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HomeMy WebLinkAbout10 RED HILL WIDENING 08-04-03AGENDA REPORT 10 Agenda Item Reviewed: ~ City Manager Finance Director ~ MEETING DATE: AUGUST 4, 2003 TO: FROM: SUBJECT: WILLIAM A. HUSTON, CITY MANAGER PUBLIC WORKS DEPARTMENT/ENGINEERING DIVISION AWARD OF CONTRACT FOR CONSTRUCTION OF THE RED HILL AVENUE WIDENING PROJECT AT THE I-5 FREEWAY (ClP NO. 7133) SUMMARY Bids for this project have been received and a construction contract is ready to be awarded. The proposed project will include three (3) through lanes in each direction on Red Hill Avenue, separate right-turn lanes to both freeway on-ramps, and bicycle lanes on Red Hill Avenue within the project limits. The dual left-turn lanes from northbound Red Hill Avenue to westbound El Camino Real will remain in place. RECOMMENDATION It is recommended that the City Council take the following actions: Approve a supplemental appropriation in the amount of $665,900.00 from the unappropriated balance of the Measure "M" Turnback Fund to the Red Hill Avenue Widening Project at the I-5 Freeway (CIP No. 7133). Award the construction contract for the Red Hill Avenue Widening Project at the I-5 Freeway (ClP No. 7133) to Banshee Construction Company, Inc. of Colton, California, the Iow bidder, in the amount of $1,608,108.00, and authorize the Mayor and the City Clerk to execute the contract documents on behalf of the City. FISCAL IMPACT The City's Capital Improvement Program (CIP) budget for FY 2003-2004 provides $1,167,000 for the construction of this project. However, since the Iow bid is higher than the budgeted amount, additional funds are needed to finance this project. Thirty-one (31) firms purchased plans and specifications and only four (4) firms submitted bids. During evaluation of the bids it was determined that the higher costs were related to the difficulty of constructing the proposed improvements in a very confined area. Red Hill Avenue between El Camino Real and Nisson Road is one of the most congested areas of the City. The contractor will be required to keep at least two lanes open in each direction during the day and provide pedestrian access at all times since the project location is close to Tustin High School. Additionally, Caltrans is requiring the reconstruction of both 1-5 Freeway off ramps which will necessitate additional traffic control. The three lowest bids are within a range of 6.1% and it is not anticipated that rebidding the project will result in lower bids. Award of Contract for Construction of the Red Hill Avenue Widening Project at the I-5 Freeway August 4, 2003 Page 2 Therefore, it is estimated that $665,900.00 in additional funds will be needed to cover the budget shortfall in the bid amount, along with the additional costs of construction administration/engineering support, inspection and testing, surveying and construction contingencies. The shortfall amount will be funded from the unappropriated fund balance of the Measure "M" Turnback Fund. The following table summarizes the anticipated construction costs: Construction Bid ................................................................................. $1,608,108.00 Construction Contingency (10%) ....................................................... $ 160,810.00 Construction Administration/Engineering Support (2%) ..................... $ 32,000.00 Inspection, Testing, and Surveying (2%) ........................................... $ 32,000.00 TOTAL .................. $1,832,918.00 Based on the current budget of $1,167,000.00, an additional $665,900.00 is required to fully fund the project. BACKGROUND Bids for the Red Hill Avenue Widening Project at the I-5 Freeway were opened on July 9, 2003. There were four (4) bids received and the results are as follows: Banshee Construction Company, Inc., Colton ....................................... $1,608,108.00 Griffith Company, Inc., Santa Ana .......................................................... $1,678,937.00 Sequel Contractors, Inc., Santa Fe Springs ........................................... $1,707,500.00 Ben's Asphalt, Inc., Santa Ana ............................................................... $2,249,353.00 The Iow bid for the project is approximately 56% above the engineer's construction estimate of $1,030,000. The higher bid costs relate to the difficulty of constructing the proposed improvements in an existing confined, highly congested area. The references and the State Contractor's License for Banshee Construction Company, Inc. have been checked and are appropriate for the project. The construction of the Red Hill Avenue Widening Project at the I-5 Freeway will bring Red Hill Avenue into conformance with the Circulation Element of the General Plan by providing for Class II bike lanes. The project will also help to relieve traffic congestion, improve the level of service, and improve access to the I-5 Freeway area. Tim D. Serlef,-,' Director of Public Works/City Engineer Engineering Services Manager TDS:DRK:ccg:Award of Contract Red Hill Widening Proj @ I-5.doc Attachment: Location Map 0 F- O ILl 0 13_