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HomeMy WebLinkAbout05.D. Award contract to Breneman, Inc. for District-Wide Patch Paving Central San 5mDm BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 26, 2017 Subject: AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH BRENEMAN, INC. FOR DISTRICT-WIDE PATCH PAVING Submitted By: Initiating Dept/Div.: Amanda Schmidt Engineering and Technical Associate Engineer Services/Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: S. Mestetsky—Senior Engineer E. Lopez—Capital Projects Division Manager �,. Roger S.Bailey JM. Petit—Director of Engineering and Technical Services General Manager ISSUE: On December 20, 2016, three sealed bids were received and opened for the District-Wide Patch Paving project. The Board of Directors (Board) must award the contract or reject bids within 50 days of the bid opening. Authorization is also required for the General Manager to execute the Contract Documents subject to SUBMITTAL requirements. BACKGROUND: Central San routinely requires asphalt paving restoration due to sewer maintenance construction activities performed by the Collection System Operations Division (CSOD). The work generally consists of providing all labor, equipment, material, and traffic control to perform periodic asphalt paving repairs (patch paving) in Central San's service area. Patch paving includes milling and grinding, asphalt paving, slurry sealing, striping, and other related services. Capital Projects will also have the ability to use this contract under special circumstances and urgent construction projects. Central San staff prepared the specifications and bid documents for this contract. The Engineer's Estimate is $150,000 per year, with an optional extension for four one-year periods, totaling $750,000. The project was advertised on December 5 and 10, 2016. Three sealed bids ranging from $117,250 to $706,550 were received and publicly opened on December 20, 2016. Central San staff reviewed the bids and determined that Breneman, Inc. was the lowest responsive and responsible bidder, with a bid amount of$117,250. A summary of bids received is shown in Attachment 1. Central San will have the option to extend the contract for four additional one-year periods. In addition, the contract also includes the option to increase the bid item prices in accordance with the percentage annual change of the Consumer Price Index (CPI) on a yearly basis, if needed. Page 1 of 3 POSITION PAPER Board Meeting Date: January 26, 2017 subject. AWARD A CONSTRUCTION CONTRACT AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS WITH BRENEMAN, INC. FOR DISTRICT-WIDE PATCH PAVING CEQA: Staff has concluded that this project is exempt from the California Environmental Quality Act (CEQA) under Central San's CEQA Guidelines Section 15301(b) since it involves minor alterations to existing, publicly owned streets or right- of-ways. Approval of this project will establish the Board's independent finding that this project is exempt from CEQA. FINANCIAL IMPACTS: Approximately $117,250 per year with the option to extend for four additional one-year periods, totaling $586,250 for five years (not including CPI adjustments). Of the $117,250 per year, approximately 82% of the contract is anticipated to be paid under the CSOD Operations & Maintenance budget and the remaining 18% by projects within the Capital Improvements Budget. ALTERNATIVES/CONSIDERATIONS: Reject all bids and rebid the contract, which is not recommended. COMMITTEE RECOMMENDATION: The Engineering and Operations Committee reviewed this subject at the meeting on January 10, 2017 —the Committee was split in its recommendation; therefore, no Committee recommendation was made. RECOMMENDED BOARD ACTION: Staff recommends the following: 1. Find that the project is exempt from CEQA; 2. Award a contract in the amount of$117,250 for District-Wide Patch Paving to Breneman, Inc., the lowest responsive and responsible bidder; 3. Authorize the General Manager to execute the Contract Documents subject to SUBMITTAL requirements; and 4. Authorize the General Manager to extend the contract up to a total of five years for the amount of$586,250 (not including CPI adjustments). Attached Supportinq Document: 1. Summary of Bids Page 2 of 3 ATTACHMENT 1 DISTRICT-WIDE PATCH PAVING DISTRICT PROJECT 2016-02 SUMMARY OF BIDS PROJECT NO.: 2016-02 DATE: DECEMBER 20, 2016 PROJECT NAME: DISTRICT-WIDE PATCH PAVING PROJECT LOCATION: VARIOUS LOCATIONS IN CENTRAL SAN SERVICE AREA NO. OF ADDENDA: 0 ENGINEER'S ESTIMATE: $150,000NEAR NO. BIDDER BID PRICE Breneman, Inc. 1 P.O. Box 1055 $117,250.00 Concord, CA 94522 Morgan-Bonanno 2 P.O. Box 1476 $119,600.75 Alamo, CA 94507 B&M Builders, Inc. 3 11330 Sunrise Park Drive, Suite C $706,550.00 Rancho Cordova, CA 94742 BIDS OPENED BY: Elaine R. Boehme, CMC DATE: December 20, 2016 Page 3 of 3