RPVCCA_CC_SR_2013_01_15_D_Revised_Plans_Re-Bidding_Of_RPV_CA_Coastal_Trail_ProjectCITY OF
MEMORANDUM
RANCHO PALOS VERDES
TO:
FROM:
DATE:
SUBJECT:
REVIEWED:
HONORABLE MAYOR AND CITY COUNCIL MEMBERS
LES JONES,INTERIM DIRECTOR OF PUBLIC WORKS
JANUARY 15,2013~
APPROVE REVISED PLANS AND AUTHORIZE RE-
BIDDING OF RPV CALIFORNIA COASTAL TRAIL
PROJECT (SUPPORTS 2012 CITY COUNCIL GOAL No.
10,CITY TRAIL SYSTEM ENHANCEMENT)
CAROLYN LEHR,CITY MANAGE~~<:.L..
Staff Coordinator:Siamak Motahari,Senior Engineer ~/1
RECOMMENDATIONS:
1.Approve the revised plans and specifications for RPV California Coastal Trail
Project,subject to the addition of the State Director of Industrial Relations'Notice of
Approval of the City's labor compliance program.
2.Direct staff to:
a)Re-bid the project,subject to and after receipt of the State Director of Industrial
Relations'Notice of Approval of the City's labor compliance program;and
b)Subsequent to bid opening,present to the City Council the lowest responsible bid
for contract award,and,a draft budget adjustment Resolution for a possible
increase in the City's fund contribution for this project.
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BACKGROUND
The California Coastal Act,Public Resources Code section 31000 et seq.,calls for the
California Coastal Conservancy (Conservancy)to have a principal role in the
implementation of a system of public access ways to and along the State's coastline,
including development of the California Coastal Trail (CCT).The Conservancy pursues this
mandate in part by awarding grants to public agencies and nonprofit organizations to
acquire land,or any interest therein,or to develop,operate,or manage lands for public
access purposes to and along the California coastline.The CCT,once completed,will
extend 1,200 miles from the Oregon to Mexico boundary lines,including a segment
through the City of Rancho Palos Verdes (City).
According to the City's Conceptual Trails Plan and the Council-adopted Vision Plan,the
City's segment of the CCT extends the entire length of the City's coastline between the
boundary'lines of the City of Palos Verdes Estates and the City of Los Angeles.The total
length of the RPV segment of the CCT is approximately 9 miles.This project will improve
2.5 miles of this segment.The rest of the trail length has either been improved previously
or is part of the naturally compacted surface trails which exist in the preserve~
On May 17,2011,the Council adopted Resolution No.2011-31 acknowledging the terms of
a California Coastal Conservancy grant in the amount of $500,000,which required the
City's matching fund of $60,000.The total amount of $560,000 stated in the grant
application submitted to the State was based on a conceptual scope of work.Furthermore,
this estimate did not account for engineering or other soft costs such as preparing a labor
compliance program and a storm water pollution prevention program (SWPPP).
When bids were opened on September 18,2012,the lowest bid received was significantly
above the engineer's estimate.Accepting this bid would have resulted in an overall project
budget shortfall of $429,865.Thus,on November 7,2012,the City Council rejected all
bids and directed Staff to modify the scope of work to the extent possible,with the goal of
decreasing construction costs but without impacting the essential elements of the project.
The Council also directed staff to prepare revised plans,specifications and cost estimates
for the Council's review and consideration of a possible increase in the City's fund
contribution for this project.
DISCUSSION
As directed by the City Council,staff modified the scope of work without impacting the
essential elements of the project.Based on the construction cost estimate prepared for the
revised scope of work,the table below summarizes the estimated project's budget status.
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Rancho Palos Verdes California Coastal Trail Project
Budget Spread Sheet Including Construction Cost Estimate Revised for a Modified Scope of Work
Description Current Expenses Budget
Budget Balance
Grant Fund $500,000
City's Matching Fund $60,000
Engineer/Architect Fee $86,302
PVPLC Fee for Work in the Preserve $25,000
Storm Water Pollution Prevention Program $543(SWPPP)Fee
Labor Compliance Program Fee $9,020
.Subtotal (Actual Soft Costs)$120,865
Construction Cost Estimate Without Contingency $560,000
10%Construction Contingency $56,000
Subtotal (Estimated Hard Costs)$616,000
Total $560,000 $736,865 -$176,865
ANALYSIS
Prior to modifying the scope of work the total project bUdget shortfall was $429,865.With
the modified scope of work,the estimated budget shortfall is expected to be $176,865.
However,the actual cost of construction,and therefore the City's increase in fund
contribution,will remain unknown until bids are opened.
Annual Maintenance and Utility Costs
The cost for providing landscaping maintenance services and occasional repairs to the
decomposed granite (DG)trail surface is estimated to be $42,600 annually.The annual
cost of water consumption for irrigation is estimated to be $4,000.Therefore,beginning
from FY 13-14,a budget increase in the City's Parks,Trails &Open Space Maintenance
Program will be necessary to cover the aforementioned maintenance and water utility
costs.
State Director of Industrial Relations'Approval of the Labor Compliance Program
One of the conditions of the Conservancy's grant requires the City to prepare and adopt a
labor compliance program,which is a program to monitor the payment of prevailing wages
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and other Labor Code requirements.Perceptive Enterprises,Inc.prepared the labor
compliance program,which was approved by the City Council at the December 18,2012
Council meeting.Since that date,staff sent the City's labor compliance program to the
State Director of Industrial Relations (DI R)for her review and approval as required by State
law.Once that approval comes back,staff wants to proceed to issue the bid package for
this project as quickly as possible in order to ensure that the grant will still be available.
Thus,staff now presents to the Council the revised project Bid Documents for approval,
subject to the addition of the DIR's Notice of Approval of the City's labor compliance
program.Staff further requests authorization to re-bid the project,subject to and after
receipt of the DI R's Notice of Approval of the City's labor compliance program.Should the
DIR disapprove the City's labor compliance program,the Bid Documents would not be
deemed approved,and staff would not re-bid the project.
ALTERNATIVES
At the November i h Council Meeting,an RPV resident requested that the City's segment
of the California Coastal Trail include three tracks that would accommodate pedestrians,
bicyclists,and equestrians.The grant money awarded to the City by the California Coastal
Conservancy is being used to construct a pedestrian trail only.This is because for the
most part (with the exception of the landslide area)a bicycle trail (Class I or II)currently
exists along the roadway,particularly on Palos Verdes Drive West and South.Additionally,
according to the City's Conceptual Trails Plan,Preserve Trails Plan,and Coast Vision Plan
the equestrian trail for the CCT is primarily located on the landward side of Palos Verdes
Drive South.
Notwithstanding,the City Council can stop this project temporarily and direct staff to design
additional tracks along the proposed trail for bicyclist and equestrian use.However,the
scope of this work will raise the cost of project substantially as well as create physical
challenges.Additionally the project's completion date would need to be extended by at
least one year.This action could result in expiration of the current grant,without a
guarantee of availability of another grant for a significantly higher project cost.Therefore,
staff does not recommend this option.
CONCLUSION
Construction of the City's segment of the California Coastal Trail (CCT)is considered a
high priority project for the public's benefit as reflected in the Council-adopted Capital
Improvement Program (CIP).The Council's action is another step toward completing the
project and making the trail available for public use and enjoyment.Should the Council
choose to proceed with this action,completion of the project is expected to be in the
summer of 2013.The State has extended the project's completion deadline to August 30,
2013.
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FISCAL IMPACT
The Council's action tonight will have minimal fiscal impact.After the bid opening,staffwill
prepare for Council's consideration a draft budget adjustment Resolution to cover the
expected increase of the City's fund contribution to the project cost.The amount of this
increase is estimated to be $176,865;however,the actual amount will only be known after
the bids are opened.
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