CC 2019-04-23_08h Award Contract_Huasna-Oro CMP-Woodland Sewer LiningMEMORANDUM
TO: CITY COUNCIL
FROM: BILL ROBESON, PUBLIC WORKS DIRECTOR
BY: JILL MCPEEK, CAPITAL IMPROVEMENT PROJECT MANAGER
SUBJECT: CONSIDERATION OF AN AWARD OF CONTRACT TO SANCON
TECHNOLOGIES, INC. FOR THE HUASNA ROAD/ORO DRIVE
CORRUGATED METAL PIPE (CMP) AND WOODLAND DRIVE SEWER
LINING PROJECT, PW 2018-01
DATE: APRIL 23, 2019
SUMMARY OF ACTION:
Take action to award a construction contract to rehabilitate storm drain and sewer
mains by lining the existing pipes. Work is anticipated in June and July 2019.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
It is proposed that the project be funded as follows. Staff time will be necessary to
coordinate construction activities with the contractor and construction management
consultants.
REVENUE
Sewer Fund $ 55,000
Sales Tax 250,575
TOTAL REVENUE $305,575
EXPENDITURES
Construction and Contingencies $ 266,267
Construction Mgt, Inspection, Advertisement 15,888
Design and Line Videoing 11,912
Return to Sewer Fund Balance 6,920
Return to Sales Tax Balance 4,588
TOTAL EXPENDITURES $ 305,575
RECOMMENDATION:
It is recommended the City Council:
1. Award a contract for the Huasna Road/Oro Drive CMP and Woodland Drive
Sewer Lining Project to Sancon Technologies, Inc. in the amount of $242,061;
and
2. Authorize the City Manager to approve change orders for 10% of the contract
amount, $24,206 for unanticipated costs during the construction phase of the
project (total construction costs = $242,061 + $24,206 = $266,267).
Item 8.h. - Page 1
CITY COUNCIL
CONSIDERATION OF AN AWARD OF CONTRACT TO SANCON TECHNOLOGIES,
INC. FOR THE HUASNA ROAD/ORO DRIVE CORRUGATED METAL PIPE (CMP)
AND WOODLAND DRIVE SEWER LINING PROJECT, PW 2018-01
APRIL 23, 2019
PAGE 2
BACKGROUND:
On February 26, 2019, the Council approved construction plans and specifications for
the Huasna Road/Oro Drive CMP and Woodland Drive Sewer Lining project. The
project consists of the rehabilitation of approximately 900 feet of storm drain pipe along
Oro Drive and Huasna Road, and the rehabilitation of approximately 1,014 linear feet of
sewer pipe that runs beneath the backyards of homes along Woodland Drive. The
project included sections of pipe in the Base Bid and Add Alternate Bid pipe sections.
This allows the City to award the Base Bid as well as Add Alternate Bid pipe sections in
any order based on available funding.
ANALYSIS OF ISSUES:
On April 4, 2019, four bids were received for the Huasna Road/Oro Drive CMP and
Woodland Drive Sewer Lining project. The specifications state that the lowest bidder will
be determined using the base bid. The lowest base bid, from Sancon Technologies, Inc.
was in the amount of $103,018. The bid has been determined to be responsive and
Sancon Technologies, Inc. to be a responsible bidder.
Based on the total project budget available, the award of a construction contract to
Sancon Technologies, Inc. is recommended as follows:
Sewer Fund Sales Tax Total
Base Bid
Woodland Drive Sewer,
Fair Oaks to Olive $ 43,709 $ 43,709
Oro Drive Storm Drain $ 59,309 $ 59,309
Bid Alternates
Woodland Drive Sewer,
Olive to Woodland
$68,620
not being
recommended
$ 0
Huasna Road Storm Drain $ 139,043 $ 139,043
Lateral Seals
$48,420
not being
recommended
$ 0
Construction Subtotals $ 43,709 $ 198,352 $ 242,061
Construction Contingencies $ 4,371 $ 19,835 $ 24,206
Totals $ 48,080 $ 218,187 $ 266,267
Item 8.h. - Page 2
CITY COUNCIL
CONSIDERATION OF AN AWARD OF CONTRACT TO SANCON TECHNOLOGIES,
INC. FOR THE HUASNA ROAD/ORO DRIVE CORRUGATED METAL PIPE (CMP)
AND WOODLAND DRIVE SEWER LINING PROJECT, PW 2018-01
APRIL 23, 2019
PAGE 3
The contract time is 45 working days. It is anticipated work will be completed in June
and July 2019.
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Approve staff’s recommendations;
2. Do not approve staff’s recommendations and request further information;
3. Modify staff’s recommendation and approve; or
4. Provide direction to staff.
ADVANTAGES:
Modern technology allows rehabilitation of storm drain and sewer mains in place without
having the need for more costly excavation. Rehabilitation and ongoing maintenance of
storm drain and sewer mains is essential to maintaining a properly functioning system.
The project is consistent with the City Council goal to support City infrastructure.
DISADVANTAGES:
There will be traffic inconveniences to the travelling public during construction. Staff will
monitor the traffic control to conform to the requirements of the Municipal Uniform
Traffic Control Devices manual (MUTCD) to mitigate any negative effects. There will be
intermittent sewer service disruption for customers during the project. These will be
minimized as much as possible and the project specifications require the contractor to
notify affected residents in advance.
ENVIRONMENTAL REVIEW:
The project is categorically exempt from the California Environmental Quality Act
(CEQA) pursuant to Guideline Section 15301(b) for existing utilities.
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
Item 8.h. - Page 3
ATTACHMENT 1
Item 8.h. - Page 4
CITY OF ARROYO GRANDE
BID OPENING LOG SHEET
DEADLINE: THURSDAY, APRIL 4, 2018 -2:00 PM
PROJECT NAME: HUASNA ROAD/ORO DRIVE CMP AND
WOODLAND DRIVE SEWER LINING
PROJECT NO.: PW-2018-01
ESTIMATED CONSTRUCTION COST: $191,000
SUBMITTED BY: 1. Southwest Pipeline 2. Sancon Technologies, Inc. 3. Michels Corporation DBA
BASE BID:
ALT. #1
ALT. #2
ALT. #3
TOTAL BID:
& Trenchless Corp
Torrance, CA 90502
$ 138,800.00
$ 41,310.00
$ 143,215.00
$ 21,600.00
$ 344,925.00
nda Boner, Administrative Secretary
C: Director of Public Works
Capital Improvement Project Manager
Huntington Beach, CA 92649 Michels Pipeline Construction
Salem, OR 97302
$ 103,018.00 $ 237,464.00
$ 68,620.00 $ 50,561.00
$ 139,043.00 $ 162,431.00
$ 48,420.00 $ 27,948.00
$ 359,101.00 $ 478,404.00
Item 8.h. - Page 5
SUBMITTED BY:
BASE BID:
ALT. #1
ALT. #2
ALT. #3
TOTAL BID:
CITY OF ARROYO GRANDE
BID OPENING LOG SHEET
DEADLINE: THURSDAY, APRIL 4, 2018 -2:00 PM
PROJECT NAME: HUASNA ROAD/ORO DRIVE CMP AND
WOODLAND DRIVE SEWER LINING
PROJECT NO.: PW-2018-01
ESTIMATED CONSTRUCTION COST: $191,000
4. Lamassu Utility Services, Inc. 5. 6.
Benicia, CA
$ 147,347.30 $
$ 31,208.50 $
$ 64,305.89 $
$ 26,161.10 $
$ 269,022.75 $
$
$
$
$
$
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Item 8.h. - Page 6