days and advertised in the following publications:
•Desert Sun – Published on March 22 and March 29, 2023
•La Prensa Hispana – Published on March 24, 2023
•Planit Print Works
•City’s Website
On April 19, 2023, the City received two (2) bid proposals for this Project. Based on the bids received, the lowest responsive bidder is Jacobsson Engineering Construction, Inc. (Jacobsson) of Thousand Palms, CA. A Bid Tabulation is attached for reference.
The following table ranks each qualified bidder by total price:
RANK CONTRACTOR AMOUNT
1 Jacobsson Engineering Construction, Inc. $545,167.00
2 Granite Construction Company $740,999.20
The Engineer’s Estimate is $658,041.57. Jacobsson bid construction amount is lower than the Engineers Estimate for the construction of the Project.
Engineering Staff is recommending the City Council award a contract to Jacobsson Engineering Construction, Inc. in the amount of $545,167 to construct the Project. Staff is Cathedral City Page 3 of 4 Printed on 5/9/2023
also recommending the approval of a fifteen percent (15%) contingency in the amount of $81,775 for any unforeseeable construction costs that may be incurred, thereby, bringing the total construction budget for this Project to $626,942. Additionally, the Engineering Staff recommends City Council authorize the City Manager to execute the required contract documents (attached); and, to authorize the City Engineer to request bonds and insurance for the Project and to issue the Notice to Proceed.
ENVIRONMENTAL ANALYSIS:
The project is categorically excluded under the National Environmental Policy Act (NEPA) process for federally funded projects per 24CFR58.35 (a)(1), and Categorically Exempt under the California Environmental Quality Act (CEQA), Section 15301 for “Existing Facilities.”
FISCAL IMPACT:
A summary of the Project construction cost is shown below:
Street Improvements - Cathedral City $ 346,797
Water Main Replacement and Relocation - CVWD 198,370 Bid Construction Cost $ 545,167
A 100% Reimbursement Agreement with CVWD in the amount of $198,370, representing the construction cost for the replacement of the domestic water main, will be executed after the City awards the contract. CVWD originally allocated a total of $470,000 in their FY 2022/2023 budget towards its portion of the Project. (Note: CVWD has provisions to pay additional costs if the original cost estimate is exceeded).
The amended FY 2022/2023 CDBG Annual Action Plan (AAP) budget allocated $419,845 for the design and construction of the Project. (Note: The amount of unused CDBG funds from Via De Anza – Phase I Project in prior fiscal years is $66,079. Once an Administrative Amendment has been completed, these funds can also be used for public improvements.)
Staff is recommending an additional 15% contingency for any unforeseeable construction costs in the amount of $81,775. The total estimated construction cost is $626,942 as follows.
Bid Construction Cost $ 545,167
15% Contingency 81,775
Total Construction Cost $ 626,942
Staff is requesting to use the available CDBG funds for the street improvements portion of the project in the amount of $346,797 and the additional 15% project contingency in the amount $81,775, for a total amount of $428,572 to be allocated from the FY 2022/2023 CDBG Fund account number 251-100-150-156-8800-8802.
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Staff is also requesting to allocate $198,370 for the water main relocation portion of the Project from the Capital Improvement Project (CIP) Fund (account number 331-100- 150- 156-8800-8802) to be reimbursed by CVWD at the completion of the Project.
ATTACHMENTS:
Project Map - Via De Anza Street Improvements - Phase II Bid Tabulation
Contract