For City Council Meeting [September 14, 2021]
TO: Honorable Mayor and City Council
APPROVAL: Marcus Fuller, City Manager
FROM: Michael Tahan, Interim Public Works Director
Title
Request City Council to Award a Construction Contract to Sequel Contractors, Inc., a California corporation, in the amount of $6,482,270 for the Riverside Avenue from SR210 to Foothill Boulevard, City Project No. 210807; Award a Professional Services Agreement to AECOM Technical Services, Inc., a California corporation, in the amount of $972,443 for Construction Management Support Services, and other related actions.
(ACTION)
Body
BACKGROUND
The City of Rialto uses a pavement management program to evaluate pavement condition and prioritize pavement rehabilitation projects. Based on the pavement management program and the available budget, the City prepared a list of streets to be included in the 2020/2021 Street Overlay & Reconstruction Project.
On April 28, 2020, the City Council authorized Resolution No. 7605 which adopted a list of Projects for Fiscal Year2020/2021 Funded by SB 1: The Road Repair and Accountability Act of 2017, that included the Street Overlay and Reconstruction of Riverside Avenue from SR210 to Foothill Boulevard.
On August 11, 2020, the City Council adopted the Fiscal Year 2020/2021 Budget and Capital Improvement Project List which included the 2020/2021 Street Overlay & Reconstruction Project. During the adoption of the FY20/21 Budget, City Council requested Public Works staff to provide a projects’ status update and timeline of all proposed CIP projects.
On September 22, 2020, Staff provided a status update of all proposed CIP projects which included the Street Overlay and Reconstruction of two priority segments of Riverside Avenue: (1) SR 210 Freeway south to Foothill Boulevard, and (2) I-10 Freeway south to the City’s southerly limit.
Also on September 22, 2020, the City Council awarded a Professional Services Agreement to Advanced Civil Technologies (ACT) in the amount of $1,823,986.50 for design of the 2020/2021 Street Overlay & Reconstruction Project, City Project Nos. 180807 and 210804. This work includes design of the reconstruction of the two segments of Riverside Avenue, as well as an additional 157 street segments throughout the City with poor pavement condition.
Advanced Civil Technologies’ (ACT) design work included geotechnical investigation of the existing pavement and subgrade conditions. ACT evaluated alternative pavement rehabilitation methods and made recommendations to the City regarding the selected pavement design. In addition to pavement reconstruction, the project includes reconstruction of curb ramps and cross gutters, and the upgrade of signs, striping, and pavement markings to current California Manual on Uniform Traffic Control Devices (CA MUTCD) standards.
A project fact sheet and related location maps is included as Attachment 1.
On June 8, 2021, the City Council authorized the release of request for bids for the 2020/2021 Street Overlay & Reconstruction Project, City Project Nos. 180807 (Riverside Avenue from I-10 to the City’s South Boundary) and 210807 (Riverside Avenue from SR-210 to Foothill Boulevard).
ANALYSIS/DISCUSSION:
Construction Bids
On June 11, 2021, the City released RFB No. 21-049 for the 2020/2021 Street Overlay & Reconstruction Project, Riverside Avenue from SR210 to Foothill Boulevard, City Project No. 210807 and posted the project on the City of Rialto website and the PlanetBids.com website. On June 18 and 24, 2021, the Notice Inviting Bids was published in the San Bernardino County Sun.
On July 22, 2021, the City received four (4) bids, tabulated in Table 1 below:
Table 1
A full bid summary is included as Attachment 2.
The engineer’s estimate was $6,300,000. The lowest responsible and responsive bid was $6,482,270.00 submitted by Sequel Contractors, Inc. of Santa Fe Springs, CA, and is within 3% of the engineer’s estimate. Staff reviewed the bid and found Sequel Contractors, Inc. to be properly licensed and qualified. Sequel Contractors, Inc.’s Disclosure, Contractor’s License, and DIR verification documents are included as Attachment 3. Staff recommends that the City Council accept the bid received from Sequel Contractors, Inc. as the lowest responsible and responsive bid. A construction contract with Sequel Contractors, Inc. for the project is included as Attachment 4.
Construction Management Support Services
On June 25, 2021, the City released Request for Proposal (RFP) No. 21-054 and posted on PlanetBids.com and the City’s website. The RFP scope included construction management, inspection, community outreach, labor compliance, and geotechnical and materials testing services for the 2020/2021 Street Overlay & Reconstruction Project, City Project Numbers 180807 and 210807.
On July 20, 2021, the City received nine (9) proposals from the following firms, listed in alphabetical order:
• AECOM Technical Services, Inc., Los Angeles, CA
• Albert A. Webb Associates, Riverside, CA
• Berg & Associates, Inc., San Pedro, CA
• KOA Corporation, Monterey Park, CA
• PdM Consulting, Inc., Oceanside, CA
• Southstar Engineering and Consulting, Inc., Riverside, CA
• TKE Engineering, Inc., Riverside, CA
• Transtech Engineers, Inc., Chino, CA
• Willdan Engineering, San Bernardino, CA
The City assembled an evaluation panel to review proposals and conduct interviews. The evaluation panel included two (2) City staff members (Dave Hammer, City Engineer; and Jeff Schafer, Associate Civil Engineer), and Hector Davila with Riverside County. It should be noted that the Interim Public Works Director, Michael Tahan, had no involvement in the review and selection of consultants for this project. The City follows a qualifications-based selection process.
The panel evaluated the nine (9) proposals and shortlisted the five (5) top firms, AECOM Technical Services, Albert A. Webb Associates, Berg & Associates, Southstar Engineering and Consulting, and TKE Engineering. Evaluation criteria included project understanding, scope of work, staff qualifications, firm qualifications, and project schedule.
On August 19, 2021, the evaluation panel conducted interviews with shortlisted firms. Firms were evaluated based on overall project understanding, understanding of critical project issues, team member experience, communication and community outreach, task management, and quality control.
Based on the interviews, staff recommends selecting AECOM Technical Services, Inc., (AECOM), to provide the requested services related to this segment of Riverside Avenue (SR210 to Foothill Boulevard). A copy of AECOM’s proposal is included as Attachment 5.
The full scope of services to be provided by Southstar for the Project will be at a total fee of $972,443 equivalent to 15% of the construction bid amount of $6,482,270 and is within the range of expected costs for these services on a complex transportation project. The Professional Services Agreement (PSA) and Disclosure Statement are included as Attachments 6 & 7, respectively.
A note regarding the Disclosure Statement provided by AECOM: AECOM has identified Michael Tahan on its disclosure statement insofar as AECOM has used Mr. Tahan’s consulting firm (PPM Group) as a sub-consultant on other AECOM projects. In this case, AECOM is not using PPM Group as a sub-consultant on this project, and as noted Mr. Tahan was not involved in the City’s selection of AECOM for this project. In consultation with the City Attorney, it has been determined that this does not represent a conflict of interest, and the City Council can award the PSA to AECOM consistent with its conflict of interest provisions.
The estimated construction start is October 2021. The construction contract duration is 180 working days.
Change Orders
In addition, staff is recommending City Council delegate authority to the City Manager to approve Change Orders that might be required during construction, subject to the City Manager’s express review and approval, in a cumulative amount not to exceed $200,000.
ENVIRONMENTAL IMPACT:
Section 21084 of the California Public Resources Code requires that the guidelines for implementation of the California Environmental quality (CEQA) include a list of classes of projects that have been determined not to have a significant effect on the environment and which shall, therefore, be 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 categorically exempt from the requirement for the preparation of environmental documents. In accordance with 14 CCR Section 15301 “Existing Facilities”, Class 1 projects consist of the repair, maintenance, or minor alteration of existing structures and facilities; therefore, the 2020/2021 Street Overlay & Reconstruction Project, City Project Nos. 180807 and 210807 are considered categorically exempt from CEQA. Staff has prepared and filed a Notice of Exemption for the project, included as Attachment 8.
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 4-1: Provide transportation improvements to reduce traffic congestion associated with regional and local trip increases.
Policy 4-1.1: Establish and maintain standards for a variety of street classifications to serve both local and regional traffic, including Major Arterial Highways, Major Arterials, Secondary Arterials, Collector Streets, and Local Streets.
LEGAL REVIEW:
The City Attorney has reviewed and supports this staff report.
FINANCIAL IMPACT:
Operating Budget Impact
The proposed action will not affect the Operating Budget.
Capital Improvement Budget Impact
Funding for this action has been accumulated and adopted over prior year budgets and is available in various funding sources, as shown on Table 2 below.
Table 2
Project No. 210807 - Riverside Avenue from SR210 to Foothill Boulevard
The construction contract with Sequel Contractors, Inc. in the amount of $6,482,270 will be funded from the Gas Tax Fund, Account Number 202-500-4317-3001-210807-35 in the amount of $782,270 and Gas Tax SB1 Fund, Account Number 203-500-7305-3001-210807-45 in the amount of $5,700,000.
The Professional Services Agreement with AECOM Technical Services, Inc. in the amount of $972,443 will be funded from the Measure I Fund, Account Number 201-500-4310-3001-210807-16 in the amount of $575,000 and from the Gas Tax Fund, Account Number 202-500-4317-3001-210807-55 in the amount of $397,443.
Contract change orders authorized by the City Manager in an amount not to exceed $200,000 will be funded from the Measure I Fund, Account Number 201-500-4310-3001.
Licensing
A Business License tax at the Professional Services rate in the amount of $6,554.00 based on the construction amount of $6,482,270 will be assessed against the project and paid by interoffice transfer. A Business License tax at the Professional Services rate in the amount of $1,029 will be paid by AECOM Technical Services, Inc. prior to execution of the Purchase Order.
RECOMMENDATION:
Staff recommends that the City Council:
• Award a Construction Contract to Sequel Contractors, Inc., a California corporation, in the amount of $6,482,270 for the 2020/2021 Street Overlay & Reconstruction Project, Riverside Avenue from SR210 to Foothill Boulevard, City Project No. 210807.
• Award a Professional Services Agreement to AECOM Technical Services, Inc., a California corporation, in the amount of $972,443 for Construction Management, Inspection, Community Outreach, Labor Compliance, and Geotechnical and Material Testing Services.
• Delegate authority to the City Manager to approve Contract Change Orders in a cumulative amount not to exceed $200,000.
• Authorize the City Manager to execute all necessary documents.