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 Construction Contract to All American Asphalt for the FY 2024-25 Pavement Rehabilitation Project Meeting Date: April 22, 2025
RECOMMENDATION
The City Council will consider adopting a Resolution Awarding a Construction Contract to All American Asphalt for the FY 2024-25 Pavement Rehabilitation Project, and authorizing Construction Management and Inspection Services by Transtech Engineers, inc. pursuant to their On-Call Professional Consulting Services Agreements.
BACKGROUND
The FY 2024-25 Pavement Rehabilitation Project (Project) includes the rehabilitation of various alleys including but not limited to Alley gutter replacement, Asphalt Concrete (AC) Pavement cold-mill, AC overlay, and AC and concrete pavement removal & construction.
In accordance with the Project Specifications, the construction work is to be completed within seventy (70) working days. The City anticipates issuing a Notice to Proceed to commence construction by June 2025, after contract execution and securing required bonds. The project completion is projected by September 2025. To mitigate impacts to surrounding land uses, construction activities within residential alleys will be limited to daytime working hours to minimize noise disturbances. Conversely, work in non-residential alleys will be conducted during nighttime hours to accommodate anticipated alley closures and restricted access to affected properties during business hours. The alleys were selected based on the recommendations identified within the City’s Pavement Management System (PMS) which include:
Alley E/Gerhart Av from Ferguson Dr to Alley S/Olympic Bl Alley E/Gerhart Av from Alley N/Olympic Bl to Alley S/Whittier Bl Alley N/Washington Bl from Bedessen Av to Connor Av
Alley N/Washington Bl from 198’ W/O Ransom St to Ransom St Alley N/Washington Bl from Ransom St to Couts Av
Alley N/Washington Bl from Couts Av to Bewley Av
Alley N/Washington Bl from Bewley Av to Cowlin Av
Alley N/Washington Bl from Wilma Av to Strong Av
Alley N/Washington Bl from Strong Av to O’neill Av
Alley N/Washington Bl from O’neill Av to Fitzgerald Av
Alley N/Washington Bl from Eastern Av to 275’ E/O Daniel Av Alley S/Washington Bl from Ralph Lieberman Av to Strong Av Alley S/Washington Bl from Strong Av to O’neill Av
Alley S/Washington Bl from O’neill Av to Fitzgerald Av
Alley S/Washington Bl from Fitzgerald Av to Eastern Av
Alley S/Washington Bl from Eastern Av to Daniel Av
Alley S/Washington Bl from Daniel Av to 300’ E/O Daniel Av Alley S/Washington Bl from 300’ E/O Daniel Av to Commerce Way Alley E/Atlantic Bl from Jillson St to Jardine St
Alley E/Atlantic Bl from Jardine St to Harbor St
Alley E/Atlantic Bl from Everington St to Fitzgerald St Alley W/Eastern Av from Habor St to Everington St
Alley W/Eastern Av from Everington St to Alley N/Everington St
ANALYSIS
On March 24, 2025, staff advertised the bid package for the FY 2024-25 Pavement Rehabilitation Project. The following eight (8) bids were received by the City at the Bid Opening held on April 14, 2025. A copy of the bid tabulation is attached:
BID RANKING
BIDDER
BASE BID SCHEDULE
Lowest Bidder
(Non-Responsive)
All American Asphalt
$2,599,124.00
2nd Lowest Bidder
Gentry Brothers, Inc
$2,649,857.50
3rd Bidder
Onyx Paving Company, Inc.
$2,728,000.00
4th Bidder
JT Construction Group, Inc.
$2,885,500.00
5th Bidder
Toro Enterprises, Inc.
$2,893,710.00
6th Bidder
Sully‐Miller Contracting Company
$2,988,322.00
7th Bidder
DASH Construction Company, Inc.
$2,998,716.00
8th Bidder
Hardy & Harper, Inc.
$3,269,908.00
In accordance with the California Public Contract Code, public works contracts must be awarded to the lowest responsive and responsible bidder. The bid documents required the submission of five references as part of the Bidder Qualification Form. All American Asphalt submitted only three references and indicated that the remaining two were included in an attached list of recently completed construction projects. However, the referenced attachment was not included in their bid submittal.
The City Attorney reviewed the bid and determined that the missing attachment constituted a non-material error that could be waived. Because the omission did not affect All American Asphalt’s obligation to fulfill the bid requirements nor give them an unfair competitive advantage, the City exercised its discretion to request the missing Bidder Qualification Form prior to the Council award.
All American Asphalt has since submitted the missing information. Following staff’s review, including verification of the contractor’s California license, Department of Industrial Relations (DIR) registration, state and federal debarment status, and references, All American Asphalt has been confirmed as the lowest responsive and responsible bidder. A detailed bid analysis is attached for reference.
The project is categorically exempt from the California Environmental Quality Act (CEQA) under Section 15301, Class 1 of the CEQA Guidelines. This exemption applies to the repair, maintenance, or minor alteration of existing public facilities involving negligible or no expansion of existing or former use, including existing highways and streets, sidewalks, gutters, bicycle trails, and similar infrastructure.
Staff recommends that City Council adopt the attached Resolution which in summary does the following:
Approve Plans and Specifications for the FY 2024-25 Pavement Rehabilitation Project.
Waives the irregularities in All American Asphalt bid and awards a construction contract to All American Asphalt as the lowest responsive and responsible bidder, for the FY 2024-25 Pavement Rehabilitation Project in the amount of $2,599,124.00 for the total Base Bid Schedule amount.
Authorizes up to 15% of the construction contract for construction contingency for unforeseen conditions.
Authorizes up to 10% of the total construction contract and contingencies for Construction Management and Inspection Services.
Authorizes Transtech Engineers, Inc. to proceed with Construction Management and Inspection Service, pursuant to their existing on-call agreement for consultant services.
Make a finding and determination that the FY 2024-25 Pavement Rehabilitation Project is exempt from further CEQA review pursuant to Administrative Code, Title 14, Chapter 3, Section 15301, Class 1, because the Project consists of Restoration or rehabilitation of deteriorated or damaged structures or facilities to meet current standards of public health and safety.
Following is a summary of the project cost:
Bid Amount to be Awarded
$2,599,124.00
Construction Contingencies (15%)
$389,868.60
Subtotal
$2,988,992.60
Construction Management, Inspection (10%)
$298,899.26
Total Project Cost
$3,287,891.86
FISCAL IMPACT
The total estimated cost of this project including construction contract, contingencies, construction management, and inspection services is $3,287,891.86. No additional appropriations are needed as funds in the amount of $4.4 million are available in the approved Measure AA Funds Account #41-5180-57010.12002 for this project.
ALTERNATIVES:
Approve recommendation
Reject recommendation
Provide staff with further direction
RELATIONSHIP TO STRATEGIC GOALS:
This agenda item relates to the 2016 Strategic Plan, Infrastructure and Facilities:
Guiding Principle 4: Develop and invest in infrastructure and beautification projects that support economic growth Fiscal Impact reviewed by: Alvaro Castellon, Director of Finance Approved as to form by: Noel Tapia, City Attorney
Respectfully submitted: Ernie Hernandez, City Manager ATTACHMENTS:
Resolution
Bid Analysis
Construction Contract- All American Asphalt