REPORT TO THE CITY COUNCIL
July 25, 2019
FROM: MICHAEL CARBAJAL, Director
Department of Public Utilities
THROUGH: BUD TICKEL, Assistant Director - Water
Department of Public Utilities Water Division
DEJAN PAVIC, PE, Public Utilities Manager
Department of Public Utilities - Utilities Planning & Engineering
BY: ROBERT A. DIAZ, Supervising Engineering Technician
Department of Public Utilities - Utilities Planning & Engineering
SUBJECT
Title
Actions pertaining to Permanent Asphalt Concrete Pavement Repairs (Bid File 9506) (Citywide):
1. Adopt a finding of Categorical Exemption pursuant to Class 1/Section 15301 (Existing Facilities), Class 2/Section 15302 (Replacement and Reconstruction), Class 3/Section 15303 (New Construction or Conversion of Small Structures), and Class 4/Section 15304 (Minor Alterations to Land) of the California Environmental Quality Act Guidelines
2. Award a one-year requirements contract to Dawson-Mauldin LLC., in the amount of $1,426,100 for Fiscal Year 2020, with provisions for up to three one-year extensions
Body
RECOMMENDATIONS
Staff recommends that City Council adopt a finding of Categorical Exemption pursuant to Class 1/Section 15301 (Existing Facilities), Class 2/Section 15302 (Replacement and Reconstruction), Class 3/Section 15303 (New Construction or Conversion of Small Structures), and Class 4/Section 1 (Minor Alterations to Land) of the California Environmental Quality Act (CEQA) Guidelines; award a one-year requirements contract to Dawson-Mauldin LLC., in the amount of $1,426,100 for Fiscal Year 2020, with provisions for up to three one-year extensions for Permanent Asphalt Concrete Pavement Repairs (Project); and authorize the Director of Public Utilities, or designee, to sign the contract on behalf of the City of Fresno (City).
EXECUTIVE SUMMARY
The Department of Public Utilities (DPU), Water Division, seeks to establish a one-year requirements contract with provisions for up to three one-year extensions for the project. The scope of work includes permanent paving repairs associated with the Water Division’s operation and maintenance of the City’s water system. Staff recommends that City Council award a requirements contract to Dawson-Mauldin LLC., as the lowest responsive and responsible bidder in the amount of $1,426,100 for this fiscal year.
BACKGROUND
DPU, Water Division, routinely cuts and removes existing street paving to gain access to the water system for repairs, maintenance, and capital improvements. These pavement cuts require a permanent pavement repair. Due to the ongoing nature of this work, the Water Division established a requirements contract in 2017 to obtain firm pricing, secured through competitive bidding, for six-month requirements contract with provisions for five six-month extensions, that allowed the Water Division to order the repairs on an as-needed basis. That requirements contract is set to expire on August 16, 2019. The Water Division has competitively rebid the contract to establish new pricing for one year with provisions for three one-year extensions.
Plans and Specifications were prepared for this project and a Notice Inviting Bids was published on April 24, 2019, and posted on the City’s Planet Bids website. The Specifications were distributed to five prospective bidders and posted at twelve Builder Exchanges. Three sealed bid proposals were received and publicly opened on May 21, 2019. The bid proposals ranged from $1,426,100 to $1,548,825. The bids will expire 64 days after bid opening, which will be on July 24, 2019. The bids have been extended by 30 days to August 23, 2019.
Dawson-Mauldin LLC., was found to be the lowest responsive and responsible bidder, with the bid amount of $1,426,100 for this fiscal year. The staff determination was posted on the City’s Planet Bids website on July 2, 2019. Staff recommends that City Council award a requirements contract to Dawson-Mauldin LLC., in the amount of $1,426,100 as the lowest responsive and responsible bidder. Their bid price is four percent below the Engineer’s Estimate of $1,479,595.
ENVIRONMENTAL FINDINGS
Staff has performed a preliminary environmental assessment of this Project in accordance with the requirements of CEQA and has determined that it is exempt under Class 1, Section 15301 of the CEQA Guidelines because this contract is for repair of existing street pavement associated with the operation and maintenance of the water system. The project will not result in the expansion of capacity of existing uses. It also falls within the Categorical Exemption set forth in Class 2, Section 15302 of the CEQA Guidelines which exempts projects consisting of replacement or reconstruction of existing structures and facilities, because any new facilities will be located on the same site as the facility replaced and will have substantially the same purpose and capacity as the facility replaced. It also falls within the Categorical Exemption set forth in Class 3, Section 15303 of the CEQA Guidelines because any conversion of existing small structures from one use to another would only entail minor modifications made in the exterior of a structure. Finally, it falls within the Categorical Exemption set forth in Class 4, Section 15304 of the CEQA Guidelines because any grading, filling, or backfilling required will consist of minor alterations in the condition of land, water, and vegetation, which do not involve removal of healthy, mature, or scenic trees, except for forestry or agricultural purposes. 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
There is no impact to the General Fund. This project is located citywide. Funding is included in the Fiscal Year 2020 budget within the Water Enterprise Fund 40101 and was included in the water rate model used to create the five-year utility rate plan that was adopted by the City Council on February 26, 2015. Purchases made in Fiscal Year 2020 will be at contract prices and future purchases will be included in future fiscal years budgets.
Attachments:
Attachment 1 - Bid Evaluation and Fiscal Impact Statement
Attachment 2 - Sample Requirements Contract