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APPROVE MOTION TO AUTHORIZE TRUCK HAULING SERVICES FOR ASPHALT CONCRETE AND ASPHALT CONCRETE GRINDINGS
recommended action
RECOMMENDATION
It is recommended that the City Council approve a motion to:
1. Approve the specifications for Truck Hauling Services for Asphalt Concrete and Asphalt Concrete Grindings through December 31, 2022, Project No. WD21003.
2. Award a Service Contract in the amount of $735,000 to California Materials, Inc. of Stockton, CA, for Truck Hauling Services for Asphalt Concrete and Asphalt Concrete Grindings through December 31, 2022, Project No. WD21003.
3. Authorize the City Manager to execute up to two one-year extensions to this Service Contract.
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 motion.
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Summary
The City uses contracted trucking services to haul asphalt concrete to job sites and to haul asphalt grindings and other debris away from job sites.
On February 18, 2021, the City received five bids for Truck Hauling Services for Asphalt Concrete and Asphalt Concrete Grindings through December 31, 2022, Project No. WD21003. Staff recommends award of a Service Contract to the lowest responsible bidder, California Materials, Inc. of Stockton, CA, in the amount of $735,000 (Attachment A). Staff also recommends that Council approve the specifications for the project. The initial contract will expire on December 31, 2022, with the option for two one-year contract extensions. The Service Contract will be funded from the Fiscal Year (FY) 2020-21 and 2021-22 Road Maintenance and Rehabilitation Account (RMRA) program.
DISCUSSION
Background
The City uses contracted trucking services to haul asphalt concrete to job sites and to haul asphalt grindings and other debris away from job sites. The proposed Service Contract provides general truck hauling services for City projects on an as-needed basis. These services include pick-up and delivery of asphalt concrete for use by City forces at specified job sites, and removal of asphalt concrete grindings.
These material hauling services are in support of street repairs that are primarily: 1) grinding and repaving of large areas of failed pavement on major streets, and 2) excavation and replacement of severely distressed pavement and underlying base materials at isolated locations on residential streets. These repairs improve the ride and safety for roadway users and slow the rate of deterioration of the overall pavement structure. During calendar years 2021 and 2022, staff anticipates completing a total of 30 large grind and pave projects, and 60 residential excavate and repair projects.
This is an on-call hourly rate service contract that is not project or location specific. As a result, the total contract value is calculated, for bid comparison purposes, on the estimated number of trucking hours required for the calendar year. It is estimated there will be 2,000 hours needed for asphalt concrete deliveries, and 1,500 hours needed for hauling off asphalt concrete grindings per year. The actual amount paid to the contactor will depend on the actual number of hours of trucking provided, up to a maximum of the contract value plus approved change orders.
On July 26, 2016, Council adopted a Community Workforce and Training Agreement (CTWA). The CWTA became effective August 25, 2016, and applies to all Public Works projects over $1 million that are bid after that date. On July 16, 2019, by Motion No. 2019-07-16-1403, Council extended the CWTA term to August 25, 2024. The CWTA was not applied to this project as the estimated construction cost is under $1 million, and because the scope does not meet the CWTA definition of a construction project.
Present Situation
On February 18, 2021, five bids were received with the following results:
COMPANY NAME BID AMOUNT
California Materials, Inc. (Stockton, CA) $ 735,000
A1 Trucking Services, Inc. (Tracy, CA) $ 770,000
Sekhon & Son Trucking, Inc. (Ripon, CA) $ 770,000
K8E Trucking, Inc. (Sacramento, CA) $ 805,000
ABSL Construction, Inc. (Hayward, CA) $1,505,000
Engineer’s Estimate $ 752,500
The requirements of Stockton Municipal Code section 3.68.090, Local Business Preference, apply to this contract. Application of the Local Business Preference has no effect on the bid order.
The bid from California Materials, Inc., the lowest responsible bidder, is regular in all respects. California Materials, Inc. has the proper license to perform the work, and their bid is within five percent of the engineer’s estimate. Staff recommends Council approve the specifications for the project and award a Service Contract to California Materials, Inc. in the amount of $735,000 (Attachment A). The initial contract will expire on December 31, 2022, with the option for two one-year contract extensions by mutual agreement.
FINANCIAL SUMMARY
Asphalt Concrete and Asphalt Concrete Grindings, a part of 20-21 Local Street Resurfacing, Project No. WD21003, Account No. 4570; 240-241 (formerly PW2103G, Account No. 030-3079-640), is funded from the FY 2020-21 and FY 2021-22 RMRA program. Sufficient funding is available to award a Service Contract to California Materials, Inc. for Truck Hauling Services for Asphalt Concrete and Asphalt Concrete Grindings through December 31, 2022, Project No. WD21003, in the amount of $735,000.
There is no impact to the City’s General Fund or any other unrestricted fund as a result of taking the recommended actions.
Attachment A - Service Contract with California Materials, Inc.