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Hicks Road and Phillips Avenue Storm Drain Culvert Improvementsy aw N 0 COUNCIL AGENDA REPORT DATE: JUNE 7, 2012 TO: FROM: MEETING DATE: 06/18/12 MAYOR AND TOWN COUNCIL GREG LARSON, TOWN MANAGER SUBJECT: PPW JOB NO. 11 -02 — HICKS ROAD AND PHILLIPS AVENUE STORM DRAIN CULVERT IMPROVEMENTS 461 -816 -0411 A. AUTHORIZE THE TOWN MANAGER TO EXECUTE A CONSTRUCTION CONTRACT WITH SAK CONSTRUCTION INC. IN AN AMOUNT NOT TO EXCEED $235,550. B. AUTHORIZE STAFF TO EXECUTE FUTURE CHANGE ORDERS TO THE CONSTRUCTION CONTRACT AS NECESSARY IN AN AMOUNT NOT TO EXCEED $20,000. RECOMMENDATION 1. Authorize the Town Manager to execute a construction contract with SAK Construction Inc. in an amount not to exceed $235,550. 2. Authorize staff to execute future change orders to the construction contract as necessary in an amount not to exceed $20,000. BACKGROUND The adopted 2011/12 — 2015/16 Capital Improvement Program (CIP) Program designates funding for infrastructure improvements in Los Gatos and is consistent with the Town's goals to improve the quality of Town public facilities and infrastructure. DISCUSSION: Much of the existing public infrastructure in the hillsides of Los Gatos was not built to current standards. Additionally, the aging and deterioration of these facilities requires repair and replacement on a regular basis. The storm drain system in the hillside area is generally comprised of culverts that run underneath the roadways to transfer storm run -off to larger drainage channels along the edges of the roadways. Almost all of these storm drain culverts are made of corrugated metal pipes that rust over time and will require replacement. PREPARED BY : TODD CAPURSO Director of Parks and Public Works Reviewed by: 3 4 ' Assistant Town Manager Town Attorney Finance N:\ PPW\ MANAGEMENT \COUNCIL \COUNCILREPORTS\2012 ReportsUune 18 \11 -02. 1-ficks. Phillips.storm.culvert.award.docx PAGE 2 JUNE 7, 2012 MAYOR AND TOWN COUNCIL SUBJECT: PPW JOB NO. 11 -020 — HICKES ROAD AND PHILLIPS AVENUE STORM DRAIN CULVERT IMPROVEMENTS 461- 816 -0411 DISCUSSION (cont'd): This project will repair the old and rusted corrugated metal storm drain culverts by installation of a smooth jointless pipe lining process. At the regular Town Council meeting held May 7, 2012, the Council approved plans and specifications for this project and authorized staff to advertise the project for bids. On June 6, 2012, one bid was received for this project (Attachment 1). Staff reviewed the bid received and determined that SAK Construction Inc. is a responsible entity and was the most responsive to the Town's formal bid process. CONCLUSION Staff recommends that the Town Council authorize the Town Manager to execute a construction contract in an amount not to exceed $235,550. Additionally, due to the variables associated with this particular type of construction and to address unforeseen circumstances that may occur during the project, staff further recommends that the Town Council authorize staff to execute future change orders to the construction contract as necessary for work not in the original base bid, in an amount not to exceed $20,000. ENVIRONMENTAL ASSESSMENT This is a project as defined under CEQA but is Categorically Exempt (Section 15301c). A Notice of Exemption will not be filed. FISCAL IMPACT There are sufficient funds for this project as demonstrated in the table below. Attachments: 1. Bid Summary Attachment 1 •{a d' 0 o� U v ® U 1 p, �� yv �e • � ems' O 41 V1 C � `N U 0 0 V ctS O N V O o� C O O s� V � V N �+ O Ct ti � o V � E"a .� THIS PAGE I NTENTIONALLY LEFT BLANK