October 24, 2023
Agenda Item No. 7
TO:
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM:
David A. Webb, Public Works Director - 949-644-3311, [email protected] PREPARED BY:
Tom Sandefur, Assistant City Engineer, [email protected] PHONE:
949-644-3321
TITLE:
Newport Coast Pickleball Courts (Project No. 22P13) – Award of Contract No. 9018-2 ABSTRACT:
City of Newport Beach (City) staff received construction bids for the Newport Coast Pickleball Courts project and requests City Council approval to award the construction contract to Green Giant Landscape, Inc. of La Habra. This project constructs eight new pickleball courts on Newport Ridge Park, in accordance with the lease agreement the City has with Newport Ridge Community Association (NRCA).
RECOMMENDATIONS:
a) Receive that the Notice of Exemption was filed and posted with the County of Orange on June 15, 2022 after the May 24, 2022 City Council meeting approving the lease agreement with NRCA and the Council finding the project categorically exempt pursuant to Sections 15301 and 15303 under Class 1 (Existing Facilities) and Class 3 (New Construction or Conversion of Small Structures); b) Approve the project plans and specifications;
c) Approve Budget Amendment No. 24-030 appropriating $231,236 in new revenue and expenditures from the State of California Department of Parks and Recreation to Account No. 13501-980000-22P13 and appropriating $58,364 in increased expenditures in Account No. 14101-980000-22P13 from the Building Excise Tax unappropriated fund balance; d) Award Contract No. 9018-2 to Green Giant Landscape, Inc. for the bid price of $1,089,220 for the Newport Coast Pickleball Courts, and authorize the Mayor and City Clerk to execute the contract; and e) Establish a contingency of $110,000 (approximately 10 percent of total bid) to cover the cost of unforeseen work not included in the original contract.
DISCUSSION:
The sport of pickleball has grown in popularity in Newport Beach and around the country in recent years. The City currently has four public pickleball courts and due to the increase in demand from residents, an opportunity to add a pickleball complex was identified at Newport Ridge Park.
Newport Ridge Park is a 11.32-acre, private park site located at 6331 Newport Ridge Drive in the Newport Coast community. The park is owned and managed by NRCA, the Homeowners Association for the Newport Ridge housing development.
In June 2021, the Parks, Beaches & Recreation Commission (PBR) appointed three commissioners to serve on the Newport Ridge Park Pickleball Courts Ad Hoc Committee. The committee worked collaboratively with NRCA board members, the Recreation and Senior Services Department, and the Public Works Department to develop plans for the project.
In May 2022, the City entered into a Lease Agreement with NRCA to develop, operate, and maintain eight, unlit courts to be located along the eastern edge of the park adjacent to the City-owned Newport Coast Community Center parking lot.
The eight Pickleball courts will be constructed to industry specifications and the site will be provided with a shaded viewing area, benches, trash cans, a bike rack, and a water fountain/bottle filling station. The existing Newport Coast Community Center will provide public parking with its 120 available parking spots. Two of the courts will be equipped with a key fob system for NRCA resident access only.
At 10 a.m. on September 28, 2023, the City Clerk opened and read the following bids for this project:
BIDDER
TOTAL BID AMOUNT
Low
Road Safe Traffic Systems, Inc.*
$ 5,750*
2nd
Green Giant Landscape, Inc.
$ 1,089,220
3rd
Klassic Engineering & Construction, Inc.
$ 1,605,698
4th
JMJ Construction, Inc.
$ 1,664,510
5th
KASA Construction, Inc.
$ 1,866,826
6th
Bedrock Group, Inc.
$ 1,879,320
7th
Armstrong Cal Builders, Inc.
$ 1,994,504
8th
MMG Engineering, Inc.
$ 2,021,021
9th
Los Angeles Engineering, Inc.
$ 2,707,000
10th
Act 1 Construction, Inc.
$ 2,707,909
11th
Gentry General Engineering, Inc.
$ 2,953,038
*Non-responsive Bid
The City received 11 bids for this project. The apparent low bidder, Road Safe Traffic Systems, Inc., was deemed non-responsive since it did not submit the necessary bid documents as required and described in the Instructions to Bidders.
The second lowest bidder, Green Giant Landscape, Inc., possesses a California State Contractor’s License Classification “A”, as required by the project specifications. A review of references for Green Giant Landscape, Inc. shows satisfactory completion of similar contracts for other municipalities and the City, including the existing Bonita Sports Park pickleball courts.
Green Giant’s bid came in at approximately 9% above the Engineer’s Estimate of $1,000,000.
After the bid opening, the City received two bid protests claiming deficiencies in the apparent low bidder’s responsiveness and ability to perform the work. The City reviewed both the protests and the responses from Green Giant as part of the recommendation process. The protest letters and responses are included as attachments to this report.
Pursuant to the contract specifications, the Contractor will have 80 consecutive working days to complete the work. Work is scheduled to start in December.
The project plans and specifications will be available for review at the October 24, 2023 City Council meeting or upon request.
FISCAL IMPACT:
The main source of funding for this project is the City’s Facilities Financing Plan (FFP). Currently, the FFP has a budget of $920,400 allocated to this project. The remaining $289,600 required for the project will come from two non-General Fund sources, Proposition 68 (Parks and Water Bond Act of 2018) state grant funds in the amount of $231,236 and Building Excise Tax (BET) funds in the amount of $58,364. The BET fund was developed to account for property development taxes imposed on construction and occupancy of all residential, commercial, industrial units, and mobile home parks for which a building or construction permit is issued. BET funds are used for acquiring, improving, expanding and equipping City fire stations, City libraries and City parks as provided by Chapter 3.12 of the Newport Beach Municipal Code.
The following funds will be expended:
Account Description
Account Number
Amount
Facilities Financing Plan
Parks/Community Centers Fund
56201-980000-22P13
$
920,400
Contributions Fund (State of California Department of Parks and Recreation Proposition 68 Grant) 13501-980000-22P13
$
231,236
Building Excise Tax Fund
14101-980000-22P13
$
58,364
Total:
$
1,210,000
Proposed uses are as follows:
Vendor
Purpose
Amount
Green Giant Landscape, Inc.
Construction Contract
$
1,089,220
Green Giant Landscape, Inc.
Construction Contingency
$
110,000
GMU Geotechnical, Inc.
Geotechnical Testing
$
9,590
Various
Printing & Incidentals
$
1,190
Total:
$
1,210,000
Staff recommends establishing $110,000 (approximately 10 percent of total bid) for contingency purposes and unforeseen conditions associated with construction. Bid pricing is favorable and the contractor has performed well for the City on past projects.
ENVIRONMENTAL REVIEW:
At the May 24, 2022 City Council meeting approving the lease agreement with NRCA, the City Council found the project categorically exempt pursuant to Sections 15301 and 15303 under Class 1 (Existing Facilities) and Class 3 (New Construction or Conversion of Small Structures). The Notice of Exemption was filed and posted with the County of Orange on June 15, 2022.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A – Location Map
Attachment B – Budget Amendment No. 24-030
Attachment C – KEC Bid Protest
Attachment D – Green Giant Response to Bid Protest
Attachment E – Kasa Construction Bid Protest
Attachment F – Green Giant Response to Kasa Construction Bid Protest 7-3
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Newport Coast Pickleball Courts (Project No. 22P13) – Award of Contract No. 9018-2 October 24, 2023
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