Agenda Report
Fullerton City Council
MEETING DATE: MAY 21, 2024
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: stephen bise, p.e., public works director PREPARED BY: david grantham, p.e., city engineer
SUBJECT: CONTRACT WITH PETROCHEM MATERIALS INNOVATION, LLC FOR RESIDENTIAL PAVEMENT TREATMENT FISCAL YEAR 2023-24
SUMMARY
Award $395,968.70 construction contract to Petrochem Materials Innovation, LLC for the Residential Pavement Treatment – Fiscal Year 2023-24 Project.
PROPOSED MOTION
Approve Residential Pavement Treatment – Fiscal Year (FY) 2023-24 Project plans and specifications.
Approve $430,000 budget transfer and appropriation of American Rescue Plan Act (ARPA) Revenue Replacement Funds (Fund 74) from Project 44589 Residential Street Program to Project 44700 Residential Pavement Treatment – FY 2023-24 within the Capital Projects Fund (Fund 74).
Award $395,968.70 construction contract for Residential Pavement Treatment – FY 2023-24 Project to Petrochem Materials Innovation, LLC and authorize City Manager, or designee, to execute and administer 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 the Proposed Motion
Reject bid
Other options brought by City Council.
STAFF RECOMMENDATION
Staff recommends the Proposed Motion.
CITY MANAGER REMARKS
None.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statement:
Infrastructure and City Assets.
FISCAL IMPACT
The Fiscal Year (FY) 2023-24 Adopted Capital Improvement Program (CIP) Budget has sufficient funding for the project provided from American Rescue Plan Act (ARPA) Revenue Replacement Funds. Staff recommends a $430,000 budget transfer and appropriation of ARPA Revenue Replacement Funds from Project 44589 Residential Street Program to Project 44700 Residential Pavement Treatment – FY 2023-24 Project within the Capital Projects Fund (Fund 74).
Staff attached a budget Data Sheet / Summary of Bids and the Contractor Quote for reference (Attachments 1 and 2).
BACKGROUND AND DISCUSSION
Staff proposes using the pavement treatment approved by City Council on Hillcrest Drive, Hillcrest Lane, Lincoln Avenue and Burning Tree Road to continue investigating cost-effective paving alternatives. The Central Mix Rubberized Emulsion Aggregate Seal (CM REAS) treatment is a blend of asphalt emulsion, California recycled tire rubber, aggregate, polymers, plus stabilizers and performance additives produced by Petrochem Materials Innovation, LLC (PMI). This product is higher quality as it requires approximately double the modified binder content resulting in thick film of binder and long service life. The product is mixed at a controlled location, rather than on site, providing a higher quality solution.
The City installed this product on streets approximately 12 months ago and, to date, staff is pleased and encouraged with the condition of the product and roadway surfaces. The City needs to install this product on multiple streets with varying pavement conditions and traffic patterns to determine its viability as a cost-effective method to maintain fair and good pavement conditions. Installing the product on the proposed street segments would help staff evaluate for future, large scale use.
The following describes the proposed street segments (also shown on Attachment 3). Staff selected these streets using the following criteria:
Residential streets
Pavement Condition Index (PCI) and pavement conditions
PCI scores for each street shown on Attachment 3
Location 4 is losing asphalt concrete fines and longitudinal cracking Area of roadway
Ability to complete each location within two days to maximize area of product placement versus contractor labor costs Location of streets
Considered ‘standalone’ areas rather than small part of a larger, continuous neighborhood area and/or adjacent streets are in good condition Traffic volume and traffic circulation patterns
Location 3 experiences high parking volume from Cal State Fullerton and Fullerton College students Location 1
Richman Knoll – Valencia Mesa to cul-de-sac
Green Acre Drive – Richman Knoll to cul-de-sac
Highland Drive – Bastanchury to Green Acre
Miramonte Drive – Valencia Mesa to Valencia Mesa
Glen View Drive – Valencia Mesa to cul-de-sac
Margarita Drive – Valencia Mesa to cul-de-sac
Dolores Drive – Margarita to cul-de-sac
Crestview Dr – Valencia Mesa to cul-de-sac
Location 2
Princeton Circle West – Chapman to Princeton
Princeton Circle East – Chapman to Princeton
Brookdale Place – Berkeley to Princeton Circle East
Location 3
Concord Avenue – Old River to State College
Sycamore Avenue – Old Creek to Old River
Old Creek Road – Victoria to Sycamore
Old River Road – Victoria to Concord
Meadow Lane – Sycamore to cul-de-sac
Location 4
Rosalia Drive – Rolling Hills to Live Oak
Laurel Avenue – Lark Ellen to Maple Avenue
Ponderosa Avenue – El Mirador to Lark Ellen
The pavement treatment on all streets would involve CM REAS Type II slurry seal using a ¼-inch aggregate, help seal cracks and provide a smooth surface for alligatored and distressed streets. PMI provides a seven-year warranty on the CM REAS Type II product.
Staff plans to complete another slurry seal project using more conventional slurry seal products during summer 2024 on a larger number of streets in the south and west areas of the City to use, in part, as a comparison to this project.
Staff recommends awarding this contract through piggybacking off the multi-year contract (Contract #MA-1S-2440097-1) between PMI and the County of Los Angeles (Attachment 4). This contract allows piggyback pricing to other agencies. The Purchasing Manager may contract for goods or services and ‘piggyback’ contractual agreements of other governmental agencies that have formally bid for a given project within the previous 365 days pursuant to the City Purchasing Policy, Policy No. 4.1.2 Section IV (F) Exceptions to the Bid Process. This piggyback contracting enables the City to take advantage of pricing from the economies of scale that a larger agency like the County of Los Angeles can achieve.
Staff reviewed the terms and conditions of the multi-year contract between PMI and the County of Los Angeles and found contract and pricing terms acceptable.
Staff requested crack sealing as part of this project which requires additional materials and services not included in PMI’s County of Los Angeles Contract but priced at market value. Staff requests approval of the PMI project bid to the City which includes both the piggyback provisions as well as pricing and approval of additional materials and services not in the original County of Los Angeles contract.
Staff anticipates project completion in late summer 2024. Staff would notify impacted residents and businesses of upcoming project construction and potential impacts.
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 Sheet
Attachment 2 – Petrochem Materials Innovation, LLC Quote Attachment 3 – Project Location Map
Attachment 4 – County of Los Angeles Contract # MA-1S-2440097-1 cc: City Manager Eric J. Levitt
Residential Pavement Treatment – FY 2023-24
May 21, 2024 - Page 2