TITLE
Recommendation to adopt Specifications No. R-7140 and award contracts to Kalban, Inc., of Santa Clarita, CA, and CJ Concrete Construction, Inc., of Santa Fe Springs, CA, for construction of curb ramps and concrete related improvements, in an aggregate amount not to exceed $30,000,000, for a period of two years, with the option to renew for three additional one-year periods, at the discretion of the City Manager; authorize City Manager, or designee, to execute all documents necessary to enter into contracts, including any necessary amendments; and
Accept Categorical Exemption CE-18-260. (Citywide)
DISCUSSION
City Council approval is requested to enter into contracts with Kalban, Inc., and CJ Concrete Construction, Inc., for construction of curb ramps and concrete related improvements, such as repair and replacement of sidewalks, driveways, curbs, gutters, alley entrances, and bus stop pads. These are on-call contracts where work is performed based on individual work orders issued by the City and do not include any guaranteed minimum payment or retainer fee. Payment to the contractors will be based on the number of the work orders issued by the City and fully completed by the contractors. The maximum aggregate dollar amount that can be issued in work orders under these two on-call contracts is $30,000,000. These contracts will enable the City to utilize all funds available. While the Public Works Department will be responsible for the administrative control and monitoring of the contracts, they may be used by other departments on various curb ramp and concrete repair projects.
The bid was advertised in the Long Beach Press-Telegram on October 9, 2018, and 4,545 potential bidders specializing in street construction services were notified of the bid opportunity. Of those bidders, 46 downloaded the bid via the City’s electronic bid system. The plans and specifications were made available by the Engineering Records Section of the office of the City Engineer located on the tenth floor of City Hall, and on the Purchasing Division’s website at www.longbeach.gov/purchasing <http://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 22 local, minority, and women-owned business groups. Seven bids were received on November 8, 2018. Of those seven bidders, none were Women-owned Business Enterprises (WBEs) or Long Beach Businesses (Local), one was a Disadvantaged Business Enterprise (DBE), two were Minority-owned Business Enterprises (MBEs), and three were certified Small Business Enterprises (SBEs). Kalban, Inc., of Santa Clarita, CA (SBE), and CJ Concrete Construction, Inc., of Santa Fe Springs, CA (SBE), were the lowest responsible bidders.
Local Business Outreach
In an effort 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 PlanetBids database to download the bid specifications. Through outreach, 399 Long Beach vendors were notified to submit bids, of which five downloaded and none submitted a bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
In conformance with the California Environmental Quality Act, Categorical Exemption CE-18-260 was issued for work performed under these contracts (Attachment A).
This matter was reviewed by Deputy City Attorney Linda T. Vu on November 30, 2018 and by Budget Analysis Officer Julissa Jose-Murray on November 29, 2018.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. R-7140 and award contracts to Kalban, Inc., and CJ Concrete Construction, Inc., is requested on December 18, 2018, to ensure the contracts are in place expeditiously.
FISCAL IMPACT
The aggregate contract authority will not exceed $30,000,000 for the two-year term, estimated based on current and anticipated projects within various City departments, primarily the Public Works Department (PW). Any work not currently budgeted will only proceed at such time that appropriations have been approved by the City Council. Each work order will be funded by the requesting department prior to the work order being issued to the contractor. The number of additional local jobs created by the award of these contracts will not be known until the contractors complete hiring and construction has commenced.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
CRAIG A. BECK
DIRECTOR OF PUBLIC WORKS
APPROVED:
PATRICK H. WEST
CITY MANAGER