Report to Mayor and City Council
Tuesday, February 01, 2022
Consent
SUBJECT:
Title
CONSIDER AWARD OF A CONSTRUCTION CONTRACT TO PALP, INC. FOR PROJECT NO. 1413-4: CITY-WIDE ANNUAL RUBBERIZED SLURRY SEAL AND CRACK SEAL PROJECT AND CONSIDER RESOLUTION NO. 22-010 “A RESOLUTION OF THE CITY OF CARSON CITY COUNCIL AMENDING THE FISCAL YEAR 2021-22 BUDGET IN THE SPECIAL REVENUE FUNDS" (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. 1413-4: City-wide Annual Rubberized Slurry Seal, and Crack Seal program 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 November 26, 2021 to December 20, 2021. Two bids were received, and it was determined that Palp, Inc. was the lowest responsive and responsible bidder, with a total bid amount of $1,129,211.00, subject to Project Labor Agreement (PLA) (Exhibit No. 2). This project will be funded by the Infrastructure and Roadway funds.
Staff is requesting the City Council to award a contract to the lowest responsive, responsible bidder, Palp, Inc. in the amount not to exceed $1,129,211.00.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. AWARD a Construction Contract for Project No. 1413-4: City-wide Annual Rubberized Slurry Seal, and Crack Seal program, in the amount of $1,129,211.00, to the lowest responsive and responsible bidder, Palp, Inc.
2. AUTHORIZE the expenditure of construction contingencies in the amount of $169,381.65 (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.
4. WAIVE further reading and ADOPT Resolution No. 22-010 “A RESOLUTION OF THE CITY OF CARSON CITY COUNCIL AMENDING THE FISCAL YEAR 2021-22 BUDGET IN THE SPECIAL REVENUE FUNDS” for Project No. 1413-4: City-wide Annual Rubberized Slurry Seal, and Crack Seal program (Exhibit No. 3)
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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. 1413-4: City-wide Annual Rubberized Slurry Seal, and Crack Seal Program is listed in the City’s Capital Improvement Program. This project is typically funded by the Infrastructure and Roadway funds or more commonly known as the Gas Tax fund and Measure R fund.
Each year the City performs slurry sealing and makes its best effort to implement the street maintenance needed to maintain the integrity of the City’s infrastructure. The City has been utilizing rubberized slurry seal on city streets due to its superior benefits over conventional slurry seal in preventing deterioration of the existing pavement. Application of rubberized slurry seal is one of the best and cost-effective approaches to extend pavement life, preserve structural capacity, and provide quality service to the traffic.
Based on the recommendation from the City’s Pavement Management Program (PMP) completed in January 2017 and the available funds, staff performed field inspection and site evaluation to determine the area which has the most need of slurry sealing at this time. The PMP provides recommended repairs, a preventive maintenance schedule, and corresponding costs to improve and maintain the City’s overall roadway system network. Each street segment in the PMP is assigned a corresponding Pavement Condition Index (PCI) that indicates the treatment needed to maintain structural integrity. This project includes the area bordered by Carson Street, Avalon Boulevard, 223rd Street, and Main Street (Districts 1, 2, & 4). The project will also focus on the area bordered by Loyola Avenue, Pepperdine Drive, Howard Avenue, and Morehouse Drive (District 1) which have the highest need for this type of roadway surface treatment.
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 project was advertised for construction bids, and on December 20, 2021, two 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. |
Palp, Inc |
Long Beach, CA |
$1,129,211.00 |
|
2. |
All American Asphalt |
Corona, CA |
$1,404,486.00 |
Staff reviewed the bids and determined that the lowest responsive and responsible bid was submitted by Palp, Inc, with a total bid in the amount of $1,129,211.00. Palp, 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 Federal Insurance Company, an Indiana corporation, Vigilant Insurance Company, a New York corporation, Pacific Indemnity Company, a Wisconsin corporation, Westchester Fire Insurance Company and ACE American Insurance Company corporations of the Commonwealth of Pennsylvania, 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 November 23, 2021
Award of Contract February 1, 2022
Contract Execution March 2022
PO Issuance April 2022
Start Construction May 2022
Complete Construction September 2022
V. FISCAL IMPACT
The total construction bid amount for this improvement project is $1,129,211.00. A construction contingency in the amount of $169,381.65, 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 $1,298,592.65. Funds for this project in the amount of $1,000,000.00 were included in the FY 2021-22 CIP Budget using Fund 254 and Fund 281. There is $311,800.82 available in account 281-80-820-904-7020 for a total of $1,331,800.82 to cover the project cost.
VI. EXHIBITS
1. Project Location Map (pg. 5)
2. Contract Documents (pg. 6-56)
3. Resolution No. 22-010 (pgs. 57-58)
Prepared by: Gilbert Marquez, P.E. City Engineer; Jesus Sanchez, P.E., Associate Civil Engineer Associate Civil Engineer