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    16.    
City Council Regular
Meeting Date: 12/12/2017  

SUBJECT:
CONTRACT WITH LOS ANGELES ENGINEERING FOR THE LOS SERRANOS INFRASTRUCTURE IMPROVEMENTS – ACTIVE TRANSPORTATION PROGRAM (ATP) CYCLE 1 PROJECT
RECOMMENDATION:
  1. Award a contract to Los Angeles Engineering in the amount of $1,936,775 for the Los Serranos Infrastructure Improvements - Active Transportation Program (ATP) Cycle 1 project. 
     
  2. Authorize staff to issue a Notice of Award. 
     
  3. Authorize staff to accept the performance and payment bonds, proof of insurance, and issue a Notice to Proceed upon receipt and acceptance of such. 
     
  4. Approve an appropriations budget amendment in the amount of $900,000 from the Measure I Fund balance to the Los Serranos Infrastructure - ATP Cycle 1 project. 
     
  5. Authorize the City Manager, at his discretion, to approve cumulative change orders up to 10% ($193,677.50) of the awarded contract amount.
BACKGROUND/ANALYSIS:
On February 14, 2017, the City Council approved the plans and specifications for the Los Serranos Infrastructure Improvements – ATP Cycle 1 and adopted Resolution No. 2017R-007 approving the design and authorizing staff to solicit bids for construction.
 
On August 3, 2017, the City received Caltrans’ authorization (E76) to begin the construction phase of this project.
 
On November 16, 2017, eight (8) bids were received and are summarized as follows:
 
 
CONTRACTORS
 
BID
1.  Los Angeles Engineering, Inc. $   1,936,775.00
2.  Hardy and Harper, Inc. $   2,020,000.00
3.  CT&T Concrete Paving, Inc. $   2,188,396.50
4.  GMZ Engineering, Inc. $   2,159,365.00
5.  Sully-Miller Contracting $   2,160,870.00
6.  Palp, Inc. (dba Excel Paving) $   2,244,014.00
7.  Aramexx Construction $   2,245,375.00
8.  PTM General Engineering $   2,291,292.00
 
Contracts for competitively bid public projects using federal grant funds must be awarded to the lowest responsible bidder, contingent upon their timely submittal of the Disadvantaged Business Enterprise (DBE) Commitment and/or Good Faith Effort (GFE) to comply with federal requirements.  As shown above, Los Angeles Engineering submitted the lowest base bid and is considered the apparent low bidder.  Los Angeles Engineering also submitted the required DBE Commitment and GFE in a timely manner.
 
Staff received favorable reports from references regarding the work performed by Los Angeles Engineering and recommends that the Council award them a contract in the amount of $1,936,775.
ENVIRONMENTAL (CEQA) REVIEW:
At the February 14, 2017, City Council meeting, the project was determined to be exempt as a Class 1(c) Categorical Exemption (existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities), pursuant to Section 15301 of Guidelines for the California Environmental Quality Act of 1970, as amended, Public Resources Code section 21000 et seq.  City staff has also determined that the project is exempt as a Class 2 Categorical Exemption, (existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities), pursuant to Section 15302 of Guidelines for the California Environmental Quality Act of 1970, as amended, Public Resources Code section 21000 et seq.
FISCAL IMPACT:
The total estimated cost for this project is as follows:
Item Amount
Design Contract and Staff Time (expended) $143,407
Construction Contract $1,936,775
Contingencies (10%) $193,678
Construction Management $379,140
Total $2,653,000
 
Funding for this project will come from the following sources:
Project No. Funding Amount
S15008 ATP Grant $1,732,000
General Fund (Agency Road Trust) $21,000
Total Approved Funding $1,753,000
Additional Appropriation Requested (Measure I) $900,000
Grand Total Project Funding $2,653,000
 
The total approved budget for this project is $1,753,000 with funding coming from ATP Grant funds in the amount of $1,732,000 and General Fund (Agency Road Trust) funds in the amount of $21,000.  Staff is requesting that the City Council appropriate an additional $900,000 from the Measure I unreserved fund balance to cover the shortfall in funding.  There are sufficient funds available in the Measure I fund balance to cover the $900,000 amount.  There is no impact to the General Fund.
 
 
REVIEWED BY OTHERS:
This item has been reviewed by the Finance Director and the City Attorney.

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