TITLE
Recommendation to adopt Plans and Specifications No. 3004020020-Rebid and award a contract to Bitech Construction Company, Inc., of Buena Park, CA, for construction of the Davenport Park Phase II - Park Expansion Project, in the amount of $5,464,200, authorize a 20 percent contingency in the amount of $1,092,840, for a total contract amount not to exceed $6,557,040; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary amendments; and
Increase appropriations in the Capital Projects Fund Group in the Public Works Department by $3,500,000 to be made available through the Measure A bond program in Fiscal Year 2023. (District 8)
DISCUSSION
City Council approval is requested to enter into a contract with Bitech Construction Company, Inc., to provide construction services for the Davenport Park Phase II - Park Expansion Project (Project).
Davenport Park is located at 2910 East 55th Way on the east side of Paramount Boulevard between Candlewood Street and South Street (Project Location - Attached). Improvements to Davenport Park were undertaken through a phased approach.
Phase 1 of the project constructs a landfill gas (LFG) control system connecting three LFG risers to underground piping and routing it to a new treatment system. The system will connect to the below-grade portion of the vents on the existing park and to the subgrade collection piping and landfill liner system installed in 2017. The gas treatment system is required to be in place before the next phase of construction begins to expand the park. Construction on Phase 1 of the project began on December 5, 2022.
Phase 2 of the Project is being sequenced to start after Phase 1 and expands the existing 5.5-acre park to 11.5-acres. The expanded portion of the park will include a multi-use sports field, exercise equipment along a new decomposed granite trail, outdoor seating area, bleachers, sports nettings, and additional parking.
The original bid for the Phase 2 project was advertised on May 2, 2022. Due to the economic climate for construction and modification of the specifications and plans, it was in the City of Long Beach’s (City) best interest to reject all bids and issue a re-bid to the project.
On November 3, 2022, the re-bid was advertised in the Long Beach Press-Telegram, and 24 potential bidders specializing in construction services were notified of the bid opportunity. Of those bidders, 24 downloaded the bid via the City’s electronic bid system. The specifications were made available on the Purchasing Division’s website at www.longbeach.gov/purchasing. A bid announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 42 local, minority-owned, women-owned business groups and other business associations. Public Works hosted two mandatory pre-bid meetings for this project. There were three bids that were received on January 12, 2023. Bitech Construction Company, Inc., of Buena Park, CA, a certified Small Business Enterprise (SBE), was the lowest responsive and responsible bidder.
Local Business Outreach
To align with the City’s outreach goal, Long Beach businesses are encouraged to submit bids for City contracts. The Purchasing Division also assists businesses with registering on the Long Beach Buys database to download the bid specifications. Through outreach, 42 Long Beach vendors were notified to submit bids, of which 1 downloaded and none submitted a bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool
This matter was reviewed by Deputy City Attorney Vanessa S. Ibarra and Purchasing Agent Michelle Wilson February 10, 2023, and by Budget Management Officer Nader Kaamoush on February 17, 2023.
SUSTAINABILITY
Any demolition of concrete or other materials used will be recycled and diverted from landfills.
In accordance with the California Environmental Quality Act, Mitigated Negative Declaration No. MND14-19 was issued and circulated. This along with the project was approved by the Planning Commission on January 16, 2020.
TIMING CONSIDERATIONS
City Council action to adopt Plans and Specifications No. 3004020020-Rebid and award a contract concurrently is requested on March 7, 2023, to ensure the contract is in place expeditiously.
FISCAL IMPACT
The total cost of the contract will not $6,557,040, inclusive of a 20 percent contingency. The total project cost is estimated at $9,611,000, including design, construction, construction management, labor compliance, and project oversight. The total project cost is supported by $1,727,963 of Measure A funds, $2,115,265 of Park Impact Fees, $1,975,680 of Land and Water Conservation Grant Funds from the State of California Natural Resource Agency, and $3,500,000 of Measure A bonds funds identified for allocation in year one of the recently released Fiscal Year 2023 - 2027 (FY) Infrastructure Investment Plan. Additional Land and Water Conservancy grant funding is expected to be awarded for the project in the coming months. Staff will return to City Council to appropriate any additional funding to the project.
An appropriation increase in the amount of $3,500,000 is requested in the Capital Projects Fund Group, offset by proceeds anticipated to be made available from the FY 23 Measure A bond program.
The Parks, Recreation and Marine Department will be responsible for operating and maintaining the Project site upon completion. The additional annual operating and maintenance costs associated with this Project are unknown at this time. If additional budget is necessary, it will be requested, with any appropriate offsetting revenue anticipated, as part the annual budget process.
This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. Approval of this recommendation will provide continued support to the local economy. The number of additional local jobs created by this project will not be known until the contractors have completed their hiring and construction has commenced.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
ERIC LOPEZ
DIRECTOR OF PUBLIC WORKS
APPROVED:
THOMAS B. MODICA
CITY MANAGER