For City Council Meeting July 23, 2024
TO: Honorable Mayor and City Council
APPROVAL: G. Michael Milhiser, Interim City Manager
FROM: Tim Sullivan, Director of Public Works
Title
Request City Council to 1) Award a Construction Contract to KNC Construction Inc. in the Amount of $542,000 for Rialto Library Atrium Conversion, City Project No. 230203; and 2) Authorize the City Manager or their Designee to Execute all Related Documents.
(ACTION)
Body
RECOMMENDATION
Staff requests that City Council:
1) Award a Construction Contract to KNC Construction Inc. in the amount of $542,000 for Rialto Library Atrium Conversion, City Project No. 230203; and,
2) Authorize the City Manager or their designee to execute all related documents.
BACKGROUND
In July 2022, City staff began discussions with the Rialto Library and County ARPA compliance employees regarding a project to fund the design and construction of the conversion of the two (2) open atriums at the Rialto Library (“Project”). These under-utilized outdoor atriums would be converted into enclosed study room areas to expand Library uses. Each open atrium is approximately 300 square feet for a total area of 600 square feet. The additional square footage will extend the usable sheltered space for Library programming. The Project was evaluated and determined to be an eligible use of the County’s ARPA allocation.
On November 15, 2022, the City Council approved a funding agreement with the County of San Bernardino for the Rialto Library Study Room Project. The County will reimburse all expenditures associated with the project. The Agreement establishes funding transfers by the County of an amount not to exceed $700,000 to the City on a reimbursement basis for expenditures related to the Project.
On April 11, 2023, the City Council approved a purchase order to Westgroup Designs Inc. in the amount of $141,680 pursuant to their On-Call Professional Services Agreement for Professional Architectural Services for the Rialto Library Atrium Conversion.
On January 23, 2023, the City Council authorized the release of bids for the Rialto Library Atrium Conversion project.
ANALYSIS/DISCUSSION
On March 5, 2024, the City released RFB No. 24-021 for the Rialto Library Atrium Conversion, City Project No. 230203, and published the Notice Inviting Bids on the PlanetBids.com website. On April 11, 2024, the City received six (6) bids as follows:
A complete bid summary is included as Attachment 1. The engineer’s estimate was $550,000. The lowest responsible and responsive bid was $542,000 submitted by KNC Construction, Inc. Staff reviewed the bid and found KNC Construction Inc. to be properly licensed and qualified. KNC Construction Inc.’s Disclosure Statement, Contractor’s License, and DIR verification documents are included as Attachment 2. Staff recommends that the City Council accept the bid received from KNC Construction, Inc. as the lowest responsible and responsive bid. A construction contract with KNC Construction, Inc. for the project is included as Attachment 3.
ENVIRONMENTAL IMPACT
Section 21084 of the California Public Resources Code requires Guidelines for Implementation of the California Environmental Quality Act (CEQA). The Guidelines are required to include a list of classes of projects which have been determined not to have a significant effect on the environment and which are exempt from the provisions of CEQA. In response to that mandate, the Secretary for Resources identified classes of projects that do not have a significant effect on the environment and are declared to be categorically exempt from the requirement for the preparation of environmental documents. In accordance with Section 15301 “Existing Facilities,” Class 1 projects consist of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities; therefore, the Rialto Library Study Room Project is considered categorically exempt from CEQA, and Notice of Exemptions will be prepared and filed with the San Bernardino County Clerk.
GENERAL PLAN CONSISTENCY
This action is consistent with Guiding Principle 3A in the General Plan:
Our City government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
Approval of this action also complies with the following City of Rialto General Plan Goals and Policies:
Goal 3-11: Provide community facilities that adequately support established programs, can accommodate future needs, and are accessible to all members of the community.
Goal 3-13: Provide high-quality library resources to meet the educational, cultural, and lifelong learning needs of all residents.
Policy 3-13.1: Continue the innovative partnership with the San Bernardino County Library and Friends of the Rialto Library to improve the quality of library services in Rialto.
Policy 3-13.2: Coordinate with San Bernardino County to develop programs and services that meet future needs of adults, children, and new readers.
LEGAL REVIEW
The City Attorney’s Office has reviewed the agreement and approved it as to form.
FINANCIAL IMPACT
Operating Budget Impact
The proposed action will not affect the Operating Budget.
Capital Improvement Budget Impact
On November 15, 2022, the Council approved a funding agreement with the County of San Bernardino, allocating $700,000 for the Rialto Library Atrium Conversion, City Project No. 230203. Additionally, on May 28, 2024, the Council approved a sixth amendment to the lease agreement with the County of San Bernardino for the Library. As part of this amendment, the County authorized a one-time payment of $124,000 to cover expenses related to the project. Both allocations were budgeted in the Grant Project Fund, Account No. 22234430-53001-230203, totaling $824,000.
To date, the project has incurred costs for Design and Administration in the amount of $170,886.07, leaving an available project budget of $653,113.93.
Funds for the award of the construction contract with KNC Construction Inc. in the amount of $542,000 and construction engineering costs estimated at $93,000 are available in the Grant Project Fund, Account No. 22234430-53001-230203-05.
Licensing
Prior to the execution of the Construction Contract, KNC Construction Inc. will pay a Business License Tax in the amount of $604 for this project.