Staff ReportMEETING DATE: 06/16/15
ITEM NO: gg
COUNCIL AGENDA REPORT I
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1ps GATOSs�
DATE: JUNE 4, 2015
TO: MAYOR AND TOWN COUNCIL
FROM: LES WHITE, INTERIM TOWN MANAGER
SUBJECT: PPW JOB NO. 14- 815 -9930 RETAINING WALL REPAIRS — JACKSON
STREET (FY14- 815 -9930)
STAFF RECOMMENDS THAT THE TOWN COUNCIL:
A. APPROVE PLANS AND SPECIFICATIONS FOR RETAINING WALL
REPAIRS - JACKSON STREET AND AUTHORIZE THE TOWN TO
ADVERTISE THE PROJECT FOR BID.
B. AUTHORIZE THE TOWN MANAGER TO AWARD AND EXECUTE A
CONSTRUCTION AGREEMENT IN AN AMOUNT NOT TO EXCEED A
TOTAL BUDGETED AMOUNT OF $648,584, INCLUDING
CONTINGENCIES AND ANY CHANGE ORDERS.
C. AUTHORIZE A BUDGET ADJUSTMENT OF $97,945 FROM THE
GUARDRAIL REPLACEMENT PROJECT, $33,000 FROM THE
EQUIPMENT REPLACEMENT FUND AND $100,000 FROM THE
GENERAL FUND APPROPRIATED RESERVE (GFAR) FUND
BALANCE TO PROJECT 411- 812 -0120 RETAINING WALL REPAIRS —
JACKSON STREET.
RECOMMENDATION:
Staff recommends that the Town Council:
l) Approve plans and specifications for Retaining Wall Repairs — Jackson Street and authorize
the Town to advertise the project for bid.
2) Authorize the Town Manager to award and execute a construction agreement in an amount
not to exceed a total budgeted amount of $648,584, including contingencies and any change
orders.
3) Authorize a budget adjustment of $97,945 from the Guardrail Replacement Project 411 -812 -
0120, $33,000 from the Equipment Replacement Fund, and $100,000 from the General Fund
Appropriated Reserve (GFAR) fund balance to Retaining Wall Repairs — Jackson Street
Project 411- 815 -0801.
PREPARED BY: MATT MORLEY
Director of Parks an wulic orks
Reviewed by: Assistant Town Manager Town Attorney
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: PPW JOB NO. 14- 815 -9930 RETAINING WALL REPAIRS — JACKSON
STREET (FY14 -815 -9930)
JUNE 4, 2015
BACKGROUND:
The Town's adopted FY 2014/15- 2018/19 Capital Improvement Program (CIP) Budget
designates funding for infrastructure construction projects. This is consistent with the Town's
goals to improve public safety and improve the quality of Town parks, streets, and facilities.
At the January 21, 2014 Town Council meeting, Council approved plans and specifications and
bidding of PPW Job #13 -28, Retaining Wall Repair and Replacement Project. This project
included the replacement of retaining walls along Hicks Road, Jackson Street, and Phillips
Avenue. The Jackson Street retaining wall replacements included a large retaining wall on
Jackson Street to the south of Oak Hill Way, adjacent to a creek.
Permits from the Army Corp of Engineers, California Department of Fish and Wildlife, and the
California State Water Resources Control Board were required prior to construction of the
Jackson Street retaining wall because the wall is adjacent to a creek. These environmental
permitting agencies restrict construction adjacent to creeks to the dry season between April 15`h
and October 15`h. Both the Water Board and Army Corps were unable to issue the permits to the
Town within a timeframe that would allow construction within the dry season, so the Town
removed this retaining wall from the approved project in 2014. The Town Council previously
approved the design at the January 21, 2014 Town Council meeting.
DISCUSSION
The Town has now obtained all environmental permits required to proceed with the
reconstruction of the Jackson Street retaining wall. Following several rain events over the winter
months, Town staff observed that the retaining wall began to deteriorate at an accelerated rate.
The retaining wall is constructed with wood lagging (boards) that is breaking away from the
existing posts. The posts themselves are failing and the roadway has started visibly collapsing
towards the creek. The new retaining wall will be constructed with steel beams and pressure -
treated lumber. A new guardrail will be installed along with the retaining wall and is proposed to
be funded with the budget adjustment from the Guardrail Replacement Project as part of this
item.
Based on concern regarding the wall's stability and the inability to obtain the required final
permits from two of the permitting agencies to allow the needed construction, staff requested a
review of the retaining wall by a geotechnical firm, Amec Foster Wheeler. The firm's
geotechnical engineer provided an e -mail to the Town stating the retaining wall was actively
failing and the Town should restrict traffic to one -way traffic past the wall to keep traffic loads
out of the zone which is actively failing. This restriction on the travel way is now in place. The
e -mail from the geotechnical firm helped the Town to expedite receipt of the final two required
environmental permits from the Army Corp of Engineers and the Water Board.
Due to the concern expressed in the geotechnical engineer's review of the failing retaining wall,
it is essential that the Town move forward with the reconstruction of the Jackson Street retaining
PAGE
MAYOR AND TOWN COUNCIL
SUBJECT: PPW JOB NO. 14- 815 -9930 RETAINING WALL REPAIRS — JACKSON
STREET (FY14- 815 -9930)
JUNE 4, 2015
DISCUSSION (cont'd):
wall this summer, during the allowable construction period stipulated by the environmental
permits and prior to any further rain events. Additional rain will increase the likelihood of the
retaining wall failing.
Staff views the reconstruction of this project as a life safety issue. In addition to life safety
concerns from the failure of this wall, the Town could be liable for fines from the permitting
agencies for environmental damage caused by failing of the wall into the creek.
The existing capital budget for this project is $417,639. The engineer's estimate for this project
is $563,986, which exceeds the allocated budget. This cost increase is largely due to further
damage to the wall from passage of time and strict construction requirements from the permitting
agencies. Staff recommends funding the difference through three sources, $100,000 in General
Fund Appropriated Reserve (GFAR) fund balance which will be replaced in FY 2015/16 with an
corresponding increase in vehicle impact fee revenues, $97,945 from the Town's Guardrail
Replacement project, and a transfer of $33,000 from the equipment replacement fund. Complete
project funding is outlined in the fiscal section below.
Plans and specifications for this project are complete and will be available for review on the
Town website at www.LosGatosCA.aov /CIP and at the Parks and Public Works Engineering
Department the Friday before the Town Council meeting.
CONCLUSION
Staff recommends that the Town Council:
1. Approve plans and specifications for Retaining Wall Repairs — Jackson Street and authorize
the Town to advertise the project for bid.
2. Authorize the Town Manager to award and execute a construction agreement in an amount
not to exceed a total budgeted amount of $648,584, which includes 15% contingencies and
any change orders.
3. Authorize a budget adjustment of $97,945 from the Guardrail Replacement Project 411 -812-
0120, $33,000 from the Equipment Replacement Fund, and $100,000 from the General Fund
Appropriated Reserve (GFAR) fund balance to Retaining Wall Repairs — Jackson Street
Project 411- 815 -0801.
ENVIRONMENTAL ASSESSMENT:
This is a project as defined under CEQA and is Categorically Exempt [Section 15301(c) Existing
streets, sidewalks, trails and similar facilities]. A Notice of Exemption has been filed.
COORDINATION:
This project has been coordinated with the Finance Department.
PAGE 4
MAYOR AND TOWN COUNCIL
SUBJECT: PPW JOB NO. 14- 815 -9930 RETAINING WALL REPAIRS — JACKSON
STREET (FY14- 815 -9930)
JUNE 4, 2015
ALTERNATIVE:
Council could consider the following alternative:
Alternative: Request staff to return to Council once bids are received for Council to award the
project to the lowest responsive bidder. Staff is not recommending this alternative as it will
substantially delay the start of construction, potentially conflict with the allowed construction
timeframe, and possibly result in the wall failing before construction on the wall can begin. The
bid opening is scheduled for July 10, 2015 to meet Town requirements on bid time frames and to
allow for bidder outreach. This alternative would require a return to Council in August and is
unnecessary as award of the bid to the lowest responsive bidder is required by the California
Public Contract Code and is non - discretionary.
This alternative would push the construction period for the retaining wall outside of the required
environmental permit construction period of April 15th to October 15th, thereby requiring
construction of the project after April 15, 2016. The project is expected to take six weeks to
complete. For the reasons stated above, staff is not recommending the alternative.
FISCAL IMPACT:
To meet the funding requirement for this wall additional funding will be secured from FY
2014/15 GFAR fund balance (to be restored in FY 2015/16 with a corresponding increase in
vehicle impact fee revenues) and the Town's Equipment Replacement Fund, as these funds were
most available for this emergency repair work. Additionally, a budget adjustment from the
Town's Guardrail Replacement Project is requested. There will be sufficient funds available for
this project with the proposed budget adjustment through the Town's adopted FY 2014/15 —
2018/19 Capital Improvement Program Budget as demonstrated in the fiscal table below.
Budget
411-815-9903-GFAR Retaining, Wall Repairs
411 -812 -0120 Guardrail Replacement Project
GFAR Fund Balance
Equipment Roacement Fund
TOTALS $ 4
Construction
15% Contingency
TOTALS
Encumbered Budget
$ - $ 23
Contract
$417
$ 648,584
$0