Report to Mayor and City Council
Tuesday, February 01, 2022
Consent
SUBJECT:
Title
CONSIDER AWARD OF A CONSTRUCTION CONTRACT TO HARDY & HARPER, INC. FOR PROJECT NO. 1625: WILMINGTON AVENUE STREET IMPROVEMENT FROM CARSON STREET TO DEL AMO BOULEVARD, PROJECT NO. 1669: GLENN CURTISS STREET IMPROVEMENT FROM CENTRAL AVENUE TO WILMINGTON AVENUE , AND PROJECT NO. 1670: GLENN CURTISS STREET IMPROVEMENT FROM CENTRAL AVENUE TO WILMINGTON AVENUE (CITY COUNCIL)
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I. SUMMARY
On October 19, 2021, the City Council approved the plans, specifications, and estimates (PS&E) for Project No. 1625: Wilmington Avenue Street Improvement from Carson Street to Del Amo Boulevard, Project No. 1669: Glenn Curtiss Street Improvement from Central Avenue to Wilmington Avenue, and Project No. 1670: Charles Willard Street Improvement from Central Avenue to Wilmington Avenue, and staff was authorized to advertise the project for construction bids (Exhibit No. 1).
The Invitation for Bids (IFB) was advertised in the Our Weekly Publication, and through the PlanetBids portal from December 9, 2021 to January 6, 2022. Four bids were received, and it was determined that Hardy & Harper, Inc. was the lowest responsive and responsible bidder, with a total bid amount of $1,811,000.00, subject to Project Labor Agreement (PLA) (Exhibit No. 2). These projects will be funded by the Dominguez Technology Center West Assessment & Authority Bonds.
Staff is requesting the City Council to award a construction contract to the lowest responsive, responsible bidder, Hardy & Harper, Inc. in the amount not to exceed $1,811,000.00.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. AWARD a Construction Contract for Project No. 1625: Wilmington Avenue Street Improvement from Carson Street to Del Amo Boulevard, Project No. 1669: Glenn Curtiss Street Improvement from Central Avenue to Wilmington Avenue, and Project No. 1670: Charles Willard Street Improvement from Central Avenue to Wilmington Avenue, in the amount of $1,811,000.00, to the lowest responsive and responsible bidder, Hardy & Harper, Inc.
2. AUTHORIZE the expenditure of construction contingencies in the amount of $271,650.00 (15%) for any unforeseen construction work such as substructure conflicts, contaminated soil removal and disposal, material testing, and other work that may be necessary to complete this project.
3. AUTHORIZE the Mayor to execute a Construction Contract following approval as to form by the City Attorney.
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III. ALTERNATIVES
1. REJECT all bids.
2. TAKE another action that the City Council deems appropriate consistent with the requirements of the law.
IV. BACKGROUND
Project No. 1625: Wilmington Avenue Street Improvement from Carson Street to Del Amo Boulevard, Project No. 1669: Glenn Curtiss Street Improvement from Central Avenue to Wilmington Avenue, and Project No. 1670: Charles Willard Street Improvement from Central Avenue to Wilmington Avenue are listed in the City’s Capital Improvement Program and are programmed for FY 2021-22 funded by the Dominguez Technology Center West Assessment & Authority Bonds.
Project No. 1625, Wilmington Avenue Street Improvement from Carson Street to Del Amo Boulevard is a major north-south four lane arterial truck route zoned for light and heavy industrial, commercial, and multi-family residential land uses, and the length of this corridor is 1.1 miles.
Project No. 1669, Glenn Curtiss Street Improvement from Central Avenue to Wilmington Avenue is an east-west four lane arterial street zoned for light and heavy industrial, and commercial land uses, and the length of this corridor is approximately 0.8 miles.
Project No. 1670, Charles Willard Street Improvement from Central Avenue to Wilmington Avenue is an east-west four lane arterial street zoned for light and heavy industrial, and commercial land uses. Charles Willard’s approaches to Bishop Ave. are not directly aligned with each other, so this project consists of two segments of Charles Willard and is approximately 0.8 miles in length. The first segment from Central Avenue to Bishop Avenue is 0.33 miles, and the second segment from Bishop Avenue to Wilmington Avenue is 0.39 miles.
The project scope of work includes concrete reconstruction, asphalt concrete pavement overlay, slurry sealing, tree removal and replacement, and repair of damaged sidewalks and curb and gutters. The required concrete improvements were identified as outlined in the 2017 Sidewalk Assessment Report (SAR) completed for the City, and will repair and restore concrete to City standards, meeting the Americans with Disabilities Act (ADA) requirements. The required slurry sealing and asphalt grind and overlay is per recommendation outlined in the City’s most recent Pavement Management Program (PMP).
The above projects will be funded by the Dominguez Technology Center West Assessment & Authority Bonds. These assessment district bonds were originally issued as part of the original development of the Dominguez Technology Center and the debt service is paid by an assessment on the property tax bills within the district. They funded the original construction of the streets. The bonds were refunded and refinanced in 2019 to take advantage of the historic low interest rate environment and the lower interest rates created a pool of approximately $2,000,000 in funds that could be used for additional improvements. Because of the nature of the Assessment District, the refunding proceeds need to be used for public improvements that benefit properties within the district boundaries. These projects are one of several to be paid from this fund. These projects were on a list of “approved” improvements that was part of the consent received from the property owners.
The PS&E were prepared and completed by the City’s Engineering staff. Based on California Environmental Quality Act (CEQA) guidelines, the proposed projects are categorically exempt. Section 15301 of CEQA includes the type of existing facilities or projects that are categorically exempt:
- Section 15301(c): Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety).
- Section 15301(d): Restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment to meet current standards of public health and safety, unless it is determined that the damage was substantial and resulted from an environmental hazard such as an earthquake, landslide, or flood.
The projects were advertised for construction bids, and on December 20, 2021, four bids were received through PlanetBids and opened by the Purchasing Division Manager at the City Clerk’s office. The bid results are as listed below:
|
No. |
Bidder |
Place of Business |
Bid Amount |
|
1. |
Hardy & Harper, Inc. |
Lake Forest, CA |
$1,811,000.00 |
|
2. |
RJ Noble Company |
Orange, CA |
$1,852,928.10 |
|
3. |
Palp, Inc. |
Long Beach, CA |
$1,981,927.85 |
|
4. |
All American Asphalt Corp. |
Corona, CA |
$2,060,739.79 |
Staff reviewed the bids and determined that the lowest responsive and responsible bid was submitted by Hardy & Harper, Inc, with a total bid in the amount of $1,811,000.00. Hardy & Harper, Inc is a bonafide contractor licensed by the State of California. The bid bond, in the amount of 10% of the total bid, as supplied by Fidelity and Deposit Company of Maryland, is in order, and was submitted with the bid. The contractor’s references have been checked, and it has been verified that the contractor has completed similar projects in an acceptable manner.
The approximate timeline and the status of this project are as follows:
Approval of PS&E October 19, 2021
Advertise for Construction Bid December 9, 2021
Award of Contract February 1, 2022
Contract Execution April 2022
PO Issuance May 2022
Start Construction June 2022
Complete Construction September 2022
V. FISCAL IMPACT
The total construction bid amount for this improvement project is $1,811,000.00. A construction contingency in the amount of $271,650.00, representing 15% of the total construction bid, is requested for any unforeseen construction work that may be required to complete this project. The total project cost including the 15% contingency is $2,082,650. Funds for these projects were included in the FY21-22 budget in Account No.774-80-820-904-8009.
VI. EXHIBITS
1. Project Location Map (pg. 5)
2. Contract Documents (pg. 6-56)
Prepared by: Gilbert Marquez, P.E. City Engineer; Vernon Villanueva, P.E., Associate Civil Engineer