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2 DATE: July 15, 2024
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Andrew Brozyna, Public Works Director
Justin Lai, Senior Civil Engineer
Amy Zhou, Assistant Engineer
DEPARTMENT: Public Works
SUBJECT: AWARD OF CONSTRUCTION CONTRACT TO G. BORTOLOTTO & COMPANY, INC. IN THE AMOUNT OF $1,989,541.55 FOR THE
CONSTRUCTION OF THE STREET REHABILITATION AND
PARK PATHWAY RESTORATION PROJECT (2023-2024)
CIP301-716; THE EXECUTION OF A TASK ORDER WITH CSG
CONSULTANTS IN THE AMOUNT OF $198,940 FOR
CONSTRUCTION MANAGEMENT, INSPECTION SERVICES,
AND MATERIAL TESTING SERVICES; APPROPRIATION OF
$500,000 FROM FUND 102 (MEASURE A)
RECOMMENDATION
It is recommended that the City Council adopt the attached resolution authorizing:
1. The appropriation of $500,000 from Fund 102 (Measure A) to the existing project budget 301-0910-716-4251; and
2. The Mayor to execute an agreement with G. Bortolotto & Company, Inc. in the amount of $1,989,541.55 for the construction of the Street Rehabilitation and Park Pathway Restoration Project (2023-2024) CIP301-716; and
3. The establishment of a construction contingency for G. Bortolotto & Company, Inc. in the amount of $200,000 with authorization given to the City Manager to execute contract change orders up to the contingency amount; and
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2 4. The Mayor to execute a Task Order with CSG Consultants in the amount of $198,940 for Construction Management, Inspection Services, and Materials Testing Services for CIP301-716; and
5. The establishment of a construction management contingency for CSG Consultants in the amount of $20,000 with authorization given to the City Manager to execute contract change orders up to the contingency amount.
EXECUTIVE SUMMARY
The scope of work for CIP 301-716 consists of:
Street Rehabilitation & Pavement Maintenance
•Edgewater Boulevard, south of Beach Park Boulevard to Baffin Street (digouts, grind and overlays, and slurry seal)
•Bid Alternate 1: East Third Avenue, east of Foster City Boulevard to Bayside Towers (grind and overlays and slurry seal)
•Bid Alternate 2: East Third Avenue, west of Foster City Boulevard to the City limit (digouts, grind and overlays, and slurry seal)
Additional Roadway Improvements
•Rehabilitation of the pavers and bituminous layer at E. Hillsdale Boulevard and Center Park Lane intersection.
•Yield sign installation at Rectangular Rapid Flashing Beacon (RRFB) crosswalks on Beach Park Blvd, along the levee.
Construction is anticipated to start in August 2024 and is estimated to take four months to complete.
One (1) bid for the construction of the Street Rehabilitation and Park Pathway Restoration Project (2023-2024) CIP 301-716 was received and opened on Wednesday, June 12, 2024. G. Bortolotto & Company, Inc. submitted the sole bid, consisting of the base contract bid plus bids for Alternates 1 and 2 in the amount of $1,989,541.55.
There is inadequate funding to award both alternates; however, based on the reasonable bid prices received within the engineer’s estimate, staff recommends appropriating Measure A funds remaining from previous paving projects to the project budget to allow the award of both alternates.
CSG Consultants (CSG) will provide construction management and inspection services throughout the duration of construction via Task Order CSG2024-01. CSG is an on-call consultant and has extensive experience with street rehabilitation projects and successfully provided similar services on the City’s street rehabilitation project in the previous year (CIP301-703).
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2 BACKGROUND
At the April 15, 2024, meeting, the City Council adopted City Resolution No. 2024-26 approving the plans and specifications for CIP 301-716 and authorized the call for bids.
No bids were received at the May 9, 2024, bid opening. Staff queried the contractors on the plan holders list to determine the reason for the lack of interest in the project.
Contractors stated that the scope of work for the project was too broad and as a result, reduced their profit margins. Based on the contractor feedback and schedule constraints, staff simplified the project by removing the following scopes of work: (1) park pathway restoration at various parks--this work will be repackaged and bid as a separate project next year; and (2) driveway grading adjustments at Beach Park Elementary School--this work will be completed during a future street rehabilitation project.
The following work will remain as part of the core project: digouts, grind and overlay, and slurry seal work at Edgewater Boulevard, brick paver repair at the E. Hillsdale Boulevard and Center Park Lane intersection, yield sign installation at RRFB (rectangular rapid flashing beacons) crosswalks on Beach Park Boulevard, and Bid Alternates 1 & 2 which consist of slurry seal and grind and overlay on E. Third Ave. as well as striping and signage improvements, adjusting utilities to grade, and the retrofitting of existing non- compliant curb ramps in conformance with ADA requirements.
At the May 20, 2024, meeting, the City Council adopted City Resolution No. 2024-45 approving the reissuance of the revised plans and specifications and authorizing the call for bids. One (1) bid was received and opened on June 12, 2024. The sole bid was submitted by G. Bortolotto & Company, Inc. consisting of the base contract bid plus bids for Alternates 1 and 2, in the amount of $1,989,541.55.
ANALYSIS
The bid results are as follows:
Parentheses indicate negative values.
G. Bortolotto & Company, Inc Difference from Engineer’s Estimate $ $ %
Base Bid $ 1,320,879.80 $ 210,385.80 19%
Alternate 1 $ 218,083.50 $ 4,535.50 2%
Alternate 2 $ 450,578.25 $ (239,216.75) (35%)
Base Bid + Alternate 1 $ 1,538,963.30 $ 214,921.30 16% Base Bid + Alternate 2 $ 1,771,458.05 $ (28,830.95) (2)% Base Bid + Alternate 1 & 2 $ 1,989,541.55 $ (24,295.45) (1)% The bidder G. Bortolotto & Company, Inc. has met all the bid requirements.
There are insufficient funds in the current project budget to award both alternates.
However, because the bid for alternative 2 is significantly below the Engineer’s Estimate 6 8
2 with a cost savings of $239,216.75, staff recommends appropriating unused Measure A funds from the previous year’s street rehabilitation project to include the work proposed in alternate 2. The appropriation of funds will allow the award of the base bid plus alternates 1 and 2.
After awarding the construction contract and before the start of construction, the contractor shall provide all their necessary paperwork and meet with the City for a preconstruction meeting. Construction is anticipated to start in August 2024 and to be completed by November 2024. The contractor will have 110 calendar days to substantially complete the project from the date specified in the Notice to Proceed. The contractor will coordinate with the district and affected services such as SamTrans, Recology, and the US Postal Service.
Project management will be conducted through City staff and construction management services provided by CSG through Task Order CSG2024-01. CSG is very familiar with this type of construction and has successfully worked with the City on multiple projects in the past, including the Street Rehabilitation and Park Pathway Restoration project in 2022-2023.
CEQA
Categorically Exempt pursuant to CEQA Guidelines Section 15061(b)(3) and 15301(c) – Existing Facilities
FISCAL IMPACT
Current funding available for CIP 301-716 consists of Measure A ($1,500,000), City CIP ($300,000), and Development Impact Payments ($678,247) for a current project budget of $2,478,247.
$144,868 has been encumbered for design of the project and $300,000 will be reserved for the park pathway and entrance restoration, to be bid and completed via a separate park pathway restoration project.
Staff recommends appropriating $500,000 from Fund 102 (Measure A) to the project budget to allow the award of alternates 1 and 2. CIP 301-703, Street Rehabilitation Project, has been completed and will be returning unused funds in excess of the requested $500,000 to Fund 102.
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2 Current Approved Budget $2,478,247.00
Reserved Funds for Future Park Pathway Restoration $ 300,000.00 Current Available Budget $2,178,247.00
Appropriation of Funds from Measure A $ 500,000.00
New Project Budget $2,678,247.00
Current Expenditures
BKF Design Services $ 144,868.00
Contingency (10%) $ 15,000.00
Anticipated Expenditures
Bid submitted by G. Bortolotto & Company, Inc.
(Base Bid plus Alternate 1) $1,989,541.55
Contingency (10%) $ 200,000.00
Miscellaneous (Advertising, Cal West, Plans, etc.) $ 9,500.00 Construction Management Services $ 198,940.00
Contingency (10%) $ 20,000.00
Total Anticipated Expenditures $ 2,577,849.55
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Facilities and Infrastructure
ATTACHMENTS:
Attachment 1 – Resolution
Attachment 2 – Construction Agreement
Attachment 3 – G. Bortolotto & Company, Inc. Bid Submittal Attachment 4 – Task Order CSG2024-01