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Staff Report
City Council
Item No. 2.B
Meeting Date: September 27, 2023
From: John Corella, Director of Engineering/Public Works Title: Award Contract for Soil Removal due to Tropical Storm Hilary to Stice Company, Inc.
City Council
RECOMMENDATION:
To award a soil removal contract to Stice Company Inc., in the amount of $3,967,966.80 for the for removal of soil from affected areas due to Tropical Storm Hillary, City Project (M00020) and approve a fifteen percent (15%) contingency in the amount of $595,195.20 for any unforeseeable costs; thereby, bringing the total soil removal budget for this Project to $4,563,162.00; and, approve a General Fund appropriation in the amount of $4,563,162.00; 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 issue the Notice to Proceed.
BACKGROUND:
On August 20, 2023, Tropical Storm Hilary struck Southern California, the Coachella Valley, and more specifically Cathedral City, resulting in flooded roads, neighborhoods and mud flows in various areas of Cathedral City. Runoff flood waters brought large amounts of sediment and debris and left many areas of the City flooded and covered in several feet of mud (soil) and debris. Significant damage from mud flows occurred within approximately 40 acres at the northeast area of Panorama neighborhood.
The emergency work to restore access and traffic through Panorama Neighborhood began on August 21, 2023, and continued into late September 2023. During this disaster, various contractors were hired to assist the City. Residents disposed of soil and debris from their properties and placed it in the City right of way. The emergency work included removing soil and debris from the streets and rights of way and storing it on nearby vacant lots off Date Palm Drive and Vista Chino in the northeast area of the Panorama neighborhood. The attached map identifies these debris storage areas.
With the roadways clear of soil and debris, the next step is to return to the vacant lots and remove and dispose the soil material (Project) resulting from the Tropical Storm Hilary event on August 20, 2023 . The Project will require a Contractor to conduct the appropriate dust control measures, remove and dispose of the soil material in a legal
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manner, and stabilize the vacant lots and right of way areas used to stockpile the soil material.
DISCUSSION:
Continuing with the City’s Emergency Response Work, City Staff advertised an invitation to bid on September 13, 2023, September 15, 2023, and September 17, 2023, requesting qualified contractors to perform the soil removal and all incidental work as described in the bid documents of Bid No. B23 -53E, for this Project. This solicitation was made available to contractors for eight (8) calendar days and advertised in the following locations:
• Desert Sun – Published on September 13, 2023, September 15, 2023, September 17, 2023
• PlanIt Print Works – From September 13, 2023, until September 21, 2023 • City’s Website – From September 13, 2023, until September 21, 2023
On September 21, 2023, the City received eleven (11) bid proposals for this Project.
The following table lists each qualified bidder by total price:
RANK CONTRACTOR AMOUNT
1 Stice Company Inc. (Irvine, CA) $3,967,966.80
2 Demo Unlimited Inc. (La Quinta, CA) $3,990,617.55
3 Granite Construction Company (Indio, CA) $4,136,190.00 4 Tri Star Contracting II Inc. (Desert Hot Springs, CA) $4,269,646.00 5 Sky Construction Services Inc. (Desert Hot Springs, CA) $4,643,615.00 6 Urban Habitat (La Quinta, CA) $4,669,154.65
7 Pacific West Undergrounding Inc. (Yucaipa, CA) $5,103,422.00 8 Jacobsson Engineering Construction Inc. (Palm Desert, CA) $5,682,122.00 9 Resource Environmental Inc. (Cerritos, CA) $6,651,095.00 10 DRC Pacific Inc. (Metairie, LA) $16,568,050.62
Please note: A bid submitted by Empire Equipment Service Inc., was considered non - responsive due to being non -compliant to the limitations on subcontracting over 51% above the specifications requirements.
The Bid Tabulation prepared by the Engineering Division is attached to this report for reference.
Based on the bids received, the lowest responsive and responsible bidder is Stice Company Inc. from Irvine, CA.
Engineering Staff is recommending the City Council award a soil removal contract to Stice Company Inc., in the amount of $3,967,966.80 for the for removal of soil from affected areas due to Tropical Storm Hillary, City Project (M00020) and approve a fifteen percent (15%) contingency in the amount of $595,195.20 for any unforeseeable costs; thereby, bringing the total soil removal budget for this Project to $4,563,162.00; and, approve a General Fund appropriation in the amount of $4,563,162.00; and, authorize the City Manager to execute the required contract documents; and, authorize
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the City Engineer to request bonds and insurance for the Project and issue the Notice to Proceed
Soil removal is scheduled to start as soon as contract documents are executed and processed with a start date of early this October 2023. Completion of this work will be by April 2024 or sooner.
ENVIRONMENTAL ANALYSIS:
These projects are categorically excluded under the National Environmental Policy Act (NEPA) process for federally funded projects per 23 CFR 771.117(c)(9), and Categorically Exempt under the California Environmental Quality Act (CEQA), Section Guidelines §§ 15269, 15300.2(d), and 15301(d).
FISCAL IMPACT:
The Bid Opening for this Project was held on September 21, 2023, with the lowest responsive and responsible bid received in the amount of $3,967,966.80 from Stice Company Inc.
The budget required for the construction of this Project will include the bid amount and a 15% contingency for a total amount of $4,121,262.00 as shown below.
Bid Cost (Stice Company Inc.) $ 3,967,966.80
15% Contingency $ 595,195.20
Construction Total $ 4,563,162.00
This authorization is estimated to be in the amount of $4,563,162.00 and funded from the City’s General Fund.
The authorization for funding the soil removal as emergency repair work will require an amendment to the FY 2023 -2024 Budget. Once additional costs are known, e.g., salary overtime, repairs, etc., a future amendment will be brought forward to the City Council at a future date.
Note: On September 14, 2023, Governor Newsome sent a request to President Joe Biden for a major disaster declaration for the State of California as a result of Tropical Storm Hillary, requesting public assistance for Imperial, Inyo, Kern, Los Angeles, Riverside, San Bernardino, San Diego, Siskiyou, and Ventura counties and additional hazard mitigation statewide.
On September 19, 2023, a bipartisan delegation of California leaders sent President Joe Biden a letter urging the President to approve a FEMA major disaster declaration for the areas impacted by Tropical Storm Hilary.
FIVE-YEAR STRATEGIC PLAN:
Goal E: Safety
Objective: Cathedral City is safe for all who live, work and play in our community.
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ATTACHMENTS:
Soil Storage Location
Bid Tabulation - Soil Removal Contract Due to Tropical Storm Hillary 1300 Series- Contract + Insurance - Stice Company Inc