File #: 24-299    Version: 1 Name: Washington Ave Reconstruction CCO Cap Increase
Type: Staff Report Status: Filed
In control: City Council
Meeting Date: 7/15/2024 Final action: 7/15/2024
Enactment date: Enactment #:
Title: Adopt a Resolution to Authorize the City Manager to Negotiate and Approve Increases in Individual Change Orders from 5% to 10% (from $97,941 to $195,882) and Cumulative Change Orders from 15% to 20% (from $293,822 to $391,763) for Washington Avenue Reconstruction, Project No. 2018.4020
Attachments: 1. A - Reso Wash CCO Cap

Title

Adopt a Resolution to Authorize the City Manager to Negotiate and Approve Increases in Individual Change Orders from 5% to 10% (from $97,941 to $195,882) and Cumulative Change Orders from 15% to 20% (from $293,822 to $391,763) for Washington Avenue Reconstruction, Project No. 2018.4020

 

Staffreport

COUNCIL PRIORITY                     

                     Infrastructure

 

SUMMARY

This contract provides for the reconstruction of Washington Avenue from Juana to Castro Streets. The increase in change order authority will provide for the repair of two rutting utility trenches south of the intersection with Parrott Street.

 

RECOMMENDATIONS

Staff recommends the following action:

                     Authorize an increase in the Limit to Negotiate and Approve Individual Change Orders from 5% to 10% (from $97,941 to $195,882) of the Construction Contract;

                     Authorize an increase in the Cumulative Change Orders Cap from 15% to 20% (from $293,822 to $391,763) of the Construction Contract; and

 

BACKGROUND

On April 3, 2023, the City Council awarded a contract to Redgwick Construction Company for $1,958,816 for Washington Avenue Reconstruction, Project No. 2018.4020 and authorized the City Manager to approve individual contract change orders up to 5% and cumulative change orders up to 15% of the original contract amount.

 

This contract is for the reconstruction of Washington Avenue between West Juana Avenue and Castro Street, including lowering the existing high crown in the middle of the street to make the street more accessible to all users.

 

As part of this project, pedestrian curb ramps within the street reconstruction limits were updated to meet current Americans with Disabilities Act (ADA) accessibility requirements.  

 

Analysis

 

Construction of the project is close to completion; however, during the final site walk-through, staff noticed that the utility trenches south of the intersection with Parrott Street had settled, causing a depression on the street surface. Because immediate repair of the utility trenches is necessary for public safety, staff recommends proceeding with the repair at this time and seeking reimbursement from the respective utility owners after the work is complete. Staff intend to use existing franchise agreements with the utilities to facilitate the reimbursement process.

 

The total amount of change orders executed by staff is approaching the cumulative contract change order cap previously approved with the award of the construction contract.  Authorizing an increase in the individual change order cap from 5% to 10% (from $97,941 to $195,882; an increase of $97,941) and the cumulative change order cap from 15% to 20% (from $293,822 to $391,763; an increase of $97,941) will enable staff to complete repairs to the utility trenches without further delay.

 

Staff recommends the appropriation of $72,950 of FY 23/24 Engineering Division Salary Savings  to complete the remaining work.

Current Agency Policies

 

                     Maintain and enhance San Leandro’s infrastructure.

 

Previous Actions

 

                     On May 15, 2017, by Resolution No. 2017-071, the City Council authorized the City Manager to file an application for the One Bay Area Grant Funding through the Metropolitan Transportation Commission for the Washington Avenue Reconstruction project

                     On September 16, 2019, by Resolution No. 2019-157, the City Council authorized the City Manager to execute Program Supplement Agreement No. F028 with the State of California to provide $73,000 in grant funds for the design phase of the Washington Avenue Reconstruction project

                     On May 18, 2020, by Resolution No. 2020-046, the City Council authorized the City Manager to execute a Consulting Services Agreement with CSG Consultants, Inc. for an Amount Not to Exceed $248,847 for the Design of the Washington Avenue Reconstruction Project, Project No. 2018.4020; to Authorize Individual Agreement Amendments Up to 10% ($24,884); and to Authorize Cumulative Agreement Amendments Up to 15% ($37,327)

                     On March 21, 2022, by Resolution No. 2022-044, the City Council authorized the City Manager to approve Cumulative Agreement Amendments Up to 25% ($62,212), which is 25% of the original contract amount

                     On April 3, 2023, by Resolution no. 2023-030, the City Council authorized the City Manager to award a Construction Contract to Redgwick Construction Company for an amount not to exceed $1,958,816 for the subject project, and authorized individual change orders up to 5% ($97,941) and cumulative change orders up to 15% (293,822) of the original contract amount.

 

Applicable General Plan Policies

 

                     Policy CSF-6.8 Maintenance: Ensure that sufficient funding is provided for the ongoing maintenance of City-owned facilities, including streets, streetlights, traffic signals, landscaping, street trees, storm drains, public buildings, and other infrastructure.

                     Policy T-2.1: Complete Streets Serving All Users and Modes.  Create and maintain “complete” streets that provide safe, comfortable, and convenient travel through a comprehensive, integrated transportation network that serves all users

                     Policy T-7.2: Capital Improvements.  Identify capital improvements and other measures which improve the safety of bicyclists, pedestrians, and motor vehicles on San Leandro Streets

 

Environmental Review

 

A Categorical Exclusion under the National Environmental Policy Act (NEPA) was determined by Caltrans, Local Assistance Section, on January 18, 2019, and it was revalidated on August 02, 2022.

 

Summary of Public Outreach Efforts

 

The Notice to Bidders was published in the Daily Review, the South County Post, Vision Hispana and World Journal.  Staff also notified local builders’ exchanges and construction data firms, as well as a list of contractors that asked to be notified of bidding opportunities via email. The project is described on the Engineering and Transportation Department website.

 

Two non-mandatory pre-bid meetings were held on February 07 and 08, 2023, with potential bidders.

 

Prior to any construction which would affect access to private businesses or residences, the contractor provided advance notification in the form of door hangers before the work started.

 

Fiscal Impacts

 

The cost of this multi-funded project is detailed below.  The budget authority section has details on funding types, accounts, and authorizations. 

 

Design and Bid                     $450,000

Existing Construction Contract and CCOs                     $2,192,826

Anticipated CCO to correct trench failure & sidewalk repair                     $132,932

Construction Management and Inspection                     $140,000

Total                                                                                                                                                                                                                                                                                                                                                                                                                                     $2,915,758

 

Contract Change Order Summary

CCO No.                     Description                     Amount                     %

1                     Removal and replacement of old existing                      $36,965                                          1.9%

broken conduits at southeast corner of Castro

and Washington Ave, rerouting of streetlight

conduit to avoid conflicts with new Storm Drain

Curb Inlet at northeast corner of Thornton and

Washington Ave, additional cost difference for

pedestrian push buttons material

2                     Removal and disposal of 60LF and 42"                     $24,722                     1.2%

deep abandoned 30"steel encasing at Castro and

Washington Ave intersection. The extra work

for additional potholing for Storm Drain Manhole

and additional cost difference for storm drain pipe

material changed from RCP to SDR 26 to avoid

conflicts at Thornton & Washington Ave intersection.

Additionally, the increased cost for a new modified

ACFC's Manhole at Williams and Washington Ave

intersection.

3                     The subcontractor for traffic signal modification                     $0                     0%

scope of work experienced longer lead time than

expected for material delivery. Add 10 additional

working days to the project to compensate for the

delay caused in delivery and allow time for

contractor to schedule and complete the associated work.

4                     Grinding to achieve 2% min. and 5% max.                        $127,921                     6.5%

slopes for new AC pavement. Remove and replace

the existing broken concrete base with AC plugs

within project limits. Remove and replace

depressed AC sections at existing PG&E

trenches at Parrott & Washington Ave

intersection. Adjust existing PG&E manholes

to new finished grade for public safety.

Place a metal coupler around existing 12" RCP

hole at NE corner of Williams and Washington

Ave intersection.

5                     Increases in bid quantities, additional traffic                     $18,825                     0.9%

control, additional inlet adjustments for concrete

ADA compliance work. Deletion of revocable bid

Item no. 13.

6                     Increases in bid quantities for striping                     $25,577                     1.3%

and signage work.                     

7                     (Proposed Change Order): Excavation and                      $132,932                     6.8%

CDF fill of settling trenches and sidewalk repair

 

Estimated Change Order Total                                                                                                                              $366,942                     18.7%

 

Budget Authority

 

Account No.                     Source                     Reso/Budget Year                     Amount

141-38-411                     Measure BB LSR                     FY22/23                      $550,000

143-38-392                     Vehicle Registration Fees                     FY17/18                     $453,000

144-38-418                     Measure B LSR                     FY21/22                     $297,000

150-38-411                     Federal Grant                     FY22/23                      $1,048,000

165-43-256                     CDBG Fund                     FY22/23                      $494,826

                     Salary Savings                     FY23/24                     $72,950

                     Total Appropriation                     $2,915,776

 

 

ATTACHMENTS

 

                     A - Resolution

 

PREPARED BY:  Bennett Sanderson, Assistant Engineer, Public Works Department, Engineering Division