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CC SR 20160719 I - Landslide Rd Maint ExtensionRANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 07/19/2016 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA DESCRIPTION: Consideration and possible action to approve the first amendment to the agreement between the City of Rancho Palos Verdes and Hardy & Harper, Inc., for Palos Verdes Drive South Landslide Road Maintenance. RECOMMENDED COUNCIL ACTION: 1. Approve the First Amendment to the Agreement; and, 2. Authorize the Mayor and City Clerk to execute the First Amendment to the Agreement with Hardy & Harper Inc., for Palos Verdes Drive South Landslide Road Maintenance, and extend the term of the agreement to June 30, 2017. FISCAL IMPACT: This work is included in the adopted FY16-17 municipal budget. Amount Budgeted: $538,000 Additional Appropriation: None requested Account Number(s): 215-3015-431-43-00 ORIGINATED BY: Ron Dragoo, PE, Principal Engineer �s> REVIEWED BY: Michael Throne, PE, Director of Public Works APPROVED BY: Doug Willmore, City Manager.'r'•F',�% ATTACHED SUPPORTING DOCUMENTS: A. Agreement with Hardy & Harper, Inc. (page A-1) B. Draft First Amendment to Agreement (page B-1) BACKGROUND AND DISCUSSION: This proposed agreement is the first amendment ("First Amendment") to the Palos Verdes Drive South Landslide Road Maintenance agreement between the City of Rancho Palos Verdes ("City") and Hardy & Harper, Inc. ("Contractor"), dated October 4, 2011 ("Agreement"). This First Amendment, which is effective July 1, 2016, will extend the term for one year. There are three extensions available under the Agreement, and Staff recommends approval of this first extension. The executed contract value for the base years of this agreement was $2,456,875, with an annual not -to -exceed amount of $491,375. The potential contract value is $3,931,000 if all three, one-year options are exercised at the current annual not -to - exceed amount. The proposed amendment will authorize an annual not -to -exceed amount of $520,000 which is within the allocated budgeted amount of $538,000. 1 The total expenditure on the five (5) base years of the agreement was $2,446,339, which is under the budget of the executed contract value of $2,456,875. No work has been performed under this proposed agreement extension, but it is expected that the entire amount budgeted for this work in FY16-17 will be expended during the fiscal year to repair Palos Verdes Drive South with the active landslide area. The prices bid to perform this work in 2011 were very competitive, and Hardy and Harper has agreed to maintain those prices for an additional year in exchange for a one year extension of the contract. Staff has fine-tuned the budgeted estimate by evaluating the quantities of materials used to make repairs to the roadway through the landslide through this contract, and determined $520,000 is adequate to complete anticipated repairs this fiscal year. Increasing the dollar amount of this contract to allow additional materials to be placed from $491,375 to $520,000 should ensure the anticipated repairs are adequately funded. Staff has evaluated the quality of service provided by Hardy & Harper, Inc. and found it to be excellent. In addition, the company has demonstrated a willingness to immediately address any noted deficiencies in work performed and is flexible in addressing community needs. Staff recommends approval of the First Amendment to the Agreement with Hardy & Harper, Inc., which will extend the term for one year, through June 30, 2017. The approved FY16-17 budget provides adequate funding for the Staff recommendations. The funding source for the contract is within the "Infrastructure Improvements Department, Proposition C" budget program of approved budget. ALTERNATIVES: In addition to the Staff recommendations, the following alternative actions are available for the City Council's consideration: Direct staff to advertise the project and receive proposals at current construction rates for the work. Staff does not recommend this alternative. The current pricing is based on bids received in 2011 and which appear to be lower than the current prices being bid on other projects with similar work items. As such, there is uncertainty as to whether or not a better (or lower) cost would be bid. 2 Attachment A Agreement Hardy & Harper, Inc. CITY OF RANCHO PALOS VERDES CONTRACT FOR: Palos Verdes Drive South Landslide Road Maintenance THIS AGREEMENT is made and entered this 4th day of October, 2011 by and between the CITY OF RANCHO PALOS VERDES, hereinafter referred to as "City" and Hardy and Harper, Inc., hereinafter referred to as "Contractor." WITNESSETH: WHEREAS, Contractor and Contractor's Surety are providing the bonds attached hereto and incorporated by this reference, and WHEREAS, City desires to contract with Contractor to perform the services detailed in this contract, including the Proposal, arid WHEREAS, Contractor has represented that it is fully qualified to assume and discharge such responsibility; NOW, THEREFORE, the parties hereto do agree as follows: Scope of Services. City hereby employs Contractor to perform the work and provide the services and materials for the project identified as: Palos Verdes Drive South Landslide Road Maintenance, as described in these Plans and Specifications, attached hereto and incorporated herein by this reference, including miscellaneous appurtenant work. Such work shall be performed in a good and workmanlike manner, under the terms as stated herein and in these Plans and Specifications, and in accordance with the latest edition of the Joint Cooperative Committee, Southern California Chapters of the American Public Works Association and the Associated General Contractors of America, document entitled "Standard Specifications" or as specifically designated in the Plans and Specifications. In the event of any conflict between the terms of this agreement and any of the above -referenced documents, the terms of this agreement shall be controlling. The term of this contract shall begin December 1, 2011 and continue through June 30, 2016 with up to three (3) mutually agreed one (1) year extensions. 2. Compensation. In consideration of the services rendered hereunder, Contractor shall be paid according to the prices as submitted on the Bid Sheet of the Proposal, attached hereto as a part of these Plans and Specifications and in accordance with the Special Provisions. Independent Contractor. It is specifically understood and agreed by all parties hereto that Contractor is, for the purposes of this Agreement, an independent contractor and not an employee of the City. Accordingly, Contractor shall not be deemed the City's employee for any purpose whatsoever. Contractor shall not incur or have the power to incur any debt, obligation or liability whatever for or against City. 4. Assignment. This agreement may not be assigned by Contractor, in whole or in part, without the prior written consent of City. Termination. This Agreement may be canceled by City at any time without penalty upon thirty (30) days' written notice. In the event of termination without fault of Contractor, City shall pay Contractor for all services rendered prior to date of termination, and such payment shall be in full satisfaction of all services rendered hereunder. C-1 A-1 6. Worker's Compensation Insurance. California Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, the Contractor hereby certifies as follows: "I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for worker's compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract." 7. General Rate of Per Diem Wages. Pursuant to the Labor Code of the State of California, the Director of Industrial Relations has determined the general prevailing rate of wages and employer payments for health and welfare, vacation, pension and similar purposes applicable to the work to be done. This rate and scale are on file with the Director of Public Works and copies will be made available to any interested party on request. The Contractor to whom the contract is awarded, and the subcontractors under him must pay not less than these rates for this area to all workers employed in the execution of this contract. This contract is subject to the provision of Article 1.5 (commencing at Section 20104) of Division 2, Part 3 of the California Public Contract Code regarding the resolution of public works claims of less than $375,000. Article 1.5 mandates certain procedures for the filing of claims and supporting documentation by the contractor, for the response to such claims by the contracting public agency, for a mandatory meet and confer conference upon the request of the contractor, for mandatory non-binding mediation in the event of litigation is commenced, and for mandatory judicial arbitration upon the failure to resolve the dispute through mediation. This contract hereby incorporates the provisions of Article 1.5 as though fully set forth herein. 8. Suit, Recovery of Attorney Fees & Costs. Should either party bring any action to protect or enforce its rights hereunder, the prevailing party in such action shall be entitled to recover, in addition to all other relief, its reasonable attorneys fees and court costs. 9. Price Adjustments. The unit prices listed in the proposal sheets shall be applicable for the period from December 1, 2011 through June 30, 2016. Each July 1 the prices shall be increased by the Producer Price Index for Finished Goods for Los Angeles. IN WITNESS WHEREOF, the parties hereto have executed the within Agreement the day and year first above written. CITY OF RA UHOYALOS VERDES IM Chairman ATTEST: C / Ci Jerk T CONT •Hard Ha r By: Steve Kirschner, Vice President C-2 A-2 r 7 CITY OF RANCHO PALOS VERDES BID SHEET NAME OF COMPANY: Hardy & Harper, Inc. To the Honorable Mayor and Members of the City Council: In compliance with the Notice Inviting Sealed Bids, the undersigned hereby agrees to enter into a contract to furnish all labor, materials, equipment and supplies for the project identified as Palos Verdes Drive South Landslide Road Maintenance in accordance with the specifications and plans in the Contract Documents which are on file in the office of the Director of Public Works of the City of Rancho Palos Verdes to the satisfaction and under the direction of the Director of Public Works at the following prices: Palos Verdes Drive South Landslide Road Maintenance Bid Sheet Type One Items of Work ITEM ESTIMATED UNIT EXTENDED NO. DESCRIPTION QUANTITY UNIT PRICE AMOUNT 1-1 4" Asphalt remove and 5,500 SF 4.90 26,950.00 reconstruct per location 1 — 500 SF Per additional inch in depth of 2,000 SF 1.00 2,000.00 asphalt removal and replacement 1— 500 SF 1-2 4" Asphalt remove and reconstruct per location 5,500 SF 4.10 22,550.00 501-1000 SF Per additional inch in depth of 2,000 SF 1.00 2 , 000.00 asphalt removal and replacement 501 — 1,000 SF 1-3 4" Asphalt remove and 5,500 SF 3.60 19 , 8 0 0. 0 0 reconstruct per location 1,001-2,000 SF Per additional inch in depth of 2,000 SF 1.00 2,000.00 asphalt removal and rqplacement 1,001 — 2,000 SF 1-4 4" Asphalt remove and reconstruct per location 4,000 SF 3.00 12,000.00 (>2,000 SF Per additional inch in depth of 1,000 SF 2.00 2,000.00 asphalt removal and r lacement >2,000 SF 1-5 AC Cold Milling less than 3" 15,000 SF I 1'00 5,000.00 AC Fill less than 3" 5,000 SF13.30 16 , 5 0 0.0 0 P-3 A-3 ITEM NO. DESCRIPTION ESTIMATED UNIT EXTENDED QUANT.I,TY UNIT PRICE AMOUNT 1-6 AC Cold Milling greater. than. 3 "to 6" 5,000 SF 1,00_ 51000.00 AC Fill Freater than 3"to 6" 5,000 SF 4.30 21,500-00 1-7 AC Cold Milling greater. than 611to 8" 3,500 SF 1.40 4,900.00 AC Fill Eeater than. 6"to 8" 3,500 SF 5.00 17,500.00 1-8 AC Cold Milling greater than 85,to 10" 3,500 SF 2,00 7,000-00 AC rill greater than 8"to 10" 3,500 SF 6.30 22,050-00 1-9 AC Cold h• Pli.ng greater than 1,0"to 1.2" 3,500 SF 2.80 9,800.00 AC rill greater than 12" 3,500 SF 7.00 24,500.00 1-10 Skin. Patching Up to 2" 50,000 SF 2.10 105,000-00 1-11 Traffic Striping & Raised Pavement Markers 8 EA 2, 5 0 0. C 0 20,000-00 1-1.2 Full, day flagging operation 8 EA 1,800. 0 14,400-00 1-13 Half day fla.gging operation. 8 E,4 9 0 0.0 C 7,200.00 1-14 Changeable Message Sign. 5 EA 150.0 C 750.00 1-15 Flmvable Fill (sand/concrete Slurry) 20 YD 50.0( 1,000.00 Subtotal Type One WorK- 371,400.00 P -4R &m" Bid Sheet Type Two Items of Work ITEM ESTIMATE PRICE EXTENDED NO DF.SCRTPTIC)N nUANTITY UNIT UNIT AMOUNT 2-1 Laborer 200 Hours 15,000-00 2-2 Backhoe with operator 100 Hours 100.00 10,000.00 2-3 Roller with operator 40 Hours 2-4 Skip loader with operator 200 Hours 110.00 22,000.00 2-5 Laborer with Dump Truck 160 Hours 90-00 14 2-6 Sidewalk Grinding Crew 200 Hours 20.00 4 000.00 2-7 Bobcat with operator 75 Hours 100.00 7,500.00 2-8 Bobcat with operator and grinder 50 Hours 110.00 5,500-00 2-9 Sawcut Truck with operator 100 Hours 100.00 10 , 0 0 0. 0 0 2-10 Paving machine with Operator 50 Hours 1 50000 ' 2-11 Screed Operator 50 Hours 25 00 4,250.00 2-12 Forman 100 Hours 85.00 8,500.00 2-13 Vacuum Sweeper 25 Hours -125.00 7, 1 25. 00 2-14 Pickup Truck 10 Dail 200-00 2,000.00 2-15 Crew Truck 10 Daily 200.00 2,000.00 2-16 Compressor with 901b hammer 20 Hours 20.00 400.00 Subtotal Type Two Work 19,975.00 P-5 M 7 c Summary of Work Total Base Bid Amount in Words: Four Hrndred Ninety One Thousand Three Hundred Seventy Five Dollars and No Cents 7 C rM NOTE: The estimated quantities listed in the Proposal Bid Sheets are approximate and are to be used only as a comparison of bids. Payment for quantities will be made from field measurements. If the actual quantities show either and increase of decrease form the quantities given in the Proposal Bid Sheets, the Contract Unit Prices will prevail. Increases or decreases in quantities shall not be subject to Section 3-2 of the Standard Specifications. Full compensation will be paid at the contract price for the actual work completed, and no additional compensations will be allowed therefore. Payment will not be made for materials wasted or disposed of in a manner not called for under the Contract; this ►'' includes rejected material not unloaded from vehicles and material rejected after it has been placed. No compensation will be allowed for disposing of rejected or excess material. The City reserves the right to reject all bids and to increase or decrease the amount of any quantity shown on the Proposal Bid Sheets. In case of a variation between the unit price and the totals shown by the bidder, the unit price will be considered to be the correct bid. The remainder of this page has intentionally been left blank t F P-6 MO Subtotal Type One Work 371,400.00 Subtotal Type Two Work 119 , 975.00 Total Base Bid Amount 491,375.00 Total Base Bid Amount in Words: Four Hrndred Ninety One Thousand Three Hundred Seventy Five Dollars and No Cents 7 C rM NOTE: The estimated quantities listed in the Proposal Bid Sheets are approximate and are to be used only as a comparison of bids. Payment for quantities will be made from field measurements. If the actual quantities show either and increase of decrease form the quantities given in the Proposal Bid Sheets, the Contract Unit Prices will prevail. Increases or decreases in quantities shall not be subject to Section 3-2 of the Standard Specifications. Full compensation will be paid at the contract price for the actual work completed, and no additional compensations will be allowed therefore. Payment will not be made for materials wasted or disposed of in a manner not called for under the Contract; this ►'' includes rejected material not unloaded from vehicles and material rejected after it has been placed. No compensation will be allowed for disposing of rejected or excess material. The City reserves the right to reject all bids and to increase or decrease the amount of any quantity shown on the Proposal Bid Sheets. In case of a variation between the unit price and the totals shown by the bidder, the unit price will be considered to be the correct bid. The remainder of this page has intentionally been left blank t F P-6 MO Attachment 6 Draft First Amendment to Agreement FIRST AMENDMENT TO AGREEMENT FOR MAINTENANCE SERVICES FOR PALOS VERDES DRIVE SOUTH LANDSLIDE ROAD MAINTENANCE BETWEEN THE CITY OF RANCHO PALOS VERDES AND HARDY AND HARPER, INC. This agreement is the First Amendment to the Palos Verdes Drive South Landslide Road Maintenance agreement between the City of Rancho Palos Verdes ("City") and Hardy and Harper Inc. ("Contractor") dated October 4, 2011 ("Agreement"). This First Amendment to the Agreement is effective as of July 1, 2016 and is being made to extend the term of the Agreement for one year. Section 1. A new section, Section 10 is hereby added to the agreement and reads as follows: "Term. This Agreement shall commence on October 4, 2011, and shall remain in effect until the tasks described herein are completed to the City's satisfaction and approval, but in no event later than June 30, 2017, unless sooner terminated pursuant to Section 5 of this Agreement. Additionally, there shall be two (2) one-year options to renew the Agreement with the mutual written consent of both parties. If not renewed prior to the anniversary date, the Agreement may continue on a month to month basis under the same terms and conditions as this Agreement for a maximum period not to exceed six (6) months or until renewed or awarded to a new contractor, whichever is less." Section 2. Section 2 of the Agreement is hereby amended to read as follows: "Compensation. In consideration of the services rendered hereunder, City shall pay Contractor a not to exceed amount of Five Hundred Twenty Thousand dollars ($520,000) in accordance with the prices as submitted in Contractor's Proposal, attached hereto as Exhibit "A" and incorporated herein by this reference." Section 3. Except as expressly amended by this First Amendment to the Agreement, all of the other provisions of the Agreement shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment as of the date and year first above written. ATTEST: -31 City Clerk CITY OF RANCHO PALOS VERDES ("CITY") Mayor HARDY AND HARPER INC. Signature: Printed Name: Steve Kirschner Title: Vice President Signature: Printed Name: Kristen Paulino Title: Corporate Secreta