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SR-502-002-04 (8) EPWM: CP: AA: EG: DB: JC: AS: F:\DATA\SPFILES\SP1909\CC1909(DP).doc Council Meeting: November 25, 2003 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Construction Related Contracts for the Fourth Street Neighborhood Traffic and Water Main Improvement Project Introduction This report recommends that the City Council award a contract for the construction of the Fourth Street Neighborhood Traffic and Water Main Improvement Project toMajich Bros., Inc., the best bidder, in the amount of $1,503,555 and approve a contingency amount of Deleted: 445 $150,355; and authorize the City Manager to negotiate and execute a modification to professional services agreement 7788 (CCS) with DMR Team Inc. for construction management of the water main portion of the project, in the amount of $110,000 and approve a contingency amount of $11,000. The location of the project is Fourth Street from Pico Boulevard to the Southerly City Limit. The project is funded by the Water Fund (62%) and the General Fund (38%). Background In February 2000, the City Council conceptually approved the Fourth Street Neighborhood Traffic Improvement Plan including: ? A traffic circle at the Strand Street and Fourth Street intersection; ? Curb extensions at the uncontrolled intersections; 1 ? The addition of texturized pavement within the crosswalks at the controlled intersections; ? Two landscaped median islands between Pico Boulevard and Bay Street; ? A curb extension from the east side of Fourth Street, just south of Marine, with a ?Welcome to Santa Monica? sign; ? Minor lengthening of several existing median islands; and ? The addition of crosswalks across Fourth Street on the south side of the Bay Street and Strand Street intersections. The landscaped circle and curb extensions will be constructed within the area of the existing temporary delineators. The Plan was developed at the request of and in conjunction with neighborhood representatives. During the design process, there have been periodic update meetings with residents, property owners and businesses, most recently in August 2003. Residents were informed at an April 2002 meeting that the Neighborhood Traffic Improvement project would be combined and constructed with the Fourth Street Water Main Replacement project originally scheduled for 2002/2003 and extending from Pico Boulevard to the Southerly City limit to minimize disruption. After the combined project is completed, that entire segment of Fourth Street will be resurfaced under a separate contract. CEQA Analysis The proposed neighborhood traffic improvements and water main replacement on Fourth 2 Street between Pico Boulevard and the Southerly City Limit have been determined to be categorically exempt from the provisions of the California Environmental Quality Act (CEQA), pursuant to Article 19, Section 15301 (c) which was recently amended to define Class 1 exempt projects in the following way: "Class 1 consists of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving little or no expansion beyond that existing at the time of the lead agency's determination...? This exemption lists as an example of existing facilities: (c) Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities. The Fourth Street Neighborhood Traffic Improvements and Water Main Replacement maintain the existing lane configuration and add raised median islands; add raised curb extensions in place of the temporary ones; add crosswalk striping and pavement texture; and replace the existing water main. These improvements are to existing streets and sidewalks and include negligible or no expansion of these existing facilities. Discussion A Notice Inviting Bids was published on August 9 and 11, 2003 in The Los Angeles Times, ?California Section? and in the F. W. Dodge newsletter. The bidding documents were also 3 sent to eleven public plan rooms. Twenty-nine contractors requested the bidding documents and the City Clerk's office received six sealed bids, which were publicly opened and read aloud on September 18, 2003 by the Deputy City Clerk. The bid results were as follows: 1. Majich Bros., Inc. $1,503,555.00 2. Shawnan $1,561,438.20 3. Orion Contracting, Inc. $1,662,140.80 4. Nativ Engineering $1,715,650.60 5. Sully-Miller Contracting Co. $1,865,355.50 6. PALP, Inc. dba Excel Paving Company $2,084,765.05 City Engineer's Estimate $1,500,000 The best bidder, Majich Bros., Inc., supplied a list of projects for the cities of Seal Beach, Newport Beach, and Ventura, and the Victor Valley Wastewater Reclamation Authority. In addition, Majich has successfully completed a water main replacement for the City of Santa Monica in FY 00-01, and a recycled water main construction in FY 02-03. Damon Construction, the concrete sub-contractor on the project, has successfully completed several projects for the City of Santa Monica over the past five years, including the most recent street improvement project, which was completed in FY 01-02. 4 Staff contacted the agency representatives for the previously completed work, and they all reported that the contractor's work quality was good and that work was completed in a timely and cost efficient manner. Staff also contacted the Center for Contract Compliance and found Majich Bros, Inc. in good standing and capable of handling labor compliance issues. The State Contractor?s License Board verified that the Contractor's license is active and in good standing. Construction Management In September 2000, following a competitive process, the City Council approved a professional services agreement with DMR Team, Inc. to provide project and construction management services for the design and construction of the Fourth Street Neighborhood Traffic Improvements between Pico Boulevard and the Southerly City Limit. DMR Team, Inc. submitted a cost proposal for the construction management and inspection services for the water main portion of the project on July 28, 2003. The work includes construction oversight and continuous inspection of the contractor?s work during construction, monitoring traffic control and detour plans, reviewing change order requests, conducting periodic progress meetings, coordinating information requests between the contractor, the City, and various other agencies, and maintaining all necessary project documentation relevant to the work. They are recommended to manage the combined project for a total fee of $236,960 including contingency. DMR Team?s past performance on the Pico Streetscape project for the City of Santa 5 Monica, and other similar projects completed for other agencies, including the cities of Culver City, Downey, Lancaster, Lynnwood, Santa Clarita and South Pasadena has been excellent. 6 Budget/Financial Impact CONSTRUCTION FUNDS REQUIRED Contract amount..........................................................$1,503,555 Contingency (10%)......................................................$ 150,355 Total Construction Funds Required.......................................$1,653,910 CONSTRUCTION MANAGEMENT FUNDS REQUIRED Contract Amount..........................................................$ 110,000 Contingency (10%)......................................................$ 11,000 Total Construction Management Funds Required................$ 121,000 TOTAL FUNDS REQUIRED.............................................................$1,774,910 Funds are available in the following accounts: C01084100.589000 Neighborhood Traffic Measures $ 23,463 C01084101.589000 Neighborhood Traffic Measures $319,424 C01084102.589000 Neighborhood Traffic Measures $326,083 C25013603.589000. Water Main Replacement $1,105,940 TOTAL FUNDS AVAILABLE $1,774,910 7 Recommendation Staff recommends that the City Council: 1. Award a contract to Majich Bros., Inc., the best bidder, for the Fourth Street Neighborhood Traffic and Water Improvement Project in the amount of $1,503,555 and approve a contingency amount of $150,355; 2. Authorize the City Manager to negotiate and execute a modification to professional services agreement 7788 (CCS) with DMR Team, Inc. for construction management and inspection services related to the installation of the Fourth Street water main in the amount of $110,000 and approve a contingency amount of $11,000; and 3. Authorize the City Engineer to issue any necessary change orders to complete additional work within budget authority. Prepared by: Craig Perkins, Director, Environmental and Public Works Management Anthony Antich, P.E., City Engineer Ellen Gelbard, Assistant Director, Planning and Community Development Dave Britton, P.E., Principal Civil Engineer Jim Creager, P.E., Civil Engineer Allan Sheth, Civil Engineer Associate 8