For City Council Meeting [November 12, 2024]
TO: Honorable Mayor and City Council
APPROVAL: G. Michael Milhiser, Interim City Manager
AUTHOR: Tim Sullivan, Director of Public Works
Title
Request City Council to 1) Adopt Resolution No. 8305 Amending the 2024/2025 Fiscal Budget; 2) Award a Construction Contract to Horizons Construction Company International, Inc. in the Amount of $1,777,824 for the Construction of the Birdsall Park Improvement Project, City Project No. 210304; 3) Authorize a Contract Change Order in the amount of $374,393 with Harris and Associates, Inc. pursuant to the City’s “On-Call” Agreement for Capital Project Program Management and Related Services for Birdsall Park Improvement Project, City Project No. 210304 and 4) Authorize the Interim City Manager or Their Designee to Execute all Related Documents.
(ACTION)
Body
RECOMMENDATION
Staff recommends that the City Council:
1. Adopt Resolution Amending the 2024/2025 Fiscal Budget.
2. Award a Construction Contract to Horizons Construction Company International, Inc. in the amount of $1,777,824 for the Construction of the Birdsall Park Improvement Project, City Project No. 210304.
3. Authorize a Contract Change Order in the amount of $374,393 with Harris and Associates, Inc. pursuant to the City’s “On-Call” Agreement for Project Program Management and Related Services for Birdsall Park Improvement Project, City Project No. 210304.
4. Authorize the Interim City Manager or Their Designee to Execute all Related Documents.
BACKGROUND
On June 8, 2021 (amended on August 24, 2021), the County of San Bernardino Board of Supervisors passed the San Bernardino County Local Fiscal Recovery Fund Spending Plan. The plan allocated the County’s $423.5 million in available funding through December 31, 2024, with the goal of rebuilding stronger communities. The City submitted a proposal for project funding for the Birdsall Park Improvement Project (“Project”) in February of 2023 to San Bernardino County. The Project was evaluated and deemed eligible for use of the County’s ARPA allocation in which the County committed $1,617,950 in ARPA funds for the project.
On August 22, 2023, the City Council authorized a purchase order to BOA Architecture in the amount of $182,600 for the design of the Birdsall Park Improvement Project, pursuant to their on-call agreement for Professional Architectural Services.
The Birdsall Park Improvement Project, City Project No. 210304, had a previous budget allocation of $1,400,000 from the Capital Projects fund. On June 13, 2023, the City Council adopted Resolution No. 8103 to amend the Capital Improvement Program and appropriate the County’s contribution of $1,617,950 to the Project through an agreement with the County of San Bernardino. Further, the Council approved transferring $1,000,000 from the Fitness Center Conversion Project to the Birdsall Park Improvement Project.
On August 27, 2024, the City Council authorized the release of Request for Bids, RFB No. 25-013, for the construction of the Birdsall Park Improvement Project.
ANALYSIS/DISCUSSION
On September 3, 2024, the City released RFB No. 25-009 for the Construction of the Birdsall Park Improvement Project, City Project No. 210304, and published the Notice Inviting Bids in the San Bernardino County Sun Newspaper and on the PlanetBids.com website.
On October 31, 2024, the City received 11 bids, tabulated in Table 1 below:
Table 1
A complete bid summary is included as Attachment 1. The lowest responsible and responsive bid was $1,777,824.00, submitted by Horizons Construction Company International, Inc. The bid received by Elegant Construction Inc. was found to be non-responsive to the contract documents. Staff reviewed the second lowest bid and found Horizons Construction Company International, Inc. to be properly licensed and qualified. Horizons Construction Company International, 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 Horizons Construction Company International, Inc. as the lowest responsible and responsive bid. A construction contract with Horizons Construction Company International, Inc. for the project is included as Attachment 3.
Construction Management, Inspection, and Materials Testing Services
On April 12, 2022, the City Council approved an on-call agreement with Harris and Associates, Inc. for on-call project management support services for an initial Three (3) year term, with two (2) one (1) year optional extensions.
Staff has reviewed and recommends approval of the proposal provided by Harris and Associates, Inc. based on their experience overseeing projects of this magnitude similar in scope to the Project. A copy of their proposal is included as Attachment 4. Harris and Associates, Inc. has provided a fee proposal of $374,393 to provide the required construction phase services through the duration of the project. A copy of Harris and Associates, Inc.’s Disclosure Statement is included in Attachment 5.
ENVIRONMENTAL IMPACT
Section 21084 of the California Public Resources Code requires that the guidelines for implementation of the California Environmental Quality Act (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 construction the Fire Station 203 Dormitory Improvements Project, City Project No. 220204 is considered categorically exempt from CEQA. Staff will prepare and file a Notice of Exemption for the project.
GENERAL PLAN CONSISTENCY
The City of Rialto General Plan establishes various guiding principles, goals and objectives through which the City looks to improve the community and protect the quality of life for our residents. 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.
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:
The Project is currently funded by the Capital Projects Fund, Account No. 33007304-53001-210304 in the amount of $2,400,000 and $1,617,950 from the Community Service’s Grant Fund, Account No. 22487304-53001-210304, for a total project budget of $4,017,950. Staff Recommends a revenue increase in the City’s Community Services Grant Fund, Account No. 22487304-47560 in the amount of $1,617,950 and approve an appropriation from the City’s Community Services Grant Fund, Account No. 22487304-53001 in the amount of $1,617,950 for the Birdsall Park Improvement Project, City Project No. 210304.
Upon the adoption of the resolution, funds for the construction contract award to Horizons Construction Company International, Inc. in the amount of $1,777,824 will be available in the Community Service’s Grant Fund, Account No. 22487304-53001-210304-22 in the amount of $1,617,950 and $159,874 in the Capital Projects Fund, Account No. 33007304-53001-210304-05.
Additionally, funds for the contract change order for construction management services with Harris and Associates, Inc., in the amount of $374,393, are available in the Capital Projects Fund, Account No. 33007304-53001-210304-16.
Licensing
A Business License tax at the Professional Service rate in the amount of $1,854 based on the construction amount of $1,777,824 will be assessed against the project and paid by interoffice transfer.