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STAFF REPORT - CONSTRUCTION CONTRACT WITH RESOURCE ENVIRONMENTAL INC FOR THE OLD PD BUILDING DEMOLITION PROJECT.pdf

Corona City Council
December 4, 2024

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STAFF REPORT - CONSTRUCTION CONTRACT WITH RESOURCE ENVIRONMENTAL INC FOR THE OLD PD BUILDING DEMOLITION PROJECT.pdf
Meeting
December 4, 2024
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Corona City Council
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Text extracted from the city's file for reading and search. Open the original on pub-corona.escribemeetings.com. That file is the official record.

DATE: 12/04/2024
TO: Honorable Mayor and City Council Members
FROM: Public Works Department
2024-179

REQUEST FOR CITY COUNCIL ACTION
SUBJECT:

CONSTRUCTION CONTRACT WITH RESOURCE ENVIRONMENTAL, INC. IN THE AMOUNT OF $1,560,680 FOR THE OLD PD BUILDING DEMOLITION, CAPITAL IMPROVEMENT PROJECT NO. FC-2023-09; NOTICE INVITING BIDS 25-015SB EXECUTIVE SUMMARY:

This staff report asks the City Council to approve the Construction Contract with Resource Environmental, Inc. for the Old PD Building Demolition, Capital Improvement Project No.

FC-2023-09. This project will reroute existing fiber communications cabling and equipment from the Old PD Building, demolish the building located at 849 W. Sixth Street, preserve a portion of the parking lot to remain for use by the County of Riverside and Court, provide a continuous walkway leading to City Hall, and cover the demolished area with grass.

RECOMMENDED ACTION:

That the City Council:
a. Adopt the Plans and Specifications for the Old PD Building Demolition, Capital Improvement Project No. FC-2023-09.
b. Award Notice Inviting Bids 25-015SB to Resource Environmental, Inc., the lowest responsive, responsible bidder, for the total bid amount of $1,560,680, and waive all minor irregularities in the bidding document as submitted by the said bidder. c. Approve the Construction Contract with Resource Environmental, Inc. for the Old PD Building Demolition, Capital Improvement Project No. FC-2023-09 in the amount of $1,560,680.
d. Authorize the City Manager, or his designee, to execute the Construction Contract with Resource Environmental, Inc. in the amount of $1,560,680, including any nonsubstantive extensions, change orders, purchase orders, and amendments up to 10%, which is equivalent to $156,068.
e. Authorize an appropriation in the amount of $1,109,234 from Measure X Fund 120 to the Old PD Building Demolition, Capital Improvement Project No. FC-2023-09.

BACKGROUND & HISTORY:

At the Fall Policy Workshop on September 28, 2022, the Corona City Council was provided with three options, with the pros and cons, regarding the disposition of the 24,000-square-foot building that formerly functioned as the City’s police station. The options presented to the Council for consideration were as follows: Option 1, Take No Action; Option 2, Demolish and Create Green Space; and Option 3, Renovate. The building, located at 849 West Sixth Street, has been unoccupied since 2009 and needs costly improvements to meet current building standards. City Council provided direction to proceed with Option 2, demolishing the old Police Station and adding green space.

At the November 15, 2023, City Council meeting, IDS Group Inc. was awarded a contract to prepare all the necessary plans and specifications for this purpose.

ANALYSIS:

The Project was advertised for bids on October 1, 2024, pursuant to Corona Municipal Code section 3.08.090, Public projects - formal bidding procedure, and the City’s purchasing policy through the City’s PlanetBids bidding portal. A total of 797 prospective bidders were notified, with 700 external vendors notified and 97 vendors notified via the City’s PlanetBids website. A mandatory job walk was conducted on October 15, 2024, with twenty-eight (28) companies in attendance. Bids were due on November 12, 2024, at 10:00 AM. Four (4) bids were received through the PlanetBids bidding service.

No. Contractor Location Bid Total
1 Resource Environmental, Inc. Cerritos, CA $1,560,680.00 2 AD Improvements Downey, CA $1,774,460.25
3 Unlimited Environmental, Inc. Santa Fe Springs,
CA
$1,828,531.00
4 The Nazerian Group Encino, CA $2,543,123.00
Staff has reviewed all bids and recommends awarding the contract to Resource Environmental, Inc. as the lowest responsive, responsible bidder based on the Bid Schedule for a total contract amount of $1,560,680. City staff has reviewed and verified all licenses and references for Resource Environmental, Inc., and all other documentation is in order.

FINANCIAL IMPACT:

Approval of the recommended actions will result in an appropriation of $1,109,234 from the Measure X Fund 120 to the Old PD Building Demolition Capital Improvement Project No. FC-2023-09. If the City Council approves the appropriation, funding for the Old PD Building Demolition Project will be available in the Capital Improvement Project No. FC2023-09.

The estimated construction costs are outlined as follows:

Construction
………………………………………………………………………………….………$1,560,68
0 Construction Inspection, Labor Compliance and Staff
Time.…………..………..……….$200,000
Contingency (10%)
……………………………………..…………………………………….……….$156,068
Total Project Cost
………………….…………………………………………….………………..$1,916,748
Staff recommends an appropriation as follows:

Project No. Fund Current Balance
Appropriation
Revised Balance
FC-2023-09
(Old PD
Building
Demolition)
American
Rescue Plan
Act Fund 413
$753,514 $0 $753,514
FC-2023-09
(Old PD
Building
Demolition)
Measure X
Fund 120
$54,000 $1,109,234 $1,163,234
Total: $807,514 $1,109,234 $1,916,748
ENVIRONMENTAL ANALYSIS:

These actions are categorically exempt pursuant to Section 15301 of the Guidelines for the California Environmental Quality Act (CEQA), which states that the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the CEQA determination and is therefore exempt from CEQA. Therefore, no environmental analysis is required and staff has filed a Notice of Exemption with the County of Riverside.

PREPARED BY: TRACY MARTIN, SENIOR PROJECT MANAGER
REVIEWED BY: SAVAT KHAMPHOU, PUBLIC WORKS DIRECTOR
ATTACHMENTS:

1. Exhibit 1 – Location Map

2. Exhibit 2 – Construction Contract

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