Report Prepared by: Michael Casale, Assistant Engineer, Engineering Department
Title
SUBJECT: Award Bid to Pavement Coatings Co., a Stock Corporation, for R Street Rubberized Cape Seal from Childs Avenue to W. 13th Street, Project Number CP260056, in the Amount of $692,734.30
REPORT IN BRIEF
Considers awarding a Construction Contract to Pavement Coatings Co., a Stock Corporation, in the amount of $692,734.30 for Project CP260056, R Street Rubberized Cape Seal from Childs Avenue to W. 13th Street.
RECOMMENDATION
City Council - Adopt a motion:
A. Awarding the Construction Contract for R Street Rubberized Cape Seal from Childs Avenue to 13th Street, Project CP260056, to Pavement Coatings Co., a Stock Corporation, in the amount of $692,734.30; and,
B. Authorizing the City Manager to execute the necessary documents and to approve change orders not to exceed 15% of the total contract.
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 2026-27 Adopted Budget.
DISCUSSION
On June 16, 2025, Council approved Resolution 2025-40 adding R Street Cape Seal Project to the Roads Repair Accountability Act (SB-1) for Fiscal Year 2025-2026.
This project is located on R Street from Childs Avenue to W. 13th Street. The project consists of an application of a 3-layer rubberized cape seal. A portion of this project will address upgrades at intersection access ramps to meet current ADA requirements. This project will improve road conditions for the City of Merced residents.
The work to be performed includes, but is not limited to, reconstructing sidewalk, curb, gutter, ADA ramps, street and crosswalk striping.
Staff prepared plans and specifications, and the project was advertised for bids. Bids were opened on October 20, 2026, with the following results:
|
1 |
Pavement Coatings Co. |
(Sacramento, CA) |
$ 692,734.30 |
|
2 |
VSS International Inc. |
(Sacramento, CA) |
$ 737,325.00 |
|
3 |
American Pavement Systems Inc. |
(Modesto, CA) |
$ 768,047.00 |
The Engineer’s Estimate for Construction was $715,703.00.
The following is the proposed budget for the project:
|
Construction |
$ 692,734.30 |
|
Contingency (15%) |
$ 103,910.14 |
|
Engineering, Testing & Inspection (10%) |
$ 69,273.43 |
|
TOTAL |
$ 865,917.87 |
IMPACT ON CITY RESOURCES
Project CP260056 is established as a Capital Improvement Project funded by SB1 and has sufficient funding to complete the project.
ATTACHMENTS
1. Bid Results
2. Location Map
3. Construction Contract