CITY COUNCIL STAFF REPORT
Meeting Date: November 07, 2022
TO: THE HONORABLE MAYOR AND CITY COUNCILMEMBERS
SUBJECT: ADOPT RESOLUTION NO. ___ - 22 ACCEPTING BID, AWARDING A
CONSTRUCTION CONTRACT AND AUTHORIZING THE CITY
MANAGER TO EXECUTE A CONSTRUCTION CONTRACT WITH
NORGO ENGINEERING FOR THE DIABLO VIEW ROAD AND
PLEASANT HILL ROAD STORM DRAIN IMPROVEMENTS, PROJECT
NO. 22-05
SYNOPSIS
The Diablo View Road & Pleasant Hill Road Storm Drain Improvements Project No. 22-05 will provide storm drain improvements at the intersection of Diablo View Road and Pleasant Hill Road, as well as Diablo View Road to the Barnett Circle intersection. The purpose of this item is to request that the City Council accept the lowest responsive, responsible bid and award a construction contract for the Diablo View Road & Pleasant Hill Road Storm Drain Improvements, Project No. 22-05; and authorize the City Manager to execute a construction contract with Norgo Engineering.
DISCUSSION
Background
The Storm Drain Improvement Program identified in the 2022 – 2027 Capital Improvement Plan (CIP) funds the installation of new storm drain facilities or needed upgrades to existing facilities.
Projects that are funded through this program are implemented per the City’s Storm Drain Improvement Priority List, which addresses locations of poor drainage or areas with localized flooding problems. Projects are prioritized to favor projects with low-cost improvements that have a substantial impact on reducing localized flooding. The Diablo View Road & Pleasant Hill Road Storm Drain Improvements Project No. 22-05 was identified on the Priority List and focused on the installation of a new storm drain system at the Diablo View Road and Pleasant Hill Road intersection and other miscellaneous storm drain improvements that will benefit the neighborhood surrounding Diablo View Road and Pleasant Hill Road.
Project highlights included installation of new:
810 linear feet of 18-inch HDPE storm drain pipe along Diablo View Road and Pleasant Hill Road
3 each Type I manhole & base
1 each Type II manhole & base
1 each Type G drain inlet & base
2 each Type J drain inlet & base
1,375 square feet of additional asphalt concrete
Restoration of existing roadside swale
Restoration of traffic striping and traffic signs
This Project is included in the FY 2022-2027 Capital Improvement Plan (CIP) (Project CP-22-1).
It is funded through American Rescue Plan Act of 2021 (ARPA).
Analysis
The Notice Inviting Bids was sent to the construction exchanges on September 23, 2022, and the Project was advertised in the East Bay Times newspaper on September 22, 2022. Ten bids were received and publicly read on Wednesday, October 26, 2022, at 2:00 p.m. at the Engineering Division Counter at City Hall.
Per project bid documents, the City will base the project award on the lowest responsive, responsible bid. The following table summarizes the bid amounts. The low bid is marked in bold.
Company Total Bid
1. Norgo Engineering $341,150.00
2. A3 Pipeline $375,525.00
3. Kerex Engineering $387,045.00
4. FJ&I Engineering $389,350.00
5. Koios Engineering $427,510.00
6. Central Pacific Engineering $444,400.00
7. Paulson Cox Construction $451,000.00
8. Golden Bay Construction $458,304.00
9. Ghilotti Bros Inc. $494,525.00
10. Burch Construction $629,375.00
Average of Ten Bids Received $439,818.40
Engineer’s Estimate (EE) $430,000.00
Norgo Engineering’s bid of $341,150.00 is 22% lower than the average bid of $439,818.40. The CEO of Norgo Engineering has reviewed the full bid results and verified his prices. The Contractor is ready to begin construction this winter and complete the Project by the beginning of 2023.
Norgo Engineering has recently completed similar projects including storm/sewer main pipelines, manholes, drain inlets and concrete work for the Town of Hillsborough and City of Hayward in 2022. Representatives from both agencies confirm that Norgo Engineering’s work was excellent.
Staff believes the Contractor’s team has the experience and professional competency that will result in a satisfactory product for the City.
Norgo Engineering’s bid proposal documentation is complete, and staff has determined them to be the lowest responsive, responsible bidder. Bidding rules require that the City Council award the construction contract to the lowest responsive, responsible bidder or reject all bids. Staff recommends the City Council award the construction contract to Norgo Engineering.
FISCAL IMPACT
The project construction cost is $341,150.00. Staff recommends including a construction contingency of fifteen percent (15%) or $51,172.50 for unforeseen conditions during construction.
The total construction cost is not to exceed $392,322.50. Construction Management will be performed by Engineering Division staff not to exceed $25,000.00. Project funding is summarized in the table below:
Revenues Projected Expenses
ARPA $620,000 Construction Contract $341,150.00
Contingency (15%) $51,172.50
Construction Management $25,000.00
Total $620,000 Total $417,322.50
No General Fund money is requested for the construction of the Project. Engineering Division staff has confirmed with the Finance Department that monies are available for construction of this Project.
PUBLIC CONTACT
Public contact was made through posting of the City Council agenda on the City’s official notice bulletin board, at the Pleasant Hill Senior Center and at the Pleasant Hill Police Department. The agenda and staff report are posted on the City’s web page.
RECOMMENDED CITY COUNCIL ACTION
Adopt a resolution to accept the bid and award a construction contract (Agreement attached – Exhibit 1) for the Diablo View Road & Pleasant Hill Road Storm Drain Improvements, Project No. 22-05, and authorize the City Manager to execute a construction contract with Norgo Engineering.
ALTERNATIVES TO RECOMMENDED ACTION
Reject all current bids and rebid the project construction, which would likely result in higher bids as the current lowest responsive, responsible bidder is ready to perform the work this fall.
ATTACHMENT(S):
Proposed Resolution
Exhibit 1 - Contractor Agreement
Exhibit 2 – Project Location Map
Prepared by: Omar Adina, Assistant Engineer
Reviewed by: Ananthan Kanagasundaram, City Engineer
Approved by: June Catalano, City Manager