HomeMy WebLinkAboutItem 12f - Live Oak Pavement Rehabilitation Project
DATE: July 6, 2021
TO: Honorable Mayor and City Council
FROM: Jason Kruckeberg, Assistant City Manager/Development Services Director
Philip A. Wray, Deputy Director of Development Services/City Engineer
By: Kevin Merrill, Principal Civil Engineer
SUBJECT: CONTRACT WITH GENTRY BROTHERS, INC. FOR THE PAVEMENT
REHABILITATION OF LIVE OAK AVENUE BETWEEN SANTA ANITA
AVENUE AND THE EASTERLY CITY LIMITS IN THE AMOUNT OF
$1,083.045.23; AND ADOPT RESOLUTION NO. 7368 AMENDING THE
CAPITAL IMPROVEMENT PROGRAM BUDGET AUTHORIZING A
SUPPLEMENTAL APPROPRIATION IN THE AMOUNT OF $260,000,
OFFSET BY A REDUCTION IN THE MEASURE R FUND
Recommendation: Approve and Adopt
SUMMARY
As part of the City’s ongoing Pavement Management Program, the City annually
appropriates Proposition C funding for arterial repaving projects. For the Fiscal Year
2019-20 Capital Improvement Program (“CIP”), the City Council appropriated funding for
the rehabilitation of Live Oak Avenue between Santa Anita Avenue and the easterly City
Limits.
The Pavement Rehabilitation Project was advertised for bids in May 2021, and bids were
opened on June 10, 2021. Nine (9) bids were received, and Gentry Brothers, Inc.
submitted the successful low bid in the amount of $1,083,045.23. The low bid is higher
than the available budget of $1.1 million when the standard 10% contingency is included;
therefore, an additional appropriation of $260,000 is necessary to cover the shortfall.
It is recommended that the City Council find the project categorically exempt pursuant to
the requirements of the California Environmental Quality Act (“CEQA”), and authorize and
direct the City Manager to execute a contract with Gentry Brothers, Inc. for the Pavement
Rehabilitation of Live Oak Avenue between Santa Anita Avenue and the easterly City
Limits, in the amount of $1,083,045.23, with a 10% contingency, and adopt Resolution
No. 7368 Amending the Capital Improvement Program budget authorizing an additional
appropriation in the amount of $260,000, offset by a reduction in the Measure R fund.
Live Oak Avenue Pavement Rehab
July 6, 2021
Page 2 of 4
BACKGROUND
The City annually appropriates Proposition C funding for arterial street pavement projects.
The City’s Pavement Management Program, which analyzes the existing condition of
street pavement, has identified Live Oak Avenue between Santa Anita Avenue and the
easterly City Limits as the highest priority arterial street for repair. The Pavement
Condition Index (“PCI”) is used to indicate the general condition of pavement sections
with a rating between 0 to 100, with 100 being excellent and 0 being completely failed.
This segment of Live Oak Avenue has an average PCI rating as low as 28 for the
eastbound direction, and 42 for the westbound direction.
For the Fiscal Year 2019-20 CIP, the City Council appropriated $1.1 million in funding for
the project. The rehabilitation will include removing and replacing isolated sections of
pavement and grinding and resurfacing the entire street with 1-1/2 inches of new asphalt.
The project includes other elements such as minor traffic signal improvements, curb and
gutter, sidewalk, driveway, and corner ADA ramp repairs.
On January 21, 2020, the City Council approved a Professional Services Agreement with
Kreuzer Consulting Group for project design services. The final design was completed in
early 2021. The engineer’s estimate for the project at that time was $1,100,000. The
project design and bidding process was ultimately delayed due to the pandemic.
DISCUSSION
The project was advertised for bids in May 2021, and bids were opened on June 10, 2021.
Bids were received from nine (9) prospective contractors with the following results:
NAME AMOUNT
Gentry Brothers Inc. $1,083,045.23
All American Asphalt $1,279,148.80
Sully Miller Contracting $1,308,000.00
Onyx Paving Co., Inc. $1,331,000.00
Vance Corporation $1,335,777.35
E C Construction $1,363,203.46
Excel Paving Co. $1,429,380.60
Hardy & Harper Inc. $1.589.000.00
Hillcrest Contracting, Inc. $1,747,925.30
After reviewing the bid documents, Gentry Brothers, Inc. was determined to be the lowest
responsible bidder. Gentry Brothers has been in business for many years and is a very
competent contractor. They have performed work for the City in the past with favorable
results.
Live Oak Avenue Pavement Rehab
July 6, 2021
Page 3 of 4
Bid prices were noticeably higher than originally estimated just a few months ago. This
appears to be happening throughout the construction industry where materials and labor
shortages based on the impact of COVID-19 are now driving up the cost of construction.
The engineer’s estimate typically falls somewhere in the middle of the bids, but in this
case, it was near the low bid. The average construction bid price of the nine bidders is
$1,387,387, approximately 25% above the estimate.
Gentry Brothers is satisfied with their bid and is ready to move forward with the project.
Because the project budget is $1,100,000, additional funds are necessary to cover the
total project costs and the standard 10% contingency. Measure R funds are eligible for
this work and available in the Measure R fund balance. Therefore, an additional
appropriation of $260,000 from Measure R funds is proposed as part of this action, much
of which is to cover the contingency, which may not ultimately be needed.
ENVIRONMENTAL IMPACT
This project is categorically exempt per Section 15301(c) of the California Environmental
Quality Act (“CEQA”), as repair and maintenance of an existing highway or street.
FISCAL IMPACT
The project was budgeted in the 2019-20 Fiscal Year Capital Improvement Program with
$900,000 in Proposition C funds, and $200,000 in Transportation Impact Fee funds, for a
total of $1,100,000. The City Council previously approved a design contract for this project
in the amount of $82,000. The revenue sources for this project have very specific limits
of eligibility; therefore, the individual bid items must be separated by eligible funding
source to evaluate the total costs per each budgeted fund. Based on the currently
available budgeted funds, there is a shortfall of approximately $150,000 in Proposition C
funds to cover the low bid. Adding the 10% contingency, the total additional appropriation
needed is $260,000. Because additional Proposition C funds are limited, the additional
appropriation is proposed to be allocated from the Measure R fund, which is eligible for
this work. There is no shortfall for the Transportation Impact Fee-funded portion of the
project and no General Funds are needed.
RECOMMENDATION
It is recommended that the City Council find the project categorically exempt pursuant to
the requirements of the California Environmental Quality Act (“CEQA”); and authorize and
direct the City Manager to execute a contract with Gentry Brothers, Inc. for the Pavement
Rehabilitation of Live Oak Avenue between Santa Anita Avenue and the easterly City
Limits, in the amount of $1,083,045.23, with a 10% contingency, and adopt Resolution
No. 7368 amending the Capital Improvement Program budget authorizing an
supplemental appropriation in the amount of $260,000, offset by a reduction in the
Measure R Fund.
Live Oak Avenue Pavement Rehab
July 6, 2021
Page 4 of 4
Attachments: Proposed Contract
Resolution No. 7368
Contract - 1
CONTRACT FOR THE
CITY OF ARCADIA
This CONTRACT, No. ________ is made and entered into this ____ day of _______, ______, by
and between City of Arcadia, sometimes hereinafter called “City,” and _________, sometimes
hereinafter called “Contractor.”
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these
presents do covenant and agree with each other as follows:
A. SCOPE OF WORK. The Contractor shall perform all Work within the time stipulated in the
Contract, and shall provide all labor, materials, equipment, tools, utility services, and
transportation to complete all of the Work required in strict compliance with the Contract
Documents as specified in Article 5, below, for the following Project:
LIVE OAK REHABILITATION IMPROVEMENTS
PROJECT NUMBER 41853820
The Contractor and its surety shall be liable to the City for any damages arising as a result of the
Contractor’s failure to comply with this obligation.
B. TIME FOR COMPLETION. Time is of the essence in the performance of the Work. The Work
shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall
complete all Work required by the Contract Documents within 110 calendar days from the
commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor
agrees the time for completion set forth above is adequate and reasonable to complete the Work.
C. CONTRACT PRICE. The City shall pay to the Contractor as full compensation for the
performance of the Contract, subject to any additions or deductions as provided in the Contract
Documents, and including all applicable taxes and costs, the sum of ________ ($_____).
Payment shall be made as set forth in the General Conditions.
D. LIQUIDATED DAMAGES. In accordance with Government Code section 53069.85, it is
agreed that the Contractor will pay the City the sum set forth in Special Conditions, Article 1.11
for each and every calendar day of delay beyond the time prescribed in the Contract Documents
for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event this
is not paid, the Contractor agrees the City may deduct that amount from any money due or that
may become due the Contractor under the Contract. This Article does not exclude recovery of
other damages specified in the Contract Documents.
E. COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the
following:
Notice Inviting Bids
Instructions to Bidders
Bid Form
Bid Bond
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor Registration Certification
Performance Bond
Contract - 2
Payment (Labor and Materials) Bond
General Conditions
Special Conditions
Technical Specifications
Addenda
Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except
Sections 1-9
Applicable Local Agency Standards and Specifications, as last revised
Approved and fully executed change orders
Any other documents contained in or incorporated into the Contract
The Contractor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the
Contract Documents and not by others shall be done as if required by all. This Contract shall
supersede any prior agreement of the parties.
F. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE. Each and every
provision of law required to be included in these Contract Documents shall be deemed to be
included in these Contract Documents. The Contractor shall comply with all requirements of
applicable federal, state and local laws, rules and regulations, including, but not limited to, the
provisions of the California Labor Code and California Public Contract Code which are applicable
to this Work.
G. INDEMNIFICATION. Contractor shall provide indemnification and defense as set forth in the
General Conditions.
H. PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in
accordance with the Labor Code which such rates shall be made available at the City’s
Administrative Office or may be obtained online at dir.ca.gov and which must be posted at the job
site.
[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]
Contract - 3
IN WITNESS WHEREOF, this Contract has been duly executed by the above-named parties, on
the day and year above written.
CITY OF ARCADIA
By:
Dominic Lazzaretto
City Manager
CONTRACTOR
By:
Signature
Print Name and Title
Attest:
By:
City Clerk
By:
Signature
Print Name and Title
Approved as to Form:
Stephen P. Deitsch
City Attorney