ITEM 4. 17
CITY MANAGER' S REPORT
MARCH 13, 2023 CITY COUNCIL REGULAR MEETING
ITEM: ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY
DSS COMPANY DBA KNIFE RIVER CONSTRUCTION
FOR THE RIVER ISLANDS PARKWAY WIDENING -
PHASE 2, CIP PS 06- 06
RECOMMENDATION: Adopt Resolution Accepting Public Improvements Constructed by DSS Company dba Knife River
Construction for River Islands Parkway Widening
Project - Phase 2, CIP PS 06- 06, Authorize the Filing
of a Notice of Completion, Release of Contract
Retention, and Release of Performance and Payment
Bonds
SUMMARY:
DSS Company dba Knife River Construction ( Knife River) completed construction of the Capital Improvement Project ( CIP) PS 06- 06 River Islands Parkway Widening - Phase 2 ( Project). Staff inspected and the City Engineer deemed the improvements complete and in accordance with the approved plans and specifications.
Knife River has submitted lien releases, confirming all sub- contractors and suppliers have been paid in full, and a one- year maintenance bond ( based on 10% of the construction contract) for the improvements to be accepted.
Staff requests City Council accept the improvements constructed by Knife River for the Project. Staff also requests City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk, release of contract retention to Knife River, in the amount of $ 35, 367 within forty- five ( 45) days after the recording of the Notice of Completion, and the release of performance and payment bonds.
BACKGROUND:
On July 12, 2021, City Council awarded a construction contract to Knife River for improvements to the Project. The Project continued Phase 1 improvements and constructed curb, gutter, sidewalk and full pavement width from Manthey Road to Interstate 5 ( I- 5).
The completed work also included signal modifications at the I- 5 southbound on/ off ramps, extension of storm drainage to the new curb, removal and replacement of curb ramps, pavement overlay and restriping all travel lanes. Knife River completed the construction of the Project; staff has inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer.
The awarded contract was in the amount of $ 654, 781 and a 15% construction contingency of $ 98, 218 was authorized for staff to use as necessary to achieve the CITY MANAGER' S REPORT PAGE 2
MARCH 13, 2023 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY KNIFE RIVER
CONSTRUCTION FOR RIP WIDENING PHASE 2, CIP PS 06- 06
goals of the project. The total construction budget for the project was $ 752, 999.
During construction, contract change orders totaling $ 52, 553 were issued for a final contract amount of $ 707, 334.
The project has been completed within the available construction budget, original contract period, and in accordance with the plans, specifications, and City of Lathrop Standards. The construction costs referenced below capture all expenditures.
Construction costs are as follows:
A. Construction Contract Amount 654, 781
B. Approved Change Orders 52, 553
Total Construction Costs 707, 334
Upon acceptance of the improvements, the performance and payment bonds Performance Bond No. 190- 047- 876, Payment Bond No. 107427038) will be released and replaced with a warranty bond ( Bond No. 190- 047- 876- M/ 107427038- M). 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. Knife River has also provided the necessary lien releases for the materials supplied and completed work.
Staff is requesting City Council accept the public improvements constructed by Knife River for the Project. 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 Knife River in the amount of$ 35, 367 within forty-five (45) days after the recording of the Notice of Completion, and the release of performance and payment bonds.
REASON FOR RECOMMENDATION:
The project was completed by Knife River pursuant to the contract documents dated July 12, 2021. Staff inspected the improvements and the City Engineer deemed the improvements complete and in accordance with the approved plans and specifications.
The performance and payment bonds ( Performance Bond No. 190- 047- 876, Payment Bond No. 107427038) will be released and replaced with a one- year warranty bond Bond No. 190- 047- 876- M/ 107427038- M, $ 70, 733. 67) upon City Council' s acceptance of the improvements.
CITY MANAGER' S REPORT PAGE 3
MARCH 13, 2023 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY KNIFE RIVER
CONSTRUCTION FOR RIP WIDENING PHASE 2, CIP PS 06- 06
FISCAL IMPACT:
The final construction contract amount with Knife River for the Project is $ 707, 334.
Adequate funds were allocated in FY 22/ 23 budget to close out the project. With the completion of this project, staff requests that unused funds be transferred back into the West/ Central Lathrop Transportation Capital Facilities Fees Fund ( 2320).
ATTACH M ENTS:
A. Resolution Accepting Public Improvements Constructed by DSS Company dba Knife River Construction for River Islands Parkway Widening Project - Phase 2, CIP PS 06- 06, Authorize the Filing of a Notice of Completion, Release of Contract Retention, and Release of Performance and Payment Bonds B. Notice of Completion - River Islands Parkway Widening - Phase 2, CIP PS 06- 06 C. Project Vicinity Map - River Islands Parkway Widening - Phase 2, CIP PS 06- 06 CITY MANAGER' S REPORT PAGE 4
MARCH 13, 2023 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY KNIFE RIVER
CONSTRUCTION FOR RIP WIDENING PHASE 2, CIP PS 06- 06
APPROVALS:
02 , 8 ZoZ3
Ange arca Date
Assistant Engineer
2 Ken eed Date
Senior Construction Manager
3/ 21 z
Brad ylor Date
City Engineer
3 Cari Jatn Date
Finance D rector
C" Z • Z 8 • ZoZ3
Michael King Date
Assistant City Manager
3 . i zoz3
Salvador Navarrete Date
City Attorney
3•'! • Z•
Stephen ]. Salvatore Date
City Manager
RESOLUTION NO. 23 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP
ACCEPTING PUBLIC IMPROVEMENTS CONSTRUCTED BY DSS COMPANY DBA
KNIFE RIVER CONSTRUCTION FOR THE RIVER ISLANDS PARKWAY
WIDENING - PHASE 2, CIP PS 06- 06, AUTHORIZE THE FILING OF A NOTICE
OF COMPLETION, RELEASE OF CONTRACT RETENTION, AND RELEASE OF
PERFORMANCE AND PAYMENT BONDS
WHEREAS, on July 12, 2021, City Council awarded a construction contract to DSS Company dba Knife River Construction ( Knife River) for construction of the Capital Improvement Project ( CIP) PS 06- 06 River Islands Parkway Widening - Phase 2 ( Project); and
WHEREAS, the Project continued Phase 1 improvements and constructed curb, gutter, sidewalk and full pavement w dth from Manthey Road to Interstate 5 ( I5); and WHEREAS, the completed work also included signal modifications at the I- 5 southbound on/ off ramps, extension of storm drainage to the new curb, removal and replacement of curb ramps, pavement overlay and restriping all travel lanes; and WHEREAS, the awarded contract was in the amount of $ 654, 781 and a 15% construction contingency of $ 98, 218 was authorized for staff to use as necessary to achieve the goals of the project; and
WHEREAS, during construction, contract amendments totaling $ 52, 553 were issued for a final contract amount of $ 707, 334; and
WHEREAS, Knife River has completed the construction of the project; staff inspected and the City Engineer deemed the improvements complete and in accordance with the approved plans and specifications; and WHEREAS, Knife River has provided the necessary lien releases for the materials supplied and completed work; and
WHEREAS, Knife River has submitted a one- year warranty bond ( based on 10% of total project cost) for the improvements being accepted; and WHEREAS, the performance and payment bonds ( Performance Bond No. 190- 047- 876, Payment Bond No. 107427038) will be released and replaced with a oneyear warranty bond ( Bond No. 190- 047- 876- M/ 107427038- M, $ 70, 733. 67) upon City Council' s acceptance of the improvements; and
WHEREAS, the construction budget for the Project was sufficient to fund the project, and staff requests that unused funds be transferred back into the West/ Central Lathrop Transportation Capital Facilities Fees Fund ( 2320); and WHEREAS, staff requests City Council accept the public improvements constructed by Knife River for the River Islands Parkway Widening - Phase 2, CIP PS 06- 06; and
WHEREAS, staff also requests City Council authorize the filing of a Notice of Completion with the San Joaquin County Clerk upon acceptance of the improvements and the release of the contract retention to Knife River, in the amount of $ 35, 367, within forty- five ( 45) days after the recording of the Notice of Completion and the release of the performance and payment bonds ( Bond No. 190- 047- 876- M/ 107427038- M); and
NOW THEREFORE, BE IT RESOLVED, that the City Council of the City of Lathrop does hereby accept the public improvements constructed by Knife River for the River Islands Parkway Widening - Phase 2, CIP PS 06- 06, pursuant to the contract documents dated July 12, 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 Knife River, in the amount of $ 35, 367 within forty- five ( 45) days after the recording of the Notice of Completion, and authorizes the release of the performance and payment bonds; and BE IT FURTHER RESOLVED, that City Council also authorizes the transfer of the unused project funds into the West/ Central Lathrop Transportation Capital Facilities Fees Fund ( 2320).
The foregoing resolution was passed and adopted this 13th day of March 2023, 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
RECORDING REQUESTED BY, AND
ATTA HMENT
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
City of Lathrop 390 Towne Centre Drive Lathrop CA 95330 If more than one 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 PS 06- 06 River Islands Parkwav Widening - Phase 2 by DSS Company dba Knife River Construction
4. That on the 13th day of March 2023 a work of improvement on the real property herein described was completed.
5. That the name of the original contractor, if any, for said work of improvement was: DSS Companv dba Knife River Construction
6. That the name and address of the transferor is:
NAME STREET AND NO. CITY STATE
DSS Comoanv dba 655 West CIaY Street Stockton CA 95206
Knife River Construction
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 PS 06- 06 River Islands Parkway Widening— Phase 2
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.
B y:
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 March 13, 2023 by DSS Company dba Knife River Construction 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 March 13, 2023, and the grantee consents to recordation thereof by its duly authorized officer.
Dated By
Stephen J. Salvatore, City Manager
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