Staff Report
PREPARED BY: LISA PETERSEN
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 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 02/19/2019
ITEM NO: 9
DATE: FEBRUARY 13, 2019
TO: MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A CERTIFICATE OF
ACCEPTANCE AND NOTICE OF COMPLETION ACCEPTING THE WORK OF
MCK SERVICES AND AUTHORIZE RECORDING BY THE TOWN CLERK FOR
PPW JOB NO. 17-811-9901 ANNUAL STREET REPAIR AND RESURFACING
PROJECT
RECOMMENDATION:
Authorize the Town Manager to execute a Certificate of Acceptance and Notice of Completion
(Attachment 1) accepting the work of MCK Services and authorize recording by the Town Clerk
for PPW Job No. 17-811-9901 Annual Street Repair and Resurfacing Project.
BACKGROUND:
The Town’s adopted FY 2017/18-2021/22 Capital Improvement Program (CIP) Budget
designated funding for this project.
At the February 6, 2018 Town Council meeting, Council approved the plans and specifications
for the pavement maintenance overlay project and authorized the Town Manager to advertise
the projects for bid and to award the project in an amount not to exceed the available
construction budget of $2,190,000, including additive alternates, contingencies, and any change
orders, to the lowest responsible bidder. The Town entered an agreement with MCK Services
for the pavement work for the low bid of $1,801,427 with authorization for change orders up to
ten percent of the contract value.
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SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A CERTIFICATE OF
ACCEPTANCE AND NOTICE OF COMPLETION ACCEPTING THE WORK OF MCK
SERVICES AND AUTHORIZE RECORDING BY THE TOWN CLERK FOR PPW JOB
NO. 17-811-9901 ANNUAL STREET REPAIR AND RESURFACING PROJECT
FEBRUARY 13, 2019
S:\COUNCIL REPORTS\2019\02-19-19 Interviews\09 PPW Job No. 17-811-9901 Street Repair & Resurface COA&NOC\Staff Report.docx
2/13/2019 2:35 PM
DISCUSSION:
MCK Services has satisfactorily completed all the work for the projects and staff recommends
accepting the project. Five percent of the faithful performance bonds will remain in effect for a
period of two years as a guarantee for any needed repair or replacement caused by defective
materials and workmanship for each project. The execution and recordation of the Certificates
of Acceptance is now required to finalize the Town's acceptance of the project.
CONCLUSION:
Staff recommends the Town Council authorize the Town Manager to execute a Certificate of
Acceptance and Notice of Completion (Attachment 1) accepting the work of MCK Services and
authorize recording by the Town Clerk for PPW Job No. 17-811-9901 Annual Street Repair and
Resurfacing Project.
FISCAL IMPACT:
The final construction costs totaled $1,898,155. A portion of the Council approved construction
contingency was used for the project, with the majority of this extra cost going toward repair of
unsafe roadway pavement shoulders on Andrews Street, repair of failed pavement sections on
Blossom Hill Road, and drainage improvements on Los Gatos-Almaden Road. Project delivery
costs, including materials, staff, and design, totaled $2,064,477. Total savings exceeded
$205,000 as noted in the chart on the next page. As this is a project that is programmed
annually, savings will be carried to future projects.
Project delivery costs are tracked for each capital project to allow for analysis of the total
project costs. When the annual project delivery costs exceed the department budget these
costs may be charged to the General Fund Appropriated Reserve (GFAR) with a corresponding
revenue recognized in the Town General Fund and associated with the appropriate
Departmental budget.
PAGE 3 OF 3
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A CERTIFICATE OF
ACCEPTANCE AND NOTICE OF COMPLETION ACCEPTING THE WORK OF MCK
SERVICES AND AUTHORIZE RECORDING BY THE TOWN CLERK FOR PPW JOB
NO. 17-811-9901 ANNUAL STREET REPAIR AND RESURFACING PROJECT
FEBRUARY 13, 2019
S:\COUNCIL REPORTS\2019\02-19-19 Interviews\09 PPW Job No. 17-811-9901 Street Repair & Resurface COA&NOC\Staff Report.docx
2/13/2019 2:35 PM
FISCAL IMPACT: (continued)
Annual Street Repair & Resurfacing
Project 811-9901
Budget Costs
Project Budget $ 2,270,259
Total Project Budget $ 2,270,259
MCK Services (Construction) $ 1,898,155
Consultation Services $ 25,417
Advertising $ 986
Blueprint/Copy/Postage $ 179
Misc. Project Expenses $ 50
Total Project Costs $ 1,924,787
Project Savings Not Including Staff Costs $ 345,472
Staff Costs $ 139,689
Project Savings Including Estimated Staff
Costs $ 205,782
ENVIRONMENTAL ASSESSMENT:
This is a project as defined under CEQA but is Categorically Exempt (Section 15301c). A Notice
of Exemption was previously filed.
Attachment:
1. Certificate of Acceptance and Notice of Completion
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