City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: SEPTEMBER 19, 2023 FROM: PUBLIC WORKS DEPARTMENT WARDS: ALL
SUBJECT: AWARD BID 8030 TO VULCAN MATERIALS COMPANY OF
CORONA, CALIFORNIA FOR AS-NEEDED ANNUAL ROAD MAINTENANCE/CONSTRUCTION MATERIALS IN THE AMOUNT OF $606,707.50 THROUGH JUNE 30, 2024 WITH FOUR OPTIONAL ONE-YEAR EXTENSIONS; INCREASE PURCHASE ORDER NO. 241198 WITH VULCAN MATERIALS COMPANY OF CORONA, CALIFORNIA BY $557,707.50 FOR A REVISED TOTAL AMOUNT OF $606,707.50 ISSUES:
Award Bid 8030 to Vulcan Materials Company of Corona, California for as-needed annual road maintenance/construction materials in the amount of $606,707.50 through June 30, 2024, with four optional one-year extensions; increase Purchase Order No. 241198 with Vulcan Materials Company of Corona, California by $557,707.50 for a revised total amount of $606,707.50.
RECOMMENDATIONS:
That the City Council:
Award Bid 8030 to Vulcan Materials Company of Corona, California, for as-needed annual road maintenance/construction materials for the period of July 1, 2023 through June 30, 2024, in the amount of $606,707.50, with four-optional one-year extensions; Authorize an increase to Purchase Order No. 241198 with Vulcan Materials Company of Corona, California in the amount of $557,707.50 for a total revised amount of $606,707.50; and Authorize four optional one-year extensions in accordance with Bid No. 8030 in an annual amount of $606,707.50, subject to the availability of budgeted funds.
BACKGROUND:
The Public Works Department is responsible for the daily maintenance of approximately 875 centerline miles of surface streets throughout the City of Riverside. City street maintenance is currently delivered through two principal methods: Capital Improvement Projects and by Public Works Street Maintenance Division Crews.
City crews are responsible for removing and repairing large street sections, resurfacing streets, applying slurry seals to streets, various department requests, and making permanent street repairs for work performed by Riverside Public Utilities Water Crews in repairing water lines underneath the roadways. In Fiscal Year 2022/23, City crews addressed over 233,805 square feet of potholes. Additionally, City crews are requested by various City departments to complete large projects such as repaving parking lots. Street maintenance is a core Public Works function and is critical for road preservation, road safety, and quality of life for the community.
DISCUSSION:
In collaboration with the Purchasing Division, Public Works had previously solicited informal bids from Vulcan Materials Company, All American, MAI, and Matich for asphalt material needs in smaller quantities until a formal solicitation could be released and awarded. As such, a Purchase Order in the amount of $49,000 was issued to Vulcan Materials.
On July 19, 2023, the Purchasing Division released Bid No. 8030 for As-Needed Annual Road Maintenance/Construction Materials. On August 3, 2023, there were 17 prospective bidders; however, only one bid was received from Vulcan Materials Company in the amount of $606,707.50.
The Public Works Department is requesting approval for an annual expenditure authority in the amount of $606,707.50 for As-Needed Annual Road Maintenance/Construction Materials and beginning with purchases already made in Fiscal Year 2023/24, an increase of $557,707.50 is requested to the existing Purchase Order 241198 which was issued in the amount of $49,000.
The Purchasing Manager concurs that the recommended action to award Bid No. 8030 is in compliance with Purchasing Resolution 23914.
STRATEGIC PLAN ALIGNMENT:
This purchase supports Strategic Priority 6 – Infrastructure, Mobility, and Connectivity and Goal 6.2 – Maintain, protect, and improve assets and infrastructure within the City’s built environment to ensure and enhance reliability, resiliency, sustainability, and facilitate connectivity.
Furthermore, this project aligns with each of the following Cross-Cutting Threads:
Community Trust – Purchasing materials used in the maintenance of streets enables City crews to respond more rapidly to address potholes and other street repairs.
Equity – City crews respond daily throughout the City to requests for street repairs. Many of these requests are received through the 311 Call Center.
Fiscal Responsibility – The purchase of the street maintenance materials is conducted through a bid process administered by the City of Riverside Purchasing Department. This process ensures contracts are fairly awarded to qualified companies.
Innovation – The street will be more dependable. It will remain in good condition for a more extended period due to recent improvements to the quality of the asphalt.
Sustainability & Resiliency – Asphalt can be recycled and reused while paving roads, which helps lessen the material's negative impact on the surrounding ecosystem. The utilization of recycled asphalt contributes to the reduction of emissions of greenhouse gases.
FISCAL IMPACT:
The total fiscal impact of the action for FY 2023/24 is $557,707.50. Funds are budgeted and available in the General Fund, Street Maintenance, Construction Maintenance Materials expenditure account number 4110100-424121. Funding for future years will be included in Public Works Department budget submissions for City Council approval.
Prepared by: Gilbert Hernandez, Public Works Director
Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Kris Martinez, Assistant City Manager
Approved as to form: Phaedra A. Norton, City Attorney
Attachment: Bid Award Recommendation
Bid 8030 for Road Maintenance/Construction Materials ● Page 2