ITEM 4. 13
CITY MANAGER' S REPORT
SEPTEMBER 12, 2022 CITY COUNCIL REGULAR MEETING
ITEM: ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY
RTC CONSTRUCTION MANAGEMENT, INC. DBA R. L.
FRIEND CONSTRUCTION, INC. FOR WATER SYSTEM
REPAIRS, CIP PW 21- 07
RECOMMENDATION: Adopt Resolution Accepting Public Improvements Constructed by RTC Construction Management, Inc.
dba R. L. Friend Construction, Inc. for Water System
Repairs CIP PW 21- 07, Authorize the Filing of a
Notice of Completion, Release of Contract Retention,
and Release of Performance and Payment Bonds
SUMMARY:
The Water System Repairs Capital Improvement Project ( CIP) PW 21- 07 ( Project) was created to install a water main pipeline, service laterals, and water valve repairs throughout the City' s water system network. RTC Construction Management, Inc. dba R. L. Friend Construction, Inc. ( R. L. Friend Construction, Inc.) has completed the construction of the Project. Staff has inspected the improvements and has deemed these improvements complete and in accordance with the approved plans and specifications.
R. L. Friend Construction, Inc. has submitted lien releases confirming all subcontractors and suppliers have been paid in full and a one- year warranty bond ( based on 10% of the construction contract) for the improvements to be accepted.
Staff is requesting City Council accept the improvements constructed by R. L. Friend Construction, Inc. for the Water System Repairs, CIP PW 21- 07. Staff also requests City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, the release of contract retention to R. L. Friend Construction, Inc. for $ 62, 774 within forty- five ( 45) days after the recording of the Notice of Completion, and the release of performance and payment bonds.
BACKGROUND:
The City' s Water System Master Plan ( WSMP) identified areas in the City' s water system network that needed replacement and repair to improve system reliability and performance, including several deficient water system valves and fittings. The Project scope also included upsizing a section of the water main located on J Street to 12" and an existing 12" transmission main for Booster Pump Station and Tank No. l (BPS- 1) to 16" to improve system performance.
CITY MANAGER' S REPORT PAGE 2
SEPTEMBER 12, 2022 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY RTC CONSTRUCTION MANAGEMENT, INC. DBA R. L. FRIEND CONSTRUCTION, INC. FOR WATER SYSTEM REPAIRS, CIP PW 21- 07
On June 14, 2021, City Council awarded a construction contract to R. L. Friend Construction, Inc. for the construction of these improvements. The awarded contract was for $ 1, 084, 300, and a 10% construction contingency of$ 108, 430 was authorized for staff to use as necessary to achieve the goals of the Project. The total construction budget for the project was $ 1, 192, 730.
During construction, additional contract change orders were issued for a final contract amount of $ 1, 192, 700. The construction costs referenced below capture all expenditures.
Construction costs are as follows:
A. Construction Contract 1, 084, 300
B. Additional Change Orders 108, 400
Total Construction Costs 1, 192, 700
Upon acceptance of the improvements, the performance bond ( Bond No. 2318906, 14, 343) and payment bond ( Bond No. 2318906) will be released and replaced with a one- year warranty bond ( Bond No. 2318908, $ 119, 273). The one- year warranty bond covers any repairs or replacements that may become necessary during the oneyear period beginning with this acceptance due to any defective materials or workmanship in connection with the completed improvements. R. L. Friend Construction, Inc. has also provided the necessary lien releases for the materials supplied and completed work.
Staff requests City Council accept the improvements constructed by R. L. Friend Construction, Inc. for the Water System Repairs, CIP PW 21- 07. Staff also requests City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, the release of contract retention to R. L. Friend Construction, Inc. for $ 62, 774 within forty- five ( 45) days after the recording of the Notice of Completion, and the release of performance and payment bonds. Staff requests that unused funds be transferred back into the Water Capital Replacement Fund ( 5600).
REASON FOR RECOMMENDATION:
R. L. Friend Construction, Inc. has completed the project pursuant to the contract documents dated June 14, 2021. Staff has inspected the improvements and deemed them complete and in accordance with City standards and approved plans and specifications. The performance bond ( Bond No. 2318906, $ 14, 343) and payment bond ( Bond No. 2318906) will be released and replaced with a one- year warranty bond ( Bond No. 2318908, $ 119, 273) upon City Council' s acceptance of the improvements.
CITY MANAGER' S REPORT PAGE 3
SEPTEMBER 12, 2022 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY RTC CONSTRUCTION MANAGEMENT, INC. DBA R. L. FRIEND CONSTRUCTION, INC. FOR WATER SYSTEM REPAIRS, CIP PW 21- 07
The warranty bond covers any repairs or replacements that become necessary during the one- year period, beginning with this acceptance, due to defective materials or workmanship in connection with the completed improvements. R. L. Friend Construction, Inc. has also provided the necessary lien releases for the materials supplied and completed work.
FISCAL IMPACT:
The final construction contract amount with R. L. Friend Construction, Inc. for CIP PW 21- 07 is for $ 1, 192, 730. Adequate funds have been allocated in the FY 2021/ 22 budget to close out the project. With the completion of this project, staff requests that unused funds be transferred back into the Water Capital Replacement Fund 5600).
ATTACH M ENTS:
A. Resolution Accepting Public Improvements Constructed by R. L. Friend Construction, Inc. for the Water System Repairs, CIP PW 21- 07, Authorize the Filing of a Notice of Completion, Release of Contract Retention, and Release of Performance and Payment Bonds
B. Notice of Completion - Water System Repairs, Capital Improvement Project CIP) PW 21- 07
C. Project Location Map - Water System Repairs, Capital Improvement Project CIP) PW 21- 07
CITY MANAGER' S REPORT PAGE 4
SEPTEMBER 12, 2022 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY RTC CONSTRUCTION MANAGEMENT, INC. DBA R. L. FRIEND CONSTRUCTION, INC. FOR WATER SYSTEM REPAIRS, CIP PW 21- 07
APPROVALS:
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Ange arca Date
Assistant Engineer
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Ken Reed Date
Senior Construction Manager
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Brad ylor Date
City Engineer
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Cari James Date
Finance Director
8• 2q • 2022
Michael King Date
Assistant City Man ger
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Salvador Navarrete Date
City Attorney
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Ste Salvatore Date
City Manager
RESOLUTION NO. 22 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP
ACCEPTING PUBLIC IMPROVEMENTS CONSTRUCTED BY RTC
CONSTRUCTION MANAGEMENT, INC. DBA R. L. FRIEND CONSTRUCTION, INC. FOR WATER SYSTEM REPAIRS, CIP PW 21- 07, AUTHORIZE THE FILING
OF A NOTICE OF COMPLETION, RELEASE OF CONTRACT RETENTION, AND
RELEASE OF PERFORMANCE AND PAYMENT BONDS
WHEREAS, on June 14, 2021, City Council awarded a construction contract to RTC Construction Management, Inc. dba R. L. Friend Construction, Inc. ( R. L.
Friend Construction, Inc.) for the construction of the Water System Repairs Capital Improvement Project ( CIP) PW 21- 07 ( Project) in the amount of $ 1, 084, 300, and a 10% construction contingency of $ 108, 430 was authorized for staff to use as necessary to achieve the goals of the Project; and
WHEREAS, the scope of work consisted of installing a water main pipeline, service laterals, and water valve repairs throughout the City' s water system network; and
WHEREAS, the Project scope included upsizing a section of the water main located on J Street to 12" and an existing 12" transmission main for Booster Pump Station and Tank No. 1 ( BPS- 1) to 16" to improve system performance; and WHEREAS, R. L. Friend Construction, Inc. has successfully completed the Project work at a total cost of $ 1, 192, 700; and
WHEREAS, staff has inspected the improvements and has deemed them complete and in accordance with the approved plans and specifications; and WHEREAS, R. L. Friend Construction, Inc. has provided the necessary lien releases for the materials supplied and completed work and a one- year warranty bond ( based on 10% of total project cost) for the improvements being accepted; and
WHEREAS, the performance bond ( Bond No. 2318906, $ 14, 343) and payment bond ( Bond No. 2318906) will be released and replaced with a one- year warranty bond ( Bond No. 2318908, $ 119, 273) upon City Council' s acceptance of the improvements; and
WHEREAS, the one- year warranty bond covers any repairs or replacements that may become necessary during the one- year period, beginning with this acceptance, due to defective materials or workmanship in connection with the completed improvements; and
WHEREAS, staff requests City Council accept the public improvements constructed by R. L. Friend Construction, Inc. for the Water System Repairs CIP PW 21- 07; and
WHEREAS, staff also requests City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, the release of contract retention to R. L. Friend Construction, Inc., in the amount of $ 62, 774, within forty-five ( 45) days after the recording of the Notice of Completion, and the release of performance and payment bonds.
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lathrop does hereby accept the public improvements constructed by R. L. Friend Construction, Inc. for the Water System Repairs CIP PW 21- 07, pursuant to the contract documents dated June 14, 2021; and
BE IT FURTHER RESOLVED, that the City Council of the City of Lathrop authorizes the filing of the Notice of Completion with the San Joaquin County Clerk and the release of the contract retention to R. L. Friend Construction, Inc., in the amount of $ 62, 774, within forty-five ( 45) days after the recording of the Notice of Completion, and authorizes the release of the performance and payment bonds.
The foregoing resolution was passed and adopted this 12th day of September 2022, by the following vote of the City Council, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
Sonny Dhaliwal, Mayor
ATTEST: APPROVED AS TO FORM:
Teresa Vargas, City Clerk Salvador Navarrete, City Attorney
ATTACHMENT
RECORDING REOUESTED BY, AND
WHEN RECORDED MAIL TO:
CITY OF LATHROP
ATTN: CITY CLERK
390 TOWNE CENTRE DRIVE
LATHROP, CA 95330
Exempt from payment of recording fees( GC 11922)
SPACE ABOVE THIS LINE FOR RECORDER' S USE
NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN:
1. That the interest or estate stated in paragraph 3 herein in the real property herein described is owned by:
NAME STREET AND NO. CITY STATE
Citv of Lathrop 390 Towne Centre Drive Lathrop CA 95330 If more than oae owner of the interest stated, the name and address of each must be stated)
2. That the full name and address of the owner of said interest or estate, if there is only one owner, and that the full names and addresses of all the co- owners who own said interest or estate as tenants in common, as joint tenants, or otherwise, if there is more than one owner, are set forth in the preceding paragraph.
3. That the nature of title or the stated owner, or if more than one owner, then of the stated owner and co- owners is:
Project No. CIP PW 21- 07 Water System Repairs by RTC Construction Management, Inc. dba R. L. Friend Construction, Inc.
4. That on the 12th day of September 2022 a work of improvement on the real property herein described was completed.
5. That the name of the original contractor, if any, for said wark of improvement was: RTC Construction Mana ment,
Inc. dba R. L. Friend Construction, Inc.
6. That the name and address of the transferor is:
NAME STREET AND NO. CITY STATE
RTC Construction Management, Inc. 731 E. Yosemite Ave, Ste B- 127 Merced CA 95340 dba R. L. Friend Construction, Inc.
7. That the real property herein referred to is situated in the City of Lathrop County of San Joaquin, State of California, and is described as follows:
Project No. CIP PW 21- 07 Water Svstem Repairs
CITY OF LATHROP
By:
Stephen J. Salvatore, City Manager Date
That the undersigned has knowledge of the contents herein and states under penalty of perjury that the foregoing is true and correct.
By:
Teresa Vargas, City Clerk Date
CERTIFICATE OF ACCEPTANCE
This is to certify that the interest in real property conveyed by the NOTICE OF COMPLETION dated September 12, 2022 by RTC Construction Management, Inc. dba R.L. Friend Construction, Inc. to the City of Lathrop, a political corporation and/ or governmental agency, is hereby accepted by the undersigned officer or agent on behalf of the City Council pursuant to authority conferred by minute action of the City Council adopted on September 12, 2022, and the grantee consents to recordation thereof by its duly authorized officer.
Dated By
Stephen J. Salvatore, City Manager
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CITY OF LATHROP
LOCATION MAP- WATER SYSTEM REPAIRS ClP PS 21- 07
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