HomeMy WebLinkAboutStaff Report 3.D 9/8/2014 (2)(i)
DATE:
TO:
September 8, 2014
Honorable Mayor and Members of the City Council through City Manager
FROM: Dan St. j ofl } fSre — Director, Public Works & Utilities
Larry Zimmer, P.E. — Capital Improvements Division Manager
SUBJECT: Resolution Approving the Budget and Authorizing Award of Contract for the
Western Avenue Water Main Extension (Bantam Way to Benjamin Lane) Project
RECOMMENDATION
It is recommended that the City Council Approve the Budget and Authorize the Award of
Contract for the Western Avenue Water Main Extension (Bantam Way to Benjamin Lane)
Project.
BACKGROUND
To maintain and improve the condition of the City's water system, the Department of Public
Works and Utilities annually replaces water line mains throughout the City to add redundancy
and improve reliability. To address operational issues with water distribution to the western area
of the City's service area, a 12 -inch water main is required in Western Avenue between Bantam
Way and Benjamin Lane. The project is needed to complete a vital service loop and avoid the
consistent shutdowns within portions of the western distribution areas. This project will also add
fire hydrants and connect services and reduce future maintenance costs. The project location is
shown on Attachment 2.
The proposed action meets Council Goal: "Plan for and implement priority capital projects as
funding permits."
DISCUSSION
Staff prepared the project design documents and issued a Notice Inviting Bids on June 12, 2014.
On July 23, 2014 seven bids were received as follows:
Name of Bidder
W.R. Forde Associates, Inc.
Team Ghilotti Inc.
ARB
Argonaut Contractors
Coastside Concrete
Agenda Review:
City Attorney Finance Director
Bid Total
$ 394,698 Lowest Responsible Bidder
$ 479,477
$ 534,106
$ 544,754
$ 553,997
City Manager
Ghilotti Bros., Inc. $ 598,789
Terracon $ 599.725
Engineer's Estimate $ 440,898
The lowest responsible bidder, W.R. Forde Associates, has performed similar projects for the
City of Petaluma, Marin Municipal Water District, and the City of Burlingame. Staff verified
that Contractor possesses a valid Class A California Contractor's License, license number
814744, which expires on November, 30 2014, that qualifies Contractor to perform the work.
The attached formal protest letter dated June 30, 2014, was received from Team Ghilotti Inc. The
basis of their protest is that W.R. Forde Associates did not list subcontractors for grinding and
tack oil operations. W.R. Forde's attached response email, dated August 6, 2014, indicates that
they will self -perform tack oil operations and grinding, and will not need a subcontractor. WR
Forde may rent a grinder, but equipment rentals are not classifieds as subcontractors. This
protest letter has been reviewed by staff and has been found not to have merit; therefore staff
recommends the protest be rejected.
Construction is scheduled to begin in September 2014 and to be completed in December 2014.
Construction management and inspection will be conducted by City staff. The project was
designed by City staff without reliance on consultants except for geotechnical, survey, and
material testing specialists.
FINANCIAL IMPACTS
The total project budget for the Western Avenue Water Main Extension (Bantam Way to
Benjamin Lane) 2014/2015 Project (C67501407) is $699,000. $642,000 is set aside and
approved for 2014/2015. The following is a breakdown of the approved 2014/2015 CIP budget:
It is not anticipated that the contingency will be entirely spent and the remaining contingency
funds will be proportionally returned to their funding source.
ATTACHMENTS
1. Resolution
2. Location Map
3. Bid Protest and Response Correspondence
2
Allnroved
Revised
Construction Contract (low bid)
$
450,000
$
394,698
Design and Planning (City Staff)
$
20,000
$
20,000
Administration
$
4,000
$
4,000
Construction Management & Inspection
$
35,000
$
35,000
Salaries/Benefits
$
55,000
$
55,000
CIP Overheads
$
8,000
$
8,000
Contingency
$
70,000
$
125,302
TOTAL:
$642.000
$
642.000
It is not anticipated that the contingency will be entirely spent and the remaining contingency
funds will be proportionally returned to their funding source.
ATTACHMENTS
1. Resolution
2. Location Map
3. Bid Protest and Response Correspondence
2
Attachment 1
RESOLUTION APPROVING THE BUDGET AND AUTHORIZING AWARD OF
CONTRACT FOR THE WESTERN AVENUE WATER MAIN EXTENSION
(BANTAM WAY TO BENJAMIN LANE) PROJECT
WHEREAS, City staff has prepared construction bid documents and advertised for construction
the Western Avenue Water Main Extension Project (Bantam Way to Benjamin Lane), Project
Number C67501407, ("the Project"); and
WHEREAS, in accordance with the City of Petaluma Charter and Municipal Code, California
Public Contract Code Section 20162 and other applicable law, City staff solicited bids for the
Project; and
WHEREAS, the Project was bid on June 12, 2014, and seven bids were received and opened on
July 23, 2014 in accordance with applicable law; and
WHEREAS, the lowest responsible bid for the Project was submitted by W.R. Forde Associates
from Petaluma, CA for $394,698; and
WHEREAS, staff has determined that the Contractor's bid satisfies the bidding requirements for
the Project; and
WHEREAS, staff has verified that W.R. Forde Associates possesses a valid California
Contractor's License, Class A, number 814744 that qualifies Contractor to perform the Project;
and
WHEREAS, the bid protest by Team Ghilotti, Inc. is rejected. W.R. Forde Associates confirmed
all work omitted from the subcontractor list shall be self -performed; and
WHEREAS, the Project is categorically exempt pursuant to California Environmental Quality
Act (CEQA) and Title 14, the California Code of Regulations ("CEQA" Guidelines"), Section
15302, because the Project consists of replacement and reconstruction of existing utility systems
and/or facilities involving negligible or no expansion of capacity; and
WHEREAS, the funds made available are in the 2014/2015 water and wastewater collection
system budget.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Petaluma
hereby:
1. Approves the 2014/2015 project budget of $642,000.
2. In accordance with the City of Petaluma Charter and Municipal Code, California Public
Contract Code Section 20162 and other applicable law, waives any and all non-
conformance in the bid of Contractor for the Western Avenue Water Main Replacement
(Bantam Way to Benjamin Lane) Project, Project Number C67501407 and finds the bid
of $394,698 to be the lowest, responsive bid and further finds that W.R. Forde Associates
is the lowest responsible bidder.
3. Awards the contract for the Western Avenue Water Main Replacement (Bantam Way to
Benjamin Lane) Project, Project Number C67501407 to W.R. Forde Associates in the
amount of $394,698, the amount of the lowest responsive bid, conditioned on W.R. Forde
Associate's timely executing the project contract and submitting all required documents,
including but not limited to, executed bonds, certificates of insurance, and endorsements,
in accordance with the project bid documents.
4. Directs staff to issue a notice of award to W.R. Forde Associates.
5. Authorizes and directs the City Manager to execute the project contract on behalf of the
City of Petaluma upon timely submission by W.R. Forde Associates of the signed project
contract and all other required document, including but not limited to, executed bonds,
certificates of insurance, and endorsements, in accordance with the project bid documents.
4
A acwent
Mp,1N �X,�ENg1�N
N
�Eg AV�NUA Wo 6E JAMIN SANE
WES BANiPM W G� No c67�a�q.07
PRpJE.
commAcron
+mmmu.
June 30, 2014
City of Petaluma
Department of Public Works & Utilities
Attn: John C. Brown, City Manager
11 English St.
Petaluma, CA 94952
Attachment 3
CrIVE-
JUL 3 0 2014
CITY
Reference: Western Avenue Water Main Extension Bantam Way to Benjamin Lane
City Project Number C67501407
Subject: Protest of Bid Submitted by W. R. Forde Associates
Dear Mr. Jolm C. Brown,
In accordance with the construction documents, this letter is to notify the City of Petaluma that
we are protesting the apparent low bid of W. R. Forde Associates for the project referenced
above.
Our protest is based on the requirements specified in the bid proposal documents "List of
Subcontractors":
'In accordance with the provisions of Section 4102 and 4108, inclusive, of the Government Code of
the State of California, each bidder shall list below the name and location of place of business of
each subcontractor who will perform a portion of the contract work in excess of one-half of one
percent of the total contract price.'
Specific work that was listed by other responsive bidders was an asphalt grinding subcontractor and a tack oil
subcontractor as required for the paving for bid items 5) 12" Water Alain (C-900 D218), 15) Asphalt Concrete
Paving, and 16) Cold Planning/Grind AC Pavement for the above mentioned project. These bid items require a
minimum of 1,210 lineal feet of trench paving that is 8 '/2' Wide and 10" thick, and a minimum of 622 Square Yards
of AC Grinding. In order to perform such work, a minimum of 3 days of grinding, and the supply and spreading of
tack oil is required.
At one-half of one percent, W. R. Forde Associates was required to list all subcontractors whose contract value for
performing such work would have exceeded $1,973.49. At the time of bid, W. R. Forde Associates listed one
subcontractor, Striping Graphics, for striping under bid items 18, 19, and 20. Neither Striping Graphics or W. R.
Forde Associates self perform spreading tack oil and/or grinding operations. Given the nature and scope of the work
as described in the contract documents, the grinding and tack oil operations would exceed $1,973.49 for contract
work performed.
Attached to this letter is a quote to Team Ghilotti, Inc, received from Delta Grinding showing a minimum of $4,000
for a daily operated rate for a 67" grinder. At three days of grinding at $4,000 per day, the minimum contract value
of the grinding operations would be $12,000. This value far exceeds the minimum value of $1,973.49 per W. R.
Forde Associates bid. Similarly, attached to this letter is a quote from Pacific Northwest Oil for the delivery and
spread of tack oil showing a 2 ton minimum of tack oil, a value of $1,300 (2 tons at $650 each), a delivery fee of
$550, and a 4 hour minimum spread charge, a value of $660 (4 tons at $165 per hour), for a total minimum contract
value of $2,510. Based upon the contract documents, more than 2 tons of tack oil would be required further
increasing the value of the tack oil work.
2531 Petaluma Blvd South 4 Petaluma, CA 94952 # PAX: 707-763-8711 • wwwa'eamGhilotti.com
STATE CONTRACTORS LICENSE il895384 CLASS: A
Asphalt grinding requires a specialized grinding machine. Industry standard is to subcontract out this
portion of work unless the contractor owns its own grinding machine. In the case of W. R. Forde
Associates, we believe they do not own this type of equipment. In addition, it is not industry standard to
rent these machines out.
Due to the omission of listing a grinding and a tack oil subcontractor on the bid proposal submitted by
W.R. Forde Associates, TGI respectfully requests that the agency disqualify their bid as non-responsive
and award the contract to Team Ghilotti, Inc. as the low responsive bidder for this project.
Sincerel ,
Robert E. Lee
Vice President
Team Ghilotti, Inc.
CC: W. R. Forde Associates
ARB, Inc.
Jul 23 2014 11:03AM HP LASERJET FAX
�O.H.199ING COMP+'ANS' INC'
RECEIVED 07/23/2014 11:4b
925-778-3969 page 1
$131--Wbo 3l°.13,ph. 16chf CA 9.453.1
Estimating/o ficeF. 9025='�7$ CA License A-7869114
Fax: SZ y=71$-39043,NV License A-0076673
xatcherc 025 406-3sgf!i SBE -00U117
PRI(E QUOTATION
j WORK ORDER
Bid Date: July 23, 2014
Attn: Estiknating Department
THE DIFFERENCE IS... _,EET SOW GARB CO'LLkNT ' p,~
PROJECT NAME
Western Ave Water Main
Petaluma. CA I
DAILY RENTAL ( GRIND & LOAD 0"
"CERTIFIED WITH THE STATE OF CALIFORNIA AS A SMALL BUSINESS OWNER" SM032117
40" grinder operated daily rental directed by customer -------------$3.0110.00 per 8 hour shift
2411 or 3611 FCSgrinder operated daily rental directed by customer -------$3,2 )0_00 per 8 hour shift
6'7"-713" grinder operated daily rental directed by customer --------54,0 )0.00 per 8 hoar shift
PRICE INCLUDES MOBILIZATION FEE
. ' NIGirl' PEE: 5150 (S41g) and 5200 (alis) ,
• i Daily shift rates include one set ofteelh per shin
• Options) nigh HP +$500
Saturdays: 5250 (54ft) /5500 (Z611) Additional per shift
• Sunday; S500(5cin)/ SHOD(a61t) Additional per hift
Weekday OT(54ft) S25 per hr in addition to prorated hourly rate (54001h)
•, Weekday OT IUD) S50 per hr In addition to prorated hourly rate (5550th)
Y VpM1 undue lV n Dl r1 Vnb:
• .Delta Grinding is not responsible for cannot reach includ Ing area around manholes,
ma chine is doom& not to exceed total
trafficcontrot,iayouq handwork, water valves, trees and other obstructions
daily rental rate maximum
Cleaning ofslderwaiks, building • Delta Grinding Is not responsible for maintenance
• Delta Grinding not responsible for any
temporary tapers, posting of"no and protection of milled areas
unpotholed, unmarked, or mismarked
parking" signs, temporary pavement . Delta Grinding excludes trimming shrubs ortrmas
obstructions.
delineation or car removal • General to provide minimum of 6' distance
• General to pothole all utilities
• Unless otherwise indicated, this price between bottom of grinding activities and tops of
• General responsible for USA marking
excludes any milli ng of concrete any utilities
• enerel momracter to assume
price does not include cost of a pilot Car . Delta Grinding must be notified within 7.9hrs of any
responsibllity for fees, permits, water
Ifrequired backcharges
meter, or notifications required
• Grinders are equipped with standard • Delta Grinding excludes bringing highway surface
. General to supply water to grinder
6/8" tooth sparing within longitudinal& transverse slope smoothness
. Additional insurance coverage or
(wording
PrkQ exdudes additional hand work at specs.
may incur addlorwl fee
dead end streets and court, removal of . Delta Grinding does not accept withholding
. General contractor responsible for
%.0 on gutter pan or AS ribbon along rentention on daily rental work
maintaining safe passage on and
vertical curb . Delta Grinding will accept back charge for grinder
Brice
)around milled areas
• excludes araas milling machine downtime, not to exceed actual cast fortime
It Is the sole responsibility of the lessee or reatertofollow the requirements of the regional notification center law punuen j.to Article 2 (Commencing with section
421611ofahapter3.l of Division S of Tlde lofthe government code. By signing this Contract, and/or permitting Delta Grinds g Company to commence or to continue
to work, the lessee or renter acapts a0 Oabllrdes and responsibilities contained In the regional notification center law. Tot a extent Caused brnegrigence of Delta
Grinding (Delta), Delta agrees to defend, Indemnify and hold harmless gen am] contractor and owner from all claims, damall,tees, arMmsts(Claim) relating to
Delta'. work under this work order, and Its acts, errors, or omissions. Persuant to civil code 2782.05, Delm's defense and Indpmniry abligadam shall be limited to Its
perregtage fault farthe claim. This work order shall superscede and confilaing Indemnity/defense provisions In the original;subcontract agreement and Constitute a
moditlotan theroF.
Contractor'sacceptance ofthe terms of this work ordershall be evidenced by ether (i) Contradves sighatura below, orpi) Contractor's
permljting Delta Grinding Company to commence or to continue to work on the project
If you )have any questans please all our of ice at (925177&3939.
SignMux Dare
RECEIVED 07/23/2014 10:24
7232014 1024 AM FromFadirm N.rhwes Oil Fax Number. 200-460 2506 Pape i of l
!�I rid , 1
3310 E. MINER AVENUE
STOCKTON, CA 95206
CALIFORNIA CONTRACTORS LICENSE 4 705296
OFFICE
2094634762
Todays Date: 23-Jn1-14
CUSTOMER:
CONTACT: ESTIMATOR
PROJECT NAME: WESTERN AVE
LOCATION: PETALUMA
CONTRACT#:
• QUOTE IS FOR THE FOLLOWING:
els 4 TONS OF SS -111
PRICE QUOTED: $650 PER TON
DELIVERY CHARGE: $550 EACH
FAX
209 463-2566
OIL QUOTE # 6533
1 :l 17U1112113AtUlll
BID DATE: 7/23/2014
TAX INCLUDED
• IF SPREADING IS AT NIGHT HOURLY RATE IS: $175.00 PER HOUR
Comments:
MINIMUM 2 TON OIL PURCHASE PER DELIVERY
PLEASE CALL ERIC HICKS @ 209 463-4762 IF YOU HAVE ANY QUESTIONS
DUE TO MARKET VOLATILITY THE PRODUCT QUOTED MAY BE INFLUENCED UP OR
DOWN BY THE CALTRANS ASPHALT INDEX. ALL PRICES QUOTED STRAIGHT OR CUT
WITH WATER. PROTECTION OF EXISTING CONCRETE AND STRIPING BY OTHERS. ALL
IN ROUTE CANCELATIONS WILL BE CHARGED AT SPREAD RATE PORT TO PORT
Wcdmaday, July 23, 2014
Pop 1 oft
11
10
Carothers, Kent
..,.....................— .� �...
From:
David Voorhis <dave@wrforde.net>
Sent:
Wednesday, August 06, 2014 8:16 AM
To:
Carothers, Kent
Cc:
Don Russell
Subject:
TGI Protest
Kent:
We are in receipt of Team Ghilotti's protest letter regarding our bid for the Western Avenue Water Main project.
We would like to emphasize to the City of Petaluma that W.R. Forde was in no way required to list subcontractors for
the work referenced in TGI's letter of protest.
1. W.R. Forde has been spreading our own tack oil since the inception of our business and will continue to do so
throughout the performance of this project
2. W.R. Forde will perform the Asphalt Grinding operations with either our own equipment or rented equipment
(operated or bare). TGI included in their protest a quotation from DELTA GRINDING COMPANY INC. that clearly
shows three separate rates for DAILY RENTAL DIRECTED BY CUSTOMER. W.R. Forde may well be renting from
Delta Grinding when it is time to perform this item of work.
However W.R. Forde elects to proceed with the AC grinding operation, we will not be employing any entity to perform
work in the capacity of a subcontractor, and will be spreading our own tack oil with our forces and equipment. There
clearly is no requirement for WRF to have listed a subcontractor for work which we will perform ourselves or perform
with rented equipment and therefore TGI's protest is completely without merit.
Please contact me if you have any questions or need further information,
David Voorhis
Chief Estimator
Office: (510) 215-9338
Fax: (510)215-9867
Cell: (415) 716-2200
W.R. Forde Associates
984 Hensley Street
Richmond, CA 94801
From: Carothers, Kent Imailto:kcarothers(@ci.oetaluma.ca.usj
Sent: Friday, July 25, 20148:32 AM