Report to Mayor and City Council
Tuesday, June 04, 2024
Consent
SUBJECT:
Title
CONSIDERATION OF RESOLUTION NO. 24-047 AND APPROVAL TO ALLOCATE ADDITIONAL FUNDS TO THE EXISTING FOUR MAINTENANCE CONTRACTS (RJ NOBLE, ALL AMERICAN ASPHALT) FOR PUBLIC WORKS ANNUAL PAVING MAINTENANCE FOR EACH DISTRICT WITHIN THE CITY OF CARSON (CITY CARSON)
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I. SUMMARY
The Department of Public Works released Invitation for Bids (IFB- No. 23-26) on August 11, 2023. The scope of work entailed uniform cold mill and overlay of 2" Asphaltic Rubberized Hot Mix (ARHM). After the solicitation period ended on August 31, 2023, two bids were received for all four Council Districts. Following thorough evaluation, R.J. Noble Company emerged as the lowest, responsive, and responsible bidder for Districts 1, 3, and 4, while All American Asphalt secured the same status for District 2.
Considering the quality and cost-effectiveness of the bids received, staff recommended awarding an annual paving maintenance contract to R.J. Noble Company and All-American Asphalt. The proposed contract is valid three years initially, with the provision to extend for two additional one-year terms, subject to the City's discretion. The not-to-exceed amount allocated per district is $2,000,000 for the first year and $3,000,000 per district annually for the subsequent two years, totaling $32,000,000 over the three-year period.
To facilitate these critical services and maintain project efficiency, staff seeks additional funds for the respective vendor contracts as follows:
Phases 1 and 2
R.J. Noble District 1: $1,193,314.85
All American Asphalt District 2: $26,397.09
R.J. Noble District 3: $1,376,812.95
R.J. Noble District 4: $984,429.95
Phase 3
R.J Noble District 1: $1,370,000
All American Asphalt District 2: $975,220
R.J Noble District 3: $1,684,000
R.J Noble District 4: $1,531,000
The current contract language in each agreement limits the first year of expenditures to $2 million per contract. In the interest of time, staff is requesting council approval of the accounting and transfer of funds to accommodate a higher first year expenditure; to not impede the start of phase three work. Staff will return at the next regular meeting of City Council with amendments to retroactively increase the year one expenditure caps to accommodate the remainder of the Fiscal Year (June).
II. RECOMMENDATION
Recommendation
ADOPT Resolution No. 24-047, “A RESOLUTION OF THE CITY OF CARSON COUNCIL TO INCREASE THE 2023-24 BUDGET IN THE GENERAL FUND AND SPECIAL REVENUE FUNDS” appropriating $9,141,174.84 from General Fund Reserve Fund, to cover additional cost for year one of four (4) pavement maintenance contracts, (Exhibit No. 1).
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III. ALTERNATIVES
1. DO NOT ADOPT Resolution No. 24-047; however, this decision will lead to a delay or halt in the project's progress.
2. TAKE another action the City Council deems appropriate, consistent with the requirements of the law.
IV. BACKGROUND
On November 21, 2024, the City Council approved the Public Works department to commence in a city-wide pavement initiative spanning across all districts of our city. An initial funding allocation of $8,000,000 was approved to facilitate the completion of these essential tasks during FY 2023-2024.
However, as we move forward with the project, it has become evident that the allocated budget is evolving with the needs and demands of this extensive undertaking. To continue the successful execution of the citywide pavement project and to address any unforeseen challenges that may arise, staff is requesting the City Council's consideration and approval of Resolution No. 24-047.
This resolution proposes an adjustment to the current funding allocation, increasing it to a total of $9,141,174.84. By adopting this resolution, we will provide the necessary resources to effectively carry out the pavement project, thereby enhancing the safety and quality of our city's roads for the benefit of all residents and visitors.
V. FISCAL IMPACT
If Resolution 24-047 is approved, $9,141,174.84 will be transferred to General Fund Public Works Roadway Maintenance account to accommodate additional expenditures for the RJ Noble and All-American Asphalt annual pavement maintenance contracts as identified in Exhibit 1, Resolution No. 24-047.VI. EXHIBITS
1. Resolution No. 24-047 (pgs. 4-5)
Prepared by: Dr. Arlington Rodgers, Jr. Director of Public Works, Kanesha Pompey, Administrative Analyst