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APPROVE RESOLUTION TO AUTHORIZE THE FIRE STATION NO. 2 KITCHEN IMPROVEMENTS PROJECT
recommended action
RECOMMENDATION
It is recommended that the City Council adopt a resolution to:
1. Approve the plans and specifications for the Fire Station No. 2 Kitchen Improvements (Project No. PW1618).
2. Appropriate funds in the amount of $45,000 from the Capital Improvement fund balance (Fund 301) to the Fire Station No. 2 Kitchen Improvements (PW1618; 301-3020-640.20-62) project.
3. Award a Construction Contract in the amount of $184,431 to Top Estate Construction, Inc. of Stockton, CA, for the Fire Station No. 2 Kitchen Improvements (Project No. PW1618).
It is also recommended that the City Manager be authorized to take appropriate and necessary actions to carry out the purpose and intent of this resolution.
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Summary
The Fire Station No. 2 Kitchen Improvements project will renovate the existing 58-year-old kitchen with new countertops, cabinets, flooring, and update the existing plumbing and electrical panel to meet current building code requirements. The project was included in the Fiscal Year (FY) 2016-21 Capital Improvement Plan (CIP).
On May 3, 2018, the City received two bids for this project that were rejected by Council on July 17, 2018 due to bid irregularities. On July 26, 2018, the project was re-advertised, and staff recommends award of the Construction Contract for the project to the lowest responsive bidder, Top Estate Construction, Inc., in the amount of $184,431. Staff also recommends that Council adopt a resolution approving the plans and specifications for the project. Construction is anticipated to begin in January 2019 and be completed by spring of 2019.
DISCUSSION
Background
Fire Station No. 2, City of Stockton’s Central Fire Station, is located at 110 West Sonora Street (Attachment A - Vicinity Map). The kitchen at this station is approximately 58 years old, with deteriorated and damaged counters, cabinets, limited storage, and outdated plumbing and electrical systems. The Fire Station No. 2 Kitchen Improvements project will renovate the kitchen with new countertops, cabinets and flooring, and update the plumbing and electrical panel. The project was programmed in the FY 2016-21 CIP.
WMB Architects, Inc. of Stockton, CA, was retained to prepare the plans, specifications, and estimates for the project. The project was advertised for bids on April 4, 2018. On May 3, 2018, the City received two bids for the project. On July 17, 2018, by Motion No. 2018-07-17-1114, Council rejected all bids due to bid irregularities.
On July 26, 2016, Council adopted a Community Workforce and Training Agreement (CWTA). The CWTA became effective August 25, 2016, and applies to all Public Works projects over $1 million that are bid after that date. The CWTA was not applied to this project because the engineer’s estimate was under $1 million.
Present Situation
On July 26, 2018, the Fire Station No. 2 Kitchen Improvements project was re-advertised, and the City received two bids with the following results:
ADJUSTED BID AMOUNT
COMPANY NAME BID AMOUNT (local preference applied)
Top Estate Construction, Inc. $184,431.00 $175,209.45
(Stockton, CA)
San Patricio Construction, Inc. $236,241.06 $231,516.24
(Farmington, CA)
Engineer’s Estimate $154,667.41
The bidding schedule from San Patricio Construction, Inc. contained minor calculation errors. San Patricio Construction, Inc.’s bid amount of $236,245.80 was corrected to $236,241.06. These corrections do not affect the bid order.
The requirements of Stockton Municipal Code (SMC) section 3.68.090, Local Business Preference Ordinance, apply to this project. Top Estate Construction, Inc. is located within the City and is entitled to a five percent bid preference. San Patricio Construction, Inc. is located in San Joaquin County and is entitled to a two percent bid preference. Application of the Local Business Preference has no effect on the bid order. The Local Employment Ordinance, SMC section 3.68.095, also applies to this contract.
The bid from Top Estate Construction, Inc., the apparent low bidder, is regular in all respects. Staff recommends Council approve the plans and specifications for the project and award a Construction Contract to Top Estate Construction, Inc. in the amount of $184,431.
The California Environmental Quality Act (CEQA) guidelines state that interior building tenant improvement type projects do not require compliance with CEQA. This project falls within the definition of tenant improvements; therefore, CEQA does not apply to this project. Construction is anticipated to begin in January 2019 and be completed by spring of 2019.
FINANCIAL SUMMARY
The Fire Station No. 2 Kitchen Improvements project (PW1618; 301-3020-640) is funded from the General Fund. The appropriation of an additional $45,000 from the Capital Improvement fund balance (Fund 301) in the amount of $45,000 to the Fire Station No. 2 Kitchen Improvements project (PW1618; 301-3020-640) will bring the total project budget to $237,338, with an unencumbered balance of $212,338. This amount is sufficient to award a Construction Contract to Top Estate Construction, Inc. in the amount of $184,431. The remaining funding in the project account will be used for contingencies, a temporary kitchen, staff costs, and construction management.
The additional funding from the Capital Improvement fund balance is from savings realized in other completed capital projects. There is no additional impact to the City’s General Fund or any other unrestricted fund as a result of taking the recommended action.
Attachment A - Vicinity Map