REPORT TO COUNCIL
SUBJECT
Title
Award of Bid No. PW16-21 for the Slurry Seal 2016-B Project 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 $277,000 to VSS International Inc. of West Sacramento for the Slurry Seal 2016-B project (Public Works Project ST-16-02). Approval is also requested for a 10% construction contingency in the amount of $27,700.
EXISTING POLICY
Section 1309 of the City Charter requires public works construction contracts to be awarded to the lowest responsive and responsible bidder.
ENVIRONMENTAL REVIEW
The California Environmental Quality Act (CEQA) determination for this project is a Class 1 categorical exemption pursuant to CEQA Guidelines Section 15301 for maintenance or repair of existing facilities involving negligible or no expansion of use beyond which presently exists.
BACKGROUND AND DISCUSSION
The slurry sealing of City streets provides for the application of a mixture of oil, water, sand and selected additives to the surface of a street, which when allowed to dry/cure, provides a thin wearing surface and seals the underlying surface materials to assist in blocking the access of water into the subgrade. Slurry seal is a maintenance treatment that is easy to apply and economical, providing a cost effective method to extend the life of a road surface.
The City typically bids and awards a slurry seal contract under a comprehensive annual program which involves a significant effort on the part of City staff to provide public noticing, traffic control and crack sealing. The annual 2016 contract included approximately 3.1 million square feet of slurry sealing over 115 locations and was awarded on February 23, 2016 (RTC No. 16-0150).
The recommended contract with VSS International involves the slurry sealing of two segments of Mathilda Avenue, from Caribbean Drive to Bordeaux Drive and Awahnee to California Avenue, with approximately 572,000 square feet of roadway repair. Under this contract, all of the prep work, noticing, and traffic control (including lane closures) will be handled by the paving contractor rather than City staff, which is typical for work on major arterial streets.
The project was advertised for competitive bidding in the Sunnyvale Sun on February 5, 2016, distributed to eighteen Bay Area Builder’s Exchanges, and published on the City’s website through the Demandstar public procurement network. Eight contractors requested bid documents. Sealed bids were opened on February 24, 2016, with six responsive bids being received. The lowest responsive and responsible bid was submitted by VSS International Inc. The bid summary is contained in Attachment 1.
A seventh bid was received from Pavement Coatings Company of Jurupa, but the bid included a material math error which affected their bid result by $70,000, i.e., the total of their bid items equaled $299,225 but a lower amount of $229,225 was written as the grand total. In accordance with sections 5103 and 5015 of the California Public Contract Code, Pavement Coatings Company requested and was allowed to withdraw their bid.
FISCAL IMPACT
The project costs consist of the construction contract in the amount of $277,000, and a 10% construction contingency in the amount of $27,700, for a total of $304,700. Budgeted funds are available in Capital project 825290, Pavement Rehabilitation.
Funding Source
This project is funded by the General Fund, the SB83 VRF Road Improvement Fund, and Gas Tax Funds.
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 CEQA categorical exemption pursuant to CEQA Guidelines Section 15301 (Class 1, Existing Facilities) as it relates to the rehabilitation of existing streets involving negligible or no expansion of existing use; 2) award a construction contract, in substantially the same format as Attachment 2 to the report and in the amount of $277,000 to VSS International Inc.; and 3) approve a 10% construction contingency in the amount of $27,700.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Timothy J. Kirby, Acting Director, Finance
Reviewed by: Manuel Pineda, Director, Public Works
Reviewed by: Walter C. Rossmann, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Bid Summary
2. Draft General Construction Contract