REPORT TO THE CITY COUNCIL
June 20, 2019
FROM: SCOTT L. MOZIER, PE, Director
Public Works Department
THROUGH: Randall W. Morrison, PE, Assistant Director
Public Works Department, Engineering Division
BY: SCOTT P. SEHM, PE, Design Services Manager
Public Works Department, Design Services Division
SUBJECT
...Title
Actions pertaining to the Water Mains Installation in the Vicinity of Airways Golf Course - Bid File 3661 (Council District 4)
1. Adopt a finding of Categorical Exemption per staff’s determination, pursuant to Class 2 Section 15302(c) (Replacement or Restoration) of the California Environmental Quality Act Guidelines
2. Award a construction contract in the amount of $482,472 to West Valley Construction Company, Inc., of Fresno, California as the lowest responsive and responsible bidder
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RECOMMENDATIONS
Staff recommends that the City Council adopt a finding of Categorical Exemption per staff’s determination, pursuant to Class 2 Section 15302(c) (Replacement or Restoration) of the California Environmental Quality Act (CEQA) Guidelines, award a construction contract to West Valley Construction Company, Inc., of Fresno, California in the amount of $482,472 as the lowest responsive and responsible bidder for the Water Mains Installation in the Vicinity of Airways Golf Course, and authorize the Public Works Director or designee to sign the contract on behalf of the City.
EXECUTIVE SUMMARY
The proposed construction contract includes installation of 0.44 mile of water distribution mains, water service transfers, and fire hydrants in the vicinity of Airways Golf Course, along East Aircorp Way, North Boyington Avenue and North Leyte Avenue. Under the proposed project, the aging water mains will be replaced with new water mains installed in the street right-of-way and water services will be relocated accordingly. The new water mains will provide more consistent water pressure, reduce the frequency of service interruptions caused by failures and improve access for maintenance. The project is funded by Water Enterprise Funds.
BACKGROUND
The Water Mains Installation Project, in the vicinity of Airways Golf Course, was identified by the Department of Public Utilities (DPU) as a required system upgrade and placed in the FY18 budget. Design was scheduled for FY19 with construction award set for FY19. In October 2018, Public Works commenced design of the project with in-house staff; the initial design, engineering and permitting took approximately 8 months to complete. Construction of this project will be funded by Water Enterprise Funds.
This project is located within the vicinity of Airways Golf Course, along East Aircorp Way, North Boyington Avenue and the alignment of North Leyte Avenue. Several of the existing water mains in this vicinity are located in unknown locations with limited access. Additionally, due to the age of the existing mains, numerous water main failures have occurred interrupting water service to customers. Under the proposed project, the new water mains and services will be placed in the street right-of-way improving access for City maintenance staff and provide more consistent water pressure.
Public Works staff prepared Plans and Specifications and a Notice Inviting Bids was published and posted on the City’s website on April 17, 2019. Thirteen (13) building exchanges were sent Notices Inviting Bids and the specifications were distributed to Ten (10) prospective bidders. Five (5) sealed bids were received and opened in a public bid opening held at City Hall on May 14, 2019. Bid proposals ranged from $482,472 to $570,308. West Valley Construction Company, Inc., of Fresno, California, submitted the lowest bid in the amount of $482,472 and was determined to be the lowest responsive and responsible bidder. The apparent low bid price was 1.94% below the Engineer’s Estimate. Bids will expire within 64 days after the bid opening, on July 17, 2019. If the bids are rejected or expire, the project will be rebid, resulting in a delay of approximately 60 days.
The City Attorney’s Office has reviewed the standard construction contract and approved as to form.
Staff is recommending award of a construction contract to West Valley Construction Company, Inc., in the amount of $482,472 to install water mains in the vicinity of Airways Golf Course as the lowest responsive and responsible bidder and to authorize the Public Works Director or designee to sign and execute the contract on behalf of the City of Fresno.
ENVIRONMENTAL FINDINGS
Staff has reviewed the scope and nature of this project and determined that the scope of this project falls within the Class 2, Categorical Exemption set forth in the CEQA Guidelines, Section 15302(c), as this contract is for the replacement of existing utility systems involving negligible or no expansion of capacity. The project will replace the existing utility system with new water mains and services and will not result in the expansion of capacity of existing utility system, or change the purpose. 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 the low bidder qualifies as a local business pursuant to the Fresno Municipal Code Section 4-108(d).
FISCAL IMPACT
The project, which is located in Council District 4, will not have any impact to the General Fund. The total project cost of $730,472 is funded by Water Enterprise Funds which are appropriated through the Water Division’s adopted Fiscal Year 2019 Capital Improvement Project Budget. No additional appropriations are needed for this project.
Attachments:
Bid Evaluation
Fiscal Impact Statement
Vicinity Map
Sample Contract