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MOTION ADOPTING THE SPECIFICATIONS, AND AWARDING A SERVICE CONTRACT TO ANRAK CORPORATION FOR ASPHALT CONCRETE COLD PLANING, PROJECT NO. O&M-16-006
recommended action
RECOMMENDATION
It is recommended that the City Council approve a motion that adopts the specifications for Asphalt Concrete Cold Planing, Project No. O&M-16-006, and authorizes the City Manager to execute a Service Contract in the amount of $118,125 to Anrak Corporation of Sacramento, CA.
It is further recommended that the motion authorize the City Manager to take appropriate and necessary actions to carry out the purpose and intent of this motion.
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Summary
The City contracts for asphalt concrete cold planing services to remove areas of failing or unsuitable asphalt concrete throughout the City. On September 24, 2015, one bid was received for Asphalt Concrete Cold Planing, Project No. O&M-16-006. Staff recommends awarding the Service Contract to the responsible bidder, Anrak Corporation of Sacramento, CA, in the amount of $118,125. The Service Contract will be funded from the Fiscal Year (FY) 2015-16 Street Maintenance operations budget.
DISCUSSION
Background
Asphalt concrete cold planing is the process of removing asphalt concrete with a milling machine in preparation for repair and repaving. The milling machine is equipped with a large drum and diamond tipped teeth, which removes a six-foot wide path of asphalt concrete to a pre-set depth, and deposits the removed material to a conveyor belt that is transferred to a truck for transport.
Present Situation
On September 24, 2015, one bid was opened with the following results:
|
CONTRACTOR |
TOTAL BID |
|
Anrak Corporation, Sacramento, CA |
$ 118,125 |
|
Engineer’s Estimate |
$ 118,125 |
The above noted bid price is based on an hourly rate of $525. The most recent prior procurement of cold planing services was completed by Public Works in May 2013, with the award to Anrak Corporation, the low bidder, at an hourly cost of $485. The current bid price is an increase of slightly more than eight percent from the 2013 price, which is reasonable considering the current construction market.
The Local Employment Ordinance, Stockton Municipal Code (SMC) section 3.68.095, applies to this contract. This Ordinance establishes requirements for employment of City of Stockton residents on construction contracts greater than $100,000, and is typically applied to all such contracts unless precluded by the project funding source.
The Local Business Preference Ordinance (SMC section 3.68.090) also applies to this contract, which provides for a two percent preference on bidders who have a physical business location within the boundaries of San Joaquin County, and a five percent preference on bidders who have a physical business location within the boundaries of Stockton. Bid preference was not given to Anrak Corporation, as their business is located outside of Stockton and San Joaquin County boundaries.
The bid submitted by Anrak Corporation was regular in all respects. Staff recommends awarding a Service Contract for Asphalt Concrete Cold Planing, Project No. O&M-16-006, to the responsible bidder, Anrak Corporation, in the amount of $118,125 (Attachment A).
FINANCIAL SUMMARY
The proposed Service Contract with Anrak Corporation for Asphalt Concrete Cold Planing, Project No. O&M-16-006, is to be funded from the Street Maintenance operating budget account (030-3062-540), which is funded by Gas Tax funds. Sufficient funding is available for the proposed Service Contract.
No new appropriations are required. The recommended motion will authorize the City Manager to execute a Service Contract for Asphalt Concrete Cold Planing, Project No. O&M-16-006, and to undertake any other financial actions that are necessary and appropriate to carry out the purpose and intent of the motion.
Attachment A - Service Contract with Anrak Corporation