Agenda Item #12.2
For Council Meeting of: October 11, 2022
CITY OF SANTA ROSA
CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
FROM: LISA WELSH, ACTING SUPERVISING ENGINEER
TRANSPORTATION AND PUBLIC WORKS DEPARTMENT
SUBJECT: REJECT ALL BIDS – SANTA ROSA AVENUE CORRIDOR IMPROVEMENTS AGENDA ACTION: MOTION
RECOMMENDATION
It is recommended by the Transportation and Public Works Department that the Council, by motion, reject all bids received for Contract No. C01620, Santa Rosa Avenue Corridor Improvements.
EXECUTIVE SUMMARY
This motion will reject all bids for Contract No. C01620, Santa Rosa Avenue Corridor Improvements, per City Code § 3-44.100. Staff is making the recommendation to reject all bids for this contract because the lowest bid received was 97.87% over the engineer’s estimate, which exceeds available funding. The Transportation and Public Works Department will pursue additional funding sources and/or design strategies and expect re-solicitation Winter / Spring 2023.
BACKGROUND
This project will provide transportation improvements to Santa Rosa Avenue between Sonoma Avenue and Maple Avenue, including upgrading pedestrian facilities throughout the corridor, and closing gaps in the Class II bike lane network on Santa Rosa Avenue, while considering connectivity to Sonoma Avenue. Pavement improvements to the corridor will also come in the form of pavement surface treatments to extend the road life, prioritizing transit movements through the corridor, maintaining on-street parking, installing landscaped median islands and various streetscape furnishing items (i.e., pedestrian lighting, benches, and bike racks.) This project was initiated by public outreach findings gathered through the 2011 Santa Rosa Avenue Corridor Plan and is of significant interest to the local bike community.
Due to unprecedented bid price increases observed on other similar projects recently issued for bid, an additional $400,000 was allocated to this project in the most recent CIP budget to ensure the necessary funding was available for construction. Unfortunately, even with additional funding planned, staff were unable to anticipate the sharp increase in construction costs for this project. Staff is currently working to re-evaluate the project scope and consider alternative funding and delivery options with the potential to rebid the project later this year or early next year.
PRIOR CITY COUNCIL REVIEW
On October 9, 2007, the City Council approved Resolution 26950, adopting the Downtown Station Area Specific Plan which required preparing a regulatory document for the Santa Rosa Avenue corridor as part of the implementation program for the Specific Plan.
On January 11, 2011, the City Council approved Resolution 27806, adopting the Santa Rosa Avenue Corridor Plan between Sonoma Avenue and Highway 12.
On January 11, 2011, the City Council approved Resolution 27805, approving and adopting a Mitigated Negative Declaration for the Santa Rosa Avenue Corridor Plan between Sonoma Avenue and Highway 12.
On April 9, 2019, the City Council approved Resolution RES-2019-040, adopting the following: 1) request that the Metropolitan Transportation Commission allocate $612,091 from Fiscal Year 2019/2020 Transportation Development Act Article 3 funds; 2) authorize the Director of Transportation and Public Works to file the application and other required documents to install bicycle and pedestrian enhancements on Santa Rosa Avenue between Sonoma Avenue and Maple Avenue; and 3) authorize the Chief Financial Officer to increase appropriations in JL Key 17474 by $612,091 of Transportation Development Act Article 3 funds for the project.
On April 7, 2020, the City Council approved Resolution RES-2020-047, adopting the Metropolitan Transportation Commission to allocate $450,000 from Fiscal Year 2020/2021 Transportation Development Act Article 3 funds, and authorizing the Director of Transportation and Public Works to file the application and other required documents to construct bicycle and pedestrian enhancements on Santa Rosa Avenue between Sonoma Avenue and Maple Avenue. An increase in appropriations for JL Key 17474 by $450,000 of Transportation Development Act Article 3 funds for the project occurred as part of the FY 2020/2021 CIP budget process.
ANALYSIS
The project was advertised on June 23, 2022, and bids were received on July 26, 2022. A total of two (2) bids were received, ranging from $2,550,501.80 to $2,756,683.15. The low bid was 97.87% over the Engineer’s estimate.
Cost increases on material were a large impact to the project. Road treatment material increased by over 400% compared to bids received in 2021. Asphalt prices increased by over 200% compared to other projects bid in 2022, and staff saw concrete prices more than double compared to recent bids.
Accepting the low bid and proceeding with this project would require additional funding not currently available.
Rejection of all bids will allow the Transportation and Public Works Department time to secure additional funding and re-bid the project in late 2022 / early 2023.
FISCAL IMPACT
Funding for this project has been appropriated to Account No.17474. Approval of this action does not have a fiscal impact on the General Fund.
ENVIRONMENTAL IMPACT
The rejection of all bids is exempt from the California Environmental Quality Act (CEQA) because it is not a project which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, pursuant to CEQA Guidelines Section 15378.
BOARD/COMMISSION/COMMITTEE REVIEW AND RECOMMENDATIONS
Not applicable.
NOTIFICATION
Not applicable.
ATTACHMENTS
Attachment 1 – Location Map
Attachment 2 –Summary of Bids
CONTACT
Lisa Welsh, Acting Supervising Engineer
[email protected], (707) 543-3909
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