CITY OF COMMERCEAGENDA REPORTCITY OF COMMERCEAGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
CITY OF COMMERCE
AGENDA REPORT
TO: Honorable City Council
FROM: City Manager
SUBJECT: Award of Construction Contract to Toro Enterprises, Inc. for the Commerce Way Pavement Construction Project Meeting Date: September 27, 2022
RECOMMENDATION
City Council adoption of a Resolution awarding a construction contract to Toro Enterprises, Inc. for the Commerce Way Pavement Construction Project from Sheila Street to Washington Boulevard, authorizing Construction Management, Administration, Inspection, Federal Labor Compliance and Federal Fund Management services by Transtech Engineers, Inc., and authorizing Geo-Advantec, Inc. to proceed with Geotechnical and material testing services, pursuant to their on-call Professional consulting services agreements.
BACKGROUND
On April 26, 2022, the City Council approved the plans and specifications for the Commerce Way Pavement Construction Project (Project) from Sheila Street to Washington Boulevard, and authorized staff to advertise the project for bids. The project will generally consist of construction of a new raised median, pavement, and sidewalk and reconstruction of the Commerce Way and Sheila Street intersection to a more conventional four-way stop to allow for better traffic flow, drainage, and increased safety for pedestrians and vehicles.
ANALYSIS
On July 15, 2022, staff advertised the project bid package. The following four (4) bids were received by the City at the Bid Opening held on August 11, 2022.
BASE BID SCHEDULE
BID RANKING
Low Bidder
Second Low Bid
Third Low Bid
Fourth Low Bid
Toro Enterprises, Inc.
Hardy & Harper, Inc.
All American Asphalt
Palp, Inc. DBA Excel Paving Company
TOTAL BASE BID AMOUNT
$784,540
$870,000
$1,069,135
$1,097,839
As required by the California Public Contract Code, staff specified in the Bid Specifications that the lowest bid would be selected based on the Base Bid. As shown in the above bid tabulation, Toro Enterprises, Inc. submitted the lowest base bid. Toro Enterprises, Inc. inadvertently missed the unit price and total price for bid item 28 although the total base bid amount included the missing price. The missing unit price does not affect Toro Enterprises, Inc. total base bid amount, nor does it affect the ranking of the bidders, therefore, the error on Toro Enterprises, Inc. bid schedule determined to be insignificant and waivable by the City. This was confirmed by City Attorney.
Staff conducted a bid analysis and verified California contractor’s licensing, Department of Industrial Relations (DIR) registration, state and federal debarment files, and references for Toro Enterprises, Inc. Based on the bid analysis, Toro Enterprises, Inc. was found to be the lowest responsible bidder. A copy of the bid tabulation and analysis undertaken by staff is attached for reference.
Staff recommends adoption of the attached Resolution, which in summary does the following:
Approves a construction contract with Toro Enterprises, Inc., the lowest responsible bidder, for the Commerce Way Pavement Construction Project from Sheila Street to Washington Boulevard, in the amount of $784,540.00.
Authorize up to 15% of the construction contract for construction contingency for unforeseen conditions.
Authorize up to 15% of the total construction contract and contingencies for Construction Management, Inspection Services, Material Testing, Federal Labor Compliance, and Federal Fund Management.
Authorize Transtech Engineers, Inc. to proceed with Construction Management, Administration, Inspection, Federal Labor Compliance and Fund Management Services, pursuant to their existing on-call agreement for consultant services.
Authorize Geo-Advantec, Inc. to proceed with Geotechnical and material testing services, pursuant to their existing on-call agreement for consultant services The following is a summary of the project cost:
Bid Amount to be Awarded
$784,540.00
Project Construction Contingencies (15%)
$117,681.00
Subtotal
$902,221.00
Construction Management and Inspection, Federal Labor Compliance, and Material testing (15%) $135,333.15
Total Project Cost
$1,037, 554.15
FISCAL IMPACT
The total estimated cost of this project including construction contract, contingencies, construction management and contingencies is $1,037,554.15 of which $490,000.00 will be covered through Federal Funds (based on reimbursement). Approved Measure AA Funds in the amount of $1,077,613 is available in Account No. 41-5170-57010.14009 to cover the cost of the project including Federal reimbursable funds.
ALTERNATIVES:
Approve recommendation
Reject recommendation
Provide staff with further direction
RELATIONSHIP TO STRATEGIC GOALS:
This agenda item relates to the 2016 Strategic Plan - Goal #6: “Enhance Quality of Life Goal”; this project helps the City provide better, reliable, and more effective transportation services to the community, which improves the quality of life in Commerce.
Recommended by: Gina Nila, Acting Director of Public Works Reviewed by: Vilko Domic, Assistant City Manager
Approved as to form by: Noel Tapia, City Attorney
Respectfully submitted by: Edgar P. Cisneros, City Manager ATTACHMENTS:
Resolution
Bid Analysis
Construction Contract- Toro Enterprises, Inc.