TITLE
Recommendation to adopt Plans and Specifications No. R-6961 for the Runway 7L-25R Reconstruction at the Long Beach Airport; award the contract to All American Asphalt, in the amount of $12,076,000, plus a 15 percent contingency in the amount of $1,811,400, for a total contract amount not to exceed $13,887,400; and authorize City Manager or designee to execute all documents necessary to enter into the contract, including any necessary amendments thereto; and increase appropriations in the Airport Enterprise Fund (EF 320) in the Airport Department (AP) by $12,635,000. (District 5)
DISCUSSION
Runway 7L-25R was last milled and overlain with a porous friction course in 1993. The aggregates on the surface are quickly deteriorating and, over time, will dislodge and create a greater Foreign Object Debris (FOD) potential. The Runway is the Airport's reliever air carrier runway when the main runway, Runway 12-30, is closed. The reconstruction of Runway 7L-25R will result in an improved, safer surface for aircraft as well as extend the life of the pavement. The project includes the reconstruction of approximately 1,250,000 square feet of runway pavement including shoulders, improvements to drainage systems, signage, pavement markings, and grading of infield areas. Current edge lighting will be replaced with Federal Aviation Administration (FAA) approved LED lighting. LED in-pavement runway guard lights will also be installed at four locations where Taxiway K crosses the runway.
This bid was advertised in the Press Telegram on July 10, 2013, and 2,277 potential bidders specializing in construction services were notified of the bid opportunity. Of those bidders, 48 downloaded the bid documents via the City's electronic bid system. The bid document was made available from the Purchasing Division, located on the seventh floor of City Hall, the Division's website at www.longbeach.gov/purchasing, and by being purchased through the Department of Public Works located on the tenth floor of City Hall.
A bid announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which is sent to 30 local, minority and women's business groups. Bid documents were also sent to several trade publications and plan rooms catering to these groups within the construction industry. Four bids were received on August 28, 2013. Of those bidders, none were Minority-owned Business Enterprises (MBEs), none were Women-owned Business Enterprises (WBEs), none were Disadvantaged Business Enterprises (DBEs), none were certified Small Business Enterprises (SBEs), and one was a Long Beach-based business (Local). All American Asphalt, of Corona, CA (not an MBE, WBE, DBE, SBE or Local), was the lowest responsible bidder.
Local Business Outreach
In an effort to align with our outreach goal, Long Beach businesses were encouraged to submit bids for City contracts. The Purchasing Division also assisted businesses with registering on the Bids Online database to download the bid specifications. Through outreach, 221 Long Beach vendors were notified to submit bids, of which three downloaded and one 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 Linda Vu on October 1, 2013 and by Budget Management Officer Victoria Bell on October 8, 2013.
SUSTAINABILITY
The existing asphalt on the runway will be reutilized as crushed grindings for sub-base and base material. The mix design will also utilize up to 50 percent Recycled Asphalt Pavement (RAP), which will be used in the full strength center section of the runway.
The construction method of reutilizing the crushed grindings for sub-base and base material will reduce the number of dump truck trips for removals and eliminate the number of dump truck trips required for construction of sub-base and base.
Existing runway edge lighting will be removed and replaced with LED type lighting, which will have much longer lamp life expectancy, lower energy consumption and lower maintenance costs, as compared with existing lighting.
TIMING CONSIDERATIONS
City Council action on this matter is requested on October 22, 2013, in order to expedite commencement of this work. Construction is anticipated to begin in January 2014 and should take approximately 11 months to complete.
FISCAL IMPACT
The total construction contract amount is not to exceed $13,887,400, which includes a recommended 15 percent contingency of $1,811,400 due to the potential for unforeseen circumstances. The total project cost, including the contract award amount, is currently estimated to be $15,990,000 and will be funded with FAA Airport Improvement Program (AIP) Grant funding, Passenger Facility Charges (PFC), and Airport Capital.
On April 2, 2013, the City Council authorized application for the AIP Grant funding. FAA Grant No. 3-06-0127-040-2013 awarded $12,635,000 for this project but is currently unbudgeted; therefore, an appropriation increase is needed in the Airport Fund (EF 320) for the grant amount. Sufficient Airport Operating Capital is budgeted to cover the remaining project costs of $3,355,000, including the grant match of $1,405,000 that will be later reimbursed through future PFC application 14-07-C-00-LGB, once it is approved by the FAA.
The project will create an estimated 27 temporary full-time equivalent (FTE) jobs.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MARIO RODRIGUEZ
DIRECTOR LONG BEACH AIRPORT
ARA MALOYAN, PE
ACTING DIRECTOR OF PUBLIC WORKS
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER