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08 Staff Report - Street Resurfacing of Hillside Streets~t N 0 'WO tos GA~os COUNCIL AGENDA REPORT DATE: OCTOBER 9, 2008 TO: MAYOR AND TOWN COUNCIL FROM: GREG LARSON, TOWN MANAGER MEETING DATE: 10/20/08 ITEM NO: SUBJECT: PPW JOB NO. 06-03 - STREET RESURFACING OF HILLSIDE STREETS - (SURFACE TRANSPORATION IMPROVEMENT PROGRAM (STIP) - PROJECT 421-811-0001 A. ADOPT RESOLUTION DECLARING GRANITE ROCK COMPANY TO BE THE LOWEST RESPONSIBLE BIDDER ON THE PROJECT AND AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $311,200. B. AUTHORIZE STAFF TO EXECUTE FUTURE CHANGE ORDERS TO THE CONSTRUCTION CONTRACT AS NECESSARY UP TO AN AMOUNT OF $30,000. C. AUTHORIZE A BUDGET ADJUSTMENT FROM THE ANNUAL STREET RESURFACING PROGRAM OF $40,636 TO BE APPROPRIATED TO THIS PROJECT. RECOMMENDATION: 1. Adopt resolution (Attachment 1) declaring Granite Rock Company to be the lowest responsible bidder on the project and award a construction contract (Exhibit A) in the amount of $311,200. 2. Authorize staff to execute future change orders to the construction contract as necessary up to an amount of $30,000. 3. Authorize a budget adjustment from the Annual Street Resurfacing program of $40,636 to be appropriated to this project. BACKGROUND: The adopted Capital Improvement Program designates funding for various street repairs and resurfacing projects and is consistent with the Town's goals to improve public safety and to improve the quality of Town streets. The Town has been able to secure Statewide Transportation Improvement Program (STIP) grants from Caltrans for resurfacing of two collector roads (College Avenue and Prospect Avenue) in coordination with other street resurfacing that is under way in the area. PREPARED BY: TODD CAPURSO Director of Parks and Public Works NAENOTNEERINMCOUNCIL REPORTS12008 Reports106-03,streeet resurfacing of hillside streets.award.doc Reviewed by: Assistant Town Manager Clerk Administrator Finance own Attorney nunity Development PAGE 2 MAYOR AND TOWN COUNCIL SUBJECT: PPW JOB NO. 06-03 - STREET RESURFACING OF HILLSIDE STREETS - SURFACE TRANSP ORATION IMPROVEMENT PROGRAM STIP - PROJECT 421-811-0001 OCTOBER 9, 2008 This street resurfacing project will pave College Avenue and Prospect Avenue. The Town recently completed resurfacing of a number of hillside streets (non collector or arterials) in the area above the Civic Center, and this STIP funded project brings the Town closer to completing paving of all the roads in this area. The streets that were recently resurfaced were; Jackson Street, Oak Hill Way, Grove Street, Orchard Street, Central Avenue, and West Central Avenue. DISCUSSION: On September 2, 2008, the Town Council approved plans and specifications for the Street Resurfacing of Hillside Streets, Statewide Transportation Improvement Program (STIP) Project and authorized staff to advertise the project for bids. On September 24, 2008, four (4) bids were received for this project. See Bid Summary (Attachment 2). Staff reviewed the bids received, and after tabulation of the bid results, has determined that Granite Rock Company is a responsible entity and that its bid is responsive to the Town's formal bid process. Duran and Venables Inc. was the apparent low bidder at the bid opening, however, they had made a clerical mistake in completing their bid form and the official bid summary placed them as the second lowest bidder. It is recommended that the Council adopt the attached Resolution that would declare Granite Rock Company to be the lowest responsible bidder on the project and award a construction contract to this company in the amount of $311,200. Further, it is recommended that Council authorize staff to execute future change orders to the construction contract up to an amount of $30,000 due to the variables associated with this type of construction. The change order amount is adequate to cover the cost of unforeseen circumstances that may arise during the course of construction and/or for additional quantities of work that may exceed those included in the award of contract. It is anticipated that construction will begin on this project in November 2008. CONCLUSION: Staff recommends that the Council accept the staff recommendations noted above. ENVIRONMENTAL ASSESSMENT: This is a project as defined under CEQA but is Categorically Exempt (Section 15301c). A Notice of Exemption will not be filed. PAGE 3 MAYOR AND TOWN COUNCIL SUBJECT: PPW JOB NO. 06-03 - STREET RESURFACING OF HILLSIDE STREETS (SURFACE TRANSPORATION IMPROVEMENT PROGRAM (STIP) - PROJECT 421-811-0001 OCTOBER 9, 2008 FISCAL IMPACT: The Town of Los Gatos applied for and secured STIP grant funds from the State of California in 2007. These grant funds can only be used for resurfacing of collector and arterial streets in municipalities. The Street Resurfacing of Hillside Streets, Statewide Transportation. Improvement Program (STIP) Project 421-811-0001 was approved by Council on September 2, 2008. Sufficient funds are available for the proposed agreement as detailed below: STREET RESURFACING Q I3ILLSiDE STREETS Expended/ Proposed Proposed Remaining' Budget Encumbered Available Budget Contract Budget FY 2008/09 Fiscal Impact Funding To Date Balance . Transfer Amount If Approved Resurface Hillside $ 312,140 $ 11,576 $ 300,564 $ 40,636 $ 311,200 $ 30,000 Annual Street Resurfacing 1,998,653 56,342 1,942,311 (40,636) 1,901,675 TOTALS $ 2,310,793 $ 67,918 $ 2,242,875 - $ 311,200 $ 1,931,675 k. 7 TOTAT~ EXPNDI'Z'URES BY CATEGORY, Staff Labor Materials Financial Consulting $ 10,875 $ 10,875 Engineering Design 701 701 Construction 311,200 Contingency 30,000 TOTALS $ 11,576 $ 352,776 There is sufficient funding available for the requested $30,000 budget adjustment for future change orders that might be need for unforeseen field conditions in the Annual Street Repair & Resurface Program. Attachments: 1. Resolution declaring Granite Rock Company as the lowest responsible bidder with (Exhibit A) Agreement 2. Bid Summary RESOLUTION RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS AWARDING A CONSTRUCTION CONTRACT TO GRANITE ROCK COMPANY FOR PPW JOB NO. 06-03 STREET RESURFACING OF HILLSIDE STREETS STATEWIDE TRANSPORTATION IMPROVEMENT PROGRAM (STIP) WHEREAS, bids were sought in conformance with State and Town law for PPW Job No.06-03 - Street Resurfacing of Hillside Streets Statewide Transportation Improvement Program (STIP) Project); and WHEREAS, Granite Rock Company submitted a bid which the Town Council deems to be responsive to the Town's solicitation. NOW, THEREFORE, BE IT RESOLVED by the Town Council of the Town of Los Gatos, County of Santa Clara, State of California, that Granite Rock Company is declared to be the lowest responsible bidder for PPW Job No. 06-03 - Street Resurfacing of Hillside Streets, Statewide Transportation Improvement Program (STIP) Project. BE IT FURTHER RESOLVED that the Town Manager is hereby authorized and directed to execute a construction contract (attached as Exhibit A) for said project on behalf of the Town in the amount of $311,200. BE IT FURTHER RESOLVED, that staff is authorized to execute future change orders, as necessary, up to an amount of $30,000. PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 20th day of October, 2008, by the following vote: COUNCIL MEMBERS: AYES: NAYS : ABSENT: ABSTAIN: SIGNED: MAYOR OF THE TOWN OF LOS GATOS/ LOS GATOS, CALIFORNIA ATTEST: CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA Attachment I CONTRACT THIS AGREEMENT is between the Town of Los Gatos (hereinafter referred to as ("Owner") and Granite Rock Company hereinafter referred to as ("Contractor"). Owner and Contractor, for the consideration hereinafter named, agrees as follows: A. SCOPE OF WORK Contractor shall furnish all materials and perform all of the work for the construction of PPW Job No. 06-03 - Street Resurfacing of Hillside Streets (Surface Transportation Improvement Program (STIP) Project). B. CONTRACT PRICE As full compensation for furnishing all materials and for doing all the work contemplated and embraced in this Contract, also for all loss or damage arising out of the nature of the work aforesaid, or from the actions of the elements, or from any unforeseen difficulties or obstructions which may arise or be encountered in the prosecution of the work until its acceptance by Owner, and for all risks of every description connected with the Work, also for all expenses incurred by or in consequence of the suspension or discontinuance of work, and for well and faithfully completing the Work, and the whole thereof, in the manner and according to the Contract Documents, Owner shall pay (three hundred and eleven thousand two hundred dollars) $311,200, which shall supersede any other amount specified in the Contract Documents. C. CONTRACT DOCUMENTS All rights and obligations of Owner and Contractor are fully set forth and described in the Contract Documents. All parts of the Contract Documents are intended to be correlated so that any work called for in one part and not mentioned in the other, or vice versa, is to be executed the same as if mentioned in all said documents. The Contract Documents are defined in Part I, Section 1-1.01(A) of these Specifications and are incorporated herein by reference the same as though set out in full. D. BEGINNING OF WORK Following the execution of this Contract and the approval of bonds and insurance policies and certificates, Owner shall issue a Notice to Proceed with the Work. Commencing work or the entrance of equipment or materials on the site of the Work by Contractor before receipt of the Notice to Proceed is at the sole risk and expense of Contractor, and the Contractor shall be fully liable for any damage or injury sustained by Owner or third persons resulting there from. Exniblt A E. TIME OF COMPLETION The Work called for herein shall be fully completed in fifty (50) working days of Contractor's receipt of the Notice to Proceed. F. CORRECTION OF WORK AFTER ACCEPTANCE AND FINAL PAYMENT BY TOWN Contractor shall remedy any defects due to faulty materials and/or workmanship and pay for any damages to other work and/or existing facilities resulting there from which shall appear within a period of 2 years from the date of recording of the Notice of Completion. G. LIQUIDATED DAMAGES The undersigned has reviewed and is thoroughly familiar with the appropriate sections of the Contract and Part II, Section 8-1.03 of these Specifications pertaining to liquidated damages. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of day of , 20 TOWN OF LOS GATOS, by: CONTRACTOR, by: Granite Rock Company Greg Larson, Town Manager RECOMMENDED BY: Todd Capurso Director of Parks and Public Works (Signature) (Print Name) (Address) APPROVED AS TO FORM: Orry P. 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