City of Corona
Staff Report
400 S. Vicentia Ave.
Corona, CA 92882
File #: 22-0392
REQUEST FOR CITY COUNCIL AND
CORONA UTILITY AUTHORITY ACTION
DATE: 05/18/2022
TO: Honorable Mayor and City Council Members
Honorable President and Board Members
FROM: Public Works Department & Utilities Department
SUBJECT:
Award of Contract to Ferreira Construction Co., Inc. dba Ferreira Coastal Construction for the Cottonwood Court Waterline Replacement Project, Project No. 2021-46.
EXECUTIVE SUMMARY:
The existing 50 year-old pipeline on Cottonwood Court between Fullerton Avenue and Aspen Street frequently breaks and needs immediate replacement. The action presented before Council is the award of Notice of Inviting Bids No. 22-057CA for the Cottonwood Court Waterline Replacement Project to Ferreira Construction Co., Inc. dba Ferreira Coastal Construction for the total bid amount of $1,280,396 for the replacement of approximately 1,200 LF of asbestos cement potable water pipe with new ductile iron pipe.
RECOMMENDED ACTION:
That the:
a. City Council adopt the Plans and Specifications for the Cottonwood Court Waterline Replacement Project, Project No. 2021-46, Notice Inviting Bids 22-057CA. b. City Council award Notice Inviting Bids 22-057CA to Ferreira Coastal Construction, the lowest responsive, responsible bidder, for the total bid amount of $1,280,396 and waive any and all minor irregularities in the bidding documents as submitted by said bidder. c. City Council authorize the City Manager, or his designee, to execute the construction contract with Ferreira Coastal Construction in the amount of $1,280,396. d. City Council authorize the City Manager, or his designee to negotiate and execute nonsubstantive extensions, change orders, and amendments up to the amount authorized in City of Corona Page 1 of 4 Printed on 5/12/2022
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File #: 22-0392
substantive extensions, change orders, and amendments up to the amount authorized in Corona Municipal Code Section 3.08.050(H), which is equivalent to 10% or $128,040. e. City Council authorize the Purchasing Manager to issue a Purchase Order to Ferreira Coastal Construction in the amount of $1,280,396 for construction services. f. City Council authorize an appropriation in the amount of $1,236,327 from the Water Utility Fund 570 and $412,109 from the Measure A Fund 227 to the Cottonwood Court Waterline Replacement Project No. 77150 for a total project cost of $1,648,436, which includes construction, contingency, and construction support services. g. Corona Utility Authority review, ratify, and to the extent necessary, direct the City Council to take the above actions.
BACKGROUND & HISTORY:
The existing 6" and 8" asbestos cement pipe potable water main on Cottonwood Court and Cotton Wood Circle between Fullerton Avenue and Aspen Street, shown in Exhibit 1, had 8 breaks and leaks in the last 3 years. The waterline was installed in 1972. The roadway on Cottonwood Court was scheduled for pavement rehabilitation as part of the City's Annual Pavement Rehabilitation Project for 2022 due to its current pavement condition. This portion of the scheduled roadway rehabilitation work was postponed so that the existing water main could be replaced with a new 8" ductile iron water main on Cottonwood Court and Cottonwood Circle prior to the roadway pavement rehabilitation.
ANALYSIS:
The Plans and Specifications for the Cottonwood Court Waterline Replacement Project were completed, reviewed, and approved by City staff. The Plans and Specifications include one base Bid Schedule A, for the pipeline work, and one Alternative Bid Schedule B, for the roadway rehabilitation.
The purpose of having a separate Alternative Bid Schedule B is to separate the scope of work to allow for it to be removed should the bid price exceed the budget for the scope of work for this project.
As specified in the bid package, the City shall award the contract for the project to the lowest responsive, responsible bidder as determined from the lowest total for the summation of the base Bid Schedule A and Alternative Bid Schedule B. As a part of the competitive bid by the lowest bidder, staff recommends the award of the summation of Bid Schedule A and Alternative Bid Schedule B.
This Project was advertised for bids on March 9, 2022, pursuant to Corona Municipal Code Section
3.08.090, the State's Public Projects - Formal Bidding Procedure and Public Contract Code requirements to seven (7) Pre-Qualified Contractors. On April 11, 2022, only one (1) bid was received through the City's PlanetBids bidding service. Purchasing staff contacted the other six (6) Pre-Qualified Contractors by email, and all contractors stated they were busy with other projects and would not have adequate staffing available to take on this project.
The lowest bid was determined by the total of base Bid Schedule A and Alternative Bid Schedule B.
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File #: 22-0392
The following is a summary of the bid results and the Engineer's Estimate:
At this time, City staff recommends awarding the bid for the summation of Bid Schedule A and Alternative Bid Schedule B. Although only one bid was received, staff believes this price is reasonable. Bid schedule A, the waterline replacement work came in at 1% higher than the bid estimate for the utility work. Alternative bid Schedule B is for the pavement reconstruction, which came in 30% higher, from $200,000 to $300,000. Overall, the bid came in at approximately 11% higher; however, it is still within the range of engineer’s estimate between $950,000 to $1,300,000 indicated on the Notice Inviting Bid. This is not unusual as the waterline contractor would subcontract out the pavement work and the work area is a relatively smaller paving area.
The current condition of the existing potable water main on Cottonwood Court between Fullerton Avenue and Aspen Street continues to cause water losses while adversely affecting the condition of the existing pavement. Allowing the existing potable water main to continue to leak into the subgrade may induce pavement failure and will continue to cause disruptions to the neighborhood’s water supply. Given the maintenance record of the aforementioned water main and the number of disruptions to the homeowners, the potable water main should be replaced as soon as possible, and the pavement should be reconstructed as bid and as recommended.
Staff has reviewed the bid and recommends awarding the contract to Ferreira Coastal Construction as the lowest responsive, responsible bidder based on the summation of Bid Schedule A and Alternative Bid Schedule B for a total contract amount of $1,280,396. All licenses and references for Ferreira Coastal Construction have been reviewed and verified by City staff, and all other documentation is in order.
City staff will perform the construction contract administration, and a contract consultant will perform inspection services. Should the City Council award the contract as recommended, construction is tentatively scheduled to commence in July 2022, with completion anticipated by December 2022.
FINANCIAL IMPACT:
Funding for the recommended actions and support services in the amount of $1,236,327 is requested to be appropriated from the Water Utility Fund 570 to the Cottonwood Court Waterline Replacement Project No. 77150. An additional appropriation of $412,109 for Alternative Bid Schedule B work is requested from the Measure A Fund 227.
The estimated construction cost for this project is outlined as follows:
Construction ………………………………………………………………………………………… $1,280,396 Construction Contract Change Orders (10%) …………………………………………….. $128,040 Construction Support Services ………………………………………………………………….. $240,000 Total Construction Costs ………………………………………………………………… $1,648,436 City of Corona Page 3 of 4 Printed on 5/12/2022
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File #: 22-0392
With the approval of the recommended actions, funds will be used for the Cottonwood Court Waterline Replacement Project. The project budget will be available in the following funding source:
Funding Source Amount
Water Utility Fund 570 $1,236,327
Measure A Fund 227 $412,109
Total $1,648,436
Fund 07/01/21 Est.
Working Capital
Budgeted
Revenues/
Sources
Budgeted
Expenditures/
Uses
Working Capital
Impacts
06/30/22 Est.
Working Capital
Water Utility
Fund 570
$4,433,496 $66,225,780 ($69,422,949) Appropriation
($1,236,327)
$0
Fund 07/01/21 Est.
Fund Balance
Budgeted
Revenues/
Sources
Budgeted
Expenditures/
Uses
Fund Balance
Impacts
06/30/22 Est.
Fund Balance
Measure A
Fund 227
$4,942,394 $4,670,250 ($9,200,535) Appropriation
($412,109)
$0
ENVIRONMENTAL ANALYSIS:
This action is categorically exempt pursuant to Section 15301(c) of the Guidelines for the California Environmental Quality Action (CEQA), which states that a project which consists of minor repairs and maintenance to existing facilities does not have a significant impact on the environment and is therefore exempt from CEQA. This action involves minor repairs and replacement of existing waterlines and hardscapes or similar features involving negligible or no expansion of use beyond that currently existing from the requirements of CEQA. A Notice of Exemption will be filed with Riverside County.
PREPARED BY: JULIANNA ZALESKI, ASSOCIATE ENGINEER
REVIEWED BY: SAVAT KHAMPHOU, PUBLIC WORKS DIRECTOR
Attachments:
1. Exhibit 1 - Location Map
2. Exhibit 2 - Construction Contract
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