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RESOLUTION to Award a $1,894,316 Construction Contract to American Pavement Systems, Inc. for the Annual Street Sealing 2017-18 Project, Project No. 2018.0070; Authorizing the City Manager to Negotiate and Approve Individual Change Orders Up to 5% (or $94,716) of the Original Contract Amount; and Authorizing the City Manager to Negotiate and Approve Change Orders up to a Cumulative Value not to Exceed 15% (or $284,147) of the Original Contract Amount (Provides for the application of preventive maintenance treatments on City street segments in the 2018 Asphalt Maintenance Area and authorization for the City Manager to negotiate and execute contract change orders up to 15% of the contract amount)
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WHEREAS, the City of San Leandro did, on June 5, 2018, publicly open, examine and declare all sealed proposals or bids for doing the work described in the bid documents for the subject project; and
WHEREAS, said proposals were submitted to the Engineering and Transportation Director who finds that the proposal hereinafter mentioned is the lowest responsive bid by a responsible bidder for doing said work of the Base Bid and Additive Bid A; and
WHEREAS, the subject project is categorically exempt from the California Environmental Quality Act; and
WHEREAS, change orders to clarify the work or respond to unusual existing conditions are a normal aspect of public contracting and construction; and
WHEREAS, the State of California Department of Resources Recycling and Recovery awarded the City a grant to reimburse at a certain rate the costs associated with incorporating recycled tires in the project; and
WHEREAS, in order to expedite the delivery of public projects on schedule and on budget, provide that subcontractors and workers are paid in a timely fashion, avoid as much as possible costly delay claims, and insure that the City completes projects and products that are to the City’s highest standards, the City Council finds that providing authorization to negotiate and approve change orders is in the best interest of public health, safety and welfare.
NOW, THEREFORE, the City Council of the City of San Leandro does RESOLVE as follows:
That said City Council hereby rejects all of said proposals or bids except that herein mentioned; hereby waives any irregularities in the proposal or bid of the lowest responsible bidder; and hereby awards the contract for doing said work to the lowest responsible bidder to wit, American Pavement Systems, Inc., in the amount of $1,894,316; and
That the City Manager or his designee is authorized to negotiate and approve individual change orders up to a maximum of 5% of the original contract amount, or $94,716 each; and
That the City Manager or his designee is authorized to negotiate and approve cumulative change orders up to a maximum of 15% of the original contract amount, or $284,147; and
BE IT FURTHER RESOLVED:
That if the above named contractor is unable to execute the contract, then the City Manager is authorized to award this contract to the next lowest responsible bidder, execute all documents to effect the award, and take all actions necessary to recover any bid security from the low bidder necessary to make the City whole in its acceptance of the lowest bid.