RPVCCA_CC_SR_2011_10_04_I_PVDS_Landslide_Road_Maintenance_ContractCITY OF RANCHO PALOS VERDES
MEMORANDUM
TO:HONORABLE MAYOR &CITY COUNCIL ME~~~~
FROM:RAY HOLLAND,DIRECTOR OF PUBLIC WO~r .
DATE:OCTOBER 4,2011
SUBJECT:PALOS VERDES DRIVE SOUTH LANDSLIDE ROAD
MAINTENANCE CONTRACT AWARD
REVIEWED:CAROLYN LEHR,CITY MANAGER cD.--
Project Manager:Ron Dragoo,Senior Civil Engineer ~
RECOMMENDATIONS
1.Approve the plans and specifications for the Palos Verdes Drive South
Landslide Road Maintenance Project.
2.Award construction contract to Hardy and Harper and authorize the Mayor
and City Clerk to execute a construction contract to Hardy and Harper,Inc.in
the amount of $491 ,375.Authorize a construction contingency of $8,625 for
a total construction authorization of $500,000.
EXECUTIVE SUMMARY
City staff reviewed the requirements associated with the Portuguese Bend Landslide
Road maintenance and accordingly developed a new set of criteria and the associated
plans and specifications to more efficiently accomplish this work.In January 2010 Staff
began repairing smaller areas of the roadway using many construction methods that
were not included as part of the line items in the bids the City was working under to
perform the work.The time and material work performed included grinding the roadway
surface,installing "skin"patches of asphalt,grinding the asphalt to a depth of up to 24
inches and replacing the void with a combination of base material and asphalt,filling
fissure under and adjacent to the roadway with a low strength sand/cement grout and
reinstalling striping following construction.Specifications to perform these work items
were included in the bid documents along with the other work items needed to maintain
the roadway through the landslide.City staff has solicited bids,identified a low bidder
and is recommending award of a construction contract.Staff estimates the low bid will
result in a $12,000 annual savings over the prices currently being paid.
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The contract will be in place for five years through 2016,with the opportunity for three
one-year extensions,if mutually agreed to by the Contractor and the City Council.In
addition,Section 5 of the contract provides that the City may terminate the contract with
thirty days notice to the Contractor.The project budget is sufficient for the proposed
contract and is funded through the Street Maintenance -Pavement,PB Road
Maintenance Program which is included in the FY 2011-12 Budget approved by City
Council earlier this year.
BACKGROUND
Palos Verdes Drive South traverses the Portuguese Bend Landslide for approximately
one mile.This stretch of roadway requires continuous review,evaluation and
maintenance.Methods used to repair the roadway change over time to facilitate
maintenance efficiencies.The City's current contract,under which repairs are made to
the roadway,did not have certain repair methods included as line items in the bid.As a
result,methods being used,such as the installation of asphalt "skin"patches,deep
grinds,grouting etc.are being performed and payment is determined using the time
and materials method to capture actual costs.This method of payment is not as
efficient as paying for work through a line item with established parameters.
Accordingly,staff reviewed our current contract,wrote specifications for this work,and
prepared a new set of bid documents.
DISCUSSION
The project consists of performing the work and providing the services and materials
necessary to maintain Palos Verdes Drive South in the active landslide area and its
adjoining shoulders and storm drain facilities.
The project was advertised,and sealed bids were received and opened at 10:00 a.m.
on September 22,2011.Five proposals were received;the lowest responsible and
responsive bidder is Hardy and Harper,Inc.The bid results are shown below:
CONTRACTOR BID AMOUNT
Hardy &Harper,Inc $491,375.00
Sequel Contractors $569,800.00
Garcia Juarez $635,025.00
All American Asphalt $680,762.00
Excel Paving Company $743,660.00
The apparent low bid has been reviewed for consistency with the bid requirements.
References provided were reviewed.Hardy &Harper has worked for the City
performing maintenance throughout the City and on Palos Verdes Drive South for many
years.The work performed is satisfactory.The bid documents are in order and their
contractor's license is current.
The work performed through this contract is performed on an as needed basis.The
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estimated work quantities will vary from year to year in accordance with maintenance
requirements.The unit prices quoted are competitive (when compared to the
Engineer's estimate)and slightly lower when compared to the cost of the work
performed using time and materials.Staff is recommending that the City Council award
a construction contract to Hardy &Harper,Inc.in the amount of $491 ,375 (Attachment
A).Staff is also recommending approval of an $8,625 construction contingency to
address unforeseen conditions,for a total construction authorization not to exceed
$500,000.
CONCLUSION
Adopting staff's recommendations will result in:an estimated annual savings of
$12,000;the approval of the plans and specifications for the project,which are on file I
the Department of Public Works;the execution of a construction contract with Hardy &
Harper in the amount of $491 ,375,and the encumbrance of a construction contingency
in the amount of $8,625.
FISCAL IMPACT
Funding for this project has been budgeted in the approved FY11/12 budget.
Attachments:
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A Palos Verdes Drive South Landslide Road Maintenance
Construction Contract
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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 &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,and
WHEREAS,Contractor has represented that it is fully qualified to assume and discharge such responsibility;
NOW,THEREFORE,the parties hereto do agree as follows:
1.Scope of Services.City hereby employs Contractor to perform the work and provide the services and materials
for the proj ect 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
andany ofthe above-referenced documents,the terms ofthis agreement shall be controlling.The term ofthis
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 ofthe services rendered hereunder,Contractor shall be paid according to the
prices as submitted on the Bid Sheet ofthe Proposal, attached hereto as a part ofthese Plans and Specifications
and in accordance with the Special Provisions.
3.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.
5.Termination.This Agreement may be canceled by City at any time without penalty upon thirty (30)days'
written notice.In the event oftermination 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.
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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 ofwages 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 ofArticle 1.5 (commencing at Section 20104)ofDivision 2,Part 3 of
the California Public Contract Code regarding the resolution of public works claims ofless than $375,000.
Article 1.5 mandates certai,n 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 ofthe contractor,for mandatory non-binding mediation in the event oflitigation 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 RANCHO PALOS VERDES
By:_
Mayor
ATTEST:
By:_
City Clerk
CONTRACTOR:
By:_
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