August 2, 2022, Item #6
AGENDA REPORT CityofPoway
DATE:
TO:
FROM:
CONTACT:
August 2, 2022
Honorable Mayor and Members of the City Council
Robert Manis, Director of Development Services -/,AA
Jeff Beers, Special Projects Engineer !f;?
(858) 668-4624 or [email protected]
CITY COUNCIL
SUBJECT: Award of Contract to Nu Line Technologies, LLC, for the FY 2022-23 CMP Annual Repair Project; Bid No. 23-001
Summary:
This action will award a construction contract for the FY 2022-23 CMP Annual Repair project. The project includes repairing and placing cured-in-place pipe (CIPP) lining wi~hin existing corrugated metal pipe (CMP) in various locations.
Recommended Action:
It is recommended the City Council award the contract for the FY 2022-23 CMP Annual Repair project to Nu Line Technologies, LLC, in the amount of $82,679.00 and authorize the City Manager to execute the contract (Attachment A).
Discussion:
The FY 2022-23 CMP Annual Repair project is an annual Capital Improvement Program project. Storm drain piping that has outlived its useful life is reviewed and included in the annual program based on the severity of the pipe deterioration. This year's project includes five locations: Otis Place, Sam-0- Reno, Springvale Street, Taunt Road, and Utopia Road.
The contract time for this project is 20 working days with an engineer's estimate of $300,000. The engineer's estimate was developed by using historical bid data from previous projects.
Bids were opened on July 11, 2022. The following three bids were received:
Company Total Bid Amount
Nu Line Technologies, LLC $82,679.00
Sancon Technologies, Inc. $329,326.00
lnsituform Technologies, Inc. $358,562.00
1 of 10
August 2, 2022, Item #6
Due
to
the
large
pricing
difference
in
the
received
bids,
staff contacted
the
lowest
bidder,
Nu
Line
Technologies
LLC,
(Nu
Line),
to
understand
the
reason
for
the
difference
in
pricing
and
to
investigate
if
there
was
any
error
in
their
bid.
Nu
Line
admitted
to
an
error
in
one
repeated
line
of
work
and
indicated
that
most
of
the
work
in
that
line
item
was
covered
in
other
items
of
work.
While
acknowledging
the
error,
Nu
Line
indicated
they
would
keep
the
bid
unit
price
as
submitted
and
they
wished
to
proceed
with
the
project.
Staff
also
compared
the
unit
prices
in
the
bid
to
a
recent
contract
Nu
Line
completed
as
a sub-contractor.
The
findings
of
that
review
are
the
unit
prices
for
similar
work
for
the
other
project,
were
in
fact
close
to
the
unit
cost
in
the
received
bid.
After
review
of
the
bidding
documents
and
discussions
with
Nu
Line,
staff
finds
the
bid
documents
to
be
responsive
and
Nu
Line
Technologies
assured
staff
the
project
could
be
completed
as
specified
in
their
bid.
Environmental
Review:
The
proposed
CMP
rehabilitation
of
existing
storm
drainage
pipes
with
the
2022-2023
CMP
Annual
Repair
project
is
Categorically
Exempt
from
the
California
Environmental
Quality
Act
(CEQA)
as
a Class
1 Categorical
Exemption,
pursuant
to
Section
15301
(c)
of
the
CEQA
Guidelines,
in
that
the
project
involves
maintenance
of
an
existing
drainage
system
with
no
expansion
of
use.
Fiscal
Impact:
There
is
sufficient
funding
available
in
the
FY
2022-23
CMP
Annual
Repair
project
account
(DR001)
to
award
the
contract.
Public
Notification:
None. Attachments: A.
Contract
Reviewed/
Approved
By:
Wend
Y
erman
Assistant
City
Manager
2 of
10 Reviewed
By:
Alan
Fenstermacher
City
Attorney
Approved
By:
Ch
is
Ha
· e
City
Manager
August 2, 2022, Item #6
SECTION 8
CONSTRUCTION CONTRACT
CITY OF POWAY
FY 2022-23 CMP ANNUAL REPAIR
This Contract made and entered into this 3rd day of August, 2022, by and between City of Poway, a municipal corporation of the State of California, hereinafter referred to as "City" and Nu Line Technologies, LLC, hereinafter referred to as "Contractor." The City and the Contractor, for the consideration hereinafter named, mutually agree as follows:
1. The complete Contract includes all of the Contract Documents, which are
2. 3.
3 of 10
incorporated herein by this reference, and include:
a. This Contract
b. Contract Addenda
c. Contract Change Orders
d. Instructions to Bidders, Proposal Requirements and Conditions e. Contract Specifications
f. Contract Plans
g. General Condition
h. Special Conditions
i. Standard Specification for Public Works, most current edition The Contract Documents are complementary, and that which is required by one shall be as binding as if required by all.
Contractor shall provide and furnish all labor, materials, necessary tools, expendable equipment, and all utility and transportation services required for the following work of improvement: This project includes the rehabilitation of existing corrugated metal drainage pipes (CMPs) with the cured-in-place (CIPP) trench less lining process. Lining will include approximately 940 total linear feet of existing pipe.
The work will include, but is not limited to, the following: cleaning storm drain pipes and structures, closed circuit television (CCTV) pipe inspection and video work, CIPP trench less lining, traffic control and all related and necessary work as defined in the contract documents.
ATTACHMENT A 1
August 2, 2022, Item #6
4. Contractor
agrees
to
perform
all
the
said
work
and
furnish
all
the
said
materials
at
his
own
cost
and
expense
that
are
necessary
to
construct
and
complete
in
strict
conformance
with
Contract
Documents
and
to
the
satisfaction
of
the
City
Engineer,
the
work
hereinafter
set
forth
in
accordance
with
the
Contract
adopted
by
the
City
Council.
5. City
agrees
to
pay
and
Contractor
agrees
to
accept
in
full
payment
for
performance
of
this
work
of
improvement
as
described,
the
stipulated
sum
of
$82,679.00
the
"Contract
Price."
6. 7. 8. 9. 10. 4
of
10 City
agrees
to
make
progress
payments
and
final
payment
in
accordance
with
the
method
set
forth
in
the
Special
Provisions.
Contractor
agrees
to
commence
construction
of
the
work
provided
for
herein
within
Fifteen
(15)
Calendar
Days
after
the
date
specified
in
the
Notice
to
Proceed,
and
to
continue
diligently
in
strict
conformance
with
Contract
Documents
and
without
interruption,
and
to
complete
the
construction
thereof
within
20 Working
Days
after
the
date
specified
in
the
Notice
to
Proceed.
Time
is
of
the
essence
of
this
Contract,
and
it
is
agreed
that
it
would
be
impracticable
or
extremely
difficult
to
ascertain
the
extent
of
actual
loss
or
damage
which
the
City
will
sustain
by
reason
of
any
delay
in
the
performance
of
this
Contract.
It
is,
therefore,
agreed
that
Contractor
will
pay
as
liquidated
damages
to
the
City
the
following
sum
of
$500.00
per
Calendar
Day,
for
each
and
every
Calendar
Days
delay
in
finishing
the
Work
in
excess
of
the
number
of
Working
Days
prescribed
above.
If
liquidated
damages
are
not
paid,
as
assessed
by
the
City,
the
City
may
deduct
the
amount
thereof
from
any
money
due
or
that
may
become
due
the
Contractor
under
this
Contract
in
addition
to
any
other
remedy
available
to
City.
By
executing
this
Contract,
Contractor
agrees
that
the
amount
of
liquidated
damages
is
reasonable
and
shall
not
constitute
a
penalty.
In
accordance
with
State
of
California
Senate
Bill
No.
854,
Contractor
will
maintain
and
will
require
all
subcontractors
to
maintain
valid
and
current
Department
of
Industrial
Relations
(DIR)
Public
Works
Contractor
registration
during
the
term
of
this
project.
Contractor
shall
notify
the
City
in
writing
immediately,
and
in
no
case
more
than
twenty-four
(24)
hours,
after
receiving
any
information
that
Contractor's
or
any
of
its
Subcontractor's
DIR
registration
status
has
been
suspended,
revoked,
expired,
or
otherwise
changed.
Contractor
will
pay,
and
will
require
all
subcontractors
to
pay,
all
employees
on
said
Contract
a
salary
or
wage
at
least
equal
to
the
prevailing
salary
or
wage
established
for
such
work
as
set
forth
in
the
wage
determinations
and
wage
standards
applicable
to
this
work,
a
copy
of
which
is
on
file
in
the
office
of
the
City
Clerk
of
the
City
of
Poway.
Federal
prevailing
wage
rates
apply
for
federally
funded
projects.
Travel
and
subsistence
pay
shall
be
paid
in
accordance
with
Labor
Code§
1773.1.
Contractor
shall
be
subject
to
the
penalties
in
accordance
with
Labor
Code
of
§
1775
for
each
worker
paid
(either
by
him
or
by
any
subcontractors
under
him)
less
than
the
prevailing
rate
described
above
on
the
work
provided
for
in
this
Contract.
2 August 2, 2022, Item #6
11. Contractor
and
subcontractors
shall
comply
with
Labor
Code
§
1810
and
§
1811
which
stipulates
that
eight
hours
of
labor
constitutes
a
legal
day's
work,
and§
1812
which
stipulates
that
the
Contractor
and
subcontractors
shall
keep
an
accurate
record
showing
the
name
of
and
actual
hours
worked
each
calendar
day
and
each
calendar
week
by
each
worker
employed
by
him
in
connection
with
the
work
performed under
the
terms
of
the
Contract.
Failure
to
comply
with
these
sections of
the
Labor
Code
will
subject
the
Contractor
to
penalty
and
forfeiture
provisions
of
the
Labor
Code§
1813.
12. Contractor
will
comply
with
the
provisions
of
Labor
Code
§
1777
.5
pertaining
to
the
employment
of
apprentices
to
the
extent
applicable
to
this
Contract.
13. Contractor,
by
executing
this
Contract,
hereby
certifies:
"I
am
aware
of
and
will
comply
with
the
Labor
Code
§
3700
by
securing
payment
for
and
maintaining
in
full
force
and
effect
for
the
duration
of
the
contract,
complete
Workers'
Compensation
Insurance,
and
shall
furnish
a
Certificate
of
Insurance
to
the
City
before
execution
of
the
Contract.
The
City,
its
officers,
or
employees,
will
not
be
responsible
for
any
claims
in
law
or
equity
occasioned
by
failure
of
the
Contractor
to
comply
with
this
paragraph."
Contractor
further
agrees
to
require
all
subcontractors
to
carry
Workers'
Compensation
Insurance
as
required
by
the
Labor
Code
of
the
State
of
California.
14. Contractor
shall,
concurrent
with
the
execution
of
this
Contract,
furnish
two
bonds
approved
by
the
City,
one
in
the
amount
of
One
Hundred
Percent
(100%)
of
the
Contract
Price,
to
guarantee
the
faithful
performance
of
the
work
("Performance
Bond"),
and
one
in
the
amount
of
One
Hundred
Percent
(100%)
of
the
Contract
Price
to
guarantee
payment
of
all
claims
for
labor
and
materials
furnished
("Payment
Bond").
This
Contract
shall
not
become
effective
until
such
bonds
are
supplied
to
and
approved
by
the
City.
15. a.
Contractor
shall
procure
and
maintain
at
its
own
expense,
until
completion
of
performance,
commercial
general
liability
insurance
of
not
less than
One
Million
Dollars
($1,000,000)
combined
single
limit
per
occurrence,
and
Two
Million
Dollars
($2,000,000)
in
the
aggregate,
for
bodily
injury,
personal
injury,
death,
loss
or
damage
resulting
from
the
wrongful
or
negligent
acts
by
the
Contractor
or
its
officers,
employees,
servants,
volunteers
and
agents
and
independent
contractors.
Contractor
shall
provide
insurance
on
an
occurrence,
not
claims-made
basis.
Contractor
acknowledges
and
agrees
that,
for
purposes
of
clarification
with
the
intention
of
avoiding
gaps
in
coverage
with
any
umbrella
or
excess
insurance,
personal
and
advertising
injury
coverage
shall
be
triggered
by
an
"offense"
while
bodily
injury
and
property
damage
coverage
shall
be
triggered
by
an
"occurrence"
during
the
policy
period.
b.
Contractor
shall
further
procure
and
maintain
at
its
own
expense,
until
completion
of
performance,
commercial
vehicle
liability
insurance
covering
personal
injury
and
property
damage,
of
not
less
than
One
Million
Dollars
($1,000,000)
combined
single
limit
per
occurrence,
and
Two
Million
Dollars
($2,000,000)
in
the
5 of
10 3
August 2, 2022, Item #6
6 of 10
aggregate, covering any vehicle utilized by Contractor or its officers, employees, servants, volunteers and agents and independent contractors in performing the services required by this Agreement.
c. Contractor shall further procure and maintain at its expense, until completion of performance, workers' compensation insurance providing coverage as required by the California State Workers' Compensation Law. If any class of employees employed by the Contractor pursuant to this Agreement is not protected by the California State Workers' Compensation Law, Contractor shall provide adequate insurance for the protection of such employees to the satisfaction of the City. This provision shall not apply if Contractor has no employees performing work under this Agreement. Contractor agrees to waive its statutory immunity under any worker's compensation or similar statute, as respecting the City, and to require any and all subcontractors and any other person or entity involved with the Project to do the same.
Worker's Compensation Insurance:
o Contractor has no employees and is exempt from workers' compensation requirements.
o Contractor carries workers' compensation insurance for all employees. d. All policies required by this section shall be secured from insurers authorized to do business in the State of California with an "A" policyholder's rating or better and a financial rating of at least Class VII, in accordance with the current Best's Ratings.
e. Contractor agrees to require that all parties, including but not limited to subcontractors, architects, engineers or others with whom Contractor enters into contracts or whom Contractor hires or retains pursuant to or in any way related to the performance of this Agreement, provide the insurance coverage required herein, at minimum, and, except for worker's compensation coverage, name as additional insureds the parties to this Agreement. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this Section. f. In the event this Agreement is terminated for any reason prior to the completion of all obligations and requirements of this Agreement, Contractor agrees to maintain all coverages required herein until the City provides written authorization to terminate the coverages following the City's review and determination that all liability posed under this Agreement as to the party providing insurance has been eliminated.
g. Contractor agrees and acknowledges that if it fails to obtain all of the insurance required in this Agreement in accordance with the requirements herein, or to obtain and ensure that the coverage required herein is maintained by any subcontractors or others involved in any way with the Project, Contractor shall be responsible for any losses, claims, suits, damages, defense obligations, or liability of any kind or nature attributable to the City, and/or its officers, employees, servants, volunteers, agents and independent contractors, that result from such failure by Contractor.
4 August 2, 2022, Item #6
16. a. Contractor shall provide certificates of insurance with original endorsements to the City as evidence of the insurance coverage required herein. Certificates of such insurance shall be filed with the City on or before commencement of performance of this Agreement. Current certification of insurance shall be kept on file with the City at all times until completion of performance and acceptance by the City.
b. Notwithstanding any inconsistent statement in any required insurance policies or any subsequent endorsements attached thereto, the commercial general liability and commercial vehicle liability policies shall bear endorsements whereby it is provided that the City, and its officers, employees, servants, volunteers, agents and independent contractors are named as additional insureds. Additional insureds shall be entitled to the full benefit of all insurance policies in the same manner and to the same extent as any other insureds and there shall be no limitation to the benefits conferred upon them other than policy limits to coverages. c. Contractor shall require the carriers of all required insurance policies to waive all rights of subrogation against the City, and its officers, employees, servants, volunteers, agents and independent contractors.
d. Each policy required herein must be endorsed to provide that the policy shall not be cancelled in coverage or limits (except by paid claims) unless the insurer has provided the City with 30 days prior written notice of cancellation. Contractor agrees to provide the City with 30 days written notice prior to any non-renewal or reduction in coverage or limits.
e. All insurance policies required to be provided by Contractor or any other party must be endorsed to provide that the policies shall apply on a primary and noncontributing basis in relation to any insurance or self-insurance, primary or excess, maintained or available to the City, and its officers, employees, servants, volunteers, agents and independent contractors.
17. a. Contractor shall defend, indemnify and hold harmless the City, its officers,
18. 7 of 10
officials, agents, employees and volunteers from and against any and all claims, demands, actions, losses, damage, injuries, and liability, direct or indirect (including any and all costs and expenses in connection therewith) to the extent actually caused by the negligence of Contractor, Contractor's employees, subcontractors or independent contractors except for any such claim arising out of the negligence or willful misconduct of the City, or its officers, agents, employees or volunteers. b. The City does not, and shall not, waive any rights that it may have against Contractor under this Section because of the acceptance by the City, or the deposit with the City, of any insurance policy or certificate required pursuant to this Agreement. The hold harmless, indemnification and duty to defend provisions of this Section shall apply regardless of whether or not said insurance policies are determined to be applicable to the claim, demand, action, damage, liability, loss, cost or expense described herein.
Any amendments to any of the Contract Documents, including but not limited to Contract Change Orders, must be in writing executed by the Contractor and the City. Any time an approval, time extension, or consent of the City is required under 5 August 2, 2022, Item #6
the
Contract
Documents,
such
approval,
extension,
or
consent
must
be
in
writing
in
order
to
be
effective.
19. The
Contract
Documents
contain
all
of
the
agreements
and
understandings
of
the
parties
and
all
previous
understandings,
negotiations,
and
contracts
are
integrated
into
and
superseded
by
this
Contract.
20. In
the
event
that
any
one
or
more
of
the
phrases,
sentences,
clauses,
paragraphs,
or
sections
contained
in
this
Contract
shall
be
declared
invalid
or
unenforceable
by
a
valid
judgment
or
decree
of
a
court
of
competent
jurisdiction,
such
invalidity
or
unenforceability
shall
not
affect
any
of
the
remaining
phrases,
sentences,
clauses,
paragraphs,
or
sections
of
this
Contract
which
are
hereby
declared
as
severable
and
shall
be
interpreted
to
carry
out
the
intent
of
the
parties
hereunder.
21. The
persons
executing
this
Contract
on
behalf
of
the
parties
hereto
warrant
that
they
are
duly
authorized
to
execute
this
Contract
on
behalf
of
said
parties
and
that,
by
so
executing
this
Contract,
the
parties
hereto
are
formally
bound
to
the
provisions
of
this
Contract.
22. This
Contract
shall
be
binding
upon
and
shall
inure
to
the
benefit
of
the
parties
hereto
and
their
respective
heirs,
personal
representatives,
successors,
and
assigns.
23. In
performing
its
obligations
and
duties
under
this
Contract,
each
party
shall
comply
with
all
applicable
local,
state,
and
federal
laws,
regulations,
rules,
standards
and
ordinances.
24. This
Contract
may be
executed
by
the
parties
in
counterparts,
which
counterparts
shall
be
construed
together
and
have
the
same
effect
as
if
all
of
the
parties
had
executed
the
same
instrument.
25. After
completion
of
the
work
contemplated
by
this
Contract,
Contractor
shall
file
with
the
City
Manager
an
affidavit
stating
that
all
workers
and
persons
employed,
all
firms
supplying
materials,
and
all
subcontractors
upon
the
project have
been
paid
in
full,
and
that
there
are
no
claims
outstanding
against
the
project
for
either
labor
or
materials,
except
certain
items,
if
any,
to
be
set
forth
in
an
affidavit
covering
disputed
claims
or
items
in
connection
with
a
Stop
Notice
that
has
been
filed
under
the
provision
of
the
laws
of
the
State
of
California
.
26. All
work
shall
be
subject
to
inspection
and
testing
by
City
and
its
authorized
representatives
during
manufacture
and
construction
and
all
other
times
and
places,
including,
without
limitation,
the
plans
of
Contractor
and
any
of
its
suppliers.
Contractor
shall
provide
all
reasonable
facilities
and
assistance
for
the
safety
and
convenience
of
inspectors.
All
inspections
and
tests
shall
be
performed
in
such
manner
as
to
not
unduly
delay
the
work.
The
Work
shall
be
subject
to
final
inspection
and
acceptance
notwithstanding any
payments
or
other
prior
inspections.
Such
final
inspection
shall
be
made
within
a
reasonable
time
after
completion
of
the
work.
27. Whenever
Contractor
has
knowledge
that
any
actual
or
potential
labor
dispute
is
delaying
or
threatens
to
delay
the
timely
performance
of
the
Contract,
Contractor
shall
immediately
give
notice
thereof, including
all
relevant
information
with
respect
thereto,
to
City.
8 of
10 6
August 2, 2022, Item #6
28. Contractor
agrees
to
contact
the
appropriate
regional
notification
center
in
accordance
with
Government
Code
Section
4216.2.
29. Contractor
shall
submit
its
detailed
plan
for
worker
protection
during
the
excavation
of
trenches
required
by
the
scope
of
the
work
in
accordance
with
Labor
Code
Section
6705.
30. a.
Contractor
shall,
without
disturbing
the
condition,
notify
City,
in
writing,
as
soon
as
Contractor,
or
any
of
Contractor's
subcontractors,
agents,
or
employees
have
knowledge
and
reporting
is
possible,
of
the
discovery
of
any
of
the
following
conditions:
i.
The
presence
of
any
material
that
Contractor
believes
is
hazardous
waste,
as
defined
in
Section
25117
of
the
Health
and
Safety
Code:
ii.
Subsurface
or
latent
physical
conditions
at
the
site
differing
from
those
indicated
in
the
specifications:
or
iii.
Unknown
physical
conditions
at
the
site
of
any
unusual
nature,
different
materially
for
those
ordinarily
encountered
and
generally
recognized
as
inherent
in
work
of
the
character
provided
for
in
this
Contract.
b.
Pending
a determination
by
City
of
appropriate
action
to
be
taken,
Contractor
shall
provide
security
measures
(e.g.,
fences)
adequate
to
prevent
the
hazardous
waste
or
physical
conditions
from
causing
bodily
injury
to
any
person.
c.
City
shall
promptly
investigate
the
reported
conditions.
If City,
through
and
in
the
exercise
of
its
sole
discretion,
determines
that
the
conditions
do
materially
differ
or
do
involve
hazardous
waste,
and
will
cause
a
decrease
or
increase
in
Contractor's
cost
of,
or
time
required
for,
performance
of
any
part
of
the
work,
then
City
shall
issue
a
change
order.
d.
In
the
event
of
a
dispute
between
City
and
Contractor
as
to
whether
the
conditions
materially
differ,
or
involve
hazardous
waste,
or
cause
a
decrease
or
increase
in
Contractor's
cost
of,
or
time
required
for,
performance
of
any
part
of
the
work,
Contractor
shall
not
be
excused
from
any
scheduled
completion
date,
and
shall
proceed
with
all
work
to
be
performed
under
the
contract.
Contractor
shall
retain
any
and
all
rights
that
pertain
to
the
resolution
of
disputes
and
protests
between
the
parties.
31. This
Contract
is
to
be
governed
by
the
laws
of
the
State
of
California.
32. All
work
shall
be
guaranteed
for
a
period
of
one
(1)
year
from
the
date
of
acceptance
by
the
City.
Contractor
shall
promptly
make
all
needed
repairs
arising
out
of
defective
materials,
workmanship,
and
equipment.
City
is
hereby
authorized
to
make
such
repairs
if within
ten
(10)
days
after
giving
written
notice
to
Contractor,
or
its
agent
} Contractor
should
fail
to
make
or
undertake
with
due
diligence
the
aforesaid
repairs;
provided,
however,
that
in
case
of
an
emergency,
where,
in
the
opinion
of
City,
delay
would
cause
serious
loss
or
damage,
repairs
may
be
made
without
notice
being
sent
to
Contractor,
and
Contractor
shall
pay
the
costs
thereof.
9 of
10 7
August 2, 2022, Item #6
IN
WITNESS
WHEREOF,
the
said
Contractor
and
the
City
Manager,
City
Clerk
and
City
Attorney
have
caused
the
names
of
said
parties
to
be
affixed
hereto,
the
day
and
year
first
above
written.
Contractor's
Name:
Print
Name
of
Construction
Company
By:
----------
Signature Print
Name
Contractor
information:
Address
for
Notices
and
Payments
Telephone
Number:
______
_
Email:
___________
_
ATTEST: Carrie
Gallagher,
CMG,
City
Clerk
APPROVED
AS
TO
FORM:
RUTAN
&
TUCKER,
LLP
Alan
Fenstermacher,
City
Attorney
10 of
10 CITY
OF
POWAY
a
Municipal
Corporation
Chris
Hazeltine,
City
Manager
8