CC SR 20220118 H - NOC for Playground Equipment Surface Replacement
CITY COUNCIL MEETING DATE: 01/18/2022
AGENDA REPORT AGENDA HEADING: Consent Calendar
AGENDA TITLE:
Consideration and possible action to authorize the City Clerk to file a Notice of Completion
for the Playground Equipment Surface Replacement Project.
RECOMMENDED COUNCIL ACTION:
(1) Accept the project as complete;
(2) Authorize the City Clerk to file a Notice of Completion for the project with the Los
Angeles County Registrar-Recorder’s Office; and if no claims are filed within 35
days after recordation, send a notice to the surety company to exonerate the
Performance Bond; and
(3) Authorize the Director of Public Works to release the 5% construction retention
payment to R.E. Schultz Construction, Inc., 35 days after recordation of the Notice
of Completion by the Los Angeles County Registrar-Recorder’s Office, contingent
upon no claims being filed on the project, and the contractor posting an acceptable
warranty bond with the City.
FISCAL IMPACT: The total project cost was $144,751, which is $5,434 under budget.
The project was funded in the Fiscal Year 2020-21 budget.
Amount Budgeted: $150,185
Additional Appropriation: N/A
Account Number(s): 101-400-3151-8010 (General Fund - Parks Maintenance/Fixed Asset Repairs)
ORIGINATED BY: Charles Eder, PE, Senior Engineer
REVIEWED BY: Ramzi Awwad, Public Works Director
APPROVED BY: Ara Mihranian, AICP, City Manager
ATTACHED SUPPORTING DOCUMENTS:
A. Notice of Completion (page A-1)
B. May 18, 2021 Staff Report (page B-1)
BACKGROUND AND DISCUSSION:
A construction contract for the Playground Equipment Surface Replacement Project was
awarded by the City Council on May 18, 2021, in the amount of $121,986 with a $12,199
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CITYOF RANCHO PALOS VERDES
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contingency, to R.E. Schultz Construction, Inc. The scope of work included replacement
of the playground equipment surface at three City parks: Fred Hesse Jr. Community Park,
Robert E. Ryan Park, and Eastview Park.
This project was in response to an inspection finding that playground equipment surface
materials did not meet current standards. The work replaced that material to comply with
state and local safety codes. Construction was completed in October 2021.
The contract includes a 12-month warranty period requiring the contractor to remedy any
defective work. The project area will be monitored for the duration of the warranty period.
A financial summary of the project is in the following table:
BEFORE: AFTER:
Project Cost Summary - Playground Equipment Surface Replacement
Budget Actual Balance
150,185.00 - -
101-400-3151-8010 Construction 121,986.00 121,986.00 -
101-400-3151-8010 Contingency 12,199.00 7,533.00 4,666.00
101-400-3151-5101 Inspection 16,000.00 15,232.00 768.00
Total 150,185.00 144,751.00 5,434.00
Project Balance -$ 144,751.00$ 5,434.00$
Description
Original Project Budget
Project Costs
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CONCLUSION:
The construction contractor, R.E. Schultz Construction, Inc., has completed all work in
accordance with the specifications and construction contract. Therefore, Staff
recommends accepting the project as complete and filing a Notice of Completion with the
Los Angeles County Registrar-Recorder’s Office. If no claims are filed within 35 days after
recordation, the City will release the 5% retention, and upon the contractor posting an
acceptable warranty bond, notify the surety company to exonerate the Performance
Bond.
ALTERNATIVES:
In addition to Staff recommendation, the following alternative actions are available for the
City Council’s consideration:
1. Direct Staff not to file the Notice of Completion for the Playground Equipment
Surface Replacement Project.
2. Take other action, as deemed appropriate.
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Revised 05/2019
To be recorded with County Recorder
within 15 days after completion.
No recording fee.
RECORDING REQUESTED BY:
City of Rancho Palos Verdes
Attn: City Clerk
30940 Hawthorne Blvd
Rancho Palos Verdes, CA 90275
AND WHEN RECORDED MAIL TO:
Same as above
THIS SPACE FOR RECORDERS USE ONLY
NOTICE OF COMPLETION
(CA Civil Code 9204- Public Works)
Notice is hereby given by the undersigned owner, a public entity of the State of California, that a
public work of improvement has been completed, as follows:
Project title or description of work:
Date of completion:
Nature of owner:
Interest or estate of owner:
Address of owner:
Name of contractor:
Address of contractor:
Street address or legal description of site:
Dated: ___________________________ Owner: City of Rancho Palos Verdes
(Name of Public Entity)
By:
Title:
____________________________
Ara Mihranian, City Manager
State of California )
County of Los Angeles ) ss
City of Rancho Palos Verdes )
I am the City Clerk of the City of Rancho Palos Verdes, the public entity which executed the foregoing
notice and on whose behalf I make this verification; I have read said notice, know its contents, and the
same is true. I certify under penalty of perjury that the foregoing is true and correct.
Executed at Rancho Palos Verdes , California on (Date)
By:
Title: Emily Colborn, City Clerk A-1
CITY COUNCIL MEETING DATE: 05/18/2021
AGENDA REPORT AGENDA HEADING: Consent Calendar
AGENDA TITLE:
Consideration and possible action to award a contract to R.E. Shultz Construction, Inc.
for construction of the Playground Equipment Surface Replacement Project.
RECOMMENDED COUNCIL ACTION:
(1) Approve the Plans and Specifications for the Playground Equipment Surface
Replacement Project;
(2) Authorize the Mayor and City Clerk to execute the Construction Agreement, in
form approved by the City Attorney, to R.E. Shultz Construction, Inc., in the not-
to-exceed amount of $121,986 for the Playground Equipment Surface
Replacement Project; and,
(3) Authorize the City Manager or Director of Finance to execute change orders up
to an additional 10% of the construction costs (not to exceed $12,199) as
contingency funds for potential unforeseen conditions.
FISCAL IMPACT: The total project construction cost will be $134,185 which will be
funded by expenditure savings.
Amount Budgeted: $134,185
Additional Appropriation: N/A
Account Number(s): 101-400-3151-8010 (General Fund - Parks Maintenance/Fixed Asset Repairs)
ORIGINATED BY: Charles Eder, PE, Senior Engineer
REVIEWED BY: Ramzi Awwad, Public Works Director
APPROVED BY: Ara Mihranian, AICP, City Manager
ATTACHED SUPPORTING DOCUMENTS:
A. Construction Contract – R.E. Shultz Construction, Inc (page A-1)
B. Disability Access Consultants Inspection Report (page B -1)
BACKGROUND AND DISCUSSION:
On July 22, 2020, the City of Rancho Palos Verdes began a safety audit of the City-
owned parks. This audit was initiated by a California Joint Powers Insurance
Association (CJPIA) recommendation to assess the City parks’ safety compliance. The
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City is a member of CJPIA, who reviews and develops strategies for mitigating public
agency risks.
On August 25, 2020, the City received a comprehensive report from the City’s
consultant, DAC (Disability Access Consultants), which detailed its findings from the
park inspections (Attachment B). The inspections included the following parks:
• Fred Hesse Jr. Community Park
• Ladera Linda Community Center
• Robert E. Ryan Park
• Eastview Park.
They were inspected for compliance with safety standards, which included examining all
play structures and playing surfaces. The report listed specific items that needed to be
repaired or replaced to stay in compliance with state an d local safety codes.
The Recreation and Parks Department and Public Works Maintenance Department
reviewed the report and identified the items that could be remedied or repaired by Staff
and items that needed specialized contractors. Staff addressed some of the items, such
as the removal of non-standard playground equipment, the addition of mulch, and the
adjustment of the hardware on playground equipment.
One item that needs a specialized company was the replacement of the playground
equipment surface. The majority of the cost involves the removal and proper disposal of
the existing non-compliant sand and its replacement with fall-safety compliant
engineered wood fiber. Removal of the existing material involves excavating and
disposing of several tons of material at each location. This requires heavy equipment
and large dump trucks for transportation to a final disposal facility. City maintenance
staff does not have the capacity, or equipment and specialized training and licensing for
this operation. Likewise, installation of new wood fiber material, resealing and
repatching of rubber material, and cement finishing work are other specialties that are
beyond the City’s in-house staff capacity, training, and equipment capabilities.
Specifications and a construction cost estimate were prepared to replace the
playground equipment surface, and can be found under the link:
https://www.rpvca.gov/DocumentCenter/View/16780/Playground -Equipment-Surface-
Replacement-Specifications?bidId=97
The project was publicly advertised on March 1, 2021. Sealed bids were received and
opened on March 30, 2021. R.E. Schultz Construction, Inc. submitted the lowest
responsive and responsible bid of three bids received. The following table summarizes
the bids received:
BID SUMMARY
Construction Companies Bid Amount
R.E. Schultz Construction, Inc. $ 121,985.50
Minco Construction $ 486,474.00
Great Western Installations $ 126,608.00
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Staff has verified R.E. Schultz Construction, Inc.’s references and found its past
performance to be satisfactory. Its bid, bonds and insurance documents are in order
and its contractor’s license is current.
After the bid opening and vetting of the apparent low bidder, the City Council directed
Staff to proceed with the completion of construction documents for the Ladera Linda
Community Center and Park Project. As a result, Staff recommends the Ladera Linda
site be removed from the upcoming play area resurfacing replacement work as this
work will be included in the construction of the Ladera Linda Community Center and
Park Project, thereby revising the scope of work.
With the revised scope, R.E Schultz Construction, Inc. remained the apparent low
bidder. The revised scope would reduce the construction cost by $26,400, from
$148,386 to $121,986. Staff recommends awarding a construction agreement to R.E.
Schultz Construction, Inc. for the bid amount plus a 10% construction contingency
($12,199) totaling $134,185.
CONCLUSION:
Staff recommends that the City Council approve the specifications and contract
documents for the Playground Equipment Surface Replacement Project and award a
construction contract to R.E. Schultz Construction, Inc., in the not-to-exceed amount of
$121,986 with a contingency of $12,199 for potential unforeseen conditions.
ALTERNATIVE:
In addition to the Staff recommendations, the following alternative action s are available
for the City Council’s consideration:
1. Reject all bids and direct staff to re-advertise the construction project.
2. Take other action, as deemed appropriate.
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