Report Prepared by: Ian Sather E.I.T., Assistant Engineer, Engineering Department
Title
SUBJECT: Award Bid to Kroeker, Inc. for the Congestion Mitigation Air Quality Grant (CMAQ) (060) Sidewalks Parkwest and McGregor Project Number CP220064, in the Amount of $790,216.60
REPORT IN BRIEF
Considers awarding a Construction Contract to Kroeker, Inc. in the amount of $790,216.60 for the CMAQ Sidewalks Along Parkwest and McGregor Project.
RECOMMENDATION
City Council - Adopt a motion:
A. Awarding the CMAQ Sidewalks Along Parkwest and McGregor Project CP220064 to Kroeker, Inc., in the amount of $790,216.60; and,
B. Authorizing the City Manager to execute the necessary documents and to approve change orders not to exceed 15% of the total contract; and,
C. Authorizing the Finance Officer authorization to make necessary budget adjustments.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions other than recommended by staff (identify specific findings and/or conditions amended to be addressed in the motion); or,
3. Deny; or,
4. Refer to staff for reconsideration of specific items (specific items to be addressed in the motion); or,
5. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Charter of the City of Merced, Article XI, Section 1109 - Contracts on Public Works.
Merced Municipal Code Chapter 3.04, Article IV - Public Works Contracts.
CITY COUNCIL PRIORITIES
As provided for in the 2024-25 Adopted Budget.
DISCUSSION
The work to be performed includes but is not limited to clearing and grubbing; removal of concrete driveways, curb ramps, and curb and gutter; installation of sidewalk, driveways, curb ramps; and the restoration of fencing and landscaping. The project is located on Parkwest Street between Woodward Avenue and Windsor Avenue; McGregor Street between Home Avenue and Stuart Drive; Windsor Avenue between Parkwest Street and South R Street, Woodward Avenue between Parkwest Street and South R Street, and Home Avenue between Parkwest Street and McGregor Street.
Currently sidewalk gaps exist along sections of Parkwest Street, McGregor Street, Windsor Avenue, Woodward Avenue, and Home Avenue. The installation of sidewalks to connect the gaps will increase safety for residents and students in the neighborhood, encourage walking trips, and allow for safe access to the local neighborhood park.
Staff prepared plans and specifications, and the project was advertised for bids. Bids were opened on December 10, 2024, with the following results:
|
1 |
Fortis General Construction, Inc. |
$ 670,813.82 |
|
2 |
Kroeker, Inc. |
$ 790,216.60 |
|
3 |
Franco Engineering, Inc. |
$ 822,211.00 |
|
4 |
FBD Vanguard Construction, Inc. |
$ 926,521.00 |
|
5 |
Sinclair General Engineering Construction, Inc. |
$ 982,486.92 |
|
6 |
Taylor Backhoe Service, Inc. |
$ 1,187,452.00 |
|
7 |
American Paving Co. |
$ 1,235,848.00 |
The Engineer’s Estimate for Construction was $670,000 - $725,000.
Due to an incomplete bid package from Fortis General Construction, Inc., their bid was formally rejected, and Kroeker, Inc. was determined as the lowest responsive and responsible bidder for this project.
The following is the proposed budget for the project:
|
Construction |
$ 790,216.60 |
|
Contingency (15%) |
$ 118,532.49 |
|
Engineering, Testing & Inspection |
$ 59,510.83 |
|
TOTAL |
$ 968.259.92 |
On August 5, 2024, the City of Merced was allocated $404,479 of CMAQ funds for construction. The total available budget within the project currently is $456,792.41. With the increase of labor and materials, the project currently has a shortfall in funds of $511,467.51. Staff has requested additional funding from Merced County Association of Governments (MCAG) for additional CMAQ funding.
Staff will use Measure V Local Transportation funding from Project CP250023 - (Measure V Local Transportation - Projects to be Determined) to supplement the project, in the amount of $511,468 in the event the project doesn’t secure the additional CMAQ funds. If the project does secure additional CMAQ funds, staff would prepare a budget transfer in the amount of the awarded grant back to Project CP250023 - (Measure V Local Transportation - Projects to be Determined). Match funding is still required, so dependent on the potential amount of additional CMAQ funding awarded, the 11.47% match will remain in Project CP220064 to cover the match requirement.
IMPACT ON CITY RESOURCES
Project CP220064 is established as a Capital Improvement Project, and after Council approval, a budget transfer of $511,468 from Project CP250023 - (Measure V Local Transportation - Projects to be Determined) will be initiated to supplement the funding for the project.
ATTACHMENTS
1. Bid Results
2. Location Map
3. Construction Contract