REQUEST FOR CITY COUNCIL AND
CORONA UTILITY AUTHORITY ACTION
DATE: 06/05/2024
TO: Honorable Mayor and City Council Members
Honorable President and Board Members
FROM: Utilities Department
SUBJECT:
Title
FIRST AMENDMENT TO MAINTENANCE/GENERAL SERVICES AGREEMENT WITH AUGUSTINE GENERAL ENGINEERING, INC., FOR STREET REPAIRS AFTER THE CARMELITA AVENUE CRITICAL WATER MAIN REPLACEMENT PROJECT
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EXECUTIVE SUMMARY:
This staff report asks the City Council to approve a First Amendment to the Maintenance/General Services Agreement with Augustine General Engineering, Inc. of Alta Loma, CA, to increase compensation by $326,054 and extend the agreement term for street repair after the completion of the Carmelita Avenue Critical Water Main Replacement Project.
RECOMMENDED ACTION:
Recommended action
That the City Council:
a. Approve the First Amendment to the Maintenance/General Services Agreement with Augustine General Engineering Inc., of Alta Loma, CA, increasing the compensation by $326,054 and extending the agreement term to perform street repairs after completion of the Carmelita Avenue Critical Water Main Replacement Project.
b. Authorize the City Manager, or his designee, to execute the First Amendment to the Maintenance/General Services Agreement with Augustine General Engineering, Inc., in the amount of $1,937,549, and to negotiate and execute non-substantive extensions, change orders, and amendments up to 10% of the revised agreement amount, as authorized in Corona Municipal Code Section 3.08.060(J).
c. Authorize the City Manager, or his designee, to issue a change order to purchase order P23257 with Augustine General Engineering Inc., in the amount of $326,054 for the asphalt repair on Carmelita Avenue, a section on Arcadia Street, and Coronita Street.
d. Authorize an appropriation in the amount of $258,007 from the Water Utility Fund 570 to the Carmelita Avenue Water Main Installation Capital Improvement Project No. UT-2024-11.
That the Corona Utility Authority review, ratify, and to the extent necessary, direct that the City Council take the above actions.
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BACKGROUND & HISTORY:
The Utilities Department (UD) infrastructure division operates and maintains the City of Corona’s potable water network, which comprises approximately 800 miles of water mains (including service laterals), 24,000 system/control valves, and 8,000 fire hydrants.
Eight months before the critical water main replacement, the water main experienced multiple failures, resulting in disruptions in service and flooding of properties. On October 10, 2023, UD solicited informal bids from the three (3) authorized on-call contractors for the critical replacement of the 4-inch potable water main on Carmelita Avenue, a small section in Arcadia Street, and Coronita Street. On January 17, 2024, the City Council awarded the Maintenance/General Service Agreement (MGSA) to Augustine General Engineering, Inc. (Augustine) of Alta Loma, CA, for $1,611,495. The scope of work included replacing the 4-inch cement mortar lined pipe with the new standard 8-inch ductile iron pipe, installing fire hydrants, replacing services, and trench repair per County of Riverside and City of Corona standards. The new 8-inch pipe is sized to adequately provide water flows for fire protection, including newly installed fire hydrants.
Due to previous repairs on water main breaks, open trench construction for the new water main, narrow roads, heavy construction equipment on the roads, and excessive rain during construction, the road suffered severe damage. The County of Riverside permit/inspection division requires the grind and cap of existing asphalt at a depth of 1-1/2 inches in the County-maintained road (Area 1 - see attached map) instead of following the standard trench repair. The privately maintained road (Area 2) will be restored by one of the street restoration options provided to residents by pulverizing existing paving to be used as a base and installing 2-1/2 inches of asphalt. Due to requested changes in the asphalt pavement scope of work, staff re-bid the pavement restoration following informal bidding procedures.
ANALYSIS:
On April 15, 2024, an informal request for quotes (RFQ) for asphalt paving was issued to six contractors by UD. Two bids were received in response to the RFQ. These bids were received from A and Y Asphalt Contractors, and S E Pipeline Construction Co. Before issuing the RFQ, staff requested a cost from Augustine for a change of scope of work for paving services from the initial proposal. Among the two bids submitted, the change of scope of work prices received from Augustine was the lowest.
The scope of work and estimated construction cost for the asphalt repair after the Carmelita Avenue Critical Water Main Replacement Project includes Area 1, constructed per Riverside County inspection/permit division requirements, and Area 2, to be constructed according to one of the options provided to the residents on the privately maintained roads. The work includes providing necessary traffic control measures and will be performed with the highest industry standards, ensuring a durable, long-lasting surface.
The contractor will provide all labor, materials, tools, equipment, supplies, tasks, transportation, and all incidental and customary work to perform asphalt repair on Carmelita Avenue, a small section in Arcadia Street, and Coronita Street.
Summary of Expenditures:
|
Critical Water Main Replacement including paving/trench repair (awarded by Council on 01/17/2024) |
$1,611,495 |
|
Removal of paving from previously awarded contract due to additional pavement requirements from County and privately maintained roads |
($144,540) |
|
Unforeseen site conditions related to change order |
$56,047 |
|
Other costs (staffing, testing, etc.) |
$30,000 |
|
Pavement per County requirement in Area 1 and option provided to the residents in Area 2 |
$416,500 |
|
Total Project Cost |
$1,969,502 |
|
Available Funds |
$1,711,495 |
|
Appropriation needed |
$258,007 |
Staff recommends that the City Council approve the First Amendment to the MGSA and change the order to the purchase order with Augustine General Engineering Inc., from Alta Loma, CA, in the amount of $326,054 to perform street repairs after the Carmelita Avenue Critical Water Main Replacement Project.
FINANCIAL IMPACT:
Approval of the recommended actions will result in an appropriation in the amount of $258,007 from the Water Utility Fund 570 to the Carmelita Avenue Water Main Installation Capital Improvement Project No. UT-2024-11. There is sufficient working capital in the Water Utility Fund 570 for the recommended actions.
ENVIRONMENTAL ANALYSIS:
This action is categorically exempt pursuant to Section 15301 of the Guidelines for the California Environmental Quality Action (CEQA), which states that “operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of use beyond that existing at the time of the CEQA determination” and is therefore exempt from CEQA. This action involves repairs to existing infrastructure to maintain public health and safety. Therefore, is exempt from the requirements of CEQA, and no environmental analysis is required.
PREPARED BY: AFTAB HUSSAIN, MAINTENANCE MANAGER
REVIEWED BY: TOM MOODY, DIRECTOR OF UTILITIES
Attachments:
1. Exhibit 1 - Map of Area 1 and Area 2
2. Exhibit 2 - First Amendment to MGSA