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    20.    
City Council Regular
Meeting Date: 06/12/2018  

SUBJECT:
CONTRACT WITH IVL CONTRACTORS, INC. FOR THE ENGLISH SPRINGS PARK RESTROOM RECONSTRUCTION PROJECT
RECOMMENDATION:
  1. Approve an appropriations budget amendment in the amount of $165,562 from the CFD 2 unreserved fund balance to the English Springs Park Restroom Reconstruction Project. 
  2. Award a contract to IVL Contractors, Inc. in the amount of $329,273 for the English Springs Park Restroom Reconstruction Project. 
  3. Authorize staff to issue a Notice of Award. 
  4. Authorize staff to accept the performance and payment bonds, proof of insurance, and issue a Notice to Proceed upon receipt and acceptance of such. 
  5. Authorize the City Manager, at his discretion, to approve cumulative change orders up to 10% ($32,927) of the awarded contract amount.
BACKGROUND/ANALYSIS:
On April 10, 2018, the City Council approved the plans and specifications for the English Springs Park Restroom Reconstruction Project and authorized staff to solicit bids.

The scope of the project includes:
  1. Demolition of the existing restroom.
  2. Construction of a retaining wall to accommodate the larger restroom.
  3. Preparation of restroom foundation and subgrade.
  4. Fabrication, delivery and installation of restroom by Public Restroom Company.
  5. Construction of sidewalk and other pertinent site work.
On May 3, 2018, eight (8) bids were received and are summarized as follows:
 
CONTRACTOR BID AMOUNT
  1. IVL Contractors, Inc.
$329,273
  1. Cinbad Industry, Inc.
$342,342
  1. PaveWest, Inc.
$373,860
  1. Golden Gate Construction
$393,692
  1. Fleming Environmental, Inc.
$395,604
  1. Wright Construction Engineering Corp.
$397,000
  1. AToM Engineering Construction, Inc.
$398,398
  1. Kasa Construction
$398,769
                       
IVL Contractors, Inc. was announced as the apparent low bidder at the bid opening. The licensing and bonding information included in their bid has been reviewed and they meet the minimum requirements. Therefore, staff recommends that the City Council award a contract in the amount of $329,273 to IVL Contractors, Inc.
 
IVL Contractors, Inc.’s bid was below the engineer’s cost estimate of $350,000; however, the current available funding will not cover the cost for contingencies, project management and construction inspection costs. Staff estimates the project will need an additional $165,562 added to the project’s funding.  Therefore, staff is requesting City Council to authorize an additional $165,562 from the CFD 2 Fund to cover the shortfall in the project funding.
ENVIRONMENTAL (CEQA) REVIEW:
At the April 10, 2018, City Council meeting, the project was determined to be exempt as a Class 2 Categorical Exemption (construction and location of limited numbers of new, small facilities or structures; installation of small new equipment and facilities in small structures; and the conversion of existing small structures from one use to another where only minor modifications are made in the exterior of the structure) and Class 3 Categorical Exemption (replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site as the structure replaced and will have substantially the same purpose and capacity as the structure replaced) pursuant to section 15302 and 15303 of the 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 Description                                  Amount
Design (expended) $   98,986
Construction Contract   329,273
Contingencies (10%)    32,927
Construction Management   54,418
Total $ 515,604
 
The total approved budget for this project is $350,042 with funding coming from the CFD 2 Fund. Staff is requesting the City Council to appropriate an additional $165,562 from the CFD 2 unreserved fund balance to cover the shortfall.  
 
Project No. 800394 - Funding Source Amount
Total Current Funding (CFD 2) $350,042
Additional Appropriation Requested (CFD 2 Fund) 165,562
Total Project Funding $ 515,604
  
There are sufficient funds available in the CFD 2 Fund balance to cover the $165,562 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.
 
Attachments
Agreement

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