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HomeMy WebLinkAbout2000-06-20 City Council (5)City of Palo Alto City Manager’s Report TO:HONORABLE CITY COUNCIL 18 FROM:CITY MANAGER DEPARTMENT: UTILITIES DATE:JUNE 26, 2000 CMR:296:00 SUBJECT:AWARD OF CONTRACT TO POWER ENGINEERING CONTRACTORS, INC. FOR THE RESERVOIR UTILITY ACCESS ROAD AND SITE MAINTENANCE PROJECT - IFB#107725A RECOMMENDATION ’ Staff recommends that Council: Approve and authorize the Mayor to execute the attached contract with Power Engineering Contractors, Inc. in the amount of $254,920 for resurfacing existing reservoir site pavements, installing galvanic cathodic protection systems on each of the water system’s four steel reservoirs, control house roof repairs at the booster stations, and fence repairs at the water reservoir sites. Authorize the City Manager or his designee to negotiate and execute one or more change orders to the contract with Power Engineering Contractors, Inc. for related, additional but unforeseen work which may develop during the project, the total value of which shall not exceed $38,238. DISCUSSION Project Description The work to be performed under the contract is for furnishing and installing galvanic cathodic protection systems to .four steel water storage reservoirs, the installation of a 1-1/2 CMR:296:00 Page 1 of 3 inch asphaltic concrete pavement overlay over the existing pavement at each) reservoir site and two booster station sites, fence repair and replacement work at each of the reservoir sites, and control house roof repairs to four water station facilities. Bid Process A notice inviting formal bids for the Reservoir Utility Access Road and Site Maintenance Project was sent on February 29, 2000 to eight builders’ exchanges and five contractors. The bidding period was forty-nine calendar days. A pre-bid meeting was held on March 15, 2000; three bidders attended the meeting. Bids were received from four qualified contractors on April 18, 2000, as listed on the attached bid summary (Attachment A). Bids ranged from a high oi~ $482,020 to a low bid of $140,750,-The apparent lowest bidder, O’Grady Paving, elected to withdraw its bid from further consideration, thus forfeiting its bid bond. Contractors not responding indicated that they did not submit a bid because their present work load would not permit them to perform the work. Staffhas reviewed all bids submitted and recommends that the next lowest bid of $254,920; submitted by Power Engineering Contractors, Inc., be accepted and that Power Engineering Contractors, Inc. be declared the lowest responsible bidder. Because the cost for asphalt paving was substantially under-estimated, the bid is forty-eight percent above the engineer’s estimate of $172,360. The change order amount of $38,238, which equals 15 percent of the total contract, is requested for related but unforeseen work, due to the remote foothills location for the work under this contract and the numerous specialized trades this project involves. Staff checked references supplied by the contractor for previous work performed and found no significant complaints. Staff also 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 Utilities Department Water Capital Improvement Program budget, in major project 8749, Water Reservoir Improvements. Initially funded in 1987, this is the final work included in this project which, over the years, impacted 4 reservoirs. The current carryover funding leaves a balance of $381,300 which is sufficient to cover the final work. Any remaining balance will be returned to the Water Rate Stabilization Reserve after completion of the project. POLICY IMPLICATIONS This report does not represent any change to existing City policies. ENVIRONMENTAL REVIEW This project is categorically exempt from California Environmental Quality Act (CEQA). ATTACHMENTS Attachment A: Attachment B: Bid Summary Contract PREPARED BY:Charles Borg, Senior Engineer, WGW Roger Cwiak, Engineering Manager, WGW DEPARTMENT HEAD APPROVAL: CITY MANAGER APPROVAL: Director EMII~Y HARRISON Assistant City Manager 0000000000 00000 o O0 O0o.o. O0O0 O0O0O0 o~,~~1~oooooOOOOO~ ~ o~o~ ~ooooo 00 ATTACHMENT B . FORMAL CONTRACT CONTRACT (Public Work) Utilities Engineering SECTION 5O0 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 Power EnQineerinq Contractors, II~c. , Contractor. For and in consideration of the cover~ants terms, and conditions (=the.provisions") of this Contract, City and Contractor ("the parties") agree: Term. This Contract shall commence and be binding oh 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. her.eunder,, s~bject to the earlier termination of this Contract. =General Scope of Proiect add 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 qQvenants, terms and conditions of this Contract to the satisfaction.of City. The Project and Work is generally¯descdbed as follows: Titie of Project: Base Bid: Add Alternates: Total- Bid: Reservoir Utility Access Roadway & Site Maintenance Project $ 254,920 .$n/a $ 254,920 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, inierpreting and resolving inconsistencies between and among the provisions ofthis Coniract, these documents and the provisions thereof are set forth in the following descending order of precedence. a. This Contract. g. h. j. k. Invitation 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 C0ntractofs 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 ~ITY OF PALO ALTO IFB 107725A PAGE 1 OF 7 ATTACHMENT B- FORMAL CONTRACT SECTION 500 property or the personalproperty of any person performing labor or services or supplying materials or equipment underthe Project. Contractor shall furnish City with the cedificates of insurance and with original endorsements affecting coverage required under this Contract on or before the Date of Execution. The cedificatesand endorsements for each insurance policy shall be signecl by a person who is authorized by that insurer to bind coverage in its behalf. ,Proof of insurance shall be mailed to the Project Manager to the address set fodh 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 anyand 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 adses from conduct for which any Law may impose strict Iibbility 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 extendto any and all claims, demands, or liens made or filed by reason of any work performed by Contractor under this Contract at any time dudng the term of this Contract, or adsing thereaftet;" To the extent Contractor Will use hazardousmaterials in connection with the execution of its obiigations undei" 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, adsing, 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 Resou~-ce 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 HazardousSubstance Account Act (Health & Safety Code, §§25300-25395, as. amended); the Hazardous WaSte.Control Law (Health & Safety Cdde, §§25100-25250.25, as amended); the Safe Ddnking Water and Toxic Enforcement Act (Health & Safety Code, §§25249.5-25249.13, as. amended); the Underground Storage of Haza~:dous Substances Act (Health & Safety Code, §§25280- 25299.7, asamended); or under any other local, state or federal law, statute or ordinance, or at common law. . ~ Assumotion o~ Risk. Contractor agrees to voluntarily assume any and all 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 neg igent 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 anybreach of any part or provision of this ¯ Contract by Contractor shall not operate as a waiver or ~ontinuing waiver of any subsequent breach ofthe same or any other provision, nor .shall any custom or practice which may arise between the p~rties 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. Compliance with Laws. Contractor shall comply with all Laws now in rome or which may hereafter be in force pedaining 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 orofflcia! as well as with anyprebision 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. CITY OF PALO ALTO IFB 107725A PAGE 2 OF 7 ATTACHMENT B FORMAL CONTRACT SECTION 500 10. Bonds, As a condition precedent to City’s obiigation 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.Reoresentations a~d Warrantie,~. In the supply of any matedal~ and equipment and the rendering of labor and services during the course and scope of the Project and Work, Contractor represents and warrants: Any materials and equipment which shall be used dudng the course and scope of the Project and Work shall be vested in Contractor; bo .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; eo 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 requiredto be filed, on the date that final payment Is made hereunder; Any manufacturer’s warranty obtained by Contractor shall be obtained or shall be de~rhed 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, conspired, 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. Contraci 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 authoPity conferred upon the person or persons authorized to bindContractor; " ~ 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~ ko 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 p~rson performing labor and services under this Project are duly-licensed by the State of Califomia as required by California Business & Professions Code Section 7028, as amended; and 12. Contractor has fully examined and inspected the Project site and has full knowledge of the physical conditions of the Project site. Ass .qnment. 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. CITY OF PALO ALTO IFB 107725A PAGE 3 OF 7 ATTACHMENT B ¯FORMAL CONTRACT SECTION 500 13.. .Claims of Contractor. All claims, pertaining to extra work, additional charges,"or delays within the ContractTime or other disputes arising out of the Contract shall be submitted by Contractor to City in writing 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 ~laim to City. 14. 15. Audits bv City. During the term of this contract and for a period of not less than three (3) years after the expiration or earlier termination of this Contract, City shall have the dght 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 Contractor, or, if Contractor has no such hours’ during the regular business hours of City. ~. 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 during 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, without limitation, 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 PaloAIto, CA94303 - Attn:Chuck Borg, Project Manager To C~ntractor: Attn: " 16. 17. Appropriation of City Funds_ This Contract is subject to the fiscal provisions of.Article III, Section 12 of the Charter ofthe 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 C0ntractare no longer available. Thib Section 16 shall control in the event of a conflict with any other provision of this Contract. .Miscellaneou~ a.’eailee Disclaimer. The parties understand and agree that City does not purport to be Contractor’sbailee, and City is, therefore, not respsnsible for any damage to the personal.property of Contractor. " CITY OF PALO ALTO IFB 107725A PAGE 4 OF 7 " -ATTACHMENT B FORMAL CONTRACT SECTION 500 b. Consent..Whenever in this Contract the approval or consent of a party.is required, such approvalor 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 par~ies agree that this Contract shall be governed and construed by and in accordance with the Laws of the State of California. do k, e° 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. Fome Majeure. Neither party Shall be deemed to be in default on account of any deiay 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. 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 Contract documents describedin 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 Contracl and any an~endments 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 limitthe performance required or permitted or to be required of or permitted by either party. All provisions, whether covenants or conditions, shall be deemed to beboth covenants, andconditions.. 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. Severabiliiy. If a c.ourt 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 dghts 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 th~ essence of this Contract and each of its provisions. In the calculation of time hereunder, the time in which an actis 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 Dayobserved as a legal holiday by Ci~, the time for performance shall be extended to the following Business Day. CITY OF PALO ALTO IFB 107725A PAGE 5 OF 7 ATTACHMENT B FORMAL CONTRACT ¯ SECTION 500 p. Venue. In the event that suit is brought by either, party hereunder, the parties agree tha~ trial ofsuch 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 Distdct of California in the City of San Jose. q.Recovbry of costs. The prevailing party in any action brought to enforce the terms of this Contractor 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. ATrEST:CITY OF PALO ALTO APPROVED ASTO FORM: City Clerk By: Its Mayor Senior Assistant City Attorney 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 theirrespective capacities is acceptable) CERTIFICATE OF ACKNOWLEDGMENT (Civil Code § 1189) STATE OF COUNTY OF CITY OF PALO ALTO IFB 107725A ) ) PAGE 6 OF 7 FORMAL CONTRACT On- , before me, , a notary public in and for said County, pei’sona!ly appeared. ATTACHMENT B SECTION 500 , personally known .to me (orproved to me on the basis of satisfactory evidence) to be the person(s) wh0sename(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 uponbeha f of which the person(s) acted, executed the .instrument. WITNESS my hand and official seal. Signature (Seal) CITY OF PALO ALTO IFB 107725A PAGE 7 OF 7