REPORT TO THE CITY COUNCIL
February 8, 2018
FROM: THOMAS C. ESQUEDA, Director
Department of Public Utilities
THROUGH: MICHAEL CARBAJAL, Planning Manager
Department of Public Utilities - Utilities Planning & Engineering
BY: SARAH AGUILA, Senior Engineering Technician
Department of Public Utilities - Utilities Planning & Engineering
SUBJECT
Title
Actions pertaining to Access Structure Rehabilitation at multiple city locations: (Council Districts 3, 5 and 7)
1. Adopt a finding of Categorical Exemption pursuant to Sections 15301(d) (Existing facilities) and 15302(c) (Replacement or reconstruction) of the California Environmental Quality Act Guidelines
2. Award a construction contract in the amount of $148,075 to Michels Corporation of Salem, Oregon - Bid File No. 3564 (Council Districts 3, 5 and 7)
Body
RECOMMENDATIONS
Staff recommends that City Council adopt a finding of Categorical Exemption pursuant to Sections 15301(d) (Existing facilities) and 15302(c) (Replacement or reconstruction) of the California Environmental Quality Act (CEQA) Guidelines for Access Structure Rehabilitation at multiple city locations and award a construction contract to Michels Corporation, of Salem, Oregon in the amount of $148,075.
EXECUTIVE SUMMARY
Rehabilitation of the City’s access structures are essential to maintain a functioning infrastructure. The Department of Public Utilities, Wastewater Management Division is seeking to award a construction contract to rehabilitate ten access structures.
BACKGROUND
The Collection System Maintenance workgroup is responsible for maintaining the City’s sewer infrastructure consisting of over 23,600 access structures. The purpose of these structures is to allow access during inspection and cleaning of the sanitary sewers. Rehabilitation of these access structures will assist in extending the life of the existing system and eliminate structural deficiencies and corrosion caused by hydrogen sulfide. The project consists of rehabilitating ten access structures at multiple city locations. The project locations are at Iowa Avenue, Church Avenue, Verrue Avenue, Stanislaus Street, Fresno Street, Elm Avenue, and along the Hunnington Avenue alignment.
Plans and specifications were prepared for the project. A Notice Inviting Bids was published on November 22, 2017, and posted on the City’s website. The specifications were distributed to 30 prospective bidders, and faxed to ten Builder Exchanges. The bids will expire on February 23, 2018, 64 days after the December 19, 2017, bid opening. Two sealed bid proposals were received and publicly opened on December 19, 2017. The bid proposal prices were $148,075 and $173,825.
Michels Corporation was the lowest responsive bidder with a submitted bid of $148,075. Staff determination was posted on the City’s website. Staff recommends that the City Council award a construction contract in the amount of $148,075 to Michels Corporation as the lowest responsive and responsible bidder. Their bid price is 1.28% below the original Engineer’s Estimate of $150,000.
ENVIRONMENTAL FINDINGS
Staff has performed a preliminary environmental assessment for Access Structure Rehabilitation on West Avenue and has determined that it falls within Class 1 and 2 Categorical Exemption set forth in CEQA Guidelines, Sections 15301(d) (Existing facilities) and 15302(c) (Replacement or reconstruction) because this contract involves restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment. Furthermore, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project.
LOCAL PREFERENCE
Local preference was not implemented because none of the bidders were local businesses.
FISCAL IMPACT
This project has no impact to the General Fund and is located in Council District 3, 5 and 7. This project is identified in the five-year Capital Improvement Plan. Funds in the amount of $150,000 for the construction project are budgeted in the 2017 Sewer Enterprise Fund No. 40501.
Attachments:
Bid Evaluation & Fiscal Impact Statement (Attachment 1)
Vicinity Map (Attachment 2)
Sample Contract (Attachment 3)