REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
August 9, 2022
FROM
BRENDON BIGGS, Director, Department of Public Works - Transportation
SUBJECT
Title
Contract with All American Asphalt for the Chino/Montclair Area Overlay Project
End
RECOMMENDATION(S)
Recommendation
1. Approve Addendum No. 1, issued on June 27, 2022 to the bid documents for the Chino/Montclair Area Overlay Project.
2. Award a construction contract to All American Asphalt (Corona, CA) in the amount of $5,639,575.88 for the Chino/Montclair Area Overlay Project.
3. Authorize a contingency fund of $563,957 for the Chino/Montclair Area Overlay Project.
4. Authorize the Director of the Department of Public Works to approve the expenditure of the contingency fund of $563,957 for verified quantity overruns for this unit priced construction contract.
5. Authorize the Director of the Department of Public Works to order any necessary changes or additions in the work being performed under the contract for a total amount not to exceed $210,000 of the $563,957 contingency fund, pursuant to Public Contract Code section 20142.
6. Approve Escrow Agreement for Security Deposits in Lieu of Retention with All American Asphalt and Citizens Business Bank pursuant to Public Contract Code section 22300 for the Chino/Montclair Area Overlay Project.
7. Authorize the Director of the Department of Public Works to execute the Escrow Agreement for Security Deposits in Lieu of Retention and to provide and receive written notice under the agreement for the Chino/Montclair Area Overlay Project.
8. Direct the Director of the Department of Public Works to transmit all documents in relation to Escrow Agreement for Security Deposits in Lieu of Retention to the Clerk of the Board of Supervisors within 30 days of execution for the Chino/Montclair Area Overlay Project.
9. Authorize the Director of the Department of Public Works to accept the work when 100% complete and execute and file the Notice of Completion.
(Presenter: Brendon Biggs, Director, 387-7906)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Ensure Development of a Well-Planned, Balanced, and Sustainable County.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The construction contract of $5,639,575 and any use of the proposed contingency fund for the Chino/Montclair Area Overlay Project (Project) is funded with Senate Bill 1 (SB1) Road Maintenance and Rehabilitation Account (RMRA) revenue. Sufficient appropriation and revenue are included in the Department of Public Works (Department) 2022-23 Road Operations budget (6650002000 34H15066).
BACKGROUND INFORMATION
The Project consists of pavement rehabilitation on approximately 16 miles of roads in the Chino and Montclair areas. This Project was prioritized by the Board of Supervisors (Board) as part of the 2020-21 SB1 RMRA project list, which was approved by the Board on April 21, 2020 (Item No. 45). All work for the Project will be done within the existing right-of-way.
On December 8, 2020 (Item No. 31), the Board approved Cooperative Agreement No. 20-1175 between the County and the City of Montclair (City) for the implementation of this Project. The agreement terminates upon completion of the Project and payment by the City, or on December 31, 2025, whichever occurs first.
On January 11, 2022 (Item No. 27), the Board determined the Project is exempt under the California Environmental Quality Act, approved the Project as defined in the Notice of Exemption, and directed the Clerk of the Board to file and post said notice.
The Project aligns with the County and the Chief Executive Officer’s goals and objectives of ensuring development of a well-planned, balanced and sustainable County by preserving and improving the structural integrity of existing road surfaces.
Following Board approval of this item, construction is anticipated to commence end of August 2022 and be completed by end of December 2022.
PROCUREMENT
On January 11, 2022 (Item No. 27), the Board approved the Project’s plans and specifications, as well as authorized the Director of the Department to advertise the Project for bids. This Project was advertised in the Daily Press on May 31, 2022, in the Precinct Reporter on June 2, 2022, and released on the County Electronic Procurement Network (ePro) on May 31, 2022. Notice inviting bids was also provided to specified construction trade journals as required by Public Contract Code section 22036. On June 30, 2022, the following three bids were received:
|
Contractor |
Location |
Total Bid |
|
All American Asphalt |
Corona, CA |
$5,639,575.88 |
|
R.J. Noble Company |
Orange, CA |
$5,772,000.00 |
|
Hardy & Harper, Inc. |
Lake Forest, CA |
$5,870,000.00 |
The following addendum was issued during the bidding phase.
Addendum No. 1: Amended the Special Provisions, sheet 3 of the project drawings, and answered questions.
The Department has reviewed the bids received and determined that they are responsive and recommends entering into a contract with All American Asphalt, the lowest responsible bidder. No appeal/protest letters were received.
Public Contract Code section 22300 provides for the substitution of securities for money (retention) withheld by a public agency to ensure the performance under the contract. All American Asphalt has requested the substitution of securities via deposits to escrow with Citizens Business Bank in lieu of retention withheld by the County. The Escrow Agreement is substantially similar to the form provided in Public Contract Code section 22300. The Escrow Agreement will be signed by the Director of the Department. In addition, the Director of the Department will provide and receive any written notices for the Escrow Agreement.
This Project will have a 10 percent contingency fund of $563,957 to compensate the contractor for verified quantity overruns, as well as changes in the contract under specific circumstances permitted by the contract or by law. Under an established formula based on the contract amount, Public Contract Code section 20142 allows the Board to authorize the Director of the Department to order changes in the contract, including for unforeseen conditions or design shortfalls, should they become necessary in the future, for a total amount not to exceed $210,000 of the $563,957 contingency fund.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Aaron Gest, Deputy County Counsel, 387-5455) on July 18, 2022; Purchasing (Jason Cloninger, Lead Buyer, 387-8258) on July 18, 2022; Finance (Carl Lofton, Administrative Analyst, 387-5404) on July 22, 2022; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on July 26, 2022.