To:   HONORABLE MAYOR AND                   From:   Katy Allen

                        CITY COUNCIL

 

   Subject:   REDMOND AVENUE MEDIAN             Date:   11-03-03

                        ISLAND IMPROVEMENTS

 

Council District:  10

 

RECOMMENDATION

 

Report on bids and award of contract for the construction of the Redmond Avenue Median Island Improvements to the low bidder, HSR, Inc., to include the base bid and Add Alternate No. 1 in the amount of $220,596, and approval of a contingency in the amount of $12,000. 

CEQA: Exempt, PP02-12-382.

 

 

BACKGROUND

 

The Median Island Landscape Improvement projects are part of the Median Island Landscape program that has been implemented according to priorities set forth within each Council District.

 

The Redmond Avenue Median Island Improvement project is located on Redmond Avenue between Meridian Avenue and Strelow Court.  This project will widen and extend the median island which will further define Redmond as a two-lane thoroughfare, and provide visual enhancements between Strelow Court and the intersection of Meridian Avenue and Redmond Avenue.

 

One Add Alternate provides for additional median island landscape improvements to two islands: one located on Redmond Avenue west of Meridian Avenue, and one located on Meridian Avenue north of Redmond Avenue.  This project was one of the General Fund Capital Projects previously placed on hold pending resolution of the State budget.  On August 13, Council unfroze this project along with others as part of the General Fund rebalancing plan.  Construction will begin in January with completion in July 2004.

 

 

ANALYSIS

 

Bids were opened on October 23, 2003 with the following results: 

 

Contractor

Base Bid

Add Alt. No. 1

Total

Bid

Variances Amount

Over/Under) Percent

Wattis Construction, Inc.

  (San Jose)

$256,156

$42,812

$298,968

$64,968

28

Sposeto Engineering, Inc.

  (Union City)

$245,046

$24,038

$269,084

$35,084

22

Blossom Valley Construction, Inc.

  (San Jose)

$212,870

$31,870

$244,740

$10,740

5

Engineer’s Estimate

$200,000

$34,000

$234,000

--

--

Bellicitti & Pellicciotti Construction Co., Inc.

  (Santa Clara)

$197,020

$31,925

$228,945

($5,055)

(2)

Indio’s Construction, Inc.

  (Hayward)

$200,374

27,518

$227,892

($6,108)

(3)

Lone Star Landscape, Inc.

  (San Martin)

$186,000

$35,000

$221,000

($13,000)

(5)

HSR, Inc.

  (San Jose)

$201,534

$19,062

$220,596

($13,404)

(5)

 

The low bid submitted by HSR, Inc. is five percent below the Engineer’s Estimate and is a local firm.   Staff considers this reasonable for the work involved. 

 

Council Policy provides for a standard contingency of five percent on Public Works street projects.  The standard contingency is appropriate for this project.

 

 

PUBLIC OUTREACH

 

To solicit contractors, this project was listed on the City’s Internet Bid Line and advertised in the San Jose Post Record.  Bid packages for all Department of Public Works construction projects are provided to various contractor organizations and builder’s exchanges.

 

 

COORDINATION

 

This project and memo have been coordinated with the Departments of Planning, Building and Code Enforcement, Finance, Transportation, the City Manager’s Budget Office and the Offices of Council District 10 and the City Attorney. 

 

 

COST IMPLICATIONS

 

1.                  AMOUNT OF RECOMMENDATION:  $220,596

 

2.                  COST OF PROJECT:

Project Delivery

     $  71,000

*

Construction

     220,596

 

Contingency

       12,000

 

        TOTAL

   $303,596

 

 

* In addition to expenditures funded in the current year, project delivery costs of $49,132 were incurred in 2002-2003.

 

3.                  SOURCE OF FUNDING:  001 – General 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.  On August 13, 2003, Council unfroze this project along with others as part of the General Fund rebalancing plan.

 

 

BUDGET REFERENCE

 

 

Fund

#

 

Appn.

#

 

Appn. Name

 

RC #

 

Total

Appn.

 

Amt. For Contract

 

Adopted Budget Page

 

Last Budget Action

(Date, Ord. No.)

 

001

4436

General Fund

123283

$301,000**

$220,596

828

10/14/03, Ord No. 26697

 

**Total budget of $350,000 appropriated in 2002-03, Appropriation Ordinance, Section 2.26, page 16.

 

 

CEQA

 

Exempt, PP02-012-382.

 

KATY ALLEN

Director, Public Works Department