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Home My WebLink About22 - 2014 -2015 Streetlight Improvement Project — Award of Contract No. 5818 (CAP15-0014)CITY OF NEWPORT BEACH City Council Staff Report January 27, 2015 Agenda Item No. 22 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: David A. Webb, Public Works Director- (949) 644 -3330, dawebb @newportbeachca.gov PREPARED BY: Peter Tauscher, Civil Engineer PHONE: (949) 644 -3316 TITLE: 2014 -2015 Streetlight Improvement Project — Award of Contract No. 5818 (CAP15- 0014) ABSTRACT: In an on -going effort to rehabilitate the City's aging streetlight system by increasing reliability and energy efficiency and decreasing future maintenance costs, staff requests City Council approval to award the 2014 -2015 Streetlight Improvement Project to Elecnor Belco Electric, Inc. of Chino, California. RECOMMENDATION: a) Approve the project plans and specifications; b) Reject the low bid received from Horizons Construction Company International, Inc. (Horizons) as non - responsive; c) Award Contract No. 5818 to Elecnor Belco Electric, Inc. ( Belco), for the total bid price of $930,484.00 and authorize the Mayor and the City Clerk to execute the contract; d) Establish a contingency of $94,516.00, approximately 10 percent, to cover the cost of unforeseen work; and e) Approve Budget Amendment No. 15BA -026 appropriating $80,000.00 from Account No. 7015 - C1002044 (General Fund project savings from San Miguel Park Restroom project) to Account No. 7013 - C2201000 (General Fund Streetlight Replacement program). FUNDING REQUIREMENTS: It is recommended that project savings realized from the San Miguel Park Restroom project, recently completed this fiscal year, be appropriated to this project account. Upon approval of the budget amendment, sufficient funding is available for the award of this contract. The following funds will be expended: 22 -1 Account Description Account Number Amount General Fund 7013- C2201000 $ 1,035,000.00 Total:$ 1,035,000.00 Proposed uses are as follows: Vendor Elecnor Belco Electric, Elecnor Belco Electric, TBD DISCUSSION: Purpose Inc. Construction Contract Inc. Construction Contingency SCE Meter Service /Printing /Incidentals Amount $ 930,484.00 $ 94,516.00 $ 10,000.00 Total:$1,035,000.00 At 10:00 a.m. on December 18, 2014, the City Clerk opened and read the following bids for the 2014 -2015 Streetlight Improvement Project: BIDDER Low Horizons Construction Company International, Inc. 2 Elecnor Belco Electric, Inc. 3 International Line Builders, Inc. 4 High Light Electric, Inc. 5 California Professional Engineering, Inc. 6 Dynalectric - An EMCOR Company 7 Asplundh Construction Corporation 8 PTM General Engineering 9 Select Electric, Inc. 10 Minaka America Corporation 11 Village Green Global * Non - responsive ** As read amount $875,697.50 * ** As read amount $929,984.00 * * ** As read amount $1,338,675.00 * * * ** As read amount $1,475,703.56 TOTAL BID AMOUNT $ 884,147.50* ** $ 930,484.00 * ** $ 938,590.00 $1,038,888.00 $1,098,820.00 $1,161,694.00 $1,338,795.00 * * ** $1,427,327.00 $1,475,696.00 * * * ** $1,620,660.00 No Pricing Provided* Pursuant to the contract stipulations the contractor shall have completed three comparable streetlight projects. A review of the low bidder, Horizons Construction Company International, Inc.'s bid package revealed they did not have any street lighting experience. Additional documentation to justify their technical expertise was requested in a letter dated December 19, 2014, however, no information was provided. Therefore, staff recommends Horizons' bid be deemed non - responsive. The second low bidder, Elecnor Belco Electric, Inc., possesses a California State Contractors License Classification "A" as required by the project specifications. A check of Belco's references indicates satisfactory completion of similar capital improvement projects for other public agencies and municipalities. Belco's total bid amount is approximately seven percent below the Engineer's Estimate of $1,000,000.00. The work for this contract includes removing 214 streetlight fixtures, installing new energy efficient LED streetlight fixtures, and upgrading three existing streetlight circuits per the City's Streetlight Replacement Master Plan. The work area includes Irvine Avenue from Sherrington Place to Dover Drive and the Westcliff neighborhood. The original project budget only anticipated upgrading two streetlight circuits. As 22 -2 Public Works prepared the preliminary concepts and schematics, it decided to add a third street lighting circuit (36 streetlights) to the design and bidding. Although the project slightly exceeds the existing budget, staff estimated that this additional investment would advance future street light construction from next year and replace the last remaining obsolete incandescent streetlight circuits. This additional work is recommended and will remove an additional series circuit and provide on -going savings due to much lower energy cost and reduced maintenance of this obsolete and inefficient circuit. The estimated annual energy and maintenance cost savings associated with this project is $70,000, which provides an approximately 13 year cost recovery period. Saving projections will be confirmed by Southern California Edison data upon project completion. Pursuant to the contract specifications, the contractor will have 100 consecutive working days to complete the work. ENVIRONMENTAL REVIEW: This project is exempt from the California Environmental Quality Act ( "CEQA ") pursuant to Section 15302 (replacement of existing facilities involving negligible 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). The Notice Inviting Bids was advertised in the City's official publication and in construction industry publications. ATTACHMENTS: Description Attachment A - Location Map Attachment B - Letter to Horizons Construction Company International. Inc. dated 12/19/14 Attachment C - Budget Amendment 22 -3 JOHN WAYNE AIRPORT F� FF CITY OF COSTA MESA P CITY OF VICTORIA ST m �P /�6D IRVINE m ��P UPPER :HEwPOR7 w 2� 5P 1 ......... BAY w\ �� 3 �L �W- i 4r bn iii / //b l PAc/p /c oo b* v BAt80A ocEAN a PROJECT LOCATIONS 1 - SLD CIRCUIT 0067 2 - SLD CIRCUIT 0074 3 - SLID CIRCUIT 0076 A NTS 2014 -2015 CITY OF NEWPORT BEACH STREETLIGHT IMPROVEMENT PROJECT PUBLIC WORKS DEPARTMENT LOCATION MAP C -5818 1/27/15 22 -4 ATTACHMENT B CITY OF NEWPORT BEACH PUBLIC WORKS DEPARTMENT David A. Webb, Public Works Director December 19, 2014 Kinan Kotrash Horizons Construction Company International, Inc. 432 W. Meats Avenue Orange, CA 92865 Subject: 2014 -2015 Streetlight Improvement Project - Contract No. 5818 Dear Mr. Kotrash, Pursuant to our recent telephone conversation and following a review of your bidding documents dated December 18, 2014 regarding to the 2014 -2015 Streetlight Improvement Project, you are aware, Horizons Construction Company International, Inc. (Horizons) is the apparent low bidder with a bid of $884,147.50. A review of your technical ability and experience did not include any electrical work. Page 8 of 22 of the Special Provisions states "The Contractor shall have maintained a contractor's license for at least five years and completed, at a minimum, three comparable sized streetlight series conversion projects. Projects and contacts shall be listed in the Technical Ability and Experience Reference sheet." As the primary contractor you need to show Horizons has experience working with high voltage series circuit. Currently, you have not illustrated you have the experience or technical ability to complete this project. If you would like to submit additional documentation as required contract documents showing Horizons ability to perform quality work for our consideration and the City Council's consideration. Please submit this information to me before 12:00 p.m. on December 22, 2014. If satisfactory information is not provided Horizons' bid will be considered non - responsive. Should you have any questions about this matter, please contact me at (949) 644 -3316. Sincerely, Peter Tauscher, P.E. Project Engineer Cc: Mark Vukojevic, Deputy Public Works Director /City Engineer Leonine Mulvihill, Deputy City Attorney 100 Civic Center Drive a Post Office Box 1768 a Newport Beach, California 92660 (P.O. Box 92658 -8915) Telephone: (949) 644 -3330 • Fax: (949) 644 -3308 • www.newoortbeachca.00v 22 -5 ATTACHMENT C City of Newport Beach BUDGET AMENDMENT 2014 -15 EFFECT ON BUDGETARY FUND BALANCE: Increase Revenue Estimates Increase Expenditure Appropriations PX Transfer Budget Appropriations SOURCE: from existing budget appropriations from additional estimated revenues from unappropriated fund balance =Vol AuATIMP NO. BA- 15BA -026 AMOUNT: $801060.00 Increase in Budgetary Fund Balance Decrease in Budgetary Fund Balance X No effect on Budgetary Fund Balance This budget amendment is requested to provide for the following: To transfer expenditure appropriations from the San Miguel Park Restroom project to the FY15 Streetlight Improvement project. ACCOUNTING ENTRY: BUDGETARY FUND BALANCE Amount Fund Account Description Debit Credit REVENUE ESTIMATES (3601) Fund /Division Account Description EXPENDITURE APPROPRIATIONS (3603) Description Division Number 7015 Parks Account Number C1002044 San Miguel Park Restroom $80,000.00 Division Number 7013 Street Account Number C2201000 Streetlight Improvement Program / ' Automatic System Signed: Signed: Signed: Approval: Finance Approval: City Manager City Council Approval: City Clerk l- ao -lS Date � Zo Date Date 22 -6