REPORT TO COUNCIL
SUBJECT
Title
Award of Bid No. PW19-04 to Suarez & Munoz Construction, Inc. for Park Irrigation and Pump Systems Rehabilitation Re-Bid and Finding of California Environmental Quality Act (CEQA) Categorical Exemption
Report
REPORT IN BRIEF
Approval is requested to award a construction contract in the amount of $380,178 to Suarez & Munoz Construction, Inc. of Hayward, for the Park Irrigation and Pump Systems Rehabilitation Re-Bid. Approval is also requested for a 10% construction contingency in the amount of $38,018.
EXISTING POLICY
Section 1309 of the City Charter requires public works construction contracts to be awarded to the lowest responsive and responsible bidder. Further, pursuant to Section 2.09.040 of the Sunnyvale Municipal Code, City Council approval is required for public works contracts greater than $100,000 in any one transaction.
ENVIRONMENTAL REVIEW
The proposed project is categorically exempt from environmental review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301 as it involves the maintenance or repair of an existing facility, which includes public owned facilities, involving negligible or no expansion of use beyond which presently exists.
BACKGROUND AND DISCUSSION
This project will upgrade the existing irrigation system at Braly Park and Ponderosa Park with hydrometers, rain sensors, controller boxes and modules, valve wiring, new landscaping, and a new booster pump at Ponderosa Park. The irrigation systems at both parks perform inefficiently due to wire failure. In addition, the pump system at Ponderosa Park does not meet current safety regulations which requires replacement. This project is essential to ensure complete coverage of landscape and turf irrigation at both parks.
An Invitation for Bids for this project was initially advertised for competitive bidding on May 11, 2018, with no bids received. The common responses gathered from potential bidders demonstrated they were busy and could not take on additional projects at that time. Staff decided to wait until the peak season was over to re-advertise the project for competitive bidding.
In advance of the re-bid procurement, staff reached out to potential bidders to encourage them to participate in the bidding process. The re-bid was advertised for competitive bidding on the City’s DemandStar public procurement network and distributed to Bay Area Builder’s Exchanges on September 7, 2018, with six general contractors requesting bid documents. Sealed bids were opened on October 10, 2018, with two bids received (see Attachment 1 - Bid Summary). The lowest responsive and responsible bid submitted by Suarez and Munoz Construction in the amount of $380,178. Both bids were lower than the Engineer’s Estimate of $420,000.
FISCAL IMPACT
Funding for this project is available in Project 831570, Park Irrigation and Pump Systems Rehabilitation.
Funding Source
This project is funded in the Park Dedication Fund.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
1) Make a finding of California Environmental Quality Act (CEQA) categorical exemption pursuant to CEQA Guidelines 15301 as it involves the maintenance or repair of an existing public owned facility, 2) award a contract in substantially the same form as Attachment 2 to the report in the amount of $380,178 to Suarez & Munoz Construction, Inc. and authorize the City Manager to execute the contract when all necessary conditions have been met and 3) approve a 10% construction contingency in the amount of $38,018.
Staff
Prepared by: Gregory S. Card, Purchasing Officer
Reviewed by: Timothy J. Kirby, Director of Finance
Reviewed by: Chip Taylor, Director of Public Works
Reviewed by: Teri Silva, Assistant City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. Bid Summary
2. Draft General Construction Contract