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Agenda Report
March 6, 2023
TO: Honorable Mayor and City Council
FROM: Department of Public Works
SUBJECT: CONTRACT AWARD TO SPRAGUES' READY MIX FOR PURCHASE
OF PORTLAND CEMENT CONCRETE FOR AN AMOUNT NOT-TO-
EXCEED $736,824 FOR UP TO SIX YEARS
RECOMMENDATION:
It is recommended that the City Council:
1. Find the proposed action is not a project subject to the California Environmental Quality Act (CEQA) pursuant to Section 21065 ofCEQA and Sections 15060(c)(2), 15060(c)(3), and 15378 of the State CEQA Guidelines and, as such, no environmental document pursuant to CEQA is required for the project; and
2. Accept the bid dated February 1, 2023 submitted by Spragues' Ready Mix in response to project specifications for Portland Cement Concrete for Various Locations in City of Pasadena 2023; authorize the City Manager to enter into a four- year contract not-to-exceed $491,216 (which includes a $44,656 contingency); and authorize the City Manager to extend the contract for up to two additional one-year terms not-to-exceed an annual amount of $122,804 per year (including $11,164 contingency), subject to the approval of the City Manager, for a maximum total contract amount of $736,824 over a maximum contract length of six years.
BACKGROUND:
In April 2015, Municipal Services Committee supported a Citywide Sidewalk Improvement Program to address approximately 1.1 million square feet of damaged sidewalk at over 18,000 locations citywide based on an inventory survey completed in 2015. The Department of Public Works Street Maintenance uses Portland Cement Concrete for sidewalk improvements in the Northwest area of Pasadena. Work in this area has primarily been funded through City of Pasadena Department of Housing funding from the Community Development Block Grant (CDBG).
MEETING OF.03/06/2023AGENDA ITEM NO..2
Contract Award to Spragues' Ready Mix for Portland Cement Concrete March 6, 2023
In August 2022, the City Council awarded a contract for purchase of asphalt, concrete, and cement. Although said contract and this proposed contract include concrete material, the aggregate composition and strength rating is characteristically different.
Also, since the concrete material is primarily for use in the Northwest area using CDBG funds, the vendors were also required to meet additional qualifications.
On January 19, 2023, a Notice Inviting Bids was posted on the City website OpenGov and was published in the Pasadena Journal and the Pasadena Press on January 19, 2023. The posting generated notices to 2,025 vendors and was downloaded by four vendors of which none were local. One response was received by the bid closing date of February 1, 2023 and the bid results are as follows:
BidderAmount ($)
Spragues' Ready Mix, Irwindale, CA$ 111,638.44
Spragues' Ready Mix was the only responsible and responsive bidder. No responses were received during a previous bid opportunity posted on November 24,2022. As mentioned previously, the requirements to qualify for CDBG funding limit the number of vendors available to provide bids on this project. Spragues' Ready Mix has been the only vendor to qualify and bid on the project previously.
Since 2016, Spragues' Ready Mix has received contract awards totaling $389,976 and is currently awarded a one-year agreement in the amount of $74,999 to provide Portland Cement Concrete material with the City of Pasadena. Staff has confirmed the contractor's license and Department of Industrial Relations status are in good standing.
The proposed contract amount is shown below. The contingency allowance of 10% is to cover any unforeseen circumstances, additional purchases, and Consumer Price Index adjustments.
Amount
Contingency Allowance
Years
1 to 4
$446,560
$ 44,656
$491,216
Years
Option
$111,640
$ 11,164
YearS
Option
$111,640
$ 11,164
$122,804 $122,804
Total:$736,824
Contract Award to Spragues' Ready Mix for Portland Cement Concrete March 6, 2023
COUNCIL POLICY CONSIDERATION:
This project is consistent with the City Council's goals to maintain fiscal responsibility and stability; support and promote the quality of life and local economy; and ensure public safety.
ENVIRONMENTAL ANALYSIS:
The action proposed herein is not subject to the CEQA in accordance with Section 21065 ofCEQA and State CEQA Guidelines Sections 15060(c)(2), 15060(c)(3), and 15378. Entering into an agreement with a vendor to provide Portland cement concrete on an as needed basis is an administrative activity that does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. Therefore, the proposed action is not a "project" subject to CEQA, as defined in Section 21065 ofCEQA and Section 15378 of the State CEQA Guidelines. Since the action is not a project subject to CEQA, no environmental document is required. Any future construction activity utilizing such Portland cement concrete would be subject to CEQA review at the time it is being considered.
Contract Award to Spragues' Ready Mix for Portland Cement Concrete March 6, 2023
FISCAL IMPACT:
The total cost of approving this action including contingency will be $736,824.
Appropriations for this contract will be received from CDBG funds allocated to the Annual ADA Sidewalk Improvement Program (73913) Capital Improvement Program project. There is no anticipated impact on the General Fund.
Respectfully submitted:
TONYOLIVfOS, P.E.
Director of Public Works
Prepared by:
^1—
Eric Mirzaian
Public Works Administrator
Street Maintenance
Approved by:
•-J_^-
'MARQUEZ
City Manager