ITEM 4. 22
CITY MANAGER' S REPORT
MAY 8, 2023 CITY COUNCIL REGULAR MEETING
ITEM: ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY
G& G BUILDERS, INC. FOR VALVERDE PARK
IMPROVEMENTS, CIP PK 22- 08
RECOMMENDATION: Adopt Resolution Accepting Public Improvements Constructed by G& G Builders, Inc. for Valverde Park
Improvements, CIP PK 22- 08, Authorizing the Filing
of a Notice of Completion, Release of Contract
Retention, and Release of Performance and Payment
Bonds
SUMMARY:
G& G Builders, Inc. ( G& G) has completed the construction of Valverde Park Improvements, Capital Improvement Project ( CIP) PK 22- 08 ( Project). Staff inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer.
G& G has submitted lien releases confirming all sub- contractors and suppliers have been paid in full, and provided a one- year warranty bond ( based on 10% of the construction contract) for the improvements to be accepted.
Staff requests City Council accept the improvements constructed by G& G 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 G& G of 17, 350. 05 within forty- five ( 45) days after recording the Notice of Completion, and the release of performance and payment bonds.
BACKGROUND:
On October 11, 2021, City Council awarded a construction contract to G& G for the construction of the Project. The Project scope included replacing the aging concrete patio slabs, shade shelters and outdoor tables and benches at the Community Center and the Senior Center. Additional minor tasks to move the concrete BBQ and reroute irrigation lines were also necessary. During construction, contract change orders totaling $9, 447. 06 were issued for a final contract amount of $ 347, 001. 06.
Upon acceptance of the improvements, the performance bond ( Bond No. 070215390, 337, 554) and payment bond ( Bond No. 070215390, $ 337, 554) will be released and replaced with a one- year warranty bond ( Bond No. 070215390, $ 34, 700).
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 any defective materials or workmanship in connection with the completed improvements.
CITY MANAGER' S REPORT PAGE 2
MAY 8, 2023 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY G& G BUILDERS, INC.
FOR VALVERDE PARK IMPROVEMENTS, CIP PK 22- 08
G& G has also provided the necessary lien releases for the materials supplied and completed work.
Staff requests City Council accept the improvements constructed by G& G for the Valverde Park Improvements, CIP PK 22- 08. 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 G& G for $ 17, 350. 05 within forty- five ( 45) days after the recording of the Notice of Completion, and the release of performance and payment bonds.
REASON FOR RECOMMENDATION:
G& G has completed the project pursuant to the contract documents dated October 11, 2021. Staff inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer.
G& G has submitted a one- year warranty bond for the improvements to be accepted based on 10% of the construction contract) and lien releases confirming all subcontractors and suppliers have been paid in full. 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. The performance bond and payment bond will be released and replaced with the one- year warranty bond ( based on 10% of the contract price) upon City Council' s acceptance of the improvements.
FISCAL IMPACT:
The final construction contract amount with G& G for the Project is for $ 347, 001. 06.
Adequate funds have been allocated in the FY 2022/ 23 budget to close out the project.
With the completion of the Project, staff requests that unused funds be transferred back into the General Fund ( 1010).
ATTACH M ENTS:
A. Resolution Accepting Public Improvements Constructed by G& G Builders, Inc. for Valverde Park Improvements, CIP PK 22- 08, Authorizing the Filing of a Notice of Completion, Release of Contract Retention, and Release of Performance and Payment Bonds
B. Notice of Completion - Valverde Park Improvements, Capital Improvement Project PK 22- 08
CITY MANAGER' S REPORT PAGE 3
MAY 8, 2023 CITY COUNCIL REGULAR MEETING
ACCEPT PUBLIC IMPROVEMENTS CONSTRUCTED BY G& G BUILDERS, INC.
FOR VALVERDE PARK IMPROVEMENTS, CIP PK 22- 08
APPROVALS:
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Steven Hollenbeak Date
Assistant Engineer
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Ken Reed Date
Senior Construction Manager
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Brad T lor Date
City Engineer
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Cari Ja Date
Finance ir ctor
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Michael King Date
Assistant City Manager
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Salvador Navarrete Date
City Attorney
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Stephen J. Salvatore Date
City Manager
RESOLUTION NO. 23-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LATHROP ACCEPTING PUBLIC IMPROVEMENTS CONSTRUCTED BY G& G BUILDERS, INC. FOR VALVERDE PARK IMPROVEMENTS, CIP PK 22- 08, AUTHORIZING THE FILING
OF A NOTICE OF COMPLETION, RELEASE OF CONTRACT RETENTION, AND
RELEASE OF PERFORMANCE AND PAYMENT BONDS
WHEREAS, on October 11, 2021, City Council awarded a construction contract to G& G Builders, Inc. (G& G) for the construction of Valverde Park Improvements, Capital Improvement Project ( CIP) PK 22- 08 ( Project) in the amount of $ 337, 554, and a 10% construction contingency of $ 33, 755 was authorized for staff to use as necessary to achieve the goals of the Project; and
WHEREAS, the scope of work consisted of replacing the aging concrete patio slabs, shade shelters and outdoor tables and benches at the Community Center and the Senior Center; and
WHEREAS, G& G has successfully completed the Project at a total cost of 347, 001. 06; and
WHEREAS, staff inspected the improvements and they have been deemed complete and in accordance with the approved plans and specifications by the City Engineer; and
WHEREAS, G& G 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. 070215390, $ 337, 554) and payment bond ( Bond No. 070215390, $ 337, 554) will be released and replaced with a one- year warranty bond ( Bond No. 070215390, $ 34, 700) 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 G& G for Valverde Park Improvements, CIP PK 22- 08; 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 G& G, in the amount of $ 17, 350. 05, 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 G& G Builders, Inc. for Valverde Park Improvements, CIP PK 22- 08, pursuant to the contract documents dated October 11, 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 G& G, in the amount of $ 17, 350. 05, 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 8th day of May, 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
ATTACHMENT
M M
RECORDING REQUESTED 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
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 ar 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:
G& G Builders, Inc.
4. That on the 8th day of May, 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: G& G Builders, Inc.
6. That the name and address of the transferor is:
NAME STREET AND NO. CITY STATE
G& G Builders, Inc. 4542 Contractors Place Livermore, CA 94551
7. That the real property herein referred to is situated in the Citv of Lathrop County of San Joaquin, State of California, and is described as follows:
CIP PK 22- 08 Valverde Park Improvements: 15557 Fifth Street Lathrop, CA 95330 15707 Fifth Street Lathrop, CA 95330
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 May 8, 2023 by G& G Builders, 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 May 8, 2023, and the grantee consents to recordation thereof by its duly authorized officer.
Dated By
Stephen J. Salvatore, City Manager