8C
Date: October 21, 2025
To: Honorable Mayor and City Council Members
From: Craig Bilezerian, Public Works Director
By: Jason Baer, Street Operations Manager | [email protected] Subject: Public Works – Award purchase order for asphalt concrete, mixes and SS-1H emulsion to Blue Angel International LLC of Berkley, CA for a period of 5-years.
Expenditure: $2,501,766.75 (General Fund: Approximately $500,353.35 Annually).
RECOMMENDATION
Recommendation of the Public Works Director that City Council award a purchase order to Blue Angel International LLC of Berkley, CA, in an amount not to exceed $2,501,766.75 (approximately $500,353.35 annually) for asphalt concrete, mixes and SS-1H emulsion (B2025-23), on an as requested basis for a five (5) year period from November 1, 2025 to October 31, 2030.
FUNDING
Funding is available in the Public Works Department’s 2025-2026 Operating Budget and is anticipated to be available in subsequent fiscal years.
DISCUSSION
The Public Works Department requires hot asphalt plant mix to perform pavement maintenance and repairs of city streets and alleys. Public Works crews currently pick up hot asphalt mix material from the Blue Diamond Materials plant in Inglewood, CA and transport the material in City vehicles to various work sites in the City. The ability of City crews to pick up various asphalt materials directly from the plant instead of scheduling delivery by a material supplier reduces job site delays, including staff waiting for material to be delivered. Picking up our own material also ensures that final field calculations can be adjusted in time for a same-day trip pickup or multiple same-day trip pickups of asphalt products necessary to ensure efficient placement. 1 City Council
October 21, 2025
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ANALYSIS
The Notice inviting bids was posted on Planet Bids on September 10, 2025 requesting pricing for nine (9) asphalt products based on estimated annual usage. On September 26, 2025, formal bids were opened, and the City received three (3) bid submittals:
Vendor Estimated Annual Expenditure
All American Asphalt
Corona, CA
$472,244.28
*Includes 10% contingency
*Blue Angel International LLC
Berkley, CA
$500,353.35
*Includes 10% contingency
Sully-Miller Contracting Co.
DBA Blue Diamond Materials
Brea, CA
Non-responsive
Incomplete application
*Lowest Responsive Bidder
The numbers in the attached bid differ from those listed above because the requested expenditure is estimated annual expenditure, which is calculated based on the bid unit price per product type and estimated purchase volume based on historical trends. Additionally, a 10% contingency has been added to the estimated annual expenditure to account for potential future increases in both material usage and material costs.
The City’s standard bid specifications include City of Torrance Burden Rates for equipment and labor costs for City staff and City vehicles to pick up and deliver asphalt products to the City from a given vendor batch plant location.
This means that the City’s costs, separate from the bidder’s material costs, are considered as part of the overall bid when evaluating the bids. Essentially, a material source plant that is closer may result in a lower cost to, and shorter time for, the City to pick-up materials and deliver them to the job sites in the City.
The City makes approximately 200 trips/year to a plant for these materials. Even though All American Asphalt’s (AAA) bid of an estimated annual expenditure of $472,244.28 is $28,109.07 lower than Blue Angel’s bid of estimated annual total expenditure of $500,353.35, the City’s travel cost to procure materials from each source must be considered. 2 City Council
October 21, 2025
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Below is a Table listing the City’s cost to obtain materials from the specified Plant locations per trip.
City
Vehicle
Rate
Round
Trip
Mileage
Vehicle
Cost
Labor
Comp
Rate
Hours
per Trip
Labor
Cost
Total
Vehicle
and Labor
Cost
All American
(Westminster
plant asphalt pick
up)
$26.35
48.00 $1,264.80
$24.18
1.57 $37.88
$1,302.68
All American
(Corona plant
emulsion pick
up)
$26.35
118.00
$3,109.30
$24.18
3.03 $73.35
$3,182.65
Blue Angel
(Inglewood plant
asphalt pick up)
$26.35
20.00 $527.00
$24.18
0.77 $18.54
$545.54
Blue Angel
(Inglewood plant
emulsion pick
up)
$26.35
20.00 $527.00
$24.18
0.77 $18.54
$545.54
Cost difference per trip between Westminster plant (AAA) vs Inglewood plant (Blue Angel)
$757.14
Cost difference per trip between Corona plant (AAA) vs Inglewood plant (Blue Angel)
$2,637.11
The City’s cost/trip to pick-up materials from Blue Angel’s Inglewood Plant is $545.54, while cost/trip to pick-up materials from AAA’s Westminster Plant is $1,302.68 and from AAA’s Corona Plant is $3,182.65.
As previously stated, the City makes approximately 200 trips/year to a plant for these materials.
Based on 200 trips/year, the City’s travel cost to go to/return from Blue Angel’s Inglewood Plant would be $109,107.60. The City’s cost to go to/return from AAA’s Westminster Plant would be $260,536.40.
• Blue Angel (Inglewood): $500,353.35 (materials) + $109,107.60 (200 trips) = $609,460.95 • AAA (Westminster): $472,244.28 (materials) + $260,536.40 (200 trips) = $732,780.68 • The cost difference between the two plants is $123,319.73.
Based on 200 trips/year, the City’s travel cost to go to/return from Blue Angel’s Inglewood Plant would be $109,107.60. The City’s cost to go to/return from AAA’s Corona Plant would be $636,529.20.
• Blue Angel (Inglewood): $500,353.35 (materials) + $109,107.60 (200 trips) = $609,460.95 • AAA (Corona): $472,244.28 (materials) + $636,529.20 (200 trips) = $1,108,773.48 • The cost difference between the two plants is $499,312.53 3 City Council
October 21, 2025
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The bid analysis and Table confirm that Blue Angel International LLC not only meets all bid criteria but also is the most cost-effective lowest responsive bidder, regardless of source Plant location.
Based on the preceding analysis, the Public Works Director recommends the award of a purchase order to Blue Angel International LLC.
ATTACHMENT
1. Blue Angel International LLC Bid Results
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