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    4.    
Finance Committee
Meeting Date: 06/30/2020  
FROM: Bill Gallardo

Subject:
Approve Plans and Specifications, Receive Bids, and Award Contract with Big Ben, Inc. in the amount of $5,138,722.64 for the North Hills Tract Water Improvements and Northwood Avenue Main Water and Sewer Replacement, Project Nos. 7459 7460, 7431 and 7628
RECOMMENDATION
  1. Approve the Plans and Specifications;
  2. Receive bids, Award Contract to the lowest responsive and responsible bidder, Big Ben, Inc., in the amount of $5,138,722.64; and,
  3. Authorize the City Engineer to issue Change Orders up to a "not to exceed" amount of 10% of the Contract Price.
BACKGROUND/DISCUSSION
The North Hills Tract Improvement Project consists the following four (4) Capital Improvement Projects.
 
  • 7459 – North Hills West Tract Water Improvements
  • 7460 – North Hills East Tract Water Improvements
  • 7431 – Northwood Water Main Replacement
  • 7628 – Northwood Avenue Sewer Replacement

The scope of work for the Project includes, but is not limited to: replacing approximately 15,600 linear feet of existing water mains, replacing 530 linear feet of existing sewer mains, replacement of water main valves and fittings, water services connections, cap/plug old water main, grinding AC pavement, removing AC pavement, placement of AC pavement, slurry seal, re-striping, updating ADA ramps, and adjusting water valve and utility manholes. The project will be in two phases to allow minimal impacts during construction.

Final Plans and Specifications (“Bid Documents”) were advertised for bids on the CIPlist.com website and subsequently published in the Star Progress paper on March 12, 2020, and again on March 19, 2020, 13 business days prior to bid opening.  A copy of the Bid Documents are available at the City Clerk’s office for review.  There was one addendum to the Specifications, which provided bidder clarifications to several Bidders Request for Interpretation submittals, replaced Bid Schedule B, and provided additional clarifications on the bid proposal submittal process with respect to the Covid-19 situation.  Therefore, staff recommends City Council approve the Plans and Specifications with Addendum No. 1 as bid.    
 
On March 31, 2020, staff received a total of 17 bid proposals.  Soon thereafter, staff tabulated the bid proposals and determined that the apparent low bid amount was $5,138,722.64 from Big Ben, Inc. (“Big Ben”) from Irvine, California (see Attachment B).  Furthermore, one of the Bidders (Ferreira) was disqualified due to the fact that they did not use Addendum No. 1 Revised Bid Schedule B as part of their bid proposal.     
   
Below are the results of the 16 qualified responsive bids received within Table 1, not including the disqualified bidder (Ferreira):
 

Table 1 – Total Bid Summary
 
Bidder
Number
Bidder Amount Bid
1 Big Ben, Inc. $5,138,722.64
2 Sully Miller Contracting Company $5,198,000.00
3 Stephen Doreck Equipment Rentals, Inc. $5,477,147,25
4 Kana Pipeline, Inc. $5,682,030.00
5 Teichert Energy Utilities Group Co. $5,764,092.00
6 T.E. Roberts, Inc. $5,838,067.96
7 Vido Artukovich & Son, Inc. $6,024,872.95
8 Lucas Builders, Inc. $6,039,571.66
9 Gentry Brothers, Inc. $6,109,097.60
10 Mamco, Inc. dba Alabbasi $6,177,777.00
11 JA Salazar Construction & Supply Corp. $6,273,589.68
12 Boudreau Pipeline $6,457,607,87
13 Colich & Sons L.P. $7,100,612.60
14 Lone Rock, Inc. $7,558,831.86
15 Dominguez General Engineering, Inc. $7,594,956.15
16 Christensen Brothers General Engineering, Inc. $7,809,413.90
  Engineer's Estimate $6,460,000.00

As depicted within Table 1, the apparent lowest bid price from Big Ben, Inc. was less than the Engineer’s Estimate (EE) by approximately $1,321,000.  Based on the other bid amounts, the EE was within the top range of bids and the lowest three bids were very competitive.   
 
Big Ben, Inc. has been in the construction business since 1999 and has completed construction of similar pipeline improvement projects for the City of Fullerton, City of Covina, and City of Sierra Madre.  They are also completing the 375-395 Central Avenue Sewer Improvements for the City of Brea.  Their California Contractor’s license 774444 – A (General Engineering) and Department of Industrial Relations registration number 1000007466 has been verified by staff and their bid package met the City requirements.  In addition, staff contacted the Cities of Covina and Fullerton, where the contractor received a favorable review. Based on the aforementioned bid review, staff has determined Big Ben, Inc. to be a responsive and responsible bidder. Therefore, staff recommends that the City Council consider awarding a Construction Contract to the lowest responsive and responsible bidder, Big Ben, Inc. in the amount of $5,138,722.64 (see Attachment C).
SUMMARY/FISCAL IMPACT
The total cost for the Project is estimated at $6,523,595 based on the apparent low bid amount of $5,138,722.64, a 10% contingency, design, and construction engineering costs.  The approved budget within the FY 2020-2021 CIP for the Project is $6,682,000, which includes CIP 7431, 7459, 7460, and 7628 funding.  The sources of funds within the approved budget for the four CIP projects are from the Water Utility Fund (420), Gas Tax (220), Measure M2 (260), and Sewer Utility Fund (430).  There is sufficient approved funding in the combined CIP projects for the Project to complete the estimated expenses, with approximately $158,405 remaining in the Project funding.  Therefore, there is no impact to the General Fund from this Project.
 
The Project will: replace various water mains and a sewer main on Northwood Avenue from Sandalwood Drive to La Canada Drive; construct various water and sewer infrastructure; rehabilitate the pavement on various streets; and update ADA ramps within the North Hills Tract Subdivision.  If the City Council approves staff recommendations, the Project is anticipated to start construction in early August 2020 and be completed by April 2021.
RESPECTFULLY SUBMITTED
William Gallardo, City Manager
Prepared by:  Michael Ho, P.E., Deputy Director of Public Works/City Engineer
Concurrence: Tony Olmos, P.E., Public Works Director 
Attachments
Location Maps
Attachment B - Proposal
Attachment C - Construction Contract Agreement

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