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sr-102709-1fCity Council Meeting: October 27, 2009 Agenda Item: [`" To: Mayor and City Council From: Lee E. Swain, Director of Public Works Subject: Stimulus Funded Santa Monica Boulevard Resurfacing - Phase 2 Contracts Recommended. Action Staff recommends that the City Council: 1. award a construction contract to All American Asphalt, the lowest responsible bidder, in the amount of $613,307 plus a 10% contingency of $61,331 for a total amount not to exceed $674,638; 2. authorize the City Manager to negotiate and execute a construction management agreement with Tetra Tech in the amount of $61,000 plus a 10% contingency of $6,100 for a total amount not to exceed $67,100; 3. authorize the City Engineer to issue any necessary change orders to complete additional work within budget authority; and 4. authorize budget changes to establish budget in revenue account and appropriate funding in capital project expenditure account. Executive Summary The Stimulus Funded Santa Monica Boulevard Resurfacing -Phase 2 Project (Project) consists of pavement resurfacing, sidewalk repairs, concrete gutter installation and other similar improvements to Santa Monica Boulevard between Cloverfield Boulevard and Centinela Avenue. The majority of funding for the Project is provided by the American Recovery and Reinvestment Act -Regional Surface Transportation Program (RSTP) funds. Stimulus funds in an amount up to $882,288 have been authorized by the Federal Highway Administration and the State of California, Department of Transportation (Caltrans) for the construction of this Project. Funding for construction management and inspection of the project is provided by the General Fund. Background On February 17, 2009, President Obama signed into law the American Recovery and Reinvestment Act of 2009 making available funds to state and local governments for projects that would spur economic activity, and save or create jobs. Stimulus funding in 1 the amount of $2,677,000 was allocated to the City of Santa Monica based on formula grant criteria established for the Surface Transportation Program-Local. This Project is the second of two resurfacing projects developed using the City's allocation of transportation stimulus funds administered through Caltrans. Discussion The Project consists of cold-milling/grinding and rubberized asphalt overlay, re-striping, sidewalk removal and reconstruction, curb and gutter removal and reconstruction and other appurtenant work on Santa Monica Boulevard from Cloverfield Boulevard to Centinela Avenue. Contractor Selection A Notice Inviting Bids was published in the Santa Monica Dailv Press on July 29 and 31, 2009, and the bid documents were sent to nine public plan rooms. The Notice Inviting Bids was also posted on PlanetBids. A total of 18 prospective bidders requested bid documents and six sealed bids were received by the City Clerk's office. The following bids were publicly opened and read aloud on September 8, 2009, by the Deputy City Clerk. The bid results were as follows: 1. All American Asphalt $ 613,307 2. Sequel Contractors, Inc. $ 647,461 3. Griffith Company $ 696,114 4. Palp, Inc. dba Excel Paving Co. $ 699,579 5. Sully-Miller Contracting, Co. $ 711,775 6. Silvia Construction $ 719,356 The Federal grant requirements necessitate awarding to the lowest responsible bidder as a condition of receiving the funds. For this proposed award, the City's best bidder criteria was not used. The lowest responsible bidder, All American Asphalt, supplied the City with a list of similar projects for the cities of Huntington Beach, Corona, Mission 2 Viejo, Hemet, Industry and Irvine as well as for the County of Los Angeles. The projects listed were either ongoing or completed within the last two years. Staff contacted the references for these projects and they all reported that the contractor's work quality was good and the projects were on schedule or completed in a timely and cost efficient manner. Staff also contacted the Center for Contract Compliance and found All American Asphalt 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 Manaoement Selection On July 2, 2009, the City requested Statements of Qualifications for construction management and inspection services for the Stimulus and Prop 1 B funded resurfacing projects. The request for Statements of Qualifications was advertised on the City's website and on PlanetBids. A total of 13 firms submitted Statements of Qualifications for these projects, which were reviewed and rated by Public Works staff. Selection criteria included experience on similar projects, staffing efficiency, technical competence, understanding of the project's scope, approach to the work, contract dispute experience, qualification of proposed staff, and the ability to meet required time frames. The top three firms were invited to interview with the City. Staff from Public Works completed these interviews on July 22, 2009. Tetra Tech was selected as the top ranked firm. Tetra Tech supplied the City with a list of similar projects. for the cities of Buena Park, Burbank, San Diego, Huntington Beach, Palm Desert, and National City. Tetra Tech has provided Construction Management services to the City of Santa Monica in the past and has a proven record of successful budget and schedule management. Tetra Tech is recommended as the best proposer to provide construction management and construction inspection services. Their services will include public outreach, construction management, Disadvantaged Business Enterprise and Davis Bacon reporting, and continuous inspection of the contractor's work. Tetra Tech has relevant 3 experience working on various utility and street improvement projects for the City of Santa Monica. City staff contacted reference agencies and all respondents reported that the firm provided exceptional construction management and inspection services. Public Outreach Public relations during construction of this project will be provided by Tetra Tech as a part of the construction management effort. The outreach process will consist of public notifications on the scope of the project, potential impacts, schedule, and periodic project updates. Financial Impacts & Budget Actions The following FY2009-10 budget changes are needed to record receipt of the grant funds and make them. available for program use: • Establish a revenue budget in the amount of $674,638 at account 20402.408090 • Appropriate funds of $674,638 to capital projects account number 0207033.589057. The total project cost including construction, construction management, and contingencies is estimated to not exceed $741,738 and is available in the following accounts: Construction Contract -All American Asphalt: Account Name Amount 0207033.589057 ARRA-Citywide Street Resurfacing $ 674,638 Construction Manaaement Contract -Tetra Tech: Account Name Amount M020152.589000 Street Repair/Resurfacing $ 67,100 Total Funds Available: $ 741,738 4 Prepared by: Allan Sheth, Civil Engineering Associate Approved: Forwarded to Council: ~~ Lee E. Swain, Director Department of Public Works P. Lamont Ern City Manager 5 Reference Contract Nos. 9141 (CCS) & 9142 (ccs).