To:   HONORABLE MAYOR AND                   From:   Katy Allen

                        CITY COUNCIL                                                        James R. Helmer

 

   Subject:   OAKLAND ROAD WIDENING               Date:   10-21-03

                         PROJECT (PHASE 1)

 

 Council District:  4

 

REASON FOR SUPPLEMENTAL MEMO

 

To provide additional information after bids were opened.

 

 

RECOMMENDATION

 

Report on bids and award of contract for the Oakland Road Widening Project from Brokaw Road to Commercial Street to the low bidder, Granite Construction Company, in the amount of $321,998 and approval of a contingency in the amount of $32,000.

CEQA:  Negative Declaration, PP03-06-209.

 

 

ANALYSIS

 

Bids were opened on October 2, 2003 with the following results:

 

 

Contractor

Bid

Amount

Variance Amount

Over/ (Under)

Percent

El Camino Paving, Inc.

  (Mountain View)

$451,792

$60,492

15

Sposeto Engineering, Inc.

  (Union City)

440,520

49,220

13

Wattis Construction Company

  (San José)

435,545

44,245

11

Grade Tech, Inc.

  (San Ramon)

419,031

27,731

7

Engineer’s Estimate

391,300

-----

------

O’Grady Paving, Inc.

  (Mountain View)

389,092

(2,208)

(1)

Top Grade Construction

  (Livermore)

374,731

(16,569)

(4)

Granite Rock Co, dba Pavex Construction

  (Redwood City)

373,335

(17,965)

(5)

McGuire & Hester

  (Oakland)

359,315

(31,985)

(8)

Granite Construction Company

  (Watsonville)

$321,998

($69,302)

(18)

 

The low bid submitted by Granite Construction Company is 18 percent below the Engineer’s Estimate.  This low bid may be attributed to the diminished activity in the construction industry.  Staff has reviewed the bid documents and found them to be in order.

 

Council Policy provides for a standard contingency of five percent on public works street projects.  However, on this project a ten-percent contingency is being requested because the project is along an old State Route where old record drawings of underground utilities are unavailable and unforeseen conditions may require additional work.  The funds budgeted for this project are sufficient to provide for the recommended contingency.

 

 

COST IMPLICATIONS

 

1.      AMOUNT OF RECOMMENDATION:  $321,998

 

2.      COST OF PROJECT (Phase 1):

Project Delivery

$  98,000

Construction

321,998

Contingency

32,000

      TOTAL

$451,998

 

3.      SOURCE OF FUNDING:  429 Building and Structure Construction Tax Fund

 

4.      FISCAL IMPACT:  This project is consistent with the Council-approved Budget Strategy Economic Recovery section in that it will spur construction spending in our local economy.  The proposed operating and maintenance costs for this project have been reviewed and it has been determined that the project will have no significant adverse impact on the General Fund operating budget.

 

 

 

BUDGET REFERENCE

 

Fund

  #

Appn.

  #

 

Appn. Name

 

RC #

Total

Appn.

Amt. for

Contract

2003-04

Adopted

Budget Page

Last Budget Action

(Date, Ord.No.)

429

6339

Oakland Road: Route 101 to Montague

 

059583

$5,012,000

$321,998

815

10/14/2003 (Annual Report)

 

 

CEQA

 

Negative Declaration, PP03-06-209.

 

 

KATY ALLEN

Director, Public Works Department

 

JAMES R. HELMER

Director of Transportation