City of Piedmont
COUNCIL AGENDA REPORT
DATE: April 4, 2022
TO: Mayor and Council
FROM: Sara Lillevand, City Administrator
SUBJECT: Consideration of a Resolution Awarding a Contract for the 2021 Pavement Restoration Project to McGuire and Hester in the amount of $1,649,700.00, Approving of an Overall Construction Budget of $2,012,170, and a Determination that the Project is Exempt from the Requirements of the California Environmental Quality Act
RECOMMENDATION
Approve the attached resolution which takes the following actions regarding the 2021 Pavement Restoration Project:
1. Approve the award of the Contract for the 2021 Pavement Restoration Project to McGuire and Hester based on their submitted bid of $1,649,700.00.
2. Approve the overall Estimated Construction Budget of $2,012,170, which includes the construction cost, a 10% contingency and monies for construction management, inspection, and testing.
3. Determine the project to be exempt from the requirements of the California Environmental Quality Act (CEQA).
BACKGROUND
The 2021 Pavement Restoration Project proposed to rehabilitate a number of streets within the City. A location map of the project is shown on the following page.
The project includes a number of improvements which include:
• Paving rehabilitation (including grinding of the existing pavement and placement of new asphalt) of portions of Grand Avenue (Wildwood to Fairview), portions of Wildwood Avenue (Grand Avenue to Nova Drive; Requa Road to Highland Avenue), Requa Road, Hill Lane, Hampton Road (St. James Dr. to Glen Alpine Rd.), Dudley Avenue, Manor Drive and Sylvan Way (Wildwood Avenue to the City Limits adjacent to 24 Sylvan.) • Installation of enhanced pedestrian crossings at the intersection of Grand and Fairview Avenues. The pedestrian crossing at this location includes installation of bulb-outs, a pedestrian refuge island in the center of the road and pedestrian activated rectangular rapid flashing beacons at the crosswalks for higher visibility. • Installation of Class 3 bicycle lanes (including sharrows) on Wildwood Avenue (from Grand Avenue to Nova Drive) and on Hampton Road (St. James Drive to Glen Alpine Road).
• The rehabilitation of 22 pedestrian ramps.
DISCUSSION
This project implements the recommendations contained in the City’s Pavement Management Plan (PMP), as well as fulfillment of the City’s paving responsibilities as outlined in two agreements the City has with EBMUD for streets that have newly installed water mains. The project was publicly bid in accordance with City Ordinances and the Public Contract Code. Bids were opened on March 17, 2022. Five bids were received. Bids were awarded based on the lowest base bid, which ranged in price from $1,137,842.00 to $2,028,378.2. The apparent low bidder based on the base bid is McGuire and Hester.
In addition to the base bid there were three bid alternates (Bid Alternate A was Dudley Avenue; Bid Alternative B was Manor Drive; and Bid Alternate 3 was Sylvan Way.) After reviewing available funding, it appears that all three bid alternates can be included in the project. It should be noted that in adding bid alternates to each of the bids received, the order of low to high bid Agenda Report Page 2
remained the same.
The bids have been reviewed and the bid submitted by McGuire and Hester have been found to be responsive to all the bid requirements. McGuire and Hester has a valid Class A contractor’s license (#95879). Staff is recommending awarding the project to McGuire and Hester.
SCHEDULE OF CONSTRUCTION
The bid documents currently allow 75 working days (15 weeks) for the work to be completed. If approved, the work is estimated to start in May.
ENVIRONMENTAL REVIEW
This project is exempt from the California Environmental Quality Act pursuant to CEQA Guidelines section 15301(c), in that the project concerns the repair of existing facilities such as “Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety, and other alterations such as the addition of bicycle facilities, including but not limited to bicycle parking, bicycle-share facilities and bicycle lanes, transit improvements such as bus lanes, pedestrian crossings, street trees, and other similar alterations that do not create additional automobile lanes).”
FISCAL CONSIDERATIONS
The preliminary engineer’s estimate for the project is $1,471,368 (including the base bid and all three bid alternates.) bids came in approximately 10% higher than anticipated. This is primarily due to higher labor costs, as well as increased oil prices (affecting asphalt prices.) Based on the recommended award amount, staff is proposing the following overall budget:
Construction $ 1,649,700.00
Construction Contingency (10%) $ 164,970.00
Estimated Construction Management & Inspection $ 187,500.00 Estimated Testing Costs $ 10,000.00
Total Estimated Project Construction Budget $ 2,012,170.00 Funding for the project will come from the following sources:
Measure B LSR : $ 92,000
Measure BB LSR: $ 898,205
Measure B Bike/Ped: $ 15,000
Measure BB Bike/Ped: $ 58,000
VRF $ 104,963
EBMUD Contribution $ 173,002
SB-1 $ 671,000
TOTAL: $ 2,012,170
Agenda Report Page 3
CITY ATTORNEY REVIEW
The City Attorney has reviewed and approved the resolution and agreements as to form and legality.
By: Daniel Gonzales, Public Works Director
John Wanger, City Engineer
Attachments:
A. Resolution
B. Agreement
Agenda Report Page 4
RESOLUTION No. _____
A RESOLUTION AWARDING A CONTRACT FOR THE 2021 PAVEMENT
RESTORATION PROJECT TO MCGUIRE AND HESTER IN THE AMOUNT OF $1,649,700.00, APPROVING AN OVERALL CONSTRUCTION BUDGET OF $2,012,170,
AND A DETERMINING THAT THE PROJECT IS EXEMPT FROM THE
REQUIREMENTS OF THE CALIFORNIA ENVIRONMENTAL QUALITY ACT WHEREAS, in accordance with the requirements of Chapter 2, Article XV of the Piedmont City Code (“Purchasing Ordinance”) the City of Piedmont solicited bids for the 2021 Pavement Restoration Project ("Project"); and
WHEREAS, bids for the Project were opened on March 17, 2022, in accordance with Purchasing Ordinance, California Public Contract Code Section 4104.5 and other applicable laws; and
WHEREAS, five bids were received with base bids ranging in price from $1,137,842 to $2,028,378.20; and
WHEREAS, the lowest responsive bid was submitted by McGuire and Hester in the amount of $1,137,842; and
WHEREAS, staff has determined that the McGuire and Hester’s bid is responsive and satisfies the bidding requirements for the Project; and WHEREAS, staff has verified that McGuire and Hester possesses a valid California Contractor’s License under the requested Class A, Number 628365 (expires 09/30/23) as required to qualify to perform the Project; and
WHEREAS, in considering Bid Alternates A, B and C, and the desire to include all three bid alternates, the overall bid submitted by McGuire and Hester was $1,649,700.00; and WHEREAS, the Project has been found to be exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15301(c) of Title 14 of the California Code of Regulations in that the project concerns the repair of existing streets and facilities on City-owned property that includes streets, sidewalks bicycle facilities, pedestrian facilities and similar facilities.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PIEDMONT AS FOLLOWS:
1. The above recitals are true and correct and are hereby incorporated into this Resolution as findings of the City Council of the City of Piedmont.
2. In accordance with the Purchasing Ordinance and California Public Contract Code Attachment A Agenda Report Page 5
Section 20160 et seq., and other applicable laws, the City Council of the City of Piedmont hereby finds the bid of McGuire and Hester for the 2021 Pavement Restoration Project to be the lowest, responsive bid and waives any irregularities in such bid in accordance with applicable law.
3. The contract for the 2021 Pavement Restoration Project is hereby awarded to McGuire and Hester in the amount of $1,649,700.00 (that includes the Base Bid and Bid Alternates A, B and C) conditioned on McGuire and Hester’s timely executing the Project contract and submitting all required documents, including, but not limited to, executed bonds/surety, certificates of insurance, and endorsements, in accordance with the Project bid documents.
4. The overall construction budget for the Project be established at $2,012,170.
5. City staff is hereby directed to issue a Notice of Award to McGuire and Hester
6. The Project has been found to be exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to Section 15301(c) of Title 14 of the California Code of Regulations.
7. All portions of this resolution are severable. Should any individual component of this Resolution be adjudged to be invalid and unenforceable by a body of competent jurisdiction, then the remaining resolution portions shall be and continue in full force and effect, except as to those resolution portions that have been adjudged invalid. The City Council of the City of Piedmont hereby declares that it would have adopted this Resolution and each section, subsection, clause, sentence, phrase and other portion thereof, irrespective of the fact that one or more section subsection, clause sentence, phrase or other portion may be held invalid or unconstitutional. [END OF RESOLUTION]
Attachment A Agenda Report Page 6
AGREEMENT
The City of Piedmont, a California Municipal Corporation (“City”) enters into this Agreement, dated April 4, 2022, with McGuire and Hester (“Contractor”).
RECITALS
A. NOTICE INVITING BIDS. The City gave notice inviting bids to be submitted by 2:00 p.m., March 17, 2022 for the City of Piedmont 2021 Pavement Restoration Project by soliciting bids in accordance with the City of Piedmont City Code and other applicable law.
B. BID OPENING. On March 17, 2022, at 2:00 p.m., City representatives opened the bids for the 2021 Pavement Restoration Project and read the bids aloud.
C. PROJECT AWARD. On April 4, 2022, the City Council awarded the City of Piedmont 2021 Pavement Restoration Project to the Contractor and directed City staff to send the Contractor written notice of award of the project. The City Council conditioned award of the project on the Contractor’s providing executed copies of all documents specified in the contract check list included in the bid package within ten (10) working days of receiving written notice of award of the project.
D. REQUIRED DOCUMENTS. The Contractor has provided the City executed copies of all documents specified in the contract check list included in the bid package within ten (10) working days of receiving written notice of award.
AGREEMENT TERMS
The City and the Contractor agree as follows:
1. THE WORK. The Contractor shall furnish all equipment, tools, apparatus, facilities, material labor, and skill necessary to perform and complete in a good and workmanlike manner the 2021 Pavement Restoration Project (“Work”) as shown in the Technical Specifications and Project Plans in accordance with the Contract Documents and applicable law.
2. LOCATION OF WORK. The Work will be performed at the following location:
Various streets in Piedmont, California
3. TIME FOR COMPLETION. The Contractor must complete the Work in accordance with the Contract Documents within seventy-five (75) working days from the date specified in the City’s Notice to Proceed (“Time for Completion”).
4. REMEDIES FOR FAILURE TO TIMELY COMPLETE THE WORK. If the Contractor fails to fully perform the Work in accordance with the Contract Documents by the Time for Completion, as such time may be amended by change order or other modification to Attachment B Agenda Report Page 7
this Agreement in accordance with its terms, and/or if the Contractor fails, by the Time for Completion, to fully perform all of the Contractor’s obligations under this Agreement that have accrued by the Time for Completion, the Contractor will become liable to the City for all resulting loss and damage in accordance with the Contract Documents and applicable law. The City’s remedies for the Contractor’s failure to perform include, but are not limited to, assessment of liquidated damages of $1,450 per day in accordance with California Government Code Section 53069.85 and Section 5-1.02 of the General Provisions, and/or obtaining or providing for substitute performance in accordance with the Contract Documents.
5. CONTRACT PRICE AND PAYMENT. As full compensation in consideration of completion of the Work in accordance with the Contract Documents and in consideration of the fulfillment of all of the Contractor’s obligations under the Contract Documents, the City will pay the Contractor in lawful money of the United States the total price of $1,649,700.00 (the “Contract Price”) as specified in the Contractor’s completed Bid Schedule dated March 17, 2022, and attached hereto and incorporated in this Agreement.
Payment to the Contractor under this Agreement will be for Work actually performed in accordance with the Contract Documents and will be made in accordance with the requirements of the Contract Documents and applicable law. The City will have no obligation to pay the Contractor any amount in excess of the Contract Price unless this Agreement is first modified in accordance with its terms. The City’s obligation to pay the Contractor under this Agreement is subject to and may be offset by charges that may apply to the Contractor under this Agreement. Such charges include but are not limited to, charges for liquidated damages and/or substitute performance in accordance with the Contract Documents.
6. PREVAILING WAGES. In accordance with California Labor Code Section 1771, not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the Work is to be performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work fixed as provided in the California Labor Code must be paid to all workers engaged in performing the Work. In accordance with California Labor Code Section 1770 and following, the Director of Industrial Relations has determined the general prevailing wage per diem rates for the locality in which the Work is to be performed. In accordance with California Labor Code Section 1773, the City has obtained the general prevailing rate of per diem wages and the general rate for holiday and overtime work in the locality in which the Work is to be performed for each craft, classification or type of worker needed to perform the project. In accordance with California Labor Code Section 1773.2, copies of the prevailing rate of per diem wages are on file at the City Public Works Department and will be made available on request.
Throughout the performance of the Work the Contractor must comply with all provisions of the Contract Documents and all applicable laws and regulations that apply to wages earned in performance of the Work.
7. THE CONTRACT DOCUMENTS. This Agreement consists of the following documents (“Contract Documents”), all of which are incorporated into and made a part of this Attachment B Agenda Report Page 8
Agreement as if set forth in full. In the event of a conflict between or among the Contract Documents, precedence will be in the following order:
7.1 This Agreement and change orders and other amendments to this Agreement signed by authorized representatives of the City and the Contractor.
7.2 The General Provisions and change orders and other amendments to the General Conditions signed by authorized representatives of the City and the Contractor.
7.3 The Special Provisions, addenda to the Special Provisions signed by authorized representatives of the City and issued prior to bid opening, Equal Product Proposals accepted by the City and signed by authorized City representatives prior to bid opening, and change orders and other amendments to the Technical Specifications signed by authorized representatives of the City and the Contractor.
7.4 The Project Plans, addenda to the Project Plans signed by authorized representatives of the City and issued prior to bid opening, Equal Product Proposals accepted by the City and signed by authorized City representatives prior to bid opening, and change orders and other amendments to the Project Plans signed by authorized representatives of the City and the Contractor.
7.5 Notice Inviting Bids.
7.6 Instructions to Bidders.
7.7 The successful bidder’s completed Proposal Form and Bidder’s Sheet.
7.8 The successful bidder’s completed Contractor License Information.
7.9 The successful bidder’s completed List of Proposed Subcontractors.
7.10 The successful bidder’s Workers Compensation Insurance Certification.
7.11 The successful bidder’s completed Non-Collusion Declaration.
7.12 The successful bidder’s Debarment Certification.
7.13 The successful bidder’s completed Certificates of Insurance and Endorsements.
7.14 The successful bidder’s executed Performance Bond.
7.15 The successful bidder’s executed Payment Bond.
7.16 Executed Escrow for Deposit Agreement, if applicable.
7.17 Change Order Form.
Attachment B Agenda Report Page 9
7.18 The Maintenance Bond form included in the bid package that the Contractor must execute prior to release of final payment under the Contract.
7.19 The successful bidder’s Qualification Statement, if any.
7.20 The successful bidder’s signed Signature Form.
8. PROVISIONS INCORPORATED BY REFERENCE. Provisions or parts of provisions that are incorporated by reference and not set forth at length in any of the Contract Documents will only form a part of this Agreement to the extent the Contract Documents expressly make such provisions or parts of provisions a part of this Agreement. For example, published public works agreement provisions, such as those of the State of California Department of Transportation Standard Specifications (known as the Standard Specifications) are only a part of this Agreement to the extent expressly incorporated in this Agreement by section number, and references in the Standard Specifications incorporated by reference to other Standard Specifications do not make such other Standard Specifications a part of this Agreement. When such published provisions are made a part of this Agreement, references in the published provisions to other entities, such as the State, the Agency, or similar references, will be deemed references to the City as the context of this Agreement may require.
9. INTERPRETATION OF CONTRACT DOCUMENTS. Any question concerning the intent or meaning of any provision of the Contract Documents, including, but not limited to, the Technical Specifications or Project Plans, must be submitted to the Public Works Department, for issuance of an interpretation and/or decision by an authorized Public Works Department representative in accordance with the requirements of the Contract Documents. Interpretations or decisions by any other person concerning the Contract Documents will not be binding on the City. The decision of an authorized Public Works Department representative shall be final.
10. ASSIGNMENT PROHIBITED. The Contractor may not assign part or all of this Agreement, or any moneys due or to become under this Agreement, or any other right or interest of the Contractor under this Agreement, or delegate any obligation or duty of the Contractor under this Agreement without the prior written approval of an official authorized to bind the City and an authorized representative of Contractor’s surety or sureties. Any such purported assignment or delegation without such written approval on behalf of the City and the Contractor’s sureties will be void and a material breach of this agreement subject to all available remedies under this Agreement and at law and equity.
11. CERTIFICATION RE CONTRACTOR’S LICENSE. By signing this Agreement the Contractor certifies that the Contractor holds a valid Type A license issued by the California State Contractors Licensing Board, and that the Contractor understands that failure to maintain its license in good standing throughout the performance of the Work may result in discipline and/or other penalties pursuant to the California Business and Attachment B Agenda Report Page 10
Professions Code, and may constitute a material breach of this Agreement subject to all available remedies under this agreement and at law and equity.
12. SEVERABILITY. If any term or provision or portion of a term or provision of this Agreement is declared invalid or unenforceable by any court of lawful jurisdiction, then the remaining terms and provisions or portions of terms or provisions will not be affected thereby and will remain in full force and effect.
13. DEFINITIONS. All words as used in the Agreement shall be subject to the Definitions set forth in Section 1 of the General Provisions of the Notice to Contractors, Special Provisions, Proposal and Contract for the 2021 Pavement Project.
IN WITNESS WHEREOF, the parties have executed this Contract at Piedmont, California, the day and year first above written.
CITY OF PIEDMONT Name of Contractor
_______________________ _____________________________
By: Theadora Gray King, Mayor Name of Signatory & Title Attest:
__________________________________
John O. Tulloch, City Clerk
Approved as to Form and Legality:
__________________________________
Michelle Marchetta Kenyon, City Attorney
Attachment B Agenda Report Page 11