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APPROVE RESOLUTION TO AUTHORIZE THE DELLA STREET SANITARY SEWER REHABILITATION PROJECT
recommended action
RECOMMENDATION
It is recommended that the City Council adopt a resolution to:
1. Approve the Notice of Exemption No. CE09-19 under the California Environmental Quality Act for the Della Street Sanitary Sewer Rehabilitation, Project No. M17025.
2. Approve the plans and specifications for the Della Street Sanitary Sewer Rehabilitation, Project No. M17025.
3. Appropriate funds in the amount of $625,000 from the Wastewater Utility fund balance (431-0000-287) to the Wastewater/Sanitary Sewer Deficiency Improvements (437-7787-670) for the Della Street Sanitary Sewer Rehabilitation, Project No. M17025.
4. Award a Construction Contract in the amount of $1,277,410 to SAK Construction, LLC of O’Fallon, MO, for the Della Street Sanitary Sewer Rehabilitation, Project No. M17025.
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 Municipal Utilities Department (MUD) implemented a Condition Assessment Program for the City’s sewer infrastructure comprised of Closed Circuit Televised Video (CCTV) inspection, pipe cleaning, and engineering evaluation. This program generates a prioritized list of replacement and/or rehabilitation projects for inclusion in the City’s Capital Improvement Plan (CIP). The 1,870 linear feet sanitary sewer line along Della Street, between Hazelton Avenue and Market Street (Attachment A - Vicinity Map), was identified for rehabilitation and included in the Fiscal Year (FY) 2017-22 CIP.
On October 25, 2018, the City received two bids for this project. Staff recommends award of the Construction Contract to the lowest responsive bidder, SAK Construction, LLC, in the amount of $1,277,410. Staff also recommends that Council adopt a resolution approving Notice of Exemption No. CE09-19 under the California Environmental Quality Act (CEQA), and approving the plans and specifications for the project. Construction is anticipated to be completed by fall of 2019, weather permitting.
DISCUSSION
Background
The MUD implemented a Condition Assessment Program for the City’s sewer infrastructure comprised of CCTV inspection, pipe cleaning, and engineering evaluation. This program generates a prioritized list of sewer replacement and/or rehabilitation projects for inclusion in the City’s CIP. As part of the City’s approved FY 2017-22 CIP, 1,870 linear feet of 33-inch sanitary sewer pipeline along Della Street, between Hazelton Avenue and Market Street, was programmed to be rehabilitated (Attachment A - Vicinity Map). The City retained West Yost Associates to design the project, and plans, specifications, and an engineer’s estimate were completed in June 2018.
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 applied to this project because the engineer’s estimate was over $1 million.
Present Situation
On September 20, 2018, the Della Street Sanitary Sewer Rehabilitation project was advertised for bids. On October 25, 2018, two bids were received with the following results:
COMPANY NAME BID AMOUNT
SAK Construction, LLC $1,277,410
(O’Fallon, MO)
Insituform Technologies, LLC $1,697,734
(Chesterfield, MO)
Engineer’s Estimate $1,468,200
The requirements of Stockton Municipal Code (SMC) section 3.68.090, Local Business Preference, apply to this project. However, both bidders are located outside the City of Stockton and San Joaquin County and are not entitled to a bid preference. The Local Employment Ordinance, SMC section 3.68.095, also applies to this contract.
The bid from SAK Construction, LLC, the apparent low bidder, is regular in all respects and has the proper license to perform the work. Staff recommends Council approve the plans and specifications for the project and award a Construction Contract to SAK Construction, LLC in the amount of $1,277,410.
The project is in conformance with the City’s General Plan, pursuant to California Government Code section 65402, and is categorically exempt from the requirements of CEQA as specified under Article 19, Section 15301(B), Class 1, of the CEQA Guidelines. The activities related to this project constitute a discretionary project under the City’s jurisdiction and qualifies as a project that does not have a significant effect on the environment. The resolution will approve the filing of Notice of Exemption No. CE09-19 under CEQA. Construction is anticipated to be completed by fall 2019, weather permitting.
FINANCIAL SUMMARY
Staff recommends the appropriation of additional funding in the amount of $625,000 from the Wastewater Utility fund balance (431-0000-287) to the Wastewater/Sanitary Sewer Deficiency Improvements (437-7787-670). With this additional funding, there are sufficient funds available to award a Construction Contract to SAK Construction, LLC in the amount of $1,277,410 and to fund project contingencies and staff expenses.
There is no impact to the City’s General Fund or any other unrestricted fund as a result of taking the recommended action.
Attachment A - Vicinity Map