To: MAYOR AND CITY COUNCIL
From: TED SEMAAN, PUBLIC WORKS DIRECTOR
TITLE
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ADOPT BY 4/5 VOTE AND TITLE ONLY RESOLUTION NO. CC-2205-024, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, AUTHORIZING A 2021-2022 FISCAL YEAR BUDGET MODIFICATION TO APPROPRIATE $512,267 IN HARBOR TIDELANDS FUNDS FROM THE UNALLOCATED FUND BALANCE TO THE PIER RAILING IMPROVEMENT PROJECT, JOB NO. 70360; AND
ADOPT BY TITLE ONLY RESOLUTION NO. CC-2205-025, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, AWARDING A CONTRACT TO UNIX CONSTRUCTION INC, A CALIFORNIA CORPORATION, IN THE AMOUNT OF $1,571,546 FOR THE CONSTRUCTION OF THE PIER RAILING IMPROVEMENT PROJECT, JOB NO. 70360
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EXECUTIVE SUMMARY
Due the proximity to the ocean, the railings around the Redondo Beach Pier are corroding and are in need of either recoating or replacement. The Pier Railing Improvement Project, Job No. 70360, (“Project”) was approved as part of the FY 2021-22 Capital Improvement Program (“CIP”) Budget to address this need.
On February 1, 2022, the City Council approved the Project Plans and Specifications and authorized competitive bidding. On March 24, 2022, the City Clerk’s office received and publicly opened 2 bids for the Project. Unix Construction, Inc., with a base bid of $1,318,963.10 and a $1,571,546 base bid plus the additive item, was found to be the lowest responsive bidder.
The current available project budget is $1,373,588 and is funded by Harbor Funds. A budget resolution appropriating an additional $512,267 for a project total of $1,885,855 is needed to award the contract including the additive bid item, provide a $157,155 contract contingency (10%), and $157,154 for construction management and inspection support and incidental costs.
Staff is recommending a transfer of $512,267 from the Harbor Tidelands Fund to cover the remaining funding gap and to award a contract to construct the Project. If approved, Project construction is expected to begin in July 2022 and be completed within one hundred fifty-six (156) working days (about 7 months).
BACKGROUND
The Pier Railing Improvement Project, Job No. 70610, is included as part of the current Capital Improvement Program funded by Harbor Tidelands and Upland Funding. The Project when completed will improve the railings along the perimeter of the pier either by recoating or replacing the existing railing sections. Railings with minor corrosion damage will be removed, sandblasted and recoated. Railings that are beyond repair due to significant corrosion will be removed and replaced. Proposed railing replacement improvements include removing existing rails, fabricating replica rails, and applying protective colored coating, before replacing. Proposed railing recoating consists of removing existing rail, sandblasting, recoating, replacing unusable anchors if any, and placement in the previous location.
Prior to preparing Plans and Specifications for the project, Public Works staff at the Harbor recoated approximately thirty-five percent of the existing railings. However, limited staff resources and competing priorities did not allow staff to solely focus on the project, which delayed completion. As a result, the decision was made to accelerate project implementation by bidding out the project as a complete scope of work. There are 124 remaining railings, of which 61 need a full replacement and 63 need recoating.
On February 1, 2022, the City Council approved the Project Plans and Specifications and authorized competitive bidding. On March 24, 2022, the City Clerk’s office received and publicly opened two bids for the Project. As mentioned above, Unix Construction, Inc., with a base bid of $1,318,963.10 and a $1,571,546 base bid plus additive bid item, was the lowest bidder. Staff reviewed the bid, all licenses, and contacted their references to determine that Unix Construction, Inc, was also a responsible bidder. Staff did note that the second bid was significantly higher and re-reviewed the bid and determined that while both bids were higher than the Engineer’s estimate, the lowest bid was more consistent with the current bid environment.
In addition, when budgeted, the Project was envisioned mainly to continue the work that the Department’s maintenance crews had initiated. However, it was determined that the new railing needed for the Skatepark on Pad 10 at the Pier would also be added to the Project so the new railings would have a consistent look and be installed cost effectively. It was also determined that this would be the ideal time to replace the wood bollards adjacent to the railings. The replacement wood bollards were added as a possible additive item to the Bid. Given the favorable pricing, staff recommends replacing the wood bollards as part of the Project.
COORDINATION
The project scope and design have been coordinated within the Public Works Department. The City Attorney’s Office approved the resolutions as to form.
FISCAL IMPACT
Funding Expenditures
Harbor Tidelands Funds $1,563,226 Harbor Railing Upgrades $1,571,546
Harbor Upland Funds $ 322,629
Contingency Funds (10%) $ 157,155
Inspection $ 78,577
Construction Management $ 78,577
Total $1,885,855 Total $1,885,855
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
1. Budget Modification Resolution
2. Resolution of Award
3. Bid Results