Title
Staff Report for a City of San Leandro City Council Resolution to Accept a Portion of the Work for the Annual Street Overlay / Rehabilitation 2018-2020 Project, Project No. 2019.0050
Staffreport
SUMMARY AND RECOMMENDATIONS
This action accepts the portion of the work on the Annual Street Overlay/Rehabilitation 2018-2020, Project No. 2019.0050 that is complete as of December 31, 2021.
Staff recommends accepting the completed work.
BACKGROUND
The City Council awarded the contract for construction of the Annual Street Overlay/Rehabilitation 2018-2020 project to DeSilva Gates Construction, LP (DGC) on July 6, 2020. DGC diligently pursued the work until July 16, 2021 when it was discovered that the design grades for several streets were incorrect. Work resumed when revised grades were received from the design team; however, the delay prevented work on Corvallis Street, which is adjacent to Corvallis Elementary School, from being completed during the school summer recess.
Work on Corvallis Street was subsequently scheduled for the winter school break, but rain and cold temperatures prevented paving work at that time. This work is now scheduled during the school spring break in April 2022 but may be delayed until summer break if weather is not favorable during spring break.
All other work on the contract including paving of Aladdin Avenue, Benedict Court, Bigge Street, Graff Court, Halcyon Drive, Lafayette Avenue, Marina Boulevard, Mendocino Street, Mendocino Court, Mendocino Circle, Oakes Boulevard, Pansy Street, Purdue Street, Rosewood Court, Terra Street, and Williams Street as well as installation of traffic calming measures at various locations was completed in accordance with the plans and specifications for the project.
Analysis
All completed work was done to the satisfaction of the Engineering and Transportation Director. The work on Corvallis Street will be completed five or six months after the remainder of the work and as indicated above.
DGC has asked that the completed work be accepted without waiting until the work on Corvallis Street is complete. This partial acceptance of the work will start the retention release process and the one-year warranty period for the completed portion of the work. Retention will be held until the standard claims period expires and will then be released to DGC who will pass the payments on to their sub-contractors. This action creates no risk for the City and full payment of contractors increases their ability to compete for new work. The City will still enforce the one-year warranty period in accordance with the contract documents.
The Contractor will submit a maintenance bond for the completed work as well as new payment and performance bonds for the outstanding work. Upon receipt of said bonds the original payment and performance bonds will be released.
Current Agency Policies
• Maintain and enhance San Leandro’s infrastructure
Previous Actions
• On July 6, 2020, by Resolution No. 2020-085, the City Council awarded a contract to DeSilva Gates Construction, LP for the Annual Street Overlay and Rehabilitation 18-20 Project.
• On November 1, 2021, by Resolution No. 2021-147, the City Council authorized change orders up to 33% 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.
Permits and/or Variances Granted
• Caltrans encroachment permits were obtained for work on Oakes adjacent to E. 14th Street as well as Washington Avenue at the I-880 overcrossing.
• Union Pacific Railroad encroachment permits were obtained for work on Halcyon Drive.
Environmental Review
This project is categorically exempt from the California Environmental Quality Act (CEQA) per Section 15301(c) of the CEQA guidelines. The Notice of Exemption was filed with the Alameda County Recorder on September 27, 2019.
Summary of Public Outreach Efforts
The streets repaved are posted on the City’s website. Properties adjacent to the work received a notification from the City and a second notification from the Contractor prior to the work. No parking signs were posted in advance of the work. Residents on Corvallis were notified via letter of the delay in completing the work on their street.
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 $ 960,000
Work done by Construction Contract 17-18 $325,000
EBMUD new water services for landscaped areas $100,000
Construction Contract 18-20 $7,876,926
Construction Contract Change Orders (33% max) $2,599,385
Construction Management and Inspection $595,000
Total $12,456,311
The construction contract with DGC is still open. Change orders to date are attached to this staff report in a table. A final list of change orders will be included with the staff report that accepts the balance of the work on this contract.
Budget Authority
This street rehabilitation project was funded as follows:
Account No. Reso. Appropriation Dates & Source Amount
144-38-401 FY 2018-19 Budget, Measure B* $1,060,000
141-39-401 FY 2018-19 Budget, Measure B and BB** $2,875,000
210-38-413 FY 2019-20 Budget, General Fund*** $1,540,000
141-39-402 FY 2019-20 Budget, Measure B and BB $7,000,000
120-38-416 FY 2019-20 Budget, DFSI**** $91,493
120-38-515 FY 2021-22 Budget, DFSI**** $60,530
593-52-530 FY 2021-22 Budget, WPCP Enterprise**** $216,000
Total $12,843,023
Asterisks indicate amount listed is less than amount appropriated in the budget, see details below.
*$340,000 moved to Pedestrian Crossing 17-18 project via Resolution No. 2018-113.
**$900,000 moved to Street Overlay and Reconstruction 16-17 via Resolution No. 2018-080 and $3,225,000 moved to Street Overlay and Reconstruction 17-18 via No. Resolution 2018-081.
***$720,000 reserved for use on Street Overlay and Reconstruction 19-21.
****These accounts are for traffic calming and sanitary sewer point repair programs; only the value constructed by this project is listed.
Attachments to Staff Report
• Existing and Potential Change Orders
• Photos of Completed Work
PREPARED BY: Nick Thom, City Engineer, Engineering and Transportation Department