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HomeMy WebLinkAboutItem 11i - Fiscal Year 2025-26 Pavement Rehabilitation Project STAFF REPORT PUBLIC WORKS SERVICES DEPARTMENT DATE: July 21, 2026 TO: Honorable Mayor and City Council FROM: Paul Cranmer, Assistant City Manager/Public Works Services Director By: Jan Balanay, Assistant Engineer SUBJECT: CONTRACT WITH KALBAN, INC. FOR THE FISCAL YEAR 2025-26 PAVEMENT REHABILITATION PROJECT IN THE AMOUNT OF $1,274,476.75, WITH A 10% CONTINGENCY CEQA: Exempt Recommendation: Approve SUMMARY As part of the City’s Capital Improvement Program (“CIP”), the Public Works Services Department (“PWSD”) is preparing to rehabilitate the asphalt pavement on various streets in the City. The streets that will be rehabilitated were identified in the Pavement Management Program and have the greatest need for rehabilitation. To ensure that the City is receiving the most competitive prices and quality service for this work, the PWSD conducted a formal bid process and Kalban, 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 Kalban, Inc. for the Fiscal Year 2025-26 Pavement Rehabilitation Project in the amount of $1,274,476.75, with a 10% contingency. BACKGROUND The PWSD is responsible for the maintenance and repair of approximately 147 miles of paved streets within the City. As part of the City’s Pavement Management Program, the condition of all City streets are inspected and rated on a scale of 0-100. This rating system is called the Pavement Condition Index (“PCI”) and is used to help determine which streets require asphalt pavement rehabilitation. Streets with scores below 40 Pavement Rehabilitation Project July 21, 2026 Page 2 of 4 are “failing”, and streets with scores between 40 and 60 are considered in “poor/fair” condition. According to the Citywide Pavement Management Program, the following street segments have the highest need for repaving: • Altura Road from Monte Verde Drive to Encanto Drive – PCI of 49 • Campesina Road from Catalpa Road to Volante Drive – PCI of 49 • Don Pablo Drive from Foothill Boulevard to end of cul-de-sac – PCI of 44 • Oakwood Avenue from Virginia Drive to Grand View Drive – PCI of 45 • White Oak Drive from Elkins Avenue to Highland Oaks Drive – PCI of 48 It should be noted that PCI scores alone do not determine which streets should be repaved. For instance, the City also takes into consideration the traffic volume of streets before determining repaving. It is also more cost-effective to repave streets prior to their PCIs lowering to a very poor condition and requiring more resources to repair. The PCI range for the specified streets requires grind and overlay rehabilitation; however, if the PCI of these streets further decrease, more extensive rehabilitation, such as full pavement reconstruction, would be required to repair. Full reconstruction costs are much higher than grind and overlay work. A copy of the Project Location Map detailing the segments listed above is attached as Exhibit “A.” DISCUSSION The project involves the repair of any localized potholes and failed pavement; grinding the edges of the pavement adjacent to the gutters; replacing broken curb and gutter as necessary; and installing new ADA-compliant curb ramps at the intersections. The new pavement surface will utilize recycled rubber in the pavement mix to help reduce future cracking, strengthen the asphalt pavement, and reduce road noise. Following the intended repairs, the condition of these street sections should be raised to a PCI of 100. A Notice Inviting Bids was published in accordance with City Council Resolution No. 7483, and bid packages were provided to contractors that perform this type of work. On May 19, 2026, the City Clerk received seven bids with the following results: Pavement Rehabilitation Project July 21, 2026 Page 3 of 4 Bidder Location Base Bid Amount Kalban, Inc. Gentry Brothers Inc. All American Asphalt Hardy & Harper, Inc. Onyx Paving Company, Inc. Sequel Contractors Inc. Estate Design and Construction, Inc. Santa Clarita, CA Irwindale, CA Corona, CA Lake Forest, CA Yorba Linda, CA Santa Fe Springs, CA Culver City, CA $ 1,226,616.75 $ 1,243,699.75 $ 1,258,888.00 $ 1,273,000.00 $ 1,282,000.00 $ 1,411,872.00 $ 1,476,000.00 Bid documents were reviewed for content and the contractor’s background was investigated. Based on the review, it has been determined that Kalban, Inc. is the lowest responsive bidder for this work. Kalban, Inc. has successfully completed similar work on time and within budget for the Cities of Alhambra, Inglewood, Cerritos, and Glendale. The bid documents also included a request for pricing for bid alternate items that included crack sealing, application of GuardTop HD, and the furnishing and painting of the parking, striping, and reflective pavement markers of the Arcadia Police Department’s interior parking lot. The total cost of these bid alternate items is $47,860. The bid alternate items are highly desirable, and there is sufficient funding in the Fiscal Year 2025-26 CIP for the Pavement Rehabilitation Project to include them in the project. Per the contract documents, the City shall award the contract to the lowest responsive, responsible Bidder, as determined by the City from the base bid alone. Therefore, Kalban, Inc. had the lowest base bid at $1,226,616.75 and an alternate bid of $47,860, for a total construction cost of $1,274,476.75. ENVIRONMENTAL ANALYSIS This project is a Class 1 exemption pursuant to the California Environmental Quality Act (“CEQA”) Section 15301, Existing Facilities. Class 1 exemptions consist of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features involving negligible or no expansion of use beyond what is already existing. Pavement Rehabilitation Project July 21, 2026 Page 4 of 4 FISCAL IMPACT Funds in the amount of $2,500,000 have been budgeted in the Fiscal Year 2025-26 CIP for the Pavement Rehabilitation Project. The total cost for the Fiscal Year 2025- 26 Pavement Rehabilitation Project, including alternate bid items is $1,274,476.75. With the requested 10% contingency, the total potential project cost would be $1,401,924.43. Therefore, sufficient funds are available to complete this project. RECOMMENDATION It is recommended that the City Council determine this project is a Class 1 exemption under the California Environmental Quality Act (“CEQA”); and approve, authorize, and direct the City Manager to execute a contract with Kalban, Inc. for the Fiscal Year 2025-26 Pavement Rehabilitation Project in the amount of $1,274,476.75, with a 10% contingency. Attachments: Exhibit “A” – Project Location Map Proposed Contract CITY OF ARCADIA 2025/2026 PAVEMENT REHABILITATION PROJECT PROJECT NO.: 33854026 BETWEEN CITY OF ARCADIA AND KALBAN, 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 Kalban, 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: 2025/2026 PAVEMENT REHABILITATION PROJECT PROJECT NO.: 33854026 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 Sixty (60) CALENDAR DAYS 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 ONE MILLION, TWO HUNDRED SEVENTY-FOUR THOUSAND, FOUR HUNDRED SEVENTY-SIX DOLLARS AND SEVENTY-FIVE CENTS ($1,274,476.75). 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 Contract - 2 Iran Contracting Act Certification Public Works Contractor Registration Certification Performance Bond 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 KALBAN, INC. By: Signature Print Name and Title Attest: By: City Clerk By: Signature Print Name and Title Approved as to Form: Michael J. Maurer City Attorney (CONTRACTOR’S SIGNATURE MUST BE NOTARIZED AND CORPORATE SEAL AFFIXED) Contract - 4 Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF ______________ On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT  Individual  Corporate Officer Title(s) Title or Type of Document  Partner(s)  Limited  General Number of Pages  Attorney-In-Fact  Trustee(s)  Guardian/Conservator Date of Document  Other: Signer is representing: Name Of Person(s) Or Entity(ies) Signer(s) Other Than Named Above Contract - 5 Notary Acknowledgment A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. STATE OF CALIFORNIA COUNTY OF ______________ On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT  Individual  Corporate Officer Title(s) Title or Type of Document  Partner(s)  Limited  General Number of Pages  Attorney-In-Fact  Trustee(s)  Guardian/Conservator Date of Document  Other: Signer is representing: Name Of Person(s) Or Entity(ies) Signer(s) Other Than Named Above