HomeMy WebLinkAbout2007/06/05 Item 10
CITY COUNCIL
AGENDA STATEMENT
~f:.. CITY OF
~~= ;,- CHULA VISTA
6/5/07, Item~
ITEM TITLE:
RESOLUTION RATIFYING CITY STAFF'S ACTION
ON APPROVING CHANGE ORDERS WITH PORTILLO
CONCRETE INC. TO COMPLETE THE "OTAY LAKES ROAD
SIDEWALK IMPROVEMENTS FROM ALLEN SCHOOL TO
SURREY DRIVE AND PAVEMENT REHABILITATION ON
OTAY LAKES ROAD FROM BONITA ROAD TO RIDGEBACK
ROAD IN THE CITY OF CHULA VISTA, CALIFORNIA" (STL-
286) PROJEC
RESOLUTION AUTHORIZING AN INTER-PROJECT
TRANSFER IN THE AMOUNT OF $250,000 FROM THE
PAVEMENT REHABILITATION CIP (STL-238) TO THE "OTAY
LAKES ROAD SIDEWALK IMPROVEMENTS FROM ALLEN
SCHOOL TO SURREY DRIVE AND PAVEMENT
REHABILITATION ON OTAY LAKES ROAD FROM BONITA
ROAD TO RIDGEBACK ROAD IN THE CITY OF CHULA VISTA,
CALIFORNIA" (STL-286) PROJECT AS NECESSARY TO
COMPLETE THE PROJECT.
SUBMITTED BY:
REVIEWED BY:
DIRECTOROFGENERALSE~ES~~~.
INTERIM CITY MANAGER d I
4/5THS VOTE: YES [g] NO 0
BACKGROUND
The City currently has a contract with Portillo Concrete, Inc. for the "Otay Lakes Road Sidewalk
Improvements and Pavement Rehabilitation (STL-286)" project, which was awarded by Council
on March 20,2007. The resolution (2007-062) awarded the project to Portillo Concrete Inc. and
authorized the expenditure of all contingencies, totaling $1,769,837. The purpose of this
memorandum is to inform City Council that staff has directed the contractor to proceed with
work, which caused a construction cost increase beyond the $1,769,837. Due to unforeseen
circumstances, which caused an increase in quantities for the dig-out portion of the project
beyond what was anticipated d,uring the preparation of the project specifications and the addition
of the pavement rehabilitation of the intersection of Otay Lakes Road/Bonita Road, staff directed
the Contractor to proceed with the work to complete the project.
Approval of tonight's resolution will ratify staffs action approving the change orders totaling
$250,000 beyond what was originally available for the construction for said project and as
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6/5/07, Item (()
Page 2 of 3
presented in the Council Information Item submitted on May 21, 2007 and will authorize an
inter-project transfer from an existing CIP as necessary to complete the project.
ENVIRONMENTAL REVIEW
The Environmental Review Coordinator has reviewed the proposed project for compliance with
the California Environmental Quality Act (CEQA) and has determined that the project qualifies
for a Class 1 Categorical Exemption pursuant to Section 15301 (Existing Facilities) of the State
CEQA Guidelines because the proposed project consists of minor alterations to an existing
public facility involving no expansion of the facility's current use. Thus, no further
environmental review is necessary.
RECOMMENDATION
1. Council adopt resolution ratifying city staff s action on approving change orders with
Portillo Concrete Inc. to complete the "Otay Lakes Road Sidewalk Improvements from
Allen School to Surrey Drive and pavement rehabilitation on Otay Lakes Road from
Bonita Road to Ridgeback Road in the City of Chula Vista, California" (STL-286)
project
2. Council adopt resolution authorizing an inter-project transfer in the amount of $250,000
from the Pavement Rehabilitation CIP (STL-238) to the "Otay Lakes Road Sidewalk
Improvements from Allen School to Surrey Drive and pavement rehabilitation on Otay
Lakes Road from Bonita Road to Ridgeback Road in the City of Chula Vista, California"
(STL-286) project as necessary to complete the project.
BOARDS/COMMISSION RECOMMENDATION
Not applicable.
DISCUSSION
The City currently has a contract with Portillo Concrete, Inc. for the "Otay Lakes Road Sidewalk
Improvements and Pavement Rehabilitation (STL-286)" project, which was awarded by Council
on March 20,2007. The resolution (2007-062) awarded the project to Portillo Concrete Inc. and
authorized the expenditure of all contingencies, totaling $1,769,837. City staff had directed the
contractor to proceed with additional scope of work, which caused a construction cost increase
beyond the $1,769,837 available for construction. Due to unforeseen circumstances, which
caused an increase in quantities for the dig-out portion of the project beyond what was
anticipated during the preparation of the project specifications and the addition of the pavement
rehabilitation of the intersection of Otay Lakes RoadIBonita Road, staff directed the Contractor
to proceed with the work to complete the project.
City staff had originally delineated the areas of pavement distress "dig-outs" onto the pavement
with paint during the preparation of plans and specifications for the project. Bid quantities on
the contract specifications were based on the dimensions of these dig-outs and the project was
advertised. However, during construction, the areas of pavement distress had grown
substantially larger than the original mark-outs of the dig-out areas.
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6/5/07, Item~
Page 3 of3
In addition, the existing asphalt concrete pavement thickness through portions of Otay Lakes
Road was considerably thinner than anticipated. Based on recent trench work associated with
the underground of overhead utilities along Otay Lakes Road, staff anticipated that the asphalt
concrete section would be 6-8" thick. During construction, actual excavations encountered areas
with only 3-4" thick asphalt concrete over native sub-grade. Staff directed the contractor to
increase the asphalt concrete section in these areas in order to provide an adequate pavement
structural section.
Staff directed the contractor to proceed with the additional scope of work prior to Council
approval for the following reasons:
· The postponement of the rehabilitation of the damaged would have caused an increase
in dig-outs and cost even more than the estimated overage, if conducted at a later time.
· If the dig-outs were postponed, Otay Lakes Road pavement overlay could not be
completed at this time and would have to be included with a subsequent Capital
Improvement Project.
· Delays in authorizing the work prior to obtaining City Council approval would have
exposed the City to substantial claims by the Contractor for remobilization, insurance,
bonds, and construction site maintenance, among other things.
· Additional scope of work includes the dig-out and overlay of the intersection of Bonita
Road/Otay Lakes Road, which was not part of the original contract. Staff determined
that this section of pavement should be rehabilitated at this time, due to vehicular safety
concerns and recent pavement failures in the intersection, which have caused
inadequate surface drainage.
We anticipate that the additional costs of approximately $250,000 are required for the additional
scope of work and to complete the project. Funds for this over-run are available in the pavement
rehabilitation ClF, STL-238.
DECISION MAKER CONFLICT
Staff has reviewed the property holdings of the City Council and has found a conflict exists, in
that Councilmember McCann has property holdings within 500 feet ofthe boundaries of the
property, which is the subj ect of this action.
FISCAL IMPACT
At this time, staff recommends a transfer of existing funds in the amount of $250,000 from STL-
238 to STL-286 as necessary to complete the project.
There are sufficient funds held by the City to fully offset all costs associated with the
construction of this project, with no impact to the General Fund. Upon completion of the subject
project, the improvements will require only routine City street maintenance.
Prepared by: Jeff Moneda, Sr. Civil Engineer, General Services Department
J:\General Services\GS Administration\Council Agenda\STL.286 Otay Lakes Road\STL 286 Change Order Al13 Rev 051707.doc
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RESOLUTION NO. 2007-
-
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA RATIFYING CITY STAFF'S ACTION ON APPROVING
CHANGE ORDERS WITH PORTILLO CONCRETE INC. TO
COMPLETE THE "OTAY LAKES ROAD SIDEWALK
IMPROVEMENTS FROM ALLEN SCHOOL TO SURREY DRIVE
AND PAVEMENT REHABILITATION ON OTAY LAKES ROAD
FROM BONITA ROAD TO RIDGEBACK ROAD IN THE CITY OF
CHULA VISTA, CALIFORNIA" (STL-286) PROJECT
WHEREAS, on March 20, 2007, City Council awarded the project to Portillo Concrete
Inc. and authorized the expenditure of all contingencies, totaling $1,769,837 for the "Otay Lakes
Road sidewalk improvements from Allen School Lane to Surrey Drive and pavement
rehabilitation on Otay Lakes Road from Bonita Road to Ridgeback Road (STL-286)" project;
and
WHEREAS, due to unforeseen circumstances, which caused an increase in quantities for
the dig-out portion of the project beyond what was anticipated during the preparation of the
project specifications and the addition of the pavement rehabilitation of the intersection of Otay
Lakes Road/Bonita Road, staff directed the Contractor to proceed with the work to complete the
proj ect; and
WHEREAS, the dollar amount of the change order exceeds that otherwise permitted
under Council Policy 574-01, unless the City Manager and the Director of Public Works
determine that the public health and safety are involved or a substantial claim couId be submitted
by the contractor for delays, and provided the change order is submitted to City Council for
ratification at the next regular Council meeting; and
WHEREAS, the City Manager and the Director of Public Works did determined that the
public health and safety were involved or a substantial claim couId have been submitted by the
contractor for delays; and
WHEREAS, the Environmental Review Coordinator has reviewed the proposed project
for compliance with the California Environmental Quality Act (CEQA) and has determined that
the project qualifies for a Class 1 Categorical Exemption pursuant to Section 15301 (Existing
Facilities) of the State CEQA Guidelines because the proposed project consists of minor
alterations to an existing public facility involving no expansion of the facility's current use.
Thus, no further environmental review is necessary.
WHEREAS, City Council ratifies staff's action approving the change orders totaling
$250,000 beyond what was originally available for the construction for said project and as
presented in the Council Information Item submitted on May 23,2007.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of ChuIa
Vista does hereby ratify City staffs action on approving change orders with Portillo Concrete
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Inc. to complete the "Otay Lakes Road Sidewalk Improvements from Allen School Lane to
Surrey Drive and Pavement Rehabilitation on Otay Lakes Road from Bonita Road to Ridgeback
Road in the City of Chula Vista, California" (STL-286) project.
Presented by
-:L.E--
Jack Griffin (6f.. Moore
Director of General Services City Attorney
M:\General Services\GS Administration\Council Agenda\STL-286 Otay Lakes Road\STL286 Reso for Change Order. doc
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RESOLUTION NO. 2007-
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA AUTHORIZING AN INTERPROJECT
TRANSFER IN THE AMOUNT OF $250,000 FROM THE
PAVEMENT REHABILITATION CIP (STL- ) TO THE
"OTAY LAKES ROAD SIDEWALK IMPROVEMENTS FROM
ALLEN SCHOOL TO SURREY DRIVE AND PAVEMENT
REHABILITATION ON OTAY LAKES ROAD FROM BONITA
ROAD TO RIDGEBACK ROAD IN THE CITY OF CHULA
VISTA, CALIFORNIA" (STL-286) PROJECT AS NECESSARY
TO COMPLETE THE PROJECT.
WHEREAS, on March 20, 2007, City Council awarded the project to Portillo Concrete
Inc. and authorized the expenditure of all contingencies, totaling $1,769,837 for the "Otay Lakes
Road sidewalk improvements from Allen School Lane to Surrey Drive and pavement
rehabilitation on Otay Lakes Road from Bonita Road to Ridgeback Road (STL-286)" project;
and
WHEREAS, due to unforeseen circumstances, which caused an increase in quantities for
the dig-out portion of the project beyond what was anticipated during the preparation of the
project specifications and the addition of the pavement rehabilitation of the intersection of Otay
Lakes Road/Bonita Road, staff directed the Contractor to proceed with the work to complete the
project; and
WHEREAS, the Environmental Review Coordinator has reviewed the proposed project
for compliance with the California Environmental Quality Act (CEQA) and has determined that
the project qualifies for a Class I Categorical Exemption pursuant to Section 15301 (Existing
Facilities) of the State CEQA Guidelines because the proposed project consists of minor
alterations to an existing public facility involving no expansion of the facility's current use.
Thus, no further environmental review is necessary.
WHEREAS, City Council approves the change orders totaling $250,000 beyond what
was originally available for the construction for said project and transfers said funds from the
Pavement Rehabilitation CIP to the "Otay Lakes Road sidewalk improvements from Allen
School Lane to Surrey Drive and pavement rehabilitation on Otay Lakes Road from Bonita Road
to Ridgeback Road (STL-286)" project as presented in the Council Information Item submitted
on May 23, 2007.
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NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula
Vista does hereby approve the transfer of $250,000 in funds from the Pavement Rehabilitation
CIP to the "Otay Lakes Road Sidewalk Improvements from Allen School Lane to Surrey Drive
and Pavement Rehabilitation on Otay Lakes Road from Bonita Road to Ridgeback Road (STL-
286)" project.
Presented by
I
u.-~
Jack Griffin
Director of General Services
w(1." Moore
City Attorney
M:\General Services\GS Administration\Council Agenda\STL-286 Otay Lakes Road\STL286 Reso for Appropriation.doc
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