HomeMy WebLinkAbout1999-10-25 City Council (19)City of Palo Alto
City Manager’s Report
TO:HONORABLE CITY COUNCIL 4
FROM:CITY MANAGER DEPARTMENT: UTILITIES
DATE:OCTOBER 25, 1999 CMR:398:99
SUBJECT:AWARD OF CONTRACT TO RANGER PIPELINES IN THE
AMOUNT OF $1,479,520 FOR PROJECT 13 WATER MAIN
REPLACEMENT PROJECT
RECOMMENDATION
Staff recommends that Council:
Approve and authorize the Mayor to execute the attached contract with Ranger
Pipelines in the amount of $1,479,520 for Water Main Replacement Project 13.
Authorize the City Manager or her designee to negotiate and execute one or more
change orders to the contract with Ranger Pipelines for related, additional but
unforeseen work which may develop during the project, the total value of which shall
not exceed $149,172.
DISCUSSION
Project Description
The work to be performed under the contract is for Project 13, Water Main Replacement
Project which involves the installation of approximately 3 miles of new water main and
services (see project location map attachment: C). The project maintains an approximate 26-
year replacement program for the cast iron portion of the City’s water distribution system.
As the City’s water distribution system ages, it becomes necessary to replace the mains.
Replacement becomes necessary when the existing mains show signs of extensive corrosion,
CMR:398:99 Page ~ of 3
or are subject to recurring breaks. Staff has identified the mains in this project as mains
which are subject to breaks, typically cast iron pipes. Another problem that occurs with very
old water systems, such as the one in Palo Alto, are mains that are inadequate in size to
supply the required flows and pressure for fire protection. This project will increase fire
protection flows in the areas being upgraded.
Bid Process
A notice inviting formal bids for Water Main Replacement Project 13 was sent on August
19, 1999 to eight builders’ exchanges and five contractors. The bidding period was 32
calendar days. A pre-bid meeting was held on September 7, 1999; one bidder attended the
non-mandatory meeting. Bids were received from five qualified contractors on September
21, 1999, as listed on the attached bid summary (Attachment A). Bids ranged from a high
of $1,744,660 to a low bid of $1,479,520. Contractors not responding indicated that they
did not submit a bid because they were too busy to bid.
Staffhas reviewed all bids submitted and recommends that the bid of $1,479,520 submitted
by Ranger Pipelines be accepted and that Ranger Pipelines be declared the lowest
responsible bidder. The bid is 1% percent below the engineer’s estimate of $1,491,722. The
change order amount of $149,172 which equals 10 percent of the total contract is requested
for related, unforseen additional work.
Staff checked references supplied by the contractor for previous work performed and found
no significant complaints. Staffalso checked with the Contractor’s State License Board and
found that the contractor has an active license on file.
RESOURCE IMPACT
Funds for this project are included in the FY 1999-2000 Utilities Department Water CIP
budget.
POLICY IMPLICATIONS
This report does not represent any change to existing City policies.
ENVIRONMENTAL REVIEW
This project was considered to be categorically exempt as part of the Council approval of the
Water Main Replacement CIP and no further environmental review is necessary.
CMR:398:99 Page 2 of 3
ATTACHMENTS
Attachment A:
Attachment B:
Attachment C:
PREPARED BY:
Bid Summary
Contract
Project Map (2 sheets)
Roger Cwiak, WGW Engineering Manager
DEPARTMENT HEAD:
~ctor of Utilities
CITY MANAGER APPROVAL:
FLEMING
Manager
ClVIR:398:99 Page 3 of 3
FORMALCONTRACT
GONTRACT No.
(Public Work)
Utilities- Engineering
SECTION 500
This Contract, number ....... x . dated x~, is entered into by and between the City of Palo Alto, a chartered
city and a municipal corporation of the State of California ("City"), and Ranqer Pipelines, Inc., Contractor.
For and in consideration of the covenants, terms, and conditions ("the provisions") of this Contract, City and
Contractor ("the parties") agree:
Term. This Contract shall commence and be binding on the parties on the Date of Execution of this
Contract, and shall expire on the date of recordation of the Notice of Substantial Completion, or, if no such
notice is required to be filed, on the date that final payment is made hereunder, subject to the earlier
termination of this Contract.
General Scope of Proiect and Work. Contractor shall furnish labor, services, materials and equipment in
connection with the construction of the Project and complete the Work in accordance with the covenants,
terms and conditions of this Contract to the satisfaction of City. The Project and Work is generally
described as follows:
Title of Project:Water Main Replacement- Project 13, CIP 33328, Invitation for Bid (IFB) Number 115937
Base Bid:$1,473,520.00
Add Alternates:$ 6,000.00
Total Bid:$1,479,520.00
Contract Documents. This Contract shall consist of the documents set forth below, which are on file with
the City Clerk and are hereby incorporated by reference. For the purposes of construing, interpreting and
resolving inconsistencies between and among the provisions of this Contract, these documents and the
provisions thereof are set forth in the following descending order of precedence.
ao This Contract.Inyitation For Bid.
Project Specifications.
Drawings.
Change Orders.
Bid.
Supplementary Conditions.
General Conditions.Standard Drawings and Specifications (1992).
Certificate of Insurance, Performance Bond, Labor & Materials (Payment) Bond.
Other Specifications, or part thereof, not expressly incorporated in the Contract Specifications or
the Standard Drawings and Specifications (1992).
Any other document not expressly mentioned herein which is issued by City or entered into by the
parties.
Compensation. In consideration of Contractor’s performance of its obligations hereunder, City shall pay to
Contractor the amount set forth in Contractor’s Bid in accordance with the provisions of this Contract and
upon the receipt of written invoices and all necessary supporting documentation within the time set forth in
the Contract Specifications and the Standard Drawings and Specifications (1992), or, if no time is stated,
within thirty (30) Days of the date of receipt of Contractor’s invoices.
Insurance. On or before the Date of Execution, Contractor shall obtain and maintain the policies of
insurance coverage described in the Invitation For Bid on terms and conditions and in amounts as may be
required by the Risk Manager. City shall not be obligated to take out insurance on Contractor’s personal
property or the personal property of any person performing labor or services or supplying materials or
equipment under the Project. Contractor shall furnish City with the certificates of insurance and with
original endorsements affecting coverage required under this Contract on or before the Date of Execution.
The certificates and endorsements for each insurance policy shall be signed by a person who is authorized
CITY OF PALO ALTO IFB 115937 PAGE 1 OF 6’
FORMAL CONTRACT SECTION 500
by that insurer to bind coverage in its behalf. Proof of insurance shall be mailed to the Project Manager to
the address set forth in Section 15 of this Contract,
Indemnification. Contractor agrees to protect, defend, indemnify and hold City, its Council members,
officers, employees, agents and representatives harmless from and against any and all claims, demands,
liabilities, losses, damages, costs, expenses, liens, penalties, suits, or judgments, arising, in whole or in-
part, directly or indirectly, at any time from any injury to or death of persons or damage to property as a
result of the willful acts or the negligent acts or omissions of Contractor, or which results from Contractor’s
noncompliance With any Law respecting the condition, use, occupation or safety of the Project site, or any
part thereof, or which arises from Contractor’s failure to do anything required under this Contract or for
doing anything which Contractor is required not to do under this Contract, or which arises from conduct for
which any Law may impose strict liability on Contractor in the performance of or failure to perform the
provisions of this Contract, except as may arise from the sole willful acts or negligent acts or omissions of
City or any of its Council members, officers, employees, agents or representatives. This indemnification
shall extend to any and all claims, demands, or liens made or filed by reason of any work performed by
Contractor under this Contract at any time during the term of this Contract, or arising thereafter.
To the extent Contractor will use hazardous materials in connection with the execution of its obligations
under this Contract, Contractor further expressly agrees to protect, indemnify, hold harmless and defend
City, its City Council members, officers and employees from and against any and all claims, demands,
liabilities, losses, damages, costs, expenses, liens, penalties, suits, or judgments City may incur, arising, in
whole or in part, in connection with or as a result of Contractor’s willful" acts or negligent acts or omissions
under this Contract, under the Comprehensive Environmental Response, Compensation and Liability Act
(42 U.S.C. §§9601-6975, as amended); the Resource Conservation and Recovery Act (42 U.S.C. §§6901-
6992k, as amended); the Toxic Substances Control Act (15 U.S.C. §§2601-2692, as amended); the
Carpenter-Presley-Tanner Hazardous Substance Account Act (Health & Safety Code, §§25300-25395, as
amended); the Hazardous Waste Control Law (Health & Safety Code, §§25100-25250.25, as amended);
the Safe Drinking Water and Toxic Enforcement Act (Health & Safety Code, §§25249.5-25249.13, as
amended); the Underground Storage of Hazardous Substances Act (Health & Safety Code, §§25280-
25299.7, as amended); or under any other local, state or federal law, statute or ordinance, or at common
law.
Assumption of Risk. Contractor agrees to voluntarily assume any and ~11 risk of loss, damage, or injury to
the property of Contractor which may occur in, on, or about the Project site at any time and in any manner,
excepting such loss, injury, or damage as may be caused by the sole willful act or negligent act or omission
of City or any of its Council members, officers, employees, agents or representatives.
Waiver. The acceptance of any payment or performance, or any part thereof, shall not operate as a waiver
by City of its rights under this Contract. A waiver by City of any breach of any part or provision of this
Contract by Contractor shall not operate as a waiver or continuing waiver of any subsequent breach of the
same or any other provision, nor shall any custom or practice which may arise between the parties in the
administration of any part or provision of this Contract be construed to waive or to lessen the right of City to
insist upon the performance of Contractor in strict compliance with the covenants, terms and conditions of
this Contract.
10.
Compliance with Laws. Contractor shall comply with all Laws now in force or which may hereafter be in
force pertaining to the Project and Work and this Contract, with the requirement of any bond or fire
underwriters or other similar body now or hereafter constituted, with any discretionary license or permit
issued pursuant to any Law of any public agency or official as well as with any provision of all recorded
documents affecting the Project site, insofar as any are required by reason of the use or occupancy of the
Project site, and with all Laws pertaining to nondiscrimination in employment and hazardous materials.
Bonds. As a condition precedent to City’s obligation to pay compensation to Contractor, and on or before
the Date of Execution, Contractor shall furnish to the Project Manager the Bonds as required under the
Invitation For Bid.
11.Representations and Warranties. In the supply of any materials and equipment and the rendering of labor
and services during the course and scope of the Project and Work, Contractor represents and warrants:
ITY OF PALO ALTO IFB tl 5937 .........PAGE2 OF6
FORMAL CONTRACT SECTION 500
a.Any materials and equipment which shall be used dudng the course and scope of the Project and
Work shall be vested in Contractor;
b=Any materials and equipment which shall be used during the course and scope of the Project and
Work shall be merchantable and fit to be used for the particular purpose for which the materials
are required;
Any labor and services rendered and materials and equipment used or employed during the
course and scope of the Project and Work shall be free of defects in workmanship for a period of
one (1) year after the recordation of the Notice of Substantial Completion, or, if no such notice is
required to be filed, on the date that final payment is made hereunder;
Any manufacturer’s warranty obtained by Contractor shall be obtained or shall be deemed
obtained by Contractor for and in behalf of City.
Any information submitted by Contractor prior to the award of Contract, or thereafter, upon request,
whether or not submitted under a continuing obligation by the terms of the Contract to do so, is
true and correct at the time such information is submitted or made available to the City;
Contractor has not colluded, cons.oired, or agreed, directly or indirectly, with any person in regard
to the terms and conditions of Contractor’s Bid, except as may be permitted by the Invitation For
Bid;
Contractor has the power and authority to enter into this Contract with City, that the individual
executing this Contract is duly authorized to do so by appropriate resolution, and that this Contract
shall be executed, delivered and performed pursuant to the power and authority conferred upon
the person or persons authorized to bind Contractor;
Contractor has not made an attempt to exert undue influence with the Purchasing Manager or
Project Manager or any other person who has directly contributed to City’s decision to award the
contract to Contractor;
There are no unresolved claims or disputes between Contractor and City which would materially
affect Contractor’s ability to perform under the Contract;
Contractor has furnished and will furnish true and accurate statements, records, reports,
resolutions, certifications, and other written information as may be requested of Contractor by City
from time to time during the term of this Contract;
Contractor and any person performing labor and services under this Project are duly licensed by
the State of California as required by California Business & Professions Code Section 7028, as
amended; and
Contractor has fully examined and inspected the Project site and has full knowledge of the
physical conditions of the Project site.
12.Assiqnment. This Contract and the performance required hereunder is personal to Contractor, and it shall
not be assigned by Contractor. Any attempted assignment shall be null and void.
13.Claims of Contractor. All claims pertaining to extra work, additional charges, or delays within the Contract
Time or other disputes arising out of the Contract shall be submitted by Contractor to City in wdting by
certified or registered mail within ten (10) Days after the claim arose or within such other time as may be
permitted or required by law, and shall be described in sufficient detail to give adequate notice of the
substance of the claim to City.
14.Audits. by City. During the term of this Contract and for aperiod of not less than three (3) years after the
expiration or earlier termination of this Contract, City shall have the right to audit Contractor’s
Project-related and Work-related writings and business records, as such terms are defined in California
Evidence Code Sections 250 and 1271, as amended, during the regular business hours of Contract.or, or, if
CITY OF PALO ALTO IFB 115937 PAGE 3 OF 6
FORMAL CONTRACT
Contractor has no such hours, during the regular business hours of City.
SECTION 500
15.Notices. All agreements, appointments, approvals, authorizations, claims, demands, Change Orders,
consents, designations, notices, offers, requests and statements given by either party to the other shall be
in writing and shall be sufficiently given and served upon the other party if (1) personally served, (2) sent by
the United States mail, postage prepaid, (3) sent by private express delivery service, or (4) in the case of a
facsimile transmission, if sent to the telephone FAX number set forth below dudng regular business hours
of the receiving party and followed within two (2) Days by delivery of a hard copy of the material sent by
facsimile transmission, in accordance with (1), (2) or (3) above. Personal service shall include, withoutlimitation, service by delivery and service by facsimile transmission.
To City:City of Palo Alto
City Clerk
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303
Copy to:City of Palo Alto
Utilities Department
250 Hamilton Ave
P.O. Box 10250
Palo Alto, CA 94303
Attn: Chuck Borg, Project Manager
To Contractor:
At[n:
16.
17.
ADorol3riation of City Funds. This Contract is subject to the fiscal provisions of Article III, Section 12 of the ¯
Charter of the City of Palo Alto. Any charges hereunder for labor, services, materials and equipment may
accrue only after such expenditures have been approved in advance in writing in accordance with
applicable Laws. This Contract shall terminate without penalty (I) at the end of any fiscal year in the event
that funds are not appropriated for the following fiscal year, or (ii) at any time within a fiscal year in the event
that funds are only appropriated for a portion of the fiscal year and funds for this Contract are no longer
available. This Section 16 shall control in the event of a conflict with any other provision of this Contract.
Miscellaneous.
Bailee Disclaimer. The parties understand and agree that City does not purport to be Contractor’s
bailee, and City is, therefore, not responsible for any damage to the personal property of
Contractor.
Consent. Whenever in this Contract the approval or consent of a party is required, such approval
or consent shall be in writing and shall be executed by a person having the express authority to
grant such approval or consent.
Controlling Law. The parties agree that this Contract shall be governed and construed by and in
accordance with the Laws of the State of California.
Definitions. The definitions and terms set forth in Section 1 of the Standard Drawings and
Specifications (1992) of this Contract are incorporated herein by reference.
Force Majeure. Neither party shall be deemed to be in default on account of any delay or failure to
perform its obligations under this Contract which directly results from an Act of God or an act of a
superior governmental authority.
CITY OF PALO ALTO IFB 115937 PAGE4 OF 6
FORMAL CONTRACT SECTION 500
f. Headings. The paragraph headings are not a part of this Contract and shall have no effect upon
the construction or interpretation of any part of this Contract.
Incorporation of Documents. All documents constituting the Cont(act documents described in
Section 3 hereof and all documents which may, from time to time, be referred to in any duly
executed amendment hereto are by such reference incorporated in this Contract and shall be -
deemed to be part of this Contract.
Integration. This Contract and any amendments hereto between the parties constitute the entire
agreement between the parties concerning the Project and Work, and there are no other prior oral
or written agreements between the parties that are not incorporated in this Contract.
Modification of Agreement. This Contract shall not be modified or be binding upon the parties,
unless such modification is agreed to in writing and signed by the parties.
Provision. Any agreement, covenant, condition, clause, qualification, restriction, reservation, term
or other stipulation in the Contract shall define or otherwise control, establish, or limit the
performancerequired or permitted or to be required of or permitted by either party. All provisions,
whether covenants or conditions, shall be deemed to be both covenants and conditions.
Resolution. Contractor shall submit with its Bid a copy of any corporate or partnership resolution
or other writing, which authorizes any director, officer or other employee or partner to act for or in
behalf of Contractor or which authorizes Contractor to enter into this Contract.
Severability. If a court of competent jurisdiction finds or rules that any provision of this Contract is
void or unenforceable, the provisions of this Contract not so affected shall remain in full force and
effect.
Status of Contractor. In the exercise of rights and obligations under this Contract, Contractor acts
as an independent contractor and not as an agent or employee of City. Contractor shall not be
entitled to any rights and benefits accorded or accruing to the City Council members, officers or
employees of City, and Contractor expressly waives any and all claims to such rights and benefits.
Successors and Assigns. The provisions of this Contract shall inure to the benefit of, and shall
apply to and bind, the successors and assigns of the parties.
Time of the Essence. Time is of the essence of this Contract and each of its provisions. In the
calculation of time hereunder, the time in which an act is to be performed shall be computed by
excluding the first Day and including the last. If the time in which an act is to be performed falls on
a Saturday, Sunday, or any Day observed as a legal holiday by City, the time for performance shall
be extended to the following Business Day.
Venue. In the event that suit is brought by either party hereunder, the parties agree that trial of
such action shall be vested exclusively in the state courts of California in the County of Santa
Clara in the City of San Jose or in the United States District Court for the Northern District of
California in the City of San Jose.
Recovery of costs. The prevailing party in any action brought to enforce the terms of this Contract
or arising out of this Contract may recover its reasonable costs, including reasonable attorney’s
fees, incurred or expended in connection with such action against the non-prevailing party.
IN WITNESS WHEREOF, the parties have by their duly appointed representatives executed this Contract in the city
of Palo Alto, County of Santa Clara, State of California on the date first stated above.
ATTEST:CITY OF PALO ALTO
City Clerk By:
Its Mayor
CITY OF PALO ALTO IFB 115937 PAGE 5 OF 6
FORMAL CONTRACT
APPROVED AS TO FORM:
Senior Assistant City Attorney
SECTION 500
APPROVED:CONTRACTOR:
Assistant City Manager
Director of Utilities
Director of Administrative Services
Contract Manager (Insurance Review)
By:
Name:
Title:
By:
Name:
Tile:
(Compliance with California Corporations Code § 313 is
required if the entity on whose behalf this contract is signed is
a corporation. In the alternative, a certified corporate
resolution attesting to the signatory authority of the individuals
signing in their respective capacities is acceptable)
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
STATE OF
COUNTY OF
On , before me,
, a notary public in and for s~id County, personally appeared
, personally known to
me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s),
or the entity upon behalf of which the person(s) acted, executed the instrument.
WITNESS my hand and official seal.
Signature (Seal)
~;ITY OF PALO ALTO IFB 115937 PAGE 6 OF 6
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