Title
Adopt a Resolution to Approve and Authorize the City Manager to Award a Construction Contract to Redgwick Construction Company for $1,958,816 for the Washington Avenue Reconstruction Project, Project No. 2018.4020, Federal Project No.- STPL 5041 (048); to Authorize the City Manager to Negotiate and Approve Individual Change Orders Up to 5% ($97,940.80) of the Original Contract Amount; to Authorize the City Manager to Negotiate and Approve Cumulative Change Orders up to 15% ($293,822) of the Original Contract Amount; and to Reassign $750,000 from other street projects to this project
Staffreport
COUNCIL PRIORITY
• Infrastructure
• Public Safety
SUMMARY
This contract provides for the reconstruction of Washington Avenue between West Juana Avenue and Castro Street.
RECOMMENDATIONS
Staff recommends the following actions:
• Award a construction contract to Redgwick Construction Company for $1,958,816.00;
• Authorize the City Manager to negotiate and approve individual change orders up to 5% (or 97,940.80) of the original contract amount;
• Authorize the City Manager to negotiate and approve change orders up to a cumulative value not to exceed 15% (or $293,822) of the original contract amount;
• Reassign funding from other street projects to this project.
BACKGROUND
In 2018, the Alameda County Transportation Commission (ACTC) approved Federal One Bay Area Grant (OBAG) funding for the rehabilitation of Washington Avenue, between West Juana Avenue and Castro Street. The grant amount was $1,048,000, for two phases: $73,000 for design and $975,000 for construction. The City agreed to provide a minimum matching amount of $137,000 and ensure the completion of the project.
The project will reconstruct 0.6 lane miles of Washington Avenue, which will include reducing the existing high crown to make the street accessible to people with disabilities and all modes of transportation. In addition, the project will upgrade all curb ramps on the frontage to comply with the Americans with Disabilities Act (ADA).
Analysis
On February 28, 2023, City opened bids for the subject project. Four bids were received ranging between $1,958,816.00 and $2,660,024.27. Staff determined that Redgwick Construction Company is the apparent low bidder based on the total bid amount. The pre-bid Engineer’s Estimate for construction was $1,500,000. Staff recommends the award of a construction contract to Redgwick Construction Company $1,958,816.00. Staff verified that Redgwick Construction Company has a valid Contractor’s State License Board license and is registered with the California Department of Industrial Relations.
This project is not subject to the provisions of the Community Workforce Agreement (CWA) or the City’s Local Inclusion Policy Ordinance because it is a Federally funded project.
As is standard in the construction industry, staff balanced site investigation costs with the risk of finding unforeseen conditions during construction, as well as the design costs with the level of details on the plans. As a result, unforeseen conditions may be encountered during construction and plan details may need to be adjusted or clarified. To minimize delay to the project and ensure that the scope of work is adjusted as needed to provide the highest quality project, staff requests authorization to negotiate and approve individual change orders up to 5% ($97,940.80) of the original contract amount. In addition, staff requests authority to negotiate and approve cumulative change orders up to 15% ($293,822) of the original contract amount. This will help to ensure efficient completion of the project on budget and on schedule.
The original budget prepared for the grant application is insufficient for the work; an additional $750,000 is required to fully fund the construction of this project. Staff proposes reassigning unspent construction contingencies from the Annual Street Overlay/Rehab 2017-2018 project in account number 143-38-392 and the Annual Street Sealing 2019-22 project in account number 144-38-418 to this project.
Current Agency Policies
• Maintain and enhance the City’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
Applicable General Plan Policies
• 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 will provide advance notification in the form of door hangers before the work starts.
Fiscal Impacts
The cost of this multi-fund project is detailed below. The budget authority section has details on funding types, accounts, and authorizations. CIP accounts are carried forward for five years or until the work is complete, whichever occurs first.
Design and Bid $450,000
Construction $1,958,816
Contingency $293,822
Construction Management and Inspection $140,000
Total $2,842,638
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 xxx $453,000
144-38-418* Measure B LSR xxx $297,000
150-38-411 Federal Grant FY22/23 $1,048,000
165-43-256 CDBG Fund FY22/23 $494,826
Total Appropriation $2,842,826
*Amount listed is funds available for this contract and is less than the total appropriation to this account.
ATTACHMENTS
• Attachment A - Resolution
• Attachment B - Bid Summary - Project No. 2018.4020, Federal Project No.- STPL 5041 (048)
PREPARED BY: Mohit Chaudhary, Assistant Engineer, Engineering and Transportation Department