HomeMy WebLinkAbout5/21/2014 - STAFF REPORTS - 2.H. pALM S.
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0.N,P City Council Staff Report
Date: May 21, 2014 CONSENT CALENDAR
Subject: AWARD OF CONTRACT FOR THE TRACT NO. 13257 SEWER
IMPROVEMENTS - PHASE 3, CITY PROJECT 13-26
From: David H. Ready, City Manager
Initiated by: Public Works and Engineering Department
SUMMARY
Award of this contract will allow staff to proceed with this Community Development
Block Grant (CDBG) and Measure J funded project to construct phase 3 of the sewer
system within Tract No. 13257, located west of Gene Autry Trail and south of Via
Escuela.
RECOMMENDATION:
1) Approve Agreement No. in the amount of $324,482.00 with Tri-Star
Contracting II, Inc., a California corporation, for Tract No. 13257 Sewer
Improvements — Phase 3, City Project 13-26; and
2) Adopt Resolution No. , "A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE BUDGET FOR
THE 2013/2014 FISCAL YEAR TO TRANSFER ADDITIONAL FUNDING FOR
TRACT NO. 13257 SEWER IMPROVEMENTS — PHASE 3, (CITY PROJECT
NO. 13-26)"; and
3) Authorize the City Manager to execute all necessary documents.
STAFF ANALYSIS:
Background
The Public Works and Engineering Department had commenced the design and
construction of a new sewer system to serve the low-to-moderate income neighborhood
located west of Gene Autry Trail and south of Via Escuela (referred to as "Tract No.
13257"). Tract No. 13257 was developed during the 1980's when it was part of
ITEINr NO. A—
City Council Staff Report
May 21, 2014—Page 2
Tract No. 13257 Sewer Improvements—Phase 3(City Project 13-26)
unincorporated Riverside County. At that time, Riverside County did not require
extension of public sewer to the tract, and all 87 homes in Tract No. 13257 have private
septic systems, some of which have begun to fail. Some lower income property owners
have had to request financial assistance from the City for pumping and servicing of their
septic systems.
This CDBG project proposed to install approximately 3,800 feet of 8" vitrified clay pipe
(VCP) public sewer line and 3,480 feet of 4" VCP sewer laterals. The costs for septic
tank abandonments, for the on-site building sewer extensions, and the sewer
connection fee ($3,000 per unit) at the time a property is connected to the City's sewer
system, were included in the project. Given the $1,200,000 total estimated cost to
provide public sewer to Tract No. 13257, this project was proposed as a multi-year
CDBG phased project.
On March 17, 2010, the City Council approved the 2010/2011 CDBG Program, and
awarded the Public Works and Engineering Department $267,118 for the first phase of
the project. On March 16, 2011, the City Council approved the 2011/2012 CDBG
Program, and awarded the Department $180,951 for the second phase of the project
(this amount was reduced to $160,855 as a result of a lower overall CDBG Program
distribution to the City).
On July 20, 2011, the City Council approved the plans and authorized bidding for
Phases 1 and 2 of the project. On August 23, 2011, the Procurement and Contracting
Division received construction bids from five contractors. The low bid (G&M
Construction) exceeded the total amount of CDBG funds available, therefore, it was not
possible to award Phase 2 at that time. It was recommended that only a portion of
Phase 2 sewer construction work (within Zachary Court) be added by Contract Change
Order (CCO), using unexpended CDBG funds from prior years. The portion of work
added by CCO included only the public sewer main and sewer laterals within Zachary
Court. No septic tank abandonments, on-site building sewer extensions, or sewer
connection fees were included, given the budget constraints.
On April 11, 2012, the City Council approved the 2012/2013 CDBG Program, and
awarded the Public Works and Engineering Department $145,689 for the remaining
second phase of sewer system project. On November 7, 2012, the Procurement and
Contracting Division received construction bids from ten contractors with Borden
Excavating being the low bidder for construction. This phase only constructed the eight
inch (8") mainline and capping off the 4" laterals at the property lines.
On March 20, 2013, the City Council approved the 2013/2014 CDBG Program, and
awarded the Public Works and Engineering Department $160,412 for phase 3 of the
sewer system project. Since CDBG funds no longer funded private, on-site work, City
Council approved Measure J funds in the amount totaling $313,240 for on-site work for
phase 2 and phase 3. This on-site work consists of residential connection to the
mainline and abandonment of existing septic tanks on private property.
02
City Council Staff Report
May 21, 2014—Page 3
Tract No. 13257 Sewer Improvements—Phase 3(City Project 13-26)
On March 29, 2014, phase 3 of the project was advertised for bids, and at 3:00 p.m. on
May 1, 2014, the Procurement and Contracting Division received construction bids from
the following contractors:
1. Tri-Star Contracting II, Inc., Desert Hot Springs, CA $421,497.00
2. Jones Brothers Construction Company, Coachella, CA $453,893.00
3. Golden Valley Construction, Inc., Palm Springs, CA $453,900.00
4. Genesis Construction, Hemet, CA $552,777.00
5. TBU, Inc., Beaumont , CA $638,800.00
The Engineer's Estimate for Phase 3 is $480,000,
The lowest, responsive bidder is Tri-Star Contracting II, Inc., a California Corporation,
from Desert Hot Springs, California, whose principal officers are: Bryan Willis,
President; and Ted Krehbiel, Chief Financial Officer.
Because there is insufficient CDBG funds to cover the entire cost of the project, staff is
recommending not to award bid schedule B ($64,066.00), the mainline segment of Jason
Court, and remove the on-site work of 9 properties ($32,949.00) that would connect to the
Jason Court sewer mainline. Residences will be notified that their property will be
deferred to a future date when funding is available. In order for the work to be done on
Jason Court this contract, an additional $40,000 that is currently not available, would be
necessary.
Staff is recommending award of$324,482.00 to Tri-Star Contract ll, Inc.
FISCAL IMPACT:
There is $160,412 in CDBG funds currently available for Phase 3 off-site, public
improvements. An additional $31,453 from unexpended CDBG funds from prior years
(other projects never completed by the recipients or where costs were below awarded
amounts) is also available. It is being recommended that the City Council adopt a
Budget Amendment to officially transfer these unexpended funds to use specifically for
this project. Upon transfer of unexpended funds to this project, sufficient funds will be
available in account 137-4815-63583.
Sufficient funds are available in the Measure J account 260-4500-59459 for on-site,
private improvements, including funding the connection fee of$3,000 per property.
In order to complete Phase 4 in a future year, it will be necessary for the City to allocate
additional Measure J funds. CDBG funds for phase 4 in the 2014/2015 year were not
awarded for this project.
03
City Council Staff Report
May 21, 2014— Page 4
Tract No. 13257 Sewer Improvements— Phase 3(City Project 13-26)
SUBMITTED:
---C�t d 1�
J rriibymo, Director David J. Barakian
Tl�unity & Economic Development Director of Public Works/City Engineer
David H. Ready, City M
Attachments:
1. Resolution
2. Agreement
04
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, AMENDING THE BUDGET
FOR THE 2013/2014 FISCAL YEAR TO TRANSFER
ADDITIONAL FUNDING FOR TRACT NO. 13257 SEWER
IMPROVEMENTS — PHASE 3, (CITY PROJECT NO. 13-26)
WHEREAS, Resolution No. 23341 approving the Budget for the Fiscal Year
2013-2014 was adopted'on May 15, 2013; and
WHEREAS the City Manager has recommended, and the City Council desires to
approve, certain amendments to the budget for Fiscal Year 2013-14.
NOW THEREFORE THE CITY COUNCIL DETERMINES, RESOLVES AND
APPROVES AS FOLLOWS:
SECTION 1. The Director of Finance is authorized to record inter-fund cash
transfers as required in accordance with this Resolution, and Resolution No. 23341,
adopting the Budget for Fiscal Year 2013-14 is hereby amended as follows:
SOURCE(S):
Fund Activity Account Amount
137 4813 50000 $31,453
Community Unscheduled
Development Block Capital Project
Grant
ADDITION(S):
Fund Activity Account Amount
137 4815 63583 $31,453
Community PS Arnico Tract
Development Block Sewer
Grant
PURPOSE: Fund additional improvements for the CDBG funded Arnico Tract Sewer
project.
05
Resolution No.
Page 2
PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 21ST DAY OF May, 2014.
DAVID H. READY, CITY MANAGER
ATTEST:
JAMES THOMPSON, CITY CLERK
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that
Resolution No. is a full, true and correct copy, and was duly adopted at a regular
meeting of the City Council of the City of Palm Springs on May 21, 2014, by the
following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
JAMES THOMPSON, CITY CLERK
City of Palm Springs, California
06
AGREEMENT
THIS AGREEMENT made this day of in the year 2014,
by and between the City of Palm Springs, a charter city, organized and existing in the
County of Riverside, under and by virtue of the laws of the State of California, hereinafter
designated as the City, and
hereinafter designated as the Contractor.
The City and the Contractor, in consideration of the mutual covenants hereinafter set
forth, agree as follows:
ARTICLE 1 -- THE WORK
The Contractor shall complete the Work as specified or indicated under the Bid
Schedule(s) of the City's Contract Documents entitled:
TRACT 13257 SEWER IMPROVEMENTS — PHASE 3
CITY PROJECT 13-26
The Work is generally described as follows:
Installation of eight-inch VCP sewer mains, manholes, four-inch VCP sewer laterals, on-
site sewer connections, on-site private septic tank abandonments, trenching and
excavations for sewer installation, trench backfill and pavement replacement, on-site and
off-site restoration, and all related and associated work.
ARTICLE 2 -- COMMENCEMENT AND COMPLETION
The Work to be performed under this Contract shall commence on the date specified in
the Notice to Proceed by the City, and the Work shall be fully completed within the time
specified in the Notice to Proceed.
The City and the Contractor recognize that time is of the essence of this Agreement, and
that the City will suffer financial loss if the Work is not completed within the time specified
in Article 2, herein, plus any extensions thereof allowed in accordance with applicable
provisions of the Standard Specifications, as modified herein. They also recognize the
delays, expense, and difficulties involved in proving in a legal proceeding the actual loss
suffered by the City if the Work is not completed on time. Accordingly, instead of
requiring any such proof, the City and the Contractor agree that as liquidated damages or
delay (but not as a penalty), the Contractor shall pay the City the sum of$700.00 for each
calendar day that expires after the time specified in Article 2, herein.
07
TRACT 13257 SEWER IMPROVEMENTS-PHASE 3
CITY PROJECT NO. 13-26 AGREEMENT FORM
MARCH 2O14 AGREEMENT AND BONDS-PAGE 1
ARTICLE 3 -- CONTRACT PRICE
The City shall pay the Contractor for the completion of the Work, in accordance with the
Contract Documents, in current funds the Contract Price(s) named in the Contractor's Bid
and Bid Schedule(s).
ARTICLE 4 -- THE CONTRACT DOCUMENTS
The Contract Documents consist of the Notice Inviting Bids, Instructions to Bidders, the
accepted Bid and Bid Schedule(s), List of Subcontractors, Non-collusion Affidavit,
Bidder's General Information, Bid Security or Bid Bond, this Agreement, Worker's
Compensation Certificate, Performance Bond, Payment Bond, Standard Specifications,
Special Provisions, the Drawings, Addenda numbers to , inclusive,
and all Change Orders and Work Change Directives which may be delivered or issued
after the Effective Date of the Agreement and are not attached hereto.
ARTICLE 5 -- PAYMENT PROCEDURES
The Contractor shall submit Applications for Payment in accordance with the Standard
Specifications as amended by the Special Provisions. Applications for Payment will be
processed by the Engineer or the City as provided in the Contract Documents.
ARTICLE 6 -- NOTICES
Whenever any provision of the Contract Documents requires the giving of a written
Notice, it shall be deemed to have been validly given if delivered in person to the
individual or to a member of the firm or to an officer of the corporation for whom it is
intended, or if delivered at or sent by registered or certified mail, postage prepaid, to the
last business address known to the giver of the Notice.
ARTICLE 7 -- MISCELLANEOUS
Terms used in this Agreement which are defined in the Standard Specifications and the
Special Provisions will have the meanings indicated in said Standard Specifications and
the Special Provisions. No assignment by a party hereto of any rights under or interests
in the Contract Documents will be binding on another party hereto without the written
consent of the party sought to be bound; and specifically, but without limitation, monies
that may become due and monies that are due may not be assigned without such
consent (except to the extent that the effect of this restriction may be limited by law), and
unless specifically stated to the contrary in any written consent to an assignment, no
assignment will release or discharge the assignor from any duty or responsibility under
the Contract Documents.
TRACT 13257 SEWER IMPROVEMENTS-PHASE 3 08
CITY PROJECT NO. 13-26 AGREEMENT FORM
MARCH 2O14 AGREEMENT AND BONDS-PAGE 2
The City and the Contractor each binds itself, its partners, successors, assigns, and legal
representatives, to the other party hereto, its partners, successors, assigns, and legal
representatives, in respect of all covenants, agreements, and obligations contained in the
Contract Documents.
IN WITNESS WHEREOF, the City and the Contractor have caused this Agreement to be
executed the day and year first above written.
ATTEST: CITY OF PALM SPRINGS, APPROVED BY THE CITY COUNCIL:
CALIFORNIA
By Date
City Clerk
APPROVED AS TO FORM: Agreement No.
By
City Attorney
Date
CONTENTS APPROVED:
By
City Engineer
Date
By
City Manager
Date
09
TRACT 13257 SEWER IMPROVEMENTS-PHASE 3
CITY PROJECT NO. 13-26 AGREEMENT FORM
MARCH 2O14 AGREEMENT AND BONDS-PAGE 3
Corporations require two notarized signatures: One signature must be from Chairman of Board, President,
or any Vice President. The second signature must be from the Secretary, Assistant Secretary, Treasurer,
Assistant Treasurer, or Chief Financial Officer.
CONTRACTOR: Name: Check one:_Individual _Partnership _Corporation
Address:
By: By:
Signature (notarized) Signature (notarized)
Name: Name:
Title: Title:
(This Agreement must be signed in the above This Agreement must be signed in the above
space by one of the following: Chairman of the space by one of the following: Secretary, Chief
Board, President or any Vice President) Financial Officer or any Assistant Treasurer)
State of I State of I
County of Css County of 1 SS
On On
before me, before me,
personally appeared personally appeared
who proved to me on the basis of satisfactory who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) evidence to be the person(s)whose name(s) is/are
is/are subscribed to the within instrument and subscribed to the within instrument and
acknowledged to me that he/she/they executed acknowledged to me that he/she/they executed
the same in his/her/their authorized capacity(ies), the same in his/her/their authorized capacity(ies),
and that by his/her/their signatures(s) on the and that by his/her/their signatures(s) on the
instrument the person(s), or the entity upon instrument the person(s), or the entity upon behalf
behalf of which the person(s)acted, executed the of which the person(s) acted, executed the
instrument. instrument.
I certify under PENALTY OF PERJURY under the I certify under PENALTY OF PERJURY under the
laws of the State of California that the foregoing laws of the State of California that the foregoing
paragraph is true and correct. paragraph is true and correct.
WITNESS my hand and official seal. WITNESS my hand and official seal.
Notary Signature: Notary Signature:
Notary Seal: Notary Seal:
TRACT 13257 SEWER IMPROVEMENTS-PHASE 3 AGREEMENT FORM 10
CITY PROJECT NO. 13-26 AGREEMENT AND BONDS-PAGE 4
MARCH 2O14