Approved as to Form and Legality
K A. y
mmC§lso Ortiz (Ocm, 2022 11:52 PDT)
2022 OCT 13 PM 3:55
FH EDOFFICE OF THE CITY CLERK
OAKLAND
City Attorney's Office
OAKLAND CITY COUNCIL
RESOLUTION NO. C.M.S.
RESOLUTION REJECTING ALL BIDS, WAIVING FURTHER
ADVERTISING AND COMPETITIVE BIDDING, AND AUTHORIZING THE
CITY ADMINISTRATOR, OR DESIGNEE, TO NEGOTIATE IN THE OPEN MARKET FOR 2021 AS-NEEDED PAVEMENT REHABILITATION
SERVICES (PROJECT 1006103); AND AUTHORIZING THE CITY
ADMINISTRATOR TO AWARD CONSTRUCTION CONTRACTS TO 1)
GALLAGHER & BURK, 2) MCGUIRE & HESTER AND 3) O.C. JONES & SONS, PROVIDED THAT ALL MEET THE CONTRACTOR’S BID
SCHEDULE OF THE LOWEST RESPONSIBLE BID OF GALLAGHER &
BURK, FOR 2021 AS-NEEDED PAVEMENT REHABILITATION
SERVICES (PROJECT NUMBER 1006103) IN ACCORDANCE WITH THE
PROJECT PLANS AND SPECIFICATIONS AND THE LOWEST
RESPONSIVE, RESPONSIBLE BIDDER IN AN AMOUNT NOT TO
EXCEED FIFTEEN MILLION, TWENTY-THREE THOUSAND, TWO
HUNDRED AND FIFTY DOLLARS ($15,023,250.00), CONTINGENT
UPON AVAILABILITY OF FUNDS, AND ADOPTING APPROPRIATE
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) FINDINGS.
WHEREAS, Oakland Municipal Code (OMC) section 2.04.050 requires advertising and competitive bidding for contracts for the purchase of services, supplies or combination required by the City in any one transaction which exceeds $50,000, and the award to the lowest responsible, responsive bidder if award is made; and
WHEREAS, on September 30, 2021, after a competitive bidding process, the City Clerk received three bids for the 2021 As-Needed Pavement Rehabilitation Services Project (1006103); and
WHEREAS, the bids were as follows: $13,657,500 from Gallagher & Burk; $13,802,960 from McGuire & Hester; and $15,058,775 from O.C. Jones & Sons; and WHEREAS, prior analysis performed by the Department of Workplace and Employment Standards (DWES) in November 2021 had identified that all the three bids failed to meet the Small/Local Business Enterprises (S/LBE) Program requirements; and
WHEREAS, on January 18, 2022, City Council directed staff to return to Council with a resolution rejecting all bids and authorized staff to negotiate with the bidders to achieve bids compliant with the S/LBE program requirements; and
WHEREAS, the City wishes to additionally negotiate with McGuire & Hester and O.C.
Jones & Sons, the second and third lowest responsive, responsible bidders, respectively, and to recommend for additional contract award with the stipulation that they meet the bid schedule of the lowest bid of Gallagher & Burk; and
WHEREAS, OMC Section 2.04.050.1.5 provides an exception to the need for further advertising and competitive bidding requirements of the OMC upon a finding and determination by the City Council that it is in the best interest of the City to do so; and WHEREAS, staff recommends that pursuant to OMC section 2.04.050 I. 5, that it is in the best interest of the City to waive the advertising and bidding requirements of OMC section
2.04.050 in order to ensure contractor availability, additional work constructed at lowest bid unit prices, and for the reasons set forth in the staff report that accompanies this Resolution; and WHEREAS, having multiple contractors will ensure contractor availability to complete the 2019 3-Year Paving Plan and to implement the 2022 5-Year Paving Plan; and WHEREAS, the Project is exempt from CEQA pursuant to Public Resources Code Section 711.4 and pursuant to CEQA Guidelines Sections 15183 (Projects Consistent with a Community Plan, General Plan or Zoning), 15301(c) (Existing Facilities, Highways and Streets), 15302 (Replacement or Reconstruction), 15303 (Small Structures), 15304(h) (minor alterations to land), and/or 15061(b)(3) (No Significant Effect on the Environment); each of the aforementioned provides a separate and independent basis for CEQA compliance; and WHEREAS, the City Council finds and determines that the performance of these contracts are in the public interest because of economy or better performance; and WHEREAS, funding for this project will be available in the following project account as part of the current and anticipated FY 2021-22 CDP Budget: in Fund 5335 Measure KK, Organization 92246 Engineer Design Streets and Structures, Account 57411 Street Construction, and Project No. 1003829.
WHEREAS, the City Council finds and determines based on the representations set forth in the City Administrator's report accompanying this Resolution that the construction contract approved hereunder is temporary in nature; and
WHEREAS, the City lacks the equipment and qualified personnel to perform the necessary work, that the performance of this contract is in the public interest because of economy or better performance and that this contract is of a professional, scientific or technical nature; and WHEREAS, Gallagher & Burk, McGuire & Hester, O.C. Jones & Sons comply with all other local business enterprise and local trucking requirements; and WHEREAS, the City Council finds and determines that the performance of these contracts shall not result in the loss of employment or salary by any person having permanent status in the competitive service now, therefore, be it
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RESOLVED: That the City Administrator is authorized to award a construction contract to Gallagher & Burk in accordance with project plans and specifications for 2021 As-Need Pavement Rehabilitation Services and the contractor’s bid schedule in the amount not to exceed Fifteen Million, Twenty-Three Thousand, Two-Hundred and Fifty Dollars ($15,023,250.00); dated August 1, 2022; and be it
FURTHER RESOLVED: The City Council finds and determines that it is in the best interest of the City to waive further advertising and competitive bidding and award contracts to the second and third lowest responsive and responsible bidders, McGuire & Hester and O.C. Jones & Sons, per OMC Section 2.04.050.1.5, to ensure contractor availability, additional work constructed at lowest bid unit prices, and for the reasons set forth in the staff report that accompanies this Resolution,, and thus so waives these requirements; and be it FURTHER RESOLVED: That the City Administrator is authorized to negotiate and award construction contracts to McGuire & Hester and O.C. Jones & Sons in accordance with project plans and specifications for As-Needed Citywide Pavement Rehabilitation Services provided they meet the August 1, 2022 negotiated bid schedule of Gallagher & Burk, the lowest bidder on the project, in the amount not to exceed Fifteen Million, Twenty-Three Thousand, Two- Hundred and Fifty Dollars ($15,023,250.00); each; and be it FURTHER RESOLVED: That the amount of each bond for faithful performance, ($15,023,250.00); and the bonds to guarantee payment of all claims for labor and materials furnished and for the amount under the Unemployment Insurance Act, ($15,023,250.00); with respect to such work are hereby approved; and be it
FURTHER RESOLVED: That the City Administrator is hereby authorized to enter into a contract with 1) Gallagher & Burk, 2) McGuire & Hester, and 3) O.C. Jones & Sons, on behalf of the City of Oakland and to execute any amendments or modifications of the contracts within the limitations of the project specifications; and be it FURTHER RESOLVED: That the plans and specifications prepared for this project, including any subsequent changes during construction, that will be reviewed and adopted by the Director of Transportation, are hereby approved; and be it -3-
FURTHER RESOLVED: That the Council hereby finds and determines that the Project is exempt from CEQA pursuant to Public Resources Code Section 711.4 and pursuant to CEQA Guidelines Sections 15183 (Projects Consistent with a Community Plan, General Plan or Zoning), 15301(c) (Existing Facilities, Highways and Streets), 15302 (Replacement or Reconstruction), 15303 (Small Structures), 15304(h) (minor alterations to land), and/or 15061(b)(3) (No Significant Effect on the Environment); each of the aforementioned provides a separate and independent basis for CEQA compliance: and be it FURTHER RESOLVED: That the City Administrator shall file a Notice of Determination/Notice of Exemption with the Clerk of the County of Alameda for this project that is named in this resolution; and be it
FURTHER RESOLVED: That the contracts shall be reviewed and approved by the City Attorney for form and legality prior to execution and placed on file in the Office of the City Clerk. tw. iMiIN COUNCIL, OAKLAND, CALIFORNIA,
PASSED BY THE FOLLOWING VOTE:
AYES - FIFE, GALLO, KALB, KAPLAN, REID, TAYLOR, THAO AND PRESIDENT FORTUNATO BAS — NOES -0'
ABSENT-
ABSTENTION -
ATTEST:
City Clerk and Clerk of the Council of the
City of Oakland, California
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