Agenda Report
Fullerton City Council
MEETING DATE: february 6, 2024
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: stephen bise, p.e. public works director PREPARED BY: david grantham, P.E. city engineer
gar huang, associate engineer
SUBJECT: CONTRACT WITH BIG BEN, INC. FOR RANCHO-VERONA AREA WATER MAIN REPLACEMENT
SUMMARY
Award $1,850,900 construction contract to Big Ben, Inc. for Project 53042 Rancho-Verona Area Water Main Replacement Project.
PROPOSED MOTION
Approve plans and specifications for Project 53042 Rancho-Verona Area Water Main Replacement Project.
Approve $2,375,000 budget appropriation and Water Funds (Fund 44) transfer from Project 53250 Water Main System Replacement to Project 53042 Rancho-Verona Area Water Main Replacement Project.
Award $1,850,900 construction contract to Big Ben, Inc. for Project 53250 Water Main System Replacement and authorize City Manager, or designee, to execute the contract, in a form approved by the City Attorney.
Authorize Public Works Director, or designee, to approve any future change orders for construction and professional engineering construction support services within the approved project budget.
ALTERNATIVE OPTIONS
Approve Proposed Motion
Reject all bids
Other options brought by City Council.
STAFF RECOMMENDATION
Staff recommends the Proposed Motion.
CITY MANAGER REMARKS
The City Manager recommends approval.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statement:
Infrastructure and City Assets.
FISCAL IMPACT
The Fiscal Year 2023-24 Capital Improvements Program (CIP) Budget has sufficient funding for the Rancho-Verona Area Water Main Replacement Project from Water Funds (Fund 44). Staff recommends a $2,375,000 budget transfer of Water Funds from Project 53250 Water Main System Replacement to Project 53042 Rancho-Verona Area Water Main Replacement.
Staff attached the Budget Data Sheet / Summary of Bids and the Contractor Bid Schedule for reference (Attachments 1 and 2).
BACKGROUND AND DISCUSSION
This project would replace 1.07 miles of water pipe along Paseo Dorado, Verona Drive, Domingo Road, Redondo Place, Rancho Circle and Carriage Place as shown on Attachment 3.
The water pipes in this area have a significant history of water main breaks and need replacement. This project would help the City meet the 2019 Water Rate Study water main replacement goals. Staff has reprioritized and deferred other planned Water Capital Improvement Projects to meet these goals due to recent construction cost escalation.
The City formally bid this project on December 15, 2023 and received nine bids on January 18, 2024 for the Rancho-Verona Area Water Main Replacement Project. Big Ben, Inc. of Irvine, CA, submitted the lowest bid totaling $1,850,900. The low bid is approximately 20% below the $2,299,700 engineer estimate. Big Ben has current projects in the area which reduced mobilization and contractor administration costs which accounts for the lower bid amount . Staff evaluated the bid documents, found them acceptable and recommends awarding the project to Big Ben, Inc. Staff will notify impacted residents and businesses of upcoming project construction and potential impacts.
Construction would tentatively start March 2024 with anticipated project completion in August 2024.
Staff prepared an environmental assessment in accordance with California Environmental Quality Act guidelines and determined that the project is categorically exempt.
Attachments:
Attachment 1 – Budget Data / Summary of Bids
Attachment 2 – Bid Schedule
Attachment 3 – Project Location Map
Attachment 4 – Draft Agreement
cc: City Manager Eric J. Levitt
Rancho-Verona Area Water Main Replacement
February 6, 2024 - Page 2