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HomeMy WebLinkAbout07 - Marguerite Avenue and Hospital Road Pavement RehabilitationTO: FROM: CITY OF NEWPORT BEACH City Council Staff Report July 24, 2018 Agenda Item No. 7 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL David A. Webb, Public Works Director - 949-644-3311, dawebb@newportbeachca.gov PREPARED BY: Alfred Castanon, Associate Engineer acastanon@newportbeachca.gov PHONE: 949-644-3347 TITLE: Marguerite Avenue and Hospital Road Pavement Rehabilitation — Award of Contract No. 7188-1 (18R24) ABSTRACT: Construction bids were received for the Marguerite Avenue and Hospital Road Pavement Rehabilitation project. Staff requests City Council's approval to award the construction contract to Excel Paving Company of Long Beach, California. RECOMMENDATION: a) Find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Class 2 Section 15302 (c) (reconstruction of existing public facilities involving negligible or no expansion of capacity) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment; b) Approve the project plans and specifications; c) Award Contract No. 7188-1 to Excel Paving Company for the bid amount of $887,788.00 for the Marguerite Avenue and Hospital Road Pavement Rehabilitation project, and authorize the Mayor and City Clerk to execute the contract; d) Establish a contingency of $90,000.00 (approximately 10% of total bid) to cover the cost of unforeseen work not included in the original contract; and e) Approve Budget Amendment No. 19BA-003 appropriating $120,000.00 from the unappropriated Gas Tax fund balance to Account No. 12101-980000-18R24 for the Marguerite Avenue and Hospital Road Pavement Rehabilitation project. FUNDING REQUIREMENTS: Upon approval of the budget amendment, sufficient funding is available for this project. Projects savings from the recently completed Arterial Highway Pavement Repair project will return to the Gas Tax fund in time for the recommended appropriation. 7-1 Marguerite Avenue and Hospital Road Pavement Rehabilitation — Award of Contract No. 7188-1 (18R24) July 24, 2018 Page 2 The following funds will be expensed: Account Description Gas Tax Measure M Fair Share Contributions (Grant Funds) Water Enterprise Wastewater Enterprise Proposed fund uses are as follows: Vendor Excel Paving Company Excel Paving Company GMU Geotechnical, Inc. Various Account Number BIDDER Amount 12101-980000-18R24 $ 269,080.00 12201-980000-18R24 $ 639,000.00 13501-980000-18R24 $ 24,300.00 70101-980000-19R09 $ 16,320.00 71101-980000-19R09 $ 9,100.00 Total: $ 957,800.00 Purpose 967,645.00 Amount Construction Contract $ 887,788.00 Construction Contingency $ 45,000.00 Geotechnical Services $ 23,000.00 Printing & Incidentals $ 2,012.00 Total: $ 957,800.00 Staff recommends establishing approximately a ten (10) percent contingency for unforeseen conditions associated with construction. DISCUSSION: As part of the Pavement Management Program, this year's street rehabilitation project will focus on repairing deteriorated pavement conditions on Marguerite Avenue and Hospital Road. At 10 a.m. on July 12, 2018, City Clerk opened and read the following bids for this project: The apparent low bidder for this project, Excel Paving Company (Excel) submitted a bid 11 percent above the Engineer's Estimate of $800,000. The bids are competitive and they reflect the current market conditions that include higher labor and oil pricing. The additional budget funding is necessary to accommodate the project and is coupled with savings from a previous paving project. Excel submitted all the necessary forms and possesses a Classification "A" California State Contractors License as required by the project specifications. A check of the contractor's references indicates satisfactory completion of similar projects for the City of Newport Beach and other public agencies. Excel recently completed the Balboa Peninsula Pedestrian Crossing Improvement project for the City of Newport Beach. 7-2 BIDDER TOTAL BID AMOUNT Low Excel Paving Company $ 887,788.00 2nd R.J. Noble Company $ 933,755.00 3rd Hardy & Harper, Inc. $ 951,000.00 4th All American Asphalt $ 957,957.00 5th Sequel Contractors, Inc. $ 967,645.00 The apparent low bidder for this project, Excel Paving Company (Excel) submitted a bid 11 percent above the Engineer's Estimate of $800,000. The bids are competitive and they reflect the current market conditions that include higher labor and oil pricing. The additional budget funding is necessary to accommodate the project and is coupled with savings from a previous paving project. Excel submitted all the necessary forms and possesses a Classification "A" California State Contractors License as required by the project specifications. A check of the contractor's references indicates satisfactory completion of similar projects for the City of Newport Beach and other public agencies. Excel recently completed the Balboa Peninsula Pedestrian Crossing Improvement project for the City of Newport Beach. 7-2 Marguerite Avenue and Hospital Road Pavement Rehabilitation — Award of Contract No. 7188-1 (18R24) July 24, 2018 Page 3 The streets rehabilitated in this project are Marguerite Avenue from Fifth Avenue to San Joaquin hills Road, and Hospital Road from Superior Avenue to Placentia Avenue. Also, included within this project is street reconstruction at the intersection of Irvine Avenue and Cliff Drive. During the design phase, City staff discovered this area of deteriorated roadway and included design in this project to take advantage of the economy of scale for savings as well as reduce disruption as this work is located adjacent to Horace Ensign Middle School. The contractor will be required to address this street repair work before the start of the school year. The proposed project involves surface milling and then overlaying the existing street pavement with new rubberized asphalt surface pavement. Deteriorated sidewalk, curb and gutter, and access ramps will be reconstructed as well as adjusting utility and survey facilities to grade. Work will begin in August and scheduled to be completed before Thanksgiving. Pursuant to the Contract Specifications, the Contractor will have 60 consecutive working days to complete the work. The California Department of Resources and Recovery (CalRecycle) offers funding opportunities authorized by legislation to assist public and private entities in the safe and effective management of waste material. Earlier this year, Public Works staff applied for the Rubberized Pavement Grant Program and was awarded funding for the Marguerite Avenue and Hospital Road Pavement Rehabilitation project. Newport Beach is one of thirty-three (33) local government agencies to receive the grant and $24,300 is being applied toward this current project. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this project exempt from the California Environmental Quality Act (CEQA) pursuant to Class 2 Section 15302 (c) (reconstruction of existing public facilities involving negligible or no expansion of capacity) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential to have a significant effect on the environment; NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Attachment A — Location Map Attachment B — Budget Amendment 7-3 1. ®R, ',�/ �y m 1 MARGUERITE AVENUE 15TH �TREET J>° J CIO 0 3 W zl/ HOSPITAL ROAD ® LIMITS OF WORK 0 ATTACHMENT A \/ � SAN JOAQUIN HILLS '�D well IRVINE AVENUE / CLIFF DRIVE MARGUERITE AVENUE AND HOSPITAL CITY OF NEWPORT BEACH ROAD PAVEMENT REHABILITATION PUBLIC WORKS DEPARTMENT LOCATION MAP C-7188-1 18R24 7/24/18 7-4 City of Newport Beach BUDGET AMENDMENT 2018-19 EFFECT ON BUDGETARY FUND BALANCE: Increase Revenue Estimates X Increase Expenditure Appropriations Transfer Budget Appropriations SOURCE: from existing budget appropriations from additional estimated revenues X from unappropriated fund balance EXPLANATION: ATTACHMENT B NO. BA- 19BA-003 AMOUNT: 1 $120,000.00 This budget amendment is requested to provide for the following: To increase expenditure appropriations from Gas Tax fund balance for the Marguerite Avenue and Hospital Road Pavement Rehabilitation project. ACCOUNTING ENTRY: BUDGETARY FUND BALANCE Fund Object 121 300000 REVENUE ESTIMATES Object Project EXPENDITURE APPROPRIATIONS Org Object Project 12101 980000 18R24 Signed: 411 Fina ' 1 App Signed: Signed: Finance Di Administrate Approval: City Ma City Council Approval: City Clerk Description Gas Tax Fund - Fund Balance Description Description Gas Tax - Marg Ave/Hospital Rd Rehab 18R24 -Construct -121 -Unassigned Amount Debit Credit $120,000.00 Automatic $120,000.00 7 - /& -/o Date -)l1-)) �i Date Date 7-5 Increase in Budgetary Fund Balance ANDX Decrease in Budgetary Fund Balance No effect on Budgetary Fund Balance ONE-TIME? Yes No This budget amendment is requested to provide for the following: To increase expenditure appropriations from Gas Tax fund balance for the Marguerite Avenue and Hospital Road Pavement Rehabilitation project. ACCOUNTING ENTRY: BUDGETARY FUND BALANCE Fund Object 121 300000 REVENUE ESTIMATES Object Project EXPENDITURE APPROPRIATIONS Org Object Project 12101 980000 18R24 Signed: 411 Fina ' 1 App Signed: Signed: Finance Di Administrate Approval: City Ma City Council Approval: City Clerk Description Gas Tax Fund - Fund Balance Description Description Gas Tax - Marg Ave/Hospital Rd Rehab 18R24 -Construct -121 -Unassigned Amount Debit Credit $120,000.00 Automatic $120,000.00 7 - /& -/o Date -)l1-)) �i Date Date 7-5