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HomeMy WebLinkAbout101-Council Report-Saratoga Ave Overlay and Rehabilitation Project-Award of Contract.pdfPage 1 of 2 SARATOGA CITY COUNCIL MEETING DATE: September 16, 2009 AGENDA ITEM: DEPARTMENT: Public Works CITY MANAGER: Dave Anderson PREPARED BY: Macedonio Nunez DIRECTOR: John Cherbone Associate Engineer SUBJECT: Saratoga Ave Overlay and Rehabilitation Project ESPL-5332(014) – Award of Construction Contract. RECOMMENDED ACTION: 1. Move to declare O’ Grady Paving, Inc. of Mountain View to be the lowest responsible bidder on the project. 2. Move to award a construction contract to O’ Grady Paving, Inc. in the amount of $701,767.50 3. Move to authorize staff to execute change orders to the contract up to $50,000. REPORT SUMMARY: On February 10, the United States Senate passed an $838 billion economic recovery bill, The American Recovery and Reinvestment Act (ARRA) of 2009. Subsequently, Public Works staff applied for and received approval for Tier 1 ARRA funds for repaving work on Saratoga Avenue in the amount of $714,000. The limits of the Tier 1 project on Saratoga Ave are Scotland Dr to Ranfre Ln and Cox Ave to the north City Limits. The scope of work includes furnishing all materials, equipment, and labor to perform asphalt overlay work and re-stripe segments of Saratoga Ave. Sealed bids for the Saratoga Ave Overlay and Rehabilitation Project were opened on Wednesday, September 9th. A total of eight contractors submitted bids and a summary of the bids received is attached (Attachment 1). O’ Grady Paving, Inc. of Mountain View submitted the lowest responsible bid of $701,767.50 which is 11.4% below the Engineer’s Estimate of $792,119.50. Bid amounts were competitive and quite favorable because of the economy. Staff has carefully checked the bid along with the listed references and has determined that the bid is responsive to the Notice Inviting Sealed Bids dated August 19th, 2009. Further, it is recommended that the Council authorize staff to execute change orders to the contract up to an amount of $50,000 to cover any unforeseen circumstances and address additional work, which may arise during the course of the project. FISCAL IMPACTS: Page 2 of 2 The American Recovery and Reinvestment Act of 2009 does not require a local match and the grant will cover the cost of construction, material testing and advertising. The recommended change order amount of $50,000 can be funded from the City’s Street Maintenance Fund. CONSEQUENCES OF NOT FOLLOWING RECOMMENDED ACTION: O’ Grady Paving, Inc. will not be declared the lowest responsible bidder and a construction contract will not be awarded to that firm. The Council may make specific findings to declare another bidder to be the lowest responsible bidder, and must award the project due to the ARRA regional deadline of September 30th 2009. ALTERNATIVE ACTION: N/A FOLLOW UP ACTION: The contract will be executed and the contractor will be issued a Notice to Proceed. Work will begin as soon as possible, and be completed by within 20 working days. ADVERTISING, NOTICING AND PUBLIC CONTACT: N/A ATTACHMENTS: 1. Bid Summary