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SR-05131986-6R~- MAY 13 1986 GS:SES:JAS Council Meeting: May 13, 1986 Santa Monica, California To: Mayor and City Council From: City Staff Subject: Award of Contract for the Reconstruction of Wilshire Boulevard 21st Street to Centinela Avenue Introduction This report recommends that the City Council award a contract for the reconstruction of Wilshire Boulevard from 21st Street to Centinela Avenue to Sully Miller Contracting Coy, the lowest responsible bidder, in the amount of $1,2'10,920, It also requests that the City Council appropriate $300,000 from the Gas Tax fund to Capital Account No, 43-770-421-OOU-913y Background Wilshire Boulevard is being reconstructed in two phases. The first phase, Ocean Avenue to 21st Street, was completed in June 1983. The second phase, 21st Street to Centinela Avenue, was approved and budgeted for FY1984-85, This project has been delayed primarily due to the protracted approval process required by Cal 'Trans, Cal Trans is the administrative agency for the Federal Aid Urban Program which is the primary source of funds comprising 87~ of this projec t A Notice Inviting Bids was published in December 1985 and four bids were received. The bids ranged from 1,317,000 to 1,438,820 The City Engineer's estimate, based on costs for the first phase of Wilshire Boulevard reconstruction, was $908,000, Staff contacted the four bidders and questioned them about their high - 1 - ~_' MAY 1 ~ i986 bids. They indicated that the reasons the bids were high was because of the 1) sequencing (working on alternate blocks) requested by the City, and 'Z) increase in cost of insurance, concrete pavement construction, dumping and trucking fees since the first phase was completed. As a result of the above information, staff recommended that the bids be rejected, construction sequencing be modified by staff to reduce costs while still providing relatively modest disruption to traffic and businesses, and the project rebid. After the modifications were completed and approved by Cal Trans and the City Engineer's estimate revised, a Notice Inviting Bids was published in the Evening Outlook on March 20 and 21, 1986, and five construction journals. The Notice was also sent to four minority business associations, Plans and specifications were issued to eleven general contractors Bids were opened and read publicly on April 21, 1986, by the lleputy City Clerk, Four bids were received as follows: Sully Miller Contracting Coy $1,220,920 00 Griffith Company 1,269,817.00 Terrain, Inc. 1,324,740.70 Excel Paving Company 1,336,130.00 City Engineer's Estimate: $1,184,641.00 The specifications stated that no work can be done between mid-November and mid-January, however, the project is scheduled to be completed prior to November 1986. No women or minority owned firms submitted bids for this project, - 2 - Sully-filler Contracting Co. has successfully completed other resurfacing projects for the City. The City Engineer's original estimate done in late 1983 was based on actual costs experienced during the first phase of Wilshire Boulevard reconstruction plus an inflation factory This estimate has proved to be too low as evidenced by the high bids received in January and the current bids. However, sufficient FAU funds are programmed with Cal `trans for the Regional Transportation Improvement Program to cover the appropriation necessary to fund this projec t A gutter and street resurfacing assessment district for this project was approved by the City Council on April 9, 1985, Approximately $135,000 will be generated by the assessment which will be collected upon completion of the work Budget/Financial Analysis .Funds Required Contract $1,220,920.00 Project Management/Inspection 35,000y00 Contingencies 20,350.00 TOTAL $1,276,270.00 Appropriation authority in the amount of $976,279,28 is in Account 43-770-421-000-913, It is requested that the City Council appropriate $300,000 from the Gas Tax fund to Account Noy 43-770-421-000-913 for a total of $1,276,279y83, The additional $300,000 will be reimbursed to the City from FAU funds which have - 3 - already been approved per the Regional Transportation Improvement Program (RTIP). Reimbursement will be received as the work is completedy The proposed 1986-87 budget revenue estimates will be amended to reflect this increase in revenue, Recommendation It is recommended that the City Council: 1~ Appropriate $300,000 from the Gas Tax fund to Capital Account Noy 43-770-421-000-913; and 2~ Award a contract for the reconstruction of Wilshire Boulevard between 21st Street and Centinela to Sully Miller Contracting Co „ the lowest responsible bidder, in the amount of $1,220,920; and 3y Authorize the City Engineer to issue any change orders necessary to complete additional work to the extent of funds available in accordance with the Administrative Instruction on Change Orders. Prepared by: Stan Scholl, Director of General Services - 4 - Reference Contract No. 4681 (CCS).