07 Staff Report - Los Cerritos Drive Storm Drain Project~pW N OF
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DATE
TO
FROM:
MEETING DATE: 6116108
ITEM NO: I
COUNCIL AGENDA REPORT
JUNE 12, 2008
MAYOR AND TOWN COUNCIL
GREG LARSON, TOWN MANAGER /
SUBJECT: PPW JOB NO. A08-017 - LOS CERRITOS DRIVE STORM DRAIN
PROJECT NO. 816-0406
A. AUTHORIZE ESTABLISHMENT OF THE LOS CERRITOS DRIVE
STORM DRAIN PROJECT NO. 816-0406
B. AUTHORIZE PROJECT BUDGET IN THE AMOUNT OF $27,500
PAYABLE FROM STORM DRAIN BASIN #1
C. ADOPT RESOLUTION DECLARING MST UNDERGROUND
IMPROVEMENTS, INC. TO BE THE LOWEST RESPONSIBLE BIDDER
ON THE PROJECT AND AWARD A CONSTRUCTION CONTRACT IN
THE AMOUNT OF $27,500.00
RECOMMENDATION:
1. Authorize establishment of the Los Cerritos Drive Storm Drain Project No. 816-0406.
2. Authorize project budget in the amount of $27,500 payable from Storm Drain Basin #1.
3. Adopt resolution (Attachment 1) declaring MST Underground Improvements, Inc. to be the
lowest responsible bidder on the project and award a construction contract (Exhibit A) in the
amount of $27,500.00.
BACKGROUND:
The storm drain pipes in the hillside sections of the Town were built over 50 years ago and are
mainly made of corrugated metal pipes as was the standard of construction at that time. These
metal pipes corrode over time and require replacement and the Town has replaced some of these
pipes over the past few years with new High-Density Polyethylene (HDPE) pipes that are
industry standard and resistent to corroison and have high durability and strength for these
applications.
PREPARED BY: KEVIN ROHANI
Interim Director of Parks and Public Works
RNENGINEERINGICOUNCIL REPORTS12008 Reports1A08-017.1os. cerritos.drive.stonn.drain.prj.revised.doc
Reviewed by: W b Assistant Town Manager Town Attorney
Clerk Administrator Finance Community Development
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: PPW JOB NO. A08-017 - LOS CERRITOS DRIVE STORM DRAIN PROJECT
Nn_ R 16-0406
JUNE 4, 2008
DISCUSSION:
A recent inspection of Los Cerritos Drive identified a 36" corrugated metal pipe storm drain pipe
that was corroded almost entirely and collapsed in sections, This pipe has to be replaced and
roadway repaired before the rainy season begins. This project is consistent with the Town's goals
to improve public health and safety.
This is a new project that was not in the Capital Improvement Program as it was not anticipated,
and because of the urgency to make the repairs and replacement of this pipe, it is recommended
that this project be established as a new Capital Improvement Program project and funded by the
Storm Basin #1 funds. Clearly under normal circumstances, such a project would have been
considered during the Capital Improvement Program budget process and incorporated in the
annual Capital Improvement Program.
For projects under $100,000 construction costs, the Town's informal bid process does not require
public advertising and the preparation of a set of complete plans and specifications for a project.
This informal bid process allows staff to prepare a scope of work, solicit bids from three (3)
contractors, and award the contract to the lowest bidder. The Town uses this process for small
and uncomplicated projects.
Bids for the Los Cerritos Drive Storm Drain Project received by the Town Engineer on June 2,
2008. The following contractors submitted bids for this project:
MSI Underground Improvements, Inc. $27,500.00
Menlo Pipelines, Inc. $28,000.00
Joseph J. Albanese, Inc. $61,575.00
It is recommended that the Council adopt the attached Resolution that would declare
MSI Underground Improvements, Inc. to be the lowest responsible bidder on the project and
award a construction contract to this company in the amount of $27,500.00. Staff has checked
all of the bids received and has determined that MSI Underground Improvements, Inc. is
responsible and that its bid is responsive to the Town's informal bid process.
The construction of this project is anticipated to take place in July 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 15301 c). A Notice
of Exemption will not be filed.
PAGE 3
MAYOR AND TOWN COUNCIL
SUBJECT: PPW JOB NO. A08-017 - LOS CERRITOS DRIVE STORM DRAIN PROJECT
NO. 816-0406
JUNE 4, 2008
FISCAL IMPACT:
Sufficient funds are available in the Storm Drain Basin #1 Fund. The current unencumbered
balance is $142,942.
Attachments:
Resolution declaring MSI Underground Improvements, Inc. as the lowest responsible bidder
(with Exhibit A) Agreement
RESOLUTION
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
AWARDING A CONSTRUCTION CONTRACT TO
MSI UNDERGROUND IMPROVEMENTS, INC.
FOR PPW JOB NO. A08-017
LOS CERRITOS DRIVE STORM DRAIN PROJECT
WHEREAS, bids were sought in conformance with State and Town law for PPW Job
No. A08-017 - Los Cerritos Drive Storm Drain Project; and
WHEREAS, MSI Underground Improvements, Inc. 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 MSI Underground Improvements, Inc.
is declared to be the lowest responsible bidder for PPW Job No. A08-017 - Los Cerritos Drive
Storm Drain 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 $27,500.00.
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of
Los Gatos, California, held on the 16th day of June, 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
CONTRACT
THIS AGREEMENT is between the Town of Los Gatos (hereinafter referred to as
"Owner") and MSI Underground Improvements, Inc. (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. A08-017 - Los Cerritos Drive Storm Drain Project in accordance with the Contract
Documents.
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 (twenty seven thousand five hundred dollars) ($27,500.00), 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.
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.
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.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
day of , 20
TOWN OF LOS GATOS, by:
CONTRACTOR, by:
MSI Underground Improvements, Inc.
Greg Larson, Town Manager
RECOMMENDED BY:
Kevin Rohani
Interim Director of Parks and Public Works
(Signature)
(Print Name)
(Address)
APPROVED AS TO FORM:
Orry P. Korb, Town Attorney
(City, State, Zip)
ATTEST:
Jackie Rose, Clerk Administrator
(Contractor's License Number)