HomeMy WebLinkAboutItem 09b - Sewer Main Replacement ProgramSewer Main Replacement Program
March 7, 2023
Page 1 of 3
DATE: March 7, 2023
TO: Honorable Mayor and City Council
FROM: Paul Cranmer, Public Works Services Director
By: Michael Kwok, Associate Civil Engineer
SUBJECT: CONTRACT WITH KORDICH CONSTRUCTION, INC. FOR THE SEWER
MAIN REPLACEMENT PROGRAM IN THE AMOUNT OF $570,650
CEQA: Exempt
Recommendation: Approve
SUMMARY
The City of Arcadia’s 2022 Sewer Master Plan study identified and prioritized sections of
sanitary sewer pipe that are flowing at or above design capacity. Based on the study, the
section of sewer pipe on Santa Anita Avenue between Palm Drive and Live Oak Avenue
needs to be replaced in order to accommodate peak sewer flows. The Fiscal Year 2022-
23 Capital Improvement Program budget allocates funding to replace the existing 8-inch
sewer pipe with a 10-inch sewer pipe at this location to accommodate future sewer
demands and alleviate the potential of a sewer backup. To ensure that the City is
receiving the most competitive prices and quality service for this work, a formal bid was
conducted and Kordich Construction, Inc. submitted the lowest responsive bid.
It is recommended that the City Council approve, authorize, and direct the City Manager
to execute a Contract with Kordich Construction, Inc. for the Sewer Main Replacement
Program in the amount of $570,650, with a 10% contingency.
BACKGROUND
In 2006, the State Water Resources Control Board adopted the Waste Discharge
Requirement Program for all publicly-owned sanitary sewer collection systems in
California with more than one mile of sewer pipeline. Under this program, the City was
required to prepare and implement a Sewer System Management Plan (“SSMP”). The
SSMP identifies routine preventative operation and maintenance activities that assist the
City in achieving a goal of zero sewer system overflows. This is achieved through annual
inspections, routine cleaning of the sewer pipes, repair of broken pipes, and replacement
of pipes flowing above their design capacity.
Sewer Main Replacement Program
March 7, 2023
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The City of Arcadia’s 2022 Sewer Master Plan Study identified sections of sanitary sewer
pipe on Santa Anita Avenue as inadequate in accommodating the current high demand
flows and at risk of sewer overflows. The existing 8-inch sewer pipe along Santa Anita
Avenue between Palm Drive and Live Oak Avenue needs to be replaced with a 10-inch
sewer pipe to alleviate the potential of a sewer backup.
In-ground pipe bursting will be used to replace the existing 8-inch pipe, which will reduce
the excavation required to replace the existing sewer pipe as well as reduce the disruption
to traffic along Santa Anita Avenue and Live Oak Avenue. The project also includes
repairing the street surface. The work is anticipated to begin in May 2023 and construction
will take approximately two months to complete. A copy of the Project Location Map is
shown on Exhibit “A”.
DISCUSSION
A Notice Inviting Bids was published in the City’s adjudicated newspaper and bid
packages were provided to contractors that perform this type of work. On January 19,
2023, the City Clerk received seven bids with the following results:
Bidder Location Bid Amount
Kordich Construction Inc. Cypress, CA $ 570,650.00
Bonadiman Water Inc. Riverside, CA $ 619,500.00
Vasilj, Inc. Irwindale, CA $ 625,575.00
GRBCON, Inc. Baldwin Park, CA $ 637,141.00
Tomovich & Associates Pico Rivera, CA $ 727,250.00
MNR Construction, Inc. La Verne, CA $ 773,270.00
Ramona, Inc. Baldwin Park, CA $ 774,000.00
All bid documents were reviewed for content and the contractor’s background was
investigated. Based on that review, it has been determined that Kordich Construction, Inc.
is the lowest responsive bidder. Kordich Construction, Inc. is qualified to complete the
project as defined in the bid documents and has successfully completed similar projects
on time and within budget for the Cities of Los Angeles, Garden Grove, and West
Hollywood.
ENVIRONMENTAL ANALYSIS
This project involves the replacement and minor alteration of an existing utility system
with no expansion of the system and, therefore, qualifies as a Class 2 categorical
exemption per Section 15302(2) of the California Environmental Quality Act (“CEQA”).
FISCAL IMPACT
Funds in the amount of $750,000 have been budgeted in the FY 2022-23 Capital
Improvement Program for the Sewer Main Replacement Program. The total construction
Sewer Main Replacement Program
March 7, 2023
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cost for this project is $570,650. A 10% construction contingency would bring the total
cost to $627,715, which is still within the adopted budget.
RECOMMENDATION
It is recommended that the City Council determine this project constitutes a minor
alternation to an existing utility system with no expansion of the system and, therefore,
qualifies as a Class 2 categorical exemption under the California Environmental Quality
Act (“CEQA”); and approve, authorize, and direct the City Manager to execute a contract
with Kordich Construction, Inc. for the Sewer Main Replacement Program in the amount
of $570,650, plus a 10% construction contingency.
Attachments: Exhibit “A” - Project Location Map
Proposed Contract
CITY OF ARCADIA
SEWER MAIN REPLACEMENT PROGRAM
PROJECT NO.: 33861523
BETWEEN
CITY OF ARCADIA
AND
KORDICH CONSTRUCTION, INC.
CONTRACT
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 Kordich Construction,
Inc., 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:
Sewer Main Replacement Program / Project No.: 33861523
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 60 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 FIVE HUNDRED SEVENTY
THOUSAND, SIX HUNDRED FIFTY DOLLARS AND NO CENTS ($570,650.00). 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.
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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
KORDICH CONSTRUCTION, INC.
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