City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: OCTOBER 8, 2024 FROM: PUBLIC WORKS DEPARTMENT WARDS: 1, 2, 3, 4, 5 AND 7 SUBJECT: AWARD BID NO. 8047 FOR THE CONSTRUCTION OF FISCAL YEAR 2023/24 ROAD REPAIR AND ACCOUNTABILITY ACT OF 2017 STREET MAINTENANCE IMPROVEMENTS TO ALL AMERICAN ASPHALT OF CORONA, CALIFORNIA, IN THE AMOUNT OF $6,706,022.50 AND AUTHORIZE A SUPPLEMENTAL APPROPRIATION IN THE AMOUNT OF $1,592,481.96 FOR RMRA REHABILITATION AND TRAFFIC IMPROVEMENT PROJECTS – SUPPLEMENTAL APPROPRIATION ISSUES:
Award Bid No. 8047 for the construction of Fiscal Year 2023/2024 Road Repair and Accountability Act of 2017 Street Maintenance Improvements to All American Asphalt of Corona, California, in the amount of $6,706,022.50; authorize a supplemental appropriation in the amount of $1,592,481.96 for RMRA Rehabilitation and Traffic Improvement Projects.
RECOMMENDATIONS:
That the City Council:
Award Bid No. 8047 for the construction contract of the FY 2023/24 Road Repair and Accountability Act of 2017 Street Maintenance Improvements to All American Asphalt of Corona, California, in the amount of $6,706,022.50.
Authorize the City Manager, or designee, to execute the construction contract with All American Asphalt, including making minor and non-substantive changes, subject to the availability of budgeted funds; and With at least five affirmative votes, authorize the Chief Financial Officer, or designee, to record a supplemental appropriation in the Gas Tax Fund, in the amount $1,592,481.96 from available fund balance to the RMRA Rehabilitation and Traffic Improvement Project accounts.
BACKGROUND:
On April 28, 2017, the California Governor signed Senate Bill 1, which is referred to as the Road Repair and Accountability Act of 2017 (SB-1), to address basic road maintenance, rehabilitation, and critical safety needs on the state highway and local street networks. SB-1 is funded by gallon fuel excise taxes, diesel fuel sales taxes, and vehicle registration fees. The taxes may adjust in future years proportionally to inflation.
The California State Controller’s Office deposits various portions of these revenues into the State’s Road Maintenance and Rehabilitation Account (RMRA). A percentage of the RMRA funds are apportioned by formula to eligible cities and counties under Streets and Highways Code Section 2032(h) as part of the SB-1 Local Street and Roads Program (LSRP).
On September 19, 2023, the City Council adopted Resolution No. 24039 to approve the Fiscal Year 2023/24 Project list to be completed using the projected Fiscal Year (FY) 2023/24 SB-1 revenues.
On December 12, 2023, the City Council awarded a construction contract for Bid No. 7996 for FY 2022/2023 SB-1 Street Maintenance Improvements. This project utilized FY 2022/2023 RMRA funds and is currently in the construction phase; however, a large percentage of the contract included other rehabilitation accounts including Measure A, Gas Tax, and City funds. The supplemental appropriation requested in this item would appropriate SB-1 Funding to Bid No. 7996 to maximize the use of available SB-1 funding. The Public Works Department has increased flexibility in its use of Measure A, Gas Tax, and City funds and thus disencumbering these funds allows the department to consider and pursue other projects.
DISCUSSION:
Bid No. 8047
On July 16, 2024, the Purchasing Division released Bid No. 8047 for FY 2022/23 SB-1 Street Maintenance improvements (Project) through the City’s formal bidding platform Planet Bids seeking prospective bidders to perform the following work at various locations throughout the City (Attachment 1):
Rehabilitate 2.2 miles on the following Arterial streets:
Martin Luther King Boulevard from Kansas Avenue to Chicago Avenue Mission Grove Parkway from Trautwein Road to Alessandro Boulevard Tyler Street from Jurupa Avenue to Verona Street
Jurupa Avenue from Tyler Avenue to Crest Avenue
Resurface 1.0 mile of Major Collector Street:
Jefferson Street from Magnolia Avenue to Lincoln Avenue Resurface 1.4 miles of Minor streets within two neighborhoods.
Reconstruct 0.2 miles of the asphalt section on northbound Sycamore Canyon Blvd from Core Apartments to the I-215/SR-60 freeway off ramp.
Construct new landscaped medians on Jurupa Avenue between Idyllwild Lane and Crest Avenue.
Reconstruct damaged concrete curbs, gutters, sidewalks, driveways, and non-compliant pedestrian ramps throughout all maintenance locations.
Install new signing and striping throughout all maintenance locations.
There were 522 vendors notified and 64 prospective bidders on the bidders list. The City did not schedule a pre-bid job walk. Twenty-two (22) questions were submitted from the prospective bidders, and no addenda was issued by the City for this advertisement.
On August 13, 2024, seven (7) bids were received for the construction of the Project (Attachment 3). The lowest responsive and responsible bid was received from All American Asphalt, of Corona, California in the amount of $6,706,022.50 which is 3.7% under the engineers estimate.
Table 1 – Bidder List
Bidder
Amount:
Ranking
All American Asphalt
$6,706,022.50
1 Hardy & Harper, Inc.
$7,400,000.00
2 Sequel Contractors, Inc.
$8,445,438.00
3 Onyx Paving Company, Inc.
$8,452,171.80
4 R.J. Noble Company
$8,615,888.75
5 Sully-Miller Contracting Company
$8,816,584.50
6 Granite Construction Company
$8,829,151.00
7 Per Purchasing Resolution 24101, Article Five, Section 508 states, “Contracts procured through Formal Procurement shall be awarded by the Awarding Entity to the Lowest Responsive and Responsible Bidder.” The Purchasing Manager concurs that the recommended action to award Bid No. 8047 to All American Asphalt complies with Purchasing Resolution 24101, Section 508.
Staff is additionally requesting that a supplemental appropriation in the amount of $1,152,878.55 (Supplemental Appropriation 1) be recorded in the 23/24 RMRA Rehab & Traffic Improvements project expenditure account number to help ensure Bid No. 8047 is fully funded and that all available RMRA funds are put to use.
Bid No. 7996
The FY 2022/2023 SB-1 Maintenance Improvements are currently in construction. At the time of award, not all RMRA funds received for FY 2022/2023 were appropriated into the project expenditure account. A portion of the supplemental appropriation ($439,603.41) will allow them to support other projects.
STRATEGIC PLAN ALIGNMENT:
This item contributes to 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.
It aligns with each of the Cross-Cutting Threads as follows:
Community Trust –. The proposed improvements are part of a more significant endeavor to improve the City’s roadway network and quality of life for residents and visitors. This project delivers rehabilitation to streets undertaken by Resolution 24039 adopted by City Council on September 19, 2023.
Equity –This project will improve pedestrian and bicycle infrastructure and enact traffic calming measures within disadvantaged communities (as designated by CalEnviroscreen 4.0) which have been identified as experiencing some of the highest pollutant burdens statewide.
Fiscal Responsibility –Public Works is a prudent steward of public funds and construction projects are always awarded to the lowest responsive bidders.
Innovation – Riverside is inventive and timely in meeting the community’s changing needs and prepares for the future through collaborative partnerships and adaptive processes. This project exemplifies established methods for street improvements.
Sustainability & Resiliency –The construction materials specified for these projects are considered best practices in the industry. The use of rubberized and recycled material greatly benefits the environment, reducing wasted storage, providing extra layers of protection, and adding longevity to our resurfaced streets.
FISCAL IMPACT:
The total fiscal impact of this action is $6,706,022.50 for the bid award. Upon Council approval, a supplemental appropriation in the amount of $1,592,481.96 from available fund balance will be appropriated to the projects as listed in Table 1 below. The Gas Tax Fund has sufficient fund balance to cover the appropriation.
Table 1. Supplemental Appropriations
Fund
Project
Account
Amount
Gas Tax
RMRA Rehabilitation & Traffic Improvements (23/24)
9915124-440237
$1,152,878.55
RMRA Rehabilitation & Traffic Improvements (22/23)
9915123-440237
$439,603.41
Total
$1,592,481.96
Prepared by: Alex Ramirez, Senior Engineer
Approved 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
Attachments:
Project Location Map
Street Rehabilitation List
Bid Award Recommendation
Presentation
Bid 8047 – Contract Award ● Page 2