TITLE
Recommendation to adopt Specifications No. R-7149 and award contracts to CJ Concrete Construction, Inc., of Santa Fe Springs, CA, and Kalban, Inc., of Santa Clarita, CA, for as-needed construction of curb ramps and concrete-related improvements in Community Development Block Grant program areas, in an aggregate amount not to exceed $10,000,000, for a period of two years, with the option to renew for three additional one-year periods, at the discretion of the City Manager; and, authorize City Manager, or designee, to execute all documents necessary to enter into contracts, including any necessary amendments provided the aggregate total amount is not exceeded. (Citywide)
DISCUSSION
City Council approval is requested to enter into contracts with CJ Concrete Construction, Inc., and Kalban, Inc., for as-needed construction of curb ramps and concrete-related improvements, such as repair and replacement of sidewalks, driveways, curbs, gutters, alley entrances, and bus stop pads in Community Development Block Grant (CDBG) program areas.
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. Payments 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 $10,000,000. Passage of the City’s Measure A has made additional funding available for concrete repairs and related improvements. These contracts will enable the City to utilize all funds available from the CDBG made available by the U.S. Department of Housing and Urban Development (HUD). While the Public Works Department will be responsible for 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 May 13, 2019, and 2,627 potential bidders specializing in street construction services were notified of the bid opportunity. Of those bidders, 39 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 28 local, minority and women-owned business groups. Four bids were received on June 5, 2019. Of those four bidders, none were Women-owned Business Enterprises (WBEs), one was a Disadvantaged Business Enterprise (DBE), one was a Minority-owned Business Enterprise (MBE), one was a certified Small Business Enterprise (SBE), and none were Long Beach Businesses (Local). CJ Concrete Construction, Inc., of Santa Fe Springs, CA (SBE), and Kalban, Inc., of Santa Clarita, CA (SBE), were the lowest responsive and 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, 183 Long Beach vendors were notified to submit bids, of which three 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 Amy R. Webber and Purchasing Agent Tara Yeats on June 20, 2019, and by Budget Analysis Officer Julissa José-Murray on June 27, 2019.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. R-7149 and award contracts concurrently is requested on September 3, 2019, to ensure the contracts are in place expeditiously.
FISCAL IMPACT
The aggregate contract authority in the amount not exceed $10,000,000 for the two-year term, was estimated based on current and anticipated projects within various City departments, primarily the Public Works Department. Any work not currently budgeted will only proceed at such time as appropriation has 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. This recommendation is anticipated to have no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. The number of additional local jobs created by this action 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