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CC 2016-12-13_09h Award Contract_Heritage Park RR MEMORANDUM TO: CITY COUNCIL FROM: GEOFF ENGLISH, PUBLIC WORKS DIRECTOR BY: JILL MCPEEK, CAPITAL IMPROVEMENT PROJECT MANAGER SUBJECT: CONSIDERATION OF AN AWARD OF CONTRACT TO S. CHAVES CONSTRUCTION, INC. FOR CONSTRUCTION OF THE HERITAGE SQUARE PARK RESTROOM PROJECT, PW 2016-07 DATE: DECEMBER 13, 2016 RECOMMENDATION: It is recommended the City Council: 1. Approve the construction plans and specifications for the Heritage Square Park Restroom Project; 2. Award a contract to S. Chaves Construction, Inc. in the amount of $133,200; 3. Authorize the Interim City Manager to approve change orders for 20% of the contract amount, $26,640, for unanticipated costs during the construction phase of the project (total construction costs = $133,200 + $26,640 = $159,840); and 4. Appropriate $27,250 from Park Development Fund reserve 5. Find that the project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15303; 6. Direct the City Clerk to file a Notice of Exemption; IMPACT ON FINANCIAL AND PERSONNEL RESOURCES: The FY 2015/16 and FY 2016/17 Capital Improvement Program Budget includes $183,205 for the subject project. The engineer’s estimate for the project was $140,000. The total cost of the project is estimated at $210,455 as listed in the chart below. Item 9.h. - Page 1 CONSIDERATION OF AN AWARD OF CONTRACT TO S. CHAVES CONSTRUCTION, INC. FOR CONSTRUCTION OF THE HERITAGE SQUARE PARK RESTROOM PROJECT, PW 2016-07 DECEMBER 13, 2016 PAGE 2 EXPENDITURES Construction $ 133,200 Contingency (20% of Contract price) $ 26,640 Upgrade Existing Electrical Panel to 200 Amps $ 5,000 Design & Admin Support $ 13,400 Construction Management, Inspection, Bid Advertising $ 27,025 Soils Testing $ 5,190 TOTAL PROJECT EXPENDITURES $ 210,455 BACKGROUND: In March 2013, the City Council approved a preferred location for the Heritage Square Park Restroom and directed staff to process a Plot Plan Review application for the architectural style through the Architectural Review Committee, Historical Resources Committee, and Parks and Recreations Commission with recommendation to the City Council. This was completed and in November 2014, the City Council adopted a resolution approving the project design. The project was designed, advertised for bids, and the City entered into an agreement for the procurement, delivery and installation of a pre-fabricated restroom building for the site in April 2015. Unfortunately, issues arose that required the City to terminate the agreement in February 2016. The project was rebid in October 2016, and on November 8, 2016, six bids were opened for the project. ANALYSIS OF ISSUES: Of the six bids received on November 8, 2016, the four lowest bidders proposed the pre-fabricated restroom building be provided by the same supplier. The pre-fabricated restroom building proposed by the responsible low bidder is a formed concrete structure where the exterior details would be produced in concrete as opposed to the lap siding and wood trim materials specified in the bidding documents. Bidders were allowed to submit bids that include other suppliers that produce pre- fabricated restrooms as long as the substituted building can meet the specifications outlined in the City’s bidding documents. This “or equal” substitution is a common practice in public project bidding unless specifically prohibited in the advertised bidding documents. Given the location of Heritage Square Park in the D-2.4 Historic Character Overlay District and being that this was a different supplier than the one that provided the template for the restroom design plans that were used for bidding purposes, staff requested additional information to ensure the substituted restroom building could meet the specifications outlined in the City’s bidding documents. Item 9.h. - Page 2 CONSIDERATION OF AN AWARD OF CONTRACT TO S. CHAVES CONSTRUCTION, INC. FOR CONSTRUCTION OF THE HERITAGE SQUARE PARK RESTROOM PROJECT, PW 2016-07 DECEMBER 13, 2016 PAGE 3 Additional information was provided, and staff met with the low bidder and the supplier to review the proposed restroom building details. In addition, staff requested the proposed restroom building be reviewed by the City’s architectural consultant for the project and the Architectural Review Committee (ARC) on November 21, 2016, for an opinion of substantial conformance. It was the opinion of both the architect and the ARC at that time that the formed concrete structure being proposed did not appear to comply with the Design Guidelines and could impact the character of Heritage Square. In response to these opinions, the supplier provided additional information regarding the architectural details of the proposed restroom building. This additional information was presented to the ARC on December 8, 2016, and it was the opinion of the ARC that the “or equal” substitution does substantially conform assuming the roof as presented can achieve the look of composition roof shingles. Based on this opinion, the bid is determined to be responsive and S. Chaves Construction, Inc. is found to be a responsible bidder. The award of a construction contract to S. Chaves Construction, Inc. is recommended. The contract time is 100 working days. Site work and building fabrication is expected to be accomplished between December 2016 and May 2017. ALTERNATIVES: The following alternatives are provided for the Council’s consideration: 1. Approve staff’s recommendations and award a contract to S. Chaves Construction, Inc. for the Heritage Square Park Restroom project; 2. Do not award a construction contract for the project; or 3. Provide direction to staff. ADVANTAGES: The new restroom building will provide a much needed restroom facility for the public utilizing Heritage Square Park and complement the historical character of the surrounding area. The project is consistent with the Council goal to support City infrastructure. DISADVANTAGES: There will be temporary inconveniences to the public and the surrounding neighborhood during the construction project. ENVIRONMENTAL REVIEW: The project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to Guideline Section 15303 for new construction of new, small facilities or structures. Item 9.h. - Page 3 CONSIDERATION OF AN AWARD OF CONTRACT TO S. CHAVES CONSTRUCTION, INC. FOR CONSTRUCTION OF THE HERITAGE SQUARE PARK RESTROOM PROJECT, PW 2016-07 DECEMBER 13, 2016 PAGE 4 PUBLIC NOTIFICATION AND COMMENTS: The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2. Attachment: 1. Bid Opening Log Sheet 2. Notice of Exemption Item 9.h. - Page 4 Attachhment Noo. 1 Item 9.h. - Page 5 Attachhment Noo. 2 Item 9.h. - Page 6