REPORT TO COUNCIL
SUBJECT
Title
Award of Bid No. PW19-02 for Pavement Rehabilitation 2018 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 $928,283 to Interstate Grading & Paving, Inc. of San Francisco for pavement rehabilitation. Approval is also requested for a 10% construction contingency in the amount of $92,828.
EXISTING POLICY
Section 1309 of the City Charter requires public works construction contracts to be awarded to the lowest responsive and responsible bidder.
Pursuant to Section 2.09.040 of the Sunnyvale Municipal Code, City Council approval is required for public works contracts exceeding $100,000 in any one transaction.
ENVIRONMENTAL REVIEW
The California Environment Quality Act (CEQA) determination for the project is a categorical exemption pursuant to CEQA Guidelines Section 15301(c), for the restoring and rehabilitating of existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities, involving negligible or no expansion of use beyond that presently existing.
BACKGROUND AND DISCUSSION
Capital Project 825290 (Pavement Rehabilitation) provides funding for ongoing roadway infrastructure rehabilitation. The Pavement Rehabilitation 2018 project includes nearly 195,000 square feet of pavement rehabilitation, which is nearly one mile of roadway. This project includes streets that are in poor condition and have medium to severe block cracking and alligator cracking. The roadways have a Pavement Condition Index (PCI) of 56, 54 and 37 respectively.
The Pavement Rehabilitation 2018 Project includes rehabilitation of three roadway segments:
1. Remington Drive, from Bernardo Avenue to Mango Avenue
2. Mary Avenue, from Fremont Avenue to Cascade Drive
3. Old Mountain View-Alviso Road, from Forgewood Drive to Reamwood Drive.
The construction project was advertised for competitive bidding on the City’s DemandStar public procurement network and distributed to Bay Area Builder’s Exchanges on August 31, 2018. Seven contractors requested bid documents. Sealed bids were opened on September 19, 2018, with five responsive bids received (Bid Summary attached). The lowest responsive and responsible bid was submitted by Interstate Grading & Paving in the amount of $928,283. The lowest bid is approximately 3% below the engineer's estimate of $960,000.
FISCAL IMPACT
Project costs include the base bid of $928,283 and a recommended 10% contingency in the amount of $92,828, for a total of $1,021,111. Budgeted funds are available in Capital Project 825290 (Pavement Rehabilitation).
Funding Source
Funding for pavement rehabilitation comes from the General Fund, SB83 VRF Road Improvement Fund, and Gas Tax (regular and SB-1 Gas Tax Funds). The Wastewater Management (Project 831680-Adjust Sewer Utilities in Support of Pavement) and Water Supply and Distribution (Project 831550-Adjust Sewer Utilities in Support of Pavement) funds pay for adjusting manholes and other utility infrastructure affected by the project.
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 a California Environmental Quality Act (CEQA) categorical exemption pursuant to CEQA Guidelines Section 15301 for the restoration or rehabilitation of existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities, involving negligible or no expansion of use beyond that presently existing; 2) Award a contract in substantially the same form as Attachment 2 to the report in the amount of $928,283 to Interstate Grading & Paving, Inc. for the Pavement Rehabilitation 2018 Project, 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 $92,828.
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