For City Council Meeting April 9, 2024
TO: Honorable Mayor and City Council
APPROVAL: David N. Carmany, City Manager
FROM: Tim Sullivan, Director of Maintenance and Facilities
Title
Consideration a Construction Contract with Calmex Engineering, Inc., in the amount of $8,064,168.70 for the Various Streets Phase II, City Project No. 240802.
RECOMMENDATION
Staff requests that the City Council:
1) Adopt Resolution No. 8200 Amending the Fiscal Year 2023-2024 Budget and Appropriating $1,500,000 from the Capital Projects Fund 300;
2) Award a Construction Contract to Calmex Engineering, Inc., a California Corporation, in the amount of $8,064,168.70 for Various Streets Phase II, City Project No. 240802;
3) Authorize a Contract Change Order Request in the amount of $1,552,855 with Prescience Corporation pursuant to the City’s “On-Call” Agreement for Construction Management, Inspection, and Materials Testing Services for Various Streets Phase II, City Project No. 240802;
4) Delegate Authority to the City Manager to Approve Contract Change Orders in the Cumulative Amount of $1,500,000; and
5) Authorize the City Manager to Execute all Related Documents.
Body
BACKGROUND
On September 22, 2020, the City Council awarded Advanced Civil Technologies (ACT) a Professional Services Agreement in the amount of $1,823,986.50 for the design of the 2020/2021 Street Overlay & Reconstruction Project, City Project Nos. 180807 and 210804. This work included the design for the reconstruction of the two segments of Riverside Avenue and various additional street segments throughout the City with poor pavement condition.
On January 11, 2022, the City Council received a presentation on the City’s Pavement Management Program, approved a revised list of City streets scheduled for overlay and reconstruction, and authorized the Release of Requests for Bids for the Street Overlay & Reconstruction Project (Various Streets Reconstruction Project), City Project No. 210804.
On April 12, 2022, the City Council approved a Second Amendment to ACT’s contract in the Amount of $201,417.74 for engineering design services for the reconstruction of the additional street segments for the Various Streets Reconstruction Project, City Project No. 210804.
On November 15, 2022, the City Council awarded a construction contract to Matich Corporation in the amount of $18,155,605.28 for Bid Schedules A, B, and C for the Streets Reconstruction Project. The segment on Santa Ana Avenue from Riverside Avenue to the eastern end of the street was eliminated during construction in anticipation of a water line installation project. The segments on Eucalyptus Avenue from Rialto Avenue to Carter Street and on Eucalyptus Avenue from Etiwanda Avenue to Foothill Boulevard were also eliminated due to the City of San Bernardino not having the funds available to execute the cooperative agreement for their portions of the streets. Bid Schedules D and E were not awarded at this Council meeting because the cumulative low bid for all Bid Schedules A, B, C, D, and E exceeded the available budget at the time.
On March 27, 2024, the Various Streets Phase II paving project was presented to the Economic Development Committee (EDC). The Various Streets Phase II project consists primarily of the street segments within Bid Schedule D of the original bid advertisement. Bid Schedule D currently consists of the following street segments:
• Acacia Avenue: Rialto Avenue to Merrill Avenue*
• Bohnert Avenue: Cedar Avenue to Ayala Drive
• Easton Street: Arrowhead Avenue to Brampton Avenue
• Etiwanda Avenue: Cactus Avenue to Lilac Avenue
• Etiwanda Avenue: Maple Avenue to Cedar Avenue
• Etiwanda Avenue: Sycamore Avenue to Eucalyptus Avenue*
• Eucalyptus Avenue: Walnut Avenue to Baseline Road
• Eucalyptus Avenue: Mill Street to Carter Street
• Lilac Avenue: Foothill Boulevard to Rialto Avenue
• Randall Avenue: Riverside Avenue to Sycamore Avenue
• Sycamore Avenue: Wilson Street to Merrill Avenue
*The following street segments would need to be delayed as a separate project in anticipation of upcoming water infrastructure work.
• Acacia Avenue: Rialto Avenue to Merrill Avenue
• Etiwanda Avenue: Sycamore Avenue to Eucalyptus Avenue
A map of the proposed streets to be reconstructed as part of Various Streets Phase II are included in Attachment 1.
The following street segments were initially part of Bid Schedule E. However, certain segments within Bid Schedule E are undergoing redesign to accommodate street widening and will not be a part of the Various Streets Phase II Project.
• Lilac Avenue: Slover Avenue to Maywood Avenue
• Linden Avenue: Riverside Avenue to Persimmon Avenue
• Linden Avenue: Norwood Street to Casmalia Street
• Locust Avenue: Riverside Avenue to Casmalia Street
• Summit Avenue: Maple Avenue to Apple Avenue
At the January 24, 2023, City Council meeting, during the discussion of Tab 4 to adopt an interim urgency ordinance for the City’s truck route, the Council requested that roadway rehabilitation plans for Locust Avenue be accelerated.
On April 25, 2023, the City Council authorized a purchase order to Mark Thomas in the amount of $1,572,563.00 for the design of the Locust Roadway Widening and Rehabilitation Project, City Project No. 230812. Staff will return to the City Council at a later date for purchase order authorizations pertaining to the other street segments within Bid Schedule E that require design alterations to include street widening.
ANALYSIS/DISCUSSION
On December 11, 2023, the City released RFB No. 24-011 for the Various Streets Phase II, City Project No. 240802, and published the Notice Inviting Bids on the PlanetBids.com website. On January 11, 2024, the City received four bids as follows:
A complete bid summary is included as Attachment 2. The engineer’s estimate was $6,000,000. The lowest responsible and responsive bid was $8,064,168.70 submitted by Calmex Engineering, Inc. Staff reviewed the bid and found Calmex Engineering Inc. to be properly licensed and qualified. Calmex Engineering Inc.’s Disclosure Statement, Contractor’s License, and DIR verification documents are included as Attachment 3. Staff recommends that the City Council accept the bid received from Calmex Engineering, Inc. as the lowest responsible and responsive bid. A construction contract with Calmex Engineering, Inc. for the project is included as Attachment 4.
Staff also recommends that the City Council authorize the City Manager to review and approve contract change orders in a cumulative amount not to exceed $1,500,000.
Construction Management, Inspection, and Materials Testing Services
On April 12, 2022, the City Council approved an on-call agreement with Prescience Corporation for on-call construction management, inspection, and materials testing services for an initial 3-year term, with two 1-year optional extensions.
Staff has reviewed and recommends approval of the proposal provided by Prescience Corporation based on their prior constructability review of the Project plans and their experience overseeing projects of this magnitude similar in scope to the Project. A copy of their proposal cost sheet is included as Attachment 5. Prescience has provided a fee proposal of $1,552,855 to provide the required construction phase services through the duration of the project. A copy of Prescience’s Disclosure Statement is included in Attachment 6.
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 Various Streets Phase II, City Project No. 240802 is considered categorically exempt from CEQA. Staff has prepared and will file a Notice of Exemption for the project.
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’s Office has reviewed the resolution and agreement and approved them as to form.
FINANCIAL IMPACT
Operating Budget Impact
The proposed action will not affect the Operating Budget.
Capital Improvement Budget Impact
The City usually funds street maintenance projects from Measure I Sales Tax, Gas Tax, and SB1 New Gas Tax. For the current fiscal year, the City is expecting to receive the following revenue for street maintenance projects:
The current balance available for new expenditures (funds accumulated and carried forward) includes the following:
Furthermore, several projects funded by the Capital Projects Fund 300 are expected to come under budget. However, these savings will not be realized until the final closeout and completion of those projects.
The estimated total cost for the Various Streets Phase II project is approximately $11,120,000, while the estimated funding available is $9,620,000.
Therefore, to fully fund the project, staff recommends that the City Council adopt a budget resolution approving a transfer of $1,500,000 from the general fund to the Capital Projects Fund 300 and appropriate that amount as an expenditure for the capital project in the Capital Projects Fund, Account No. 33007305-53001 for the Various Streets Phase II project.
Funds to appropriate for the award of the construction contract with Calmex Engineering, Inc., for $8,064,168.70 are available in the following sources:
Funds to appropriate for the Contract Change Order Request with Prescience are available in the Capital Projects Fund, Account No., 33007305-53001, for $1,552,855.
After the adoption of the requested budget resolution, funds for the Construction Contract Change Orders, to be approved by the City Manager, will be budgeted and available in the Capital Projects Fund, Account No. 33007305-53001 in the cumulative amount of $1,500,000.
Licensing
Calmex Engineering, Inc. and Prescience Corporation will pay a Business License Tax before commencing the services for this project.