HomeMy WebLinkAbout2012/10/23 Item 04CITY COUNCIL
AGENDA STATEMENT
~~~ CITY OF
^~-~ CHULA VISTA
10/23/12, Item
ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA ACCEPTING BIDS AND AWARDING A CONTRACT FOR
THE "ALPINE AVENUE IMPROVEMENTS FROM EMERSON
STREET TO OXFORD STREET (STL379) AND TWIN OAKS
AVENUE IMPROVEMENTS FROM EMERSON STREET TO
OXFORD STREET (STL386)" PROJECT TO TRI-GROUP
CONSTRUCTION AND DEVELOPMENT, INC. IN THE AMOUNT
OF $515,271, WAIVING CITY COUNCIL POLICY 574-01, AND
AUTHORIZING THE EXPENDITURE OF ALL AVAILABLE
CONTINGENCY FUNDS IN AN AMO T NOT TO EXCEED
$60,000
SUBMITTED BY: DIRECTOR OF PUBLIC WORKS ~~ nl 1J , , Z
ASSISTANT DIRECTOR OF EN ERING 1~/W
REVIEWED BY: CITY MANAGE
ASSISTANT CITY ANAGER ~j~
4/STHS VOTE: YES ^ NO
SUMMARY
On September 12, 2012, the Director of Public Works received eleven (11) sealed bids for the
"Alpine Avenue Improvements from Emerson Street to Oxford Street (STL379) and Twin Oaks
Avenue Improvements from Emerson Street to Oxford Street (STL386)" Project. The project is
included in the Capital Improvement Program (CIP) budget to reconstruct portions of the roadway
and install missing/reconstruct existing curb, gutter and sidewalk improvements along Alpine
Avenue and Twin Oaks Avenue. The proposed resolution, if approved, would accept the bids and
awazd a contract to Tri-Group Construction and Development, Inc. in the amount of $515,271,
waive City Council Policy 574-01 and authorize the expenditure of all available contingency funds
in an amount not to exceed $60,000.
ENVIRONMENTAL REVIEW
The Development Services Director has reviewed the proposed project(s) for compliance with the
California Environmental Quality Act (CEQA) and has determined that the project qualifies for a
Class 1 (c) categorical exemption pursuant to Section 15301 (Existing Facilities) of the State CEQA
Guidelines because the proposed project consists of the reconstruction of an existing street
involving negligible or no expansion of an existing use. Thus, no further CEQA environmental
review is required. Additionally, because the proposed project(s) will be utilizing federal
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10/23/12, Item
Page 2 of 4
Community Development Block Grant (CDBG) funds, the Development Services Director has also
reviewed the project proposal(s) for compliance with the National Environmental Policy Act
(NEPA) as implemented by the U.S. Department of Housing and Urban Development (HUD)
Environmental Guidelines. The Development Services Director has detemuned that the project
proposal(s) qualifies for a Categorical Exclusion (subject to 58.5) pursuant to Code of Federal
Regulations (CFR) Title 24, Section ~8.35(a). Thus, no further NEPA environmental review or
determination is required.
RECOMMENDATION
Council adopt the resolution.
BOARDS/COMMISSION RECOMMENDATION
Not applicable.
DISCUSSION
The general scope of the "Alpine Avenue Improvements from Emerson Street to Oxford Street
(STL379) and Twin Oaks Avenue Improvements from Emerson Street to Oxford Street
(STL386)" project involves the construction of full street improvements, including curb, gutter,
and sidewalks within Alpine and Twin Oaks Avenues between Emerson and Oxford Streets.
On September 12, 2012, the Director of Public Works received eleven (11) sealed bids for the
project. The following table summarizes the bids received:
DETERMINATION OF BID BID
CONTRACTOR RESPONSIVENESS AMOUNT
1 Tri-Group Construction and Development, Responsive $515,271.00
Ina -San Die o, CA
2 Inc. -San Diego, CA
Just Construction Non Responsive.° Contractor $522,226.00
, would erform < 50 /o of the work
3 HTA Engineering and Construction, Inc. - Non Responsive. Contractor $592,295.00
San Die o, CA would erform < 50% of the work
4
Koch-Armstrong General Engineering - Bid proposal contained a
mathematical ettor that changed the $614,903.80
Lakeside, CA
rank of the submitted bid
5 Portillo Concrete, Ina -Lemon Grave, CA Responsive $642,455.80
6 Patriot Paving, Inc. -Orange, CA Responsive $661,826.00
7 Southland Paving, Ina -Escondido, CA Responsive $684,014.80
$ Palm Engineering Construction Company - Responsive
$684,289.20
San Die o, CA
9
PAL General Engineering, Inc. -San Bid proposal contained a
mathematical error that did not $698,193.60
Diego, CA than e the results of the bid total
10 Hazard Construction Company -San Diego, Responsive
$731,718.00
CA
11 MJC Construction-Bonita, CA Responsive $741,161.00
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10/23/12, Item_~
Page 3 of 4
The bid submitted by Tri-Group Construction and Development, Inc. is below the Engineer's
estimate of $670,000 by $154,729, or approximately 23%. The Contractor has satisfactorily
performed construction projects of similar scope for the City in the past. The Contractor's
License No. 792159 is current and active.
Staff reviewed the low bid and determined that the bid package is complete, with no errors or
omissions. Therefore, staff recommends awarding a construction contract to Tri-Group
Construction and Development, Inc. in the amount of $515,271.
The proposed resolution would also authorize the Director of Public Works to approve change
orders over and above existing policy limits. Under City Council Policy No. 574-01, if an
individual change order causes the cumulative increase in change orders to exceed the Director's
authority ("Maximum Aggregate Increase in Change Orders"), then City Council approval is
required. The corresponding maximum aggregate contract increase that may be approved by the
Director of Public Works under Policy No. 574-01 is $39,069. Approval of the proposed
resolution would increase the Director of Public Works' authority to approve change orders, as
necessary, up to the contingency amount of $60,000 (approximately 12% of the base contract),
and represents an increase of $20,931 over that authorized amount in Policy No. 574-01.
Increasing the Director of Public Works authority will allow staff to continue the project without
delay should unforeseen circumstances resulting in increased project costs azise during the
course of construction, as well as make adjustments to bid item quantities. Unforeseen
conditions include such items as utility conflicts, hazardous materials, unexpected underground
conflicts, eta If the contingency funds are not used, then they will be returned to the project
fund balance.
The proposed resolution, if approved, would: (a) accept the bids and awazd the contract to Tri-
Group Construction and Development, Inc. in the amount of $515,271; (b) waive Council Policy
574-01 regarding change orders; and, (c) and authorize the expenditure of all available contingency
funds in an amount not to exceed $60,000.
Disadvantaeed Business Enterprise Goal
The bid documents set forth participation requirements under Federal regulations for meeting
disadvantaged minority and women-owned business goals. Staff has reviewed the bid
documents and Tri-Group Construction end Development, Inc. has certified that two of their
subcontractors are MBEs (Minority Business Enterprises) and one is a WBE (Woman Business
Enterprise) and no further review is needed.
Further, Tri-Group Construction and Development, Inc. and all its subcontractors (as listed in
their Bid Proposal Document) aze not listed as excluded from Federal Procurement Programs
(list of parties excluded from Federal procurement or non-procurement programs as of October
6, 2012).
Disclosure Statement
Attachment 1 is a copy of the Contractor's Disclosure Statement.
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10/23/12, Item
Page 4 of 4
Wage Statement
The source of funding for this project is HUD Section 108 Loan of the Community Development
Block Grant Funds and TransNet. This project is covered by the Davis-Bacon and related acts.
The Davis-Bacon Act requires the payment of prevailing wage rates to all laborers and
mechanics employed for the work under this contract. Prevailing wage rates aze those
determined by the U.S. Department of Labor or the U.S. Department of Housing and Urban
Development.
DECISION MAKER CONFLICT
Staff has reviewed the property holdings of the City Council and has found no property holdings
within 500 feet of the boundazies of the property which is the subject of this action. Staff is not
independently aware, nor has staff been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT YEAR FISCAL IMPACT
A breakdown of the project construction costs is as follows:
FUNDS REQUIRED FOR CONSTRUCTION CONTRACT
A. Base Contract Amount $515,271
B. Contract Contingencies $60,000
C. Construction Inspections Staff Costs $60,000
D. Desi n/Survey/Monument Preservation $30,000
TOTAL FUNDS REQUIRED FOR CONSTRUCTION CONTRACT $665,271
Sufficient funds are available in the project accounts to complete construction of the
improvements within Twin Oaks and Alpine Avenues. Further, there is no direct fiscal impact to
the General Fund in the current fiscal year related to awarding the construction contract.
ONGOING FISCAL IMPACT
The HUD Section 108 Loan, which is financing the full street improvements, is being repaid
from the City's annual Community Development Block Grant (CDBG) capital improvement
allocation. In addition, an assessment district has been established under which the property
owners will repay, through their annual tax assessments, costs associated with construction of
their driveways and relocation/reconstruction of private improvements, such as fences, walls,
gates, etc.
Upon completion of the project, the improvements will require routine maintenance of the street
facilities.
ATTACHMENTS
1. Contractor's Disclosure Statement
Prepared by Boushra Safem, Senior Civil Engineer, Public Works-Engineering Department
J~IEngineerlAGENDRICAS2012V 0-23-121STL979 & S7Z386 CASAward Cantract.doc
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ATTACH~MEN'T ~
CITY OF CHULA VISTA DISCLOSURE STATEMENT
Pursuant to Council Policy 107-01, prior to any action upon matters that will require discretionary action by
the Council, Planning Commission and all other official bodies of the City, a statement of disclosure of
certain ownership or financial interests, payments, or campaign contributions for a City of Chula Vista
election must be filed. The following information tnust be disclosed:
List the names of all persons having a financial interest in the property that is the subject of the
application or the contract, e.g., owner, applicant, contractor, subcontractor, material supplier.
?. If any person" identified pursuatt to Q) above is a corporation or partnership, list the names of all
individuals with a $2000 investment in the business (corporatiott/partuership) entity.
3. Tf any persou* identified pursuant to (I) above is anon-profit organization or trust, list the names of
any persou serving 2s director of the non-profit organization or as tntstee or beneficiary or trustor of
the trust.
4. Please identify every person, including any agents, employees, consultants, or independent
contractors you have assi~tted to represent you before the City in this matter.
~i-\~.S ~'~SS i ~ HANIACSI
~% ~ ~ ,-}~-.~ -r- SECRETARY OF CORPORATION
~. Has any persou* associated with this contract had any financial dealings with an official"* of the
City of Chula Vista as it relates to this contract within the past L months? Yes_ No y/
71
Q:\Ensincerin~~411 Projetts\STL\STL379 Alpine gvcCADIZ-01)\Sncc-ConcnadlSTL379 cC STLSSG Spcc Final.dec
4-5
If Yes, briefly describe the nature of the financial interest the officialr'p may have in this contract.
6. Have you made a contribution of more than X250 within the past twelve (13) months to a current
member of the Chula Vista City Council? No «~es _ If yes, which Council member?
Have you provided more than $39Q (or an item of equivalent value) to an official*~ of the City of
Chula Vista in the past twelve { 12) months? {This includes being a source of income, money to retire
a legal debt, gifr, loan, etc.) Yes _ No _~/
If Yes, which official'Yq' and what was the nature of item provided?
(y ~L
Date:
TRt-GROUP fContractor/Applicant ~f~
coNSTxucrroNaxD RANI ASST a
DEVELOPMENT, INC. may'- -~'T
Print or type name of Contractor/Applicant ~
SECRETARY OF CORPORATION
Person is defined as: any individual,'fuzn, co-partnership, joint venture, association, social club,
fraternal oreanization, corporation, estate, trust, receiver, s}2idicate, any other county, city,
municipality, district, or other poIitieal subdivision, -or any other group or combination acting as a
unit.
"`i' Offtcia] includes, but is not limited to: Mayor, Council member, Plamrhig Commissioner, Member of
a board; commission, or committee of the City, employee, or staff members.
73
Q:1En ~inecrineW II Pmjects\STLISTL379 Alpine Ave(AD i?-01)~Spec-ContracftST3379 &. 57L3 SG Spec Final.doc
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RESOLUTION NO. 2012-
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA ACCEPTING BIDS AND AWARDING A
CONTRACT FOR THE "ALPINE AVENUE IMPROVEMENTS
FROM EMERSON STREET TO OXFORD STREET (STL379)
AND TWIN OAKS AVENUE IMPROVEMENTS FROM
EMERSON STREET TO OXFORD STREET (STL386)"
PROJECT TO TRI-GROUP CONSTRUCTION AND
DEVELOPMENT, INC. IN THE AMOUNT OF $515,271,
WAIVING CITY COUNCIL POLICY 574-01, AND
AUTHORIZING THE EXPENDITURE OF ALL AVAILABLE
CONTINGENCY FUNDS IN AN AMOUNT NOT TO EXCEED
$60,000
WHEREAS, on September 12, 2012, the Director of Public Works received eleven (11)
sealed bids for the "Alpine Avenue Improvements from Emerson Street to Oxford Street
(STL379) and Twin Oaks Avenue Improvements from Emerson Street to Oxford Street
(STL386)" Project; and
WHEREAS, the project consists of the sidewalk improvements and related street work
along Alpine Avenue and Twin Oaks Avenue from Emerson Street to Oxford Street in the City
of Chula Vista; and
WHEREAS, the work also includes all labor, materials, equipment, transportation,
protection and restoration of existing improvements and traffic control necessary for the project
as shown on the drawings; and
WHEREAS, the eleven (11) bids were as follows:
CONTRACTOR DETERMINATION OF BID BID
RESPONSIVENESS AMOUNT
1 Tri-Group Construction and Development, Responsive $515,271.00
Inc. -San Die o, CA
2 Inc. -San Diego, CA ~
Just Construction Non Responsive.° Contractor $522,226.00
, would erform < 50 /° of the work
3 HTA Engineering and Construction, Inc. - Non Responsive. Contractor $592
295.00
San Die o, CA would erform < 50% of the work ,
4 Bid proposal contained a
Koch-Armstrong General Engineering - mathematical error that changed the $614,903.80
Lakeside, CA rank of the submitted bid
5 Portillo Concrete, Inc. -Lemon Grove, CA Responsive $642,455.80
6 Patriot Paving, Inc. -Orange, CA Responsive $661,826.00
7 Southland Paving, Inc. -Escondido, CA Responsive $684,014.80
8 Palm Engineering Construction Company - Responsive $684
289
20
San Die o, CA ,
.
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Resolution No.
Page 2
9 PAL General Engineering, Inc. -San Bid proposal contained a
Diego, CA mathematical error that did not $698,193.60
than e the results of the bid total
10 Hazard Construction Company -San Diego, Responsive $731
718.00
CA ,
i l MJC Construction -Bonita, CA Responsive $741,161.00
WHEREAS, the low bid by Tri-Group Construction and Development, Inc. of $515,271
is $154,729 (23%) below the Engineer's estimate of $670,000; and
WHEREAS, Tri-Group Construction and Development, Inc. has certified that two of
their subcontractors are MBEs (Minority Business Enterprises) and one is a WBE (Woman
Business Enterprise); and
WHEREAS, Tri-Group Construction and Development, Inc. and. all its subcontractors (as
listed in their Bid Proposal Document) are not listed as excluded from Federal Procurement
Programs (list of parties excluded From Federal procurement or non-procurement programs as of
October 6, 2012); and
WHEREAS, Tri-Group Construction and Development, Inc. has satisfactorily completed
several projects for the City and their Contractor's License No. 798372 is current and active; and
WHEREAS, staff has reviewed the low bid and determined that the bid package is
complete with no errors or omissions; and
WHEREAS, staff recommends awarding a contract in the amount of $515,271 to Tri-
Group Construction and Development, Inc. of San Diego, California; and
WHEREAS, in order to approve change orders as necessary, staff is requesting City
Council waive Council Policy No. 574-01.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula
Vista does hereby accept bids and award contract for the "Alpine Avenue Improvements from
Emerson Street to Oxford Street (STL379) and Twin Oaks Avenue Improvements from Emerson
Street to Oxford Street (STL386)" Project ,to Tri-Group Construction and Development, Inc. in
the amount of $515,271.
BE IT FURTHER RESOLVED that the City Council of the City of Chula Vista does
hereby waive Council Policy No. 574-01 and authorize the Director of Public Works to expend
all available contingency funds in an amount not to Pv~PAa ern nnn
Presented by
Richazd A. Hopkins
Director of Public Works
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