Staff Report
PREPARED BY : LISA PETERSEN
Assistant Parks and Public Works Director/Town Engineer
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Finance Director, and Parks and
Public Works Director
110 E. Main Street Los Gatos, CA 95030 ●A 40 8 -354 -68 32
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 06/05/18
ITEM NO: 8
D ATE : MAY 21 , 2018
TO : MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: PPW JOB NUMBER 18 -811 -9901 – ANNUAL STREET REPAIR AND
RESURFACING PROJECT (RUBBER CAPE SEAL)
A. APPROVE THE SCOPE FOR THE RUBBER CAPE SEAL PROJECT (811 -
9901);
B. AUTHORIZE STAFF TO MOVE FORWARD WITH THE RUBBER CAPE SEAL
PROJECT DESIGN AND RETURN TO COUNCIL WITH PLANS AND
SPECIFICATIONS PRIOR TO BIDDING THE PROJECT ;
C. AUTHORIZE THE TOWN MANAGER TO NEGOTIATE AND EXECUTE A
CHANGE ORDER AND CONTRACT AMENDMENT T O THE ANNUAL CURB ,
GUTTER AND SIDEWALK PROJECT (813 -9921) AGREEMENT WITH
MERCOZA ENGINEERING IN AN AMOUNT NOT TO EXCEED $135,000
AN D AU THORIZE AN EXPENDITURE BUDGET ADJUSTMENT IN THE
AMOUNT OF $55,997 FROM THE AVAILABLE GENERAL FUND CAPITAL
RESERVE TO THE ANNUAL CURB, GUTTER AND SIDEWALK PROJECT .
RECOMMENDATION :
Staff recommends that the Town Council:
1. Approve the scope for the Rubber Cape Seal project (811 -9901).
2. Authorize staff to move forward with the Rubber Cape Seal project design and return to
Council with plans and specifications prior to bidding the project .
3. Authorize the Town Manager to execute a change order and contract amendment to the
a nnual curb, gutter and sidewalk project (813 -9921) agreement with Mercoza Engineering
for an amount not to exceed $135,000 and authorize an expenditure budget adjustment in
the amount of $55,997 from the available General Fund Capital Reserve to the Annual Curb,
Gutter and Sidewalk project .
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SUBJECT: PPW JOB NUMBER 18 -811 -9901 – ANNUAL STREET REPAIR AND
RESURFACING PROJECT (RUBBER CAPE SEAL)
MAY 21, 2018
S:\COUNCIL REPORTS \2018 \06 -05 -18 \08 Rubber Cape Seal Project \Staff Report.FINAL.docx
BACKGROUND :
TheATown’sAproposedAFYA2018/2019ACapitalAImprovementAProgramA(CIP)AdesignatesAfundingAforA
theATown’sAStree t Repair and Resurfacing Projects . This is a recurring annual project for street
rehabilitation ac tivities throughout the Town to enhance vehicular safety and maintain the
roadway infrastructure in Los Gatos.
It is important for the Town to utilize the allocated street maintenance funding each fiscal year
to prevent the Town streets from falling into more expensive repair categories. On e year
missedAinAcompletingAtheATown’sAannualAstreetAmaintenanceAprojectsAcanAescalateAtheA natural
declineAofAtheATown’sAoverallAPavementAConditionAIndexA(PCI). Currently,AtheATown’sAoverallAPCIA
is approximately 66/67, which is considered in the fair condition category.
At the February 6, 2018 Town Council meeting, the Council approved the plans and
specificati ons and authorized bidding of a Town arterial str eet overlay project . The Council also
approve d the plans and bidding of the Annual Curb, Gutter and Sidewalk Maintenance project
to address the required A mericans with D isabilities A ct (ADA) ramp upgrades needed for the
arterial overlay project . The over lay project included Blossom Hill Road between Union Avenue
and Belgatos Road and Los Gatos -Almaden Road between Los Gatos Boulevard and Aurora
Lane. These streets were identified by the Town Council in a Council resolution that specif ied
which streets wo uld be maintained using funding provided by Senate Bill 1 (SB1) and are
anticipated to be completed by this fall.
T he Town uses the Metropolitan Transportation Commissions (MTC) StreetSaver software
programAtoAhelpAdetermineAtheATown’sAyearlyAstreetAmaint enance programs. The program is
currently used by all of the 109 cities and counties in the San Francisco Bay Area region.
StreetSaver helps jurisdictions understand the overall condition of their pavement
infrastructure and their budgetary needs for mai ntaining their pavement. Many federal and
state grants for pavement rehabilitation projects require applicants be actively using an
accepted pavement management program for grant eligibility.
As noted in previous Council updates on the StreetSaver progra m, the program alone is not
sufficient for making paving project recommendations and is one element among several
important factors. Other factors essential to the paving program include:
ReviewAofAactualAstreetAneedsAwithAtheATown’sAMaintenanceA Division;
Reviewing the appropriate treatment type;
Determining the risk of a street falling into a costlier repair category;
Identifying upcoming utility, development or CIP projects on a street; and
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SUBJECT: PPW JOB NUMBER 18 -811 -9901 – ANNUAL STREET REPAIR AND
RESURFACING PROJECT (RUBBER CAPE SEAL)
MAY 21, 2018
S:\COUNCIL REPORTS \2018 \06 -05 -18 \08 Rubber Cape Seal Project \Staff Report.FINAL.docx
B CKGROUNDA(cont’d):
Determining potential cost bene fits by selecting streets in proximity to other streets in
similar condition.
The Town is in the process of beginning the next Townwide street assessment through a grant
from the Metropolitan Transportation Commission (MTC ) using an MTC selected consultan t.
The assessment is anticipated to be complete by December of 2018 with a final report
delivered to the Town in Spring of 2019. Staff will return to Council once the final repor t is
complete to provide an update.
DISCUSSION :
Propo sed Stree t Maintenance Scope : Rubber Cape Seal Project
InAadditionAtoAmaintainingAtheATown’sAarterialAstreets,AitAisAimportantAtoAconti nue to address the
needs of the Town’sAcollectorAandAresidentialAstreets.AA LastAyear’sA street rehabilitation project
included a he avy focus on preventive maintenance on collector and residential streets through
slurry seals. As discussed at that time, slurry seals align with the concept of keeping streets in
good condition and not letting them fall into more costly repair categories .
Collector and r esidential streets that fall into wor se condition categories are often treated with
rubber cape seal. Most collector and residential streets that have fallen in worse repair
categories can be rehabilitated with rubber cape seals ; however , in severe cases the street will
need an overlay or need to be reconstructe d, a much more costly project .
Staff is proposing that theAprojectAscopeAforAtheATown’sAnextAstreetAmaintenanceAprojectA
address several collector and residential streets that are in a condition that needs a rubber cape
seal (Attachment 1 ). R ubber cape seal is a thin coating of liquid rubber aspha lt that is placed on
the street, covered with small aggregate and topped with a slurry seal. These streets often
require additional pave ment repairs which can include digging out and replacing sections of
pavement (digouts) and placing a thin asphalt overlay on sections of the street (leveling
course).
Should Council approve the proposed scope for the project, staff would move forward w ith the
project design. Staff would then return to Council with a request to approve the plans and
specifications in August and for authorization to bid the project in late summer or winter of
2019, depending on the bidding climate at that time .
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SUBJECT: PPW JOB NUMBER 18 -811 -9901 – ANNUAL STREET REPAIR AND
RESURFACING PROJECT (RUBBER CAPE SEAL)
MAY 21, 2018
S:\COUNCIL REPORTS \2018 \06 -05 -18 \08 Rubber Cape Seal Project \Staff Report.FINAL.docx
DISCUSSION (cont’d):
Change order to the Annual Curb, Gutter and Sidewalk Project
Title II of the ADA obligates the Town to provide curb ramps whenever streets are resurfaced
from one intersection to another, which includes rubber cape seal applications . The proposed
rubber cape seal project will trigger the need to install 19 new curb ramps and retrofit 6
existing curb ramps.
CurbArampsArequiredAforAtheATown’sAstreetArepairAprogramAareAtypicallyAbidAasApartAofAtheA nnualA
Curb, Gutter and Sidewalk proj ect to allow for more competitive pricing. ThisAyear’sA nnualA
Curb, Gutter and Sidewalk project (813 -9921) included the curb ramps required for the
approved arterial overlay project , as well as minor concrete work associated with several
crosswalk project s . The project bids were opened for the project on March 8, 2018 with the
low bid coming from Mercoza Engineering. Mercoza Engineering has started the work and is
currently working on Blossom Hill Road and Los Gatos Almaden Road installing ramps. The
qu alityAofAworkAprovidedAbyAMercozaAtoAdateAmeetsAallAofAtheATown’sAspecificationsAandAqualityA
standards.
Staff is proposing executing a change order with Mercoza Engineering to install the needed curb
ramps for the proposed rubber cape seal project locate d as shown on Attachment 1. Mercoza
Engi neering provided a very competitive bidAforAtheATown’sA nnualACurb,AGutterAandASidewalkA
(ramp upgrade) project , which was more than 25% below the next lowest bid der . Mercoza has
agreed to hold their bid prices from March if the Town include s these additional ramps within
th e current scope of their work . This would require providing a change order to the contract
for $135,000 , which includes contingency. The contract already in progress is in the amount o f
$304,377 including contingency. T he change order would create a total p otential total project
amount of $439,377 .
Change orders of this magnitude are allowable but not typical. California case law has held that
adding additional work beyond the contract amoun t is acceptable if:
The modification calls for essentially the same type of work , and
The modification would not materially change the field of competition
Adding work to the Mercoza contract meet s t h ese requirements . There would be no mate rial
change inAtheAaddedAworkAandAtheAcontractor’s bidding on the added work would be the same
as those that bid on the Annual Curb, Gutter and Sidewalk (ramp upgrades) project in March.
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SUBJECT: PPW JOB NUMBER 18 -811 -9901 – ANNUAL STREET REPAIR AND
RESURFACING PROJECT (RUBBER CAPE SEAL)
MAY 21, 2018
S:\COUNCIL REPORTS \2018 \06 -05 -18 \08 Rubber Cape Seal Project \Staff Report.FINAL.docx
CONCLUSION :
Approval of the staff recommendation will define the streets associated with the project scope
and allow staff to begin the project design work . Authorizing the Town Manager to execute a
change order for the additional required ramps with Mercoza Engineering will allow for a cost
effective a nd strea mlined method to construct the federally mandated ADA improvements
associated with the project.
ALTERNATIVES:
Alternatively, the Town Council could:
1. R emove streets as desi red from the main project scope .
2. In struct staff to not execute a change order for the additional ramps with Mercoza
Engineering and instead develop plans and specifications and bid the work.
FISCAL IMPACT :
The fiscal table below reflects a fiscal action for the Curb, Gutter, and Sidewalk project only.
Staff will return to C ouncil in the fall with plans and specifications for the pavement
maintenance project. Having the plans and specifications will allow for a project estimate,
which will be presented at that time in relation to the project budget. No budget action is
requ ested for the pavement maintenance project at this time.
Staff considered a recommendation to shift funds from the pavement maintenance program to
address the additional curb ramp needs, however that could adversely impact progress towards
increasing th e PCI.
Source Budget Costs
813-9921 348,732 $
812-0125/26 91,767 $
Additional Budget Request 55,997 $
Total Project Budget 496,496 $
Mercoza contract with contingency 304,377 $
Additional Work Requested 135,000 $
Total Contract 439,377 $
Design/Construction (13%)57,119 $
Total Project Expenditures 496,496 $
Remaining Balance (0)$
Curb, Gutter & Sidewalk Maintenance (Project 813-9921) and Crosswalk Improvements
(Projects 812-0125 & 812-0126)
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SUBJECT: PPW JOB NUMBER 18 -811 -9901 – ANNUAL STREET REPAIR AND
RESURFACING PROJECT (RUBBER CAPE SEAL)
MAY 21, 2018
S:\COUNCIL REPORTS \2018 \06 -05 -18 \08 Rubber Cape Seal Project \Staff Report.FINAL.docx
ENVIRONMENTAL ASSESSMENT :
This is a project as defined under CEQA but is Categorically Exempt [Section 15301 (a and d)]:
Existing Facilities . A Notice of Exemption will be filed.
Attachment s :
1. Proposed Street L ist and Map
2. Original Construction Agreement with Mercoza Engineering
3. Public C omment Received Through 11:00 a .m . May 31, 2018