11-0301_PETERSON-CHASE GEN ENG CONST., INC_Agenda Report_D9 2011 31'112011
AGENDA REPORT D9
TO: Joe Tait, City Manage
FROM: Nasser Abbaszadeh, Public Works Director
SUBJECT: Consideration of Award of Contract — Del Obispo Street Widening from
Alipaz Street to Paseo Adelanto STPL 5372 (011) (CIP No. 07107)
(Peterson-Chase General Engineering Construction, Inc.)
RECOMMENDATION
By motion,
1.) Find Scrimsher Construction/ Development, Inc. bid non-responsive, and,
2.) Award the contract for the Del Obispo Street Widening from Alipaz Street to
Paseo Adelanto, to the low responsible bidder, Peterson-Chase General
Engineering Construction, Inc., in the amount of $3,453,842.46, and reject all
other bids.
SITUATION
Summary and Recommendation
Bids for the Pavement Rehabilitation project were opened on January 31, 2011. Bids
are valid until May 1, 2011, a period of ninety (90) days from the opening date.
Staff is recommending that the City Council find the bid from Scrimsher Construction/
Development, Inc. non-responsive, and award the contract to the low responsible
bidder, Peterson-Chase General Engineering Construction, Inc., in the amount of
$3,453,842.46, which includes bid alternate item 25A, construction of 2300 tons of
asphalt concrete pavement surface coarse (Type III-C2-PG 64-10). The Scrimsher bid
did not meet the bid document minimum requirements for work performed by the prime
contractor.
Background
The project consists of widening Del Obispo Street between Alipaz Street and Paseo
Adelanto, and widening the west side of Paseo Adelanto south of Del Obispo Street.
The construction work includes concrete bridge widening, steel piles, concrete piers,
debris wall and abutments, structure removal (portion), concrete railing, concrete
channel reconstruction, steel sheet piles, access road reconstruction, storm drain
reconstruction, water line removal and construction, coordination with utilities, joint utility
trench construction, tree removal, landscaping and irrigation, retaining walls, asphalt
Agenda Report March 1, 2011
Page 2
paving, sidewalks, curb and gutter, grading, chain link fence, traffic signal modification,
street lighting, signing and striping, signing, BMP construction, and preparation and
implementation of a SWPPP, preparation and implementation of a construction phasing
and traffic control plan, and conforming to the conditions of the environmental
documents associated with this project.
Bids were received as follows (with mathematical corrections):
MCM Construction, Inc. $3,749,644.00 (base bid)
$3,910,644.00 (alternate bid)
Scrimsher Construction/ Development, Inc. $2,957,814.32 (base bid)
$3,118,814.32 (alternate bid)
Peterson-Chase $3,262,942.46 (base bid)
$3,453,842.46 (alternate bid)
Beador Construction Company, Inc. $3,683,100:00 (base bid)
$3,839,500.00 (alternate bid)
The Scrimsher Construction bid includes subcontracting more than 50% of the total bid,
and as such does not meet the requirement that the main contractor perform at least
50% of the total bid.
Green Horizons Landscape, J.P. Striping, Foundation Pile, Ortiz Asphalt, Alcorn Fence
Co., Pacific Coast Steel, and Steiny & Co. were listed as subcontractors with the
Peterson-Chase General Engineering Construction, Inc. bid.
Peterson Chase has performed on three different contracts for the City of San Juan
Capistrano recently and staff has direct experience working with them. Staff has also
checked their references for bridge construction and received positive feedback about
their performance on bridges for other public agencies.
The City Council project award is contingent on Caltrans concurrence due to federal
funds that cover a portion of this project.
FINANCIAL CONSIDERATIONS
The project has an available construction budget of $6,289,463.20 in account 50-83399-
67401-07107-000.
The City has secured $3,679,000.00 in federal grant funds for construction and
construction management. The federal grant requires the City to match funds an equal
amount as the grant pays out. Utility undergrounding of overhead utilities needs to be
paid for out of local funds. The utility undergrounding portion of the project is planned to
be paid with funds from CRA CIP No. 09910, which has a budget of $722,000.00.
-Agenda Report March 1, 2011
Page 3
The City will require services for construction support to include a construction
manager, geotechnical inspectors, special inspectors, and an archeologist for this
project. This item will be brought to City Council for approval at a later date.
The CIP 07107 project account has sufficient funds to pay for the construction matching
funds and to hire construction support.
NOTIFICATION
MCM Construction, Inc.
Scrimsher Construction/ Development, Inc.
Peterson Chase General Engineering Construction, Inc.
Beador Construction Company, Inc.
RECOMMENDATION
By motion,
1.) Find the Scrimsher Construction/ Development, Inc. bid non-responsive; and,
2.) Award the contract for the Del Obispo Street Widening from Alipaz Street to
Paseo Adelanto, to the low responsible bidder, Peterson-Chase General
Engineering Construction, Inc., in the amount of $3,453,842.46, and reject all
other bids.
Respectfully submitted, Prepared by,
Nasser Abbaszadeh, PE Nisha A. Patel, PE
Public Works Director Associate Engineer
Attachment:
1. Contract
IMPROVEMENt PLANS FOR DEL OBISPO STREET, WIDENING;
FROM ALIPAZ STREET TO PASEO ADELANTO (CIP 07107)
STPL 5372 (011)
CONTRACT
This contract is made and entered into by and between the CITY OF SAN JUAN CAPISTRANO,
hereinafter referred to as "CITY" and PETERSON CHASE GENERAL ENGINEERING
CONSTRUCTION, INC. hereinafter referred to as "CONTRACTOR"
IT IS HEREBY AGREED BETWEEN THE PARTIES AS FOLLOWS:
FIRST". CONTRACT DOCUMENTS. The contract documents shall be considered to include the
Notice Inviting Bids, the Instructions to Bidders, the Proposal, the Bid Bond, the Non-Collusion
Affidavit, the Designation of Sub-Contractors, the Contract which is prepared for execution by the
CITY and the CONTRACTOR. Plans, Specifications and Special Provisions, the Standard
S ecifications for Public Works Construction 2005 Edition,and the State of California Department
of Trans ortation Standard Specifications, May 2006 Edition, including all Supplements, Contract
Bonds,Resolutions adopted by the CITY pertaining to the work,insurance policies and.certificates,
and any supplemental written agreements amending or extending the scope of the work originally
contemplated that may be required to complete the work in a substantial and acceptable manner.
SECOND. THE WORK. CONTRACTOR agrees to furnish all tools, labor, material, equipment,
transportation,and supplies necessary to perform and complete in good and workmanlike manner the
construction of DEI. OBISPO STREET WIDENING: FROM ALIPAZ STREET TO PASEO
ADELANTO(CIP 07107) in strict conformity with the Plans, Specifications and all other contract
documents, which documents are on file at the Office of the City Clerk, City Hall, 32400 Paseo
Adelanto, San Juan Capistrano, California.
THIRD. PAYMENT. CITY agrees to pay, and CONTRACTOR agrees to accept, the lump sum
adjusted for variations of quantities, at the prices designated in bid proposal at the time and in the
manner set forth in the Specifications.
FOURTH. COMMENCEMENT AND COMPLETION OF THE WORK. CONTRACTOR agrees
to begin and complete the work within the time specified in the Notice Inviting.Bids. It is agreed
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that it would be impractical and extremely difficult to fix the actual amount of damages, and loss
sustained by CITY, should CONTRACTOR fail to complete the work in the ,specified time;
therefore, CONTRACTOR shall pay CITY, as liquidated damages, not in the nature of a penalty,
Five Hundred Dollars($500)per calendar day for each day delayed;provided that extensions of time
with waiver of liquidated damages, may be granted as provided in the Specifications.
FIFTH. PERFORMANCE BOND AND LABOR AND MATERIAL BOND. CONTRACTOR
agrees to furnish bonds guaranteeing the performance of this contract and guaranteeing payment of
all labor and material used under this contract, as required by the laws of the State of California, on
forms approved by the CITY. The Performance Bond shall be for an amount of one hundred percent
(100%)of the amount of this contract and shall be conditioned on full and complete performance of
the contract,guaranteeing the work against faulty workmanship and materials for a period of one(1)
year after completion and acceptance. The Labor and Material Bond shall be for an amount of one
hundred percent(100%)of the amount of this contract and shall be conditioned upon full payment of
all Labor and Material entering into. or incidental to the work covered by this contract.
CONTRACTOR agrees to furnish the bonds on the forms found within the Specifications.
The required Performance, Labor and Materials Bonds, and Bid Bond shall provide that the surety
shall pay attorney's fees incurred by CITY in enforcing this agreement.
SIXTH. GENERAL PREVAILING RATE OF PER DIEM WAGES. Pursuantto the Labor Code of
the State of California, copies of the prevailin rate of per diem wages,as determined by the Director
of the State Department of Industrial Relations, are on file in the Office of the City Clerk, 32400
Paseo Adelanto, San Juan Capistrano, California, and are hereby incorporated and made a part
hereof. CONTRACTOR agrees that he,or any SUB-CONTRACTOR under him, shall pay not less
than the foregoing specified prevailing rates of wages to all workmen employed in the execution of
the contract.
SEVENTH. INSURANCE. CONTRACTOR shall maintain at all times during this contract liability
and property damage insurance naming the CITY and its elected and appointed officials as a named
insured, which such policies shall be of an amount not less than Two Million Dollars combined
single limit. Insurance certificates shall be for a minimum period of one year.
CONTRACTOR shall maintain in full force and effect comprehensive automobile liability coverage,
including owned, hired, and non-owned vehicles in the following minimum amounts:
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$1,000,000 property damage;
$1,000,000 injury to one person/any one occurrence/not limited to contractual period;
$2,000,000 injury to more than one person/any one occurrence/not limited to contractual
period.
The insurance policies shall bear an endorsement or shall have an attached rider providing that in the
event of expiration of proposed cancellation of such policies for any reason whatsoever, the CITY
shall be notified by registered mail,return receipt requested, giving a sufficient time before the date
thereof to comply with the applicable law or statute but in no event less than 30 days before
expiration or cancellation is effective. CONTRACTOR shall provide to CITY the policy certificate
establishing that the required level of insurance has been satisfied.
CONTRACTOR shall indemnify, defend and save harmless the CITY, its officers, agents, and
employees from and against any and all claims,demands,loss or liability of any kind or nature which
CONTRACTOR, its officers, agents and employees may sustain or incur or which may be imposed
upon them or any of them for injury to or death of persons, damage to property as a result of, or
arising out of, or in any manner connected with the performance of the obligations under this
contract.
EIGHTH. COMPLIANCE WITH OTHER PROVISIONS OF LAW RELATIVE TO PUBLIC
CONTRACTS. CITY is subject to the provisions of the Government Code and the Labor Code of
the State of California. It is stipulated and agreed that all provisions of law applicable to public
contracts are a part of this contract to the same extent as though set forth herein and shall be
complied with by CONTRACTOR. These include, but are not limited to,the stipulation that eight
(8)hours labor constitute a legal day's work and CONTRACTOR shall, as a penalty to CITY,forfeit
Twenty-five Dollar($25) for each workman employed in the execution of the Contract by
CONTRACTOR., or by any SUB-CONTRACTOR, for each calendar day during which such
workman is required or permitted to work more than eight(8)hours in violation of the provisions of
Article Three, Chapter One, Part Seven, Division 2, of the California Labor Code, except as
permitted by law.
If CONTRACTOR is not already enrolled in the U.S.Department of Homeland Security's E-Verify
program, CONTRACTOR shall enroll in the E-Verify program within fifteen days of the effective
date of this Agreement to verify the employment authorization of new employees assigned to
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perform work hereunder. CONTRACTOR shall verify employment authorization within three days
of hiring a new employee to perform work under this Agreement. Information pertaining to the E-
Verify program can be found at http.//vTAw.usqis..go , or access the registration page at
https-//www,visdhs.com/em]21oyeiTegistration. CONTRACTOR shall certify its registration with E-
Verify and provide its registration number within sixteen days of the effective date of this
Agreement. Failure to provide certification will result in withholding payment until full compliance
is demonstrated.
IN WITNESS WHEREOF, this contract is executed by the duly authorized agent(s) of CITY,
pursuant to City Council action, and by CONTRACTOR on the date set before the name of each.
City of San Juan Capistrano
DATED: BY: _
mm SAM ALLEVATO, MAYOR
BY:
CONTRACTOR, LICENSE NO. AND CLASSIFICATION
ATTEST:
Maria Morris; City Cleric
APPROVED AS TO FORM:
Omar Sandoval, City Attorney
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NOTIFICATION OF MEETING OF POTENTIAL INTEREST
OF THE SAN JUAN CAPISTRANO CITY COUNCIL
The City Council of San Juan Capistrano will meet at 6:00 p.m. on Tuesday, March 1,
2011, in the City Council Chamber in City Hall, to consider: "Consideration of Award of
Contract — Del Obispo Street Widening from Alipaz Street to Paseo Adelanto STPL
5372 (011) (CIP 07107) (Peterson-Chase General Engineering Construction, Inc.)"
Item No. D9.
If you have specific thoughts or concerns regarding this item, you are encouraged to
participate in this decision making process. You can communicate with the City Council
through correspondence addressed to the Council and/or by attending the meeting and
speaking to the Council during the public meeting.
Correspondence related to this item must be received at the City Clerk's office by 5:00 p.m.
on Monday, February 28, 2011, to allow time for the Council to consider its content.
If you would like to speak at the meeting, please complete a yellow "Request to Speak"
form found inside the entrance to the Council Chamber. This form is turned in at the staff
table, just in front of the Council dais. You will be called to speak by the Mayor when the
item is considered.
You have received this notice at the request of the City staff member Nisha A Patel, PE,
Associate Engineer. You may contact that staff member at (949) 443-6350 with any
questions.
The agenda, including agenda reports, is available to you on our web site:
www.sanivancapistrano.org. If you would like to subscribe to receive a notice when
agendas are posted to the web site, please make that request by sending an e-mail to:
cityclerk cr.sanivancapistrano.orq.
Maria Morris, CMC
City Clerk
cc: MCM Construction, Inc.; Scrimsher Construction/Development, Inc.; Peterson Chase
General Engineering Construction, Inc.; Beador Construction Company, Inc.
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