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CC 2013-06-11_08.i. Award Contract - Fair Oaks Waterline and Street ProjectTO: CITY COUNCIL FROM: TERESA MCCLISH, DIRECTOR OF COMMUNITY DEVELOPMENT WAITITI&I Z49MSJ =4&0 AIL J _1011:f "MLMZJ mi F _ Ill k1 1 M1 K RECOMMENDATION: It is recommended the City Council: 1. Award a contract for the Fair Oaks Waterline and Street Improvement Project to Brough Construction, Inc. in the amount of $ 285,653; 2. Authorize the City Manager to approve change orders for 10% of the contract amount, $28,565, for unanticipated costs during the construction phase of the project (total construction costs = $ 285,565 + $ 28,565 = $314,218); and 3. Authorize the transfer of $26,125 from the Water Fund to the project account to cover additional project expenses; and 4. Find that the subject project is categorically exempt from CEQA pursuant to Section 15301(c); and, 5. Direct the City Clerk to file a Notice of Exemption. IMPACT TO FINANCIAL AND PERSONNEL RESOURCES: This project is part of the overall Pavement Management Program, but was bid separately so that the paving can correspond with water line replacement at this location. The total cost of the project, including contingencies and project management is $319,718. Of this amount, $144,700 is budgeted and paid for through the Water Fund. An additional appropriation from the Water Fund is requested to cover costs for a portion of the overlay and inspections. The ADA Program and Retrofit project fund will cover $20,000. The remaining amount, $128,893, will be charged to the Pavement Management Project Fund. Water Fund $ 170,825 Pavement Management Plan Project (5638) $ 128,893 Item 8.i. - Page 1 CITY COUNCIL CONSIDERATION OF AN AWARD OF CONTRACT TO BROUGH CONSTRUCTION, FOR THE FAIR OAKS WATERLINE N IMPROVEMENT PROJECT, -1 .91 ADA Program and Retrofit (5664) $ 20,000 Anticipated design, contract administration, inspection and staff costs for the project are $ 5,500. Fair Oaks Avenue was identified in the Pavement Management Program for FY 2013/2014 as requiring a seal coat along with some dig -outs from South Halcyon Road to South Elm Street. The section from South Halcyon Road to Alder Street in front of Margaret Harloe School was determined to require maintenance and repair work beyond a simple seal coat. The road is in poor condition and will require a taper grind, fabric and overlay to restore it back to excellent pavement condition. The water main in Fair Oaks Avenue is an 8" cast iron pipe which was installed in 1929. The main has also been identified in the updated Water Master Plan CIP as requiring replacement. The section of waterline replacement and the pavement overlay in front of Margaret Harloe School were combined and bid as one project separately from the Pavement Management Program. This project will replace the water main, does not exist now for the school. Th e ramps, cross gutter, driveway and gutter. ANALYSIS OF ISSUES: water services and provide fire protection which roadway will be restored along with new ADA On Wednesday, May 29, 2013, seven bids were opened for the Fair Oaks Waterline and Street Improvement Project. The lowest responsible bid, from Brough Construction, Inc. was in the amount of $ 285,653. The bid amount was approximately $80,664 over the budgeted amount for the two combined projects. This amount over budget includes a 10% contingency of $28,563. The unit cost for the paving portion of the project was under - estimated by staff during the budgeting process. ADA improvements in the form of curb ramps at the intersection of Alder and Fair Oaks were triggered due to the pavement overlay work, causing additional project costs. In addition, drainage improvements at the site were also identified by staff during design, but after the project had been budgeted. As a result, the project final cost is greater than originally anticipated and will cost more than what is included in the overall Pavement Management Program budget. In order to help address this, staff is working on some potential modifications to the scope of the project to reduce actual costs. In addition, there may be some impact on other streets in the Pavement Management Program when that bid is issued. Item 8.i. - Page 2 Due to the timely nature of this project and staff's desire to have the work completed during the school summer vacation, staff is recommending award of the contract at this time. Staff has also determined the low bid to be responsive and recommends the award of a construction contract to Brough Construction, Inc. ALTERNATIVES: The following alternatives are provided for the Council's consideration: • Approve staff's recommendations to award a construction contract to the lowest responsive bidder; • Do not award a construction contract for the project at this time; • Provide direction to staff. ADVANTAGES: The advantages of this project are a heavily used roadway in front of Margaret Harloe Elementary School will be restored to excellent condition. All of the corners at the intersection of Fair Oaks and Alder will have wheelchair ramps and the 1929 water main will be replaced providing enhanced fire protection for the school and other properties. A 6" main is also being stubbed out to provide water to the expected future development of the property located on South Halcyon Road and Fair Oaks Avenue. DISADVANTAGES: Use of the funds for this project will have a very minor negative impact on the fund balance for the Water Fund and may impact the ability to fund slurry seal of all streets on the Pavement Management list this year. No other disadvantages are identified at this time. ENVIRONMENTAL REVIEW: The project is categorically exempt from CEQA pursuant to Guidelines Section 15301(c). PUBLIC NOTIFICATION AND COMMENTS: The agenda was posted on Thursday, June 6, 2013. The agenda and staff report was posted on the City's website on Friday, June 7, 2013. No public comments were received as of the time of preparation of this report. Attachment: 1. Notice of Exemption 2. Bid Tabulations Item 8.i. - Page 3 BID OPENING LOG CITY OF -• • GRANDE W D Pligi Fair Oaks Waterline �jII-.] ►Til�� R. Burke Corporation San Luis Obispo, CA V. Lopez, Jr. & Sons Santa Maria, CA Crandall Construction Nipomo, CA Whitaker Construction Groups, Inc. Paso Robles, CA CalPortland Construction Santa Maria, CA Brough Construction, Inc. Arroyo Grande, CA Specialty Construction, Inc. San Luis Obispo, CA Kitty Norto, , Deputy City Clerk C. Director of Public Works Director of Community Development Assistant City Engineer City Manager C• $346,643.40 $367,888.90 $296,278.50 $379,513.00 $311,825.10 $285,653.00 $408,684.40 Ink Item 8.i. - Page 4 To: Office of Planning and Research 1440 Tenth Street, Room 121 Sacramento, CA 95814 FEI County Clerk County of San Luis Obispo County Government Center San Luis Obispo, CA 93408 1 From: (Public Agency) City of Arroyo Grande 300 East Branch Street Arroyo Grande, CA 93420 Project Title: Fair Oaks Avenue Waterline and Street Improvements Project PW 2013 -06 Project Location - Specific: Fair Oaks Avenue, from Halcyon Road to Alder Street Project Location - City: Arroyo Grande Project Location - County: San Luis Obispo Description of Project: Install new waterline, concrete improvements, and asphalt concrete overlay Name of Public Agency Approving Project: City of Arroyo Grande — Community Development Dept. Name of Person or Agency Carrying Out Project: Michael Linn P.E. Exempt Status: (check one) 1 13 Ministerial (Section 12080(b)(1); 15268); Declared Emergency (Sec. 21080(b)(3); 15269(a)); Emergency Project (Sec. 21080(b)(4); 15269(b)(c)); Categorical Exemption. State type and section number: Statutory Exemptions. State code number: Section 15301(b) and (c) Reasons Why Project Is Exempt: Project installs a maintenance asphalt concrete overlay along one Citv block of Fair Oaks Avenue. Due to the overlav application. the Citv took the opportunity to install a segment of a future waterline improvement project that is routed through the street segment, install new ADA ramps alona pedestrian walkways. and expand the roadwav width on the south side of the roadwav for the installation of bike lanes Lead Agency Contact Person: Michael Linn, P.E. Area Code /Telephone /Extension: (805) 473 -5444 If filed by Applicant: 1. Attach a certified document of exemption finding. 2. Has a Notice of Exemption been filed by the public agency approving the project? 9 Yes Signature: Geoff English Public Works Director Date: Fil Signed by Lead Agency ❑ Date received for filing at OPR: ❑ Signed by Applicant Item 8.i. - Page 5 ❑ No THIS PAGE INTENTIONALLY LEFT BLANK Item 8.i. - Page 6