Title
Report regarding a Resolution accepting $400,000 in grant funding from C/CAG’s Transportation Development Act (TDA) Article 3 Program and approving Budget Amendment 22.065 and awarding a construction contract to Ray’s Electric of Oakland, California in an amount not to exceed $897,985.90, authorizing a total construction contract authority budget of $1,077,583, and authorizing the City Manager to execute the agreement on behalf of the City for the Hillside Boulevard Road Diet Improvements Project (No. tr1906, Bid No. 2656). (Jeffrey Chou, Associate Civil Engineer)
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RECOMMENDATION
Recommendation
Staff recommends that the City Council adopt a resolution accepting $400,000 in grant funding from C/CAG’s Transportation Development Act (TDA) Article 3 Program and approving Budget Amendment 22.065 and awarding a construction contract to Ray’s Electric of Oakland, California in an amount not to exceed $897,985.90, authorizing a total construction contract authority budget of $1,077,583, and authorizing the City Manager to execute the agreement on behalf of the City for the Hillside Boulevard Road Diet Improvements Project (No. tr1906, Bid No. 2656).
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BACKGROUND/DISCUSSION
The Hillside Boulevard Road Diet Improvements Project (Project) is part of a larger effort undertaken by the City to improve pedestrian and bicycle accessibility and safety for neighborhoods within the project's vicinity.
Along Hillside Boulevard between Lawndale Boulevard and Lincoln Street is currently an undivided four-lane roadway with unbuffered Class II bike lanes for both directions. The Project will:
• Calm the high traffic speeds along the corridor and improve traffic safety by reducing the roadway’s lane configuration to one lane in each direction
• Allow for safer left turns onto and out of un-signalized streets, local roads and driveways by installing a dedicated left-turn / refuge center lane
• Promote safer and more user-friendly access for bicyclist though this corridor by installing a separated Class II bike lane (where there’s a striping buffer between the bike lane and vehicle travel lane) along each direction. The separated Class II bike lane is also an identified improvement in the San Mateo County Comprehensive Bicycle & Pedestrian Plan.
At Hillside Boulevard and Lincoln Street, there is an existing three-way stop. The Project will:
• Improve traffic circulation and congestion by replacing the three-way stop with new traffic signals that will communicate with other nearby traffic signals
• Promote pedestrian safety, preventing vehicles from “rolling" through the stop signs at this intersection
• Improve pedestrian safety and experience by installing curb extensions at the southwest and southeast corners with new ADA curb ramp; providing shorter crossing distances for pedestrians and better visibility for pedestrians and vehicles at this intersection
These improvements are identified and supported by a traffic volume and circulation study included in the Hillside Boulevard Traffic Study. The study concluded that the installation of a traffic signal at Lincoln Street combined with the reduction of Hillside to one lane in each direction between Lincoln Street and Lawndale Boulevard and the installation of the center left-turn lane is the best approach to improving bicycle and vehicle safety while maintaining operational efficiency.
Following the analysis, a conceptual plan of the project was developed and presented to the Paradise Valley neighborhood east of the project limits at a neighborhood meeting on August 21, 2019, where it received strong support from the community.
The Project will also be constructed inside the Town of Colma’s and County of San Mateo’s right-of-way. Both agencies have reviewed and support the Project.
Grant Funding from C/CAG’s Transportation Development Act (TDA) Article 3 Program
In September 2021, the City/County Association of Governments of San Mateo County (C/CAG) invited eligible public agencies to submit project proposals to participate in the Transportation Development Act (TDA) Article 3 Program. The program is intended to fund eligible pedestrian and bicycle projects using TDA Article 3 funds, which are derived from Local Transportation funds and the State Transit Assistance fund.
In November 2021, because of program eligibility and requirements, City staff nominated and submitted this project for consideration.
C/CAG staff evaluated all applications against the evaluation criteria established in the program guidelines and on April 14, 2022, C/CAG board approved the City project for the full requested amount of $400,000.
The program funds received will reduce the city funding requirement for construction of this Project.
Overview of City’s Procurement Process
The City’s procurement process is governed by both state and local law. State law requires contracts for construction to be competitively bid pursuant to a set of specific, established rules. In particular, the City is required to award construction contracts to the “lowest responsible bidder” after providing notice in accordance with law. (Pub. Contract Code §§ 20162, 20164.)
However, in awarding contracts for the purchase of professional services, equipment and supplies, the City has some latitude. State law requires the City to adopt regulations and policies to govern such service and supplies procurement, but otherwise provides the City flexibility in determining relevant requirements if they are consistent with applicable state law. (Gov. Code § 54202.) Chapter 4.04 of the Municipal Code and the City’s Purchasing Procedures (Administrative Instruction Section IV, No. 1) govern the City’s purchasing policies and contract procurement processes.
The City’s purchasing ordinance distinguishes between three primary types of procurement methods as follows:
1. Competitive Bidding for Construction Projects
Public projects are specifically defined under the Public Contract Code, and generally involve any construction project that is paid with public funds or those projects involving improvements, demolition or other work on public property or facility. Public projects are required to be procured through competitive bidding and the City must award the contract to the lowest bidder whose bid complies with all of the City’s solicitation requirements and demonstrates that the bidder is able to perform the work. Under the City’s policy, different levels of competitive bidding are required depending on the dollar limit of the underlying project.
For these contracts, cost is generally the sole determining factor, and the lowest responsible bidder is awarded the project even if another bidder appears to be more skilled but is more expensive.
2. Open Market Procedures for Vendors (Supplies and Equipment)
Open Market Procedures is the City’s vendor selection process for purchase of goods, supplies, and professional services. These rules do not apply to, and may not be used for, public construction projects.
Contracts for the purchase of goods and services that exceed $10,000 requires staff to utilize open market procedures. If the contract is $25,000 or less, staff must obtain at least three quotes, which are informal offers to perform work at a stated price. If the contract is greater than $25,000, staff will be required to solicit the project, such as issuing a Request for Proposals (“RFPs”) and obtain at least three written responses.
Under this vendor selection process, cost can be only one factor in determining which vendor the City will ultimately select for services, equipment, or supplies. This requirement is similarly reflected under SSFMC § 4.04.080.
Thus, when utilizing the open market vendor selection process, the City is focused on the skill, ability, and expertise of the entity or person to be able to provide the service, equipment, or goods to the City. The selection is based on competence, professional qualifications, and overall value to the City with cost being only one factor in the determination of an award.
Federally Funded Procurements for Vendors (Supplies and Equipment)
Contracts that receive federal funding are required to incorporate and comply with additional terms and conditions. The City’s Purchasing Procedures also provide guidance on procuring supplies and equipment contracts that are federally funded. Federally funded procurements also require a written procedure for conducting evaluations and for selecting recipients and awarding the contract to the responsible firm whose proposal is most advantageous to the City with price being only one factor. It is also important to note that federally funded procurements do not include state or local geographical preferences unless specifically authorized by federal law. Each evaluation is a non-discrimination and equal opportunity for all vendors.
3. Open Market Procedures for Architectural and Engineering (A&E) Professional Services
For certain professional services such as architectural, engineering, environmental, land surveying, or construction project management, the Government Code also specifically requires that such services not be awarded solely based on price, but instead based on demonstrated competence. (Gov. Code § 4526.) Both the state law provision and the City’s policy reflect the legislative view that when acquiring such services, the City does not necessarily receive the best value when it pays the lowest price. (See e.g., California Attorney General Op. No. 94-819 (February 9, 1995)).
Current Project:
Hillside Boulevard Road Diet Improvements Project, TR1906, Bid No. 2656.
This project falls under Procurement Type 1: Competitive Bidding for Construction Projects.
Staff advertised a notice inviting bids for the project on February 9, and February 15, 2022. On March 8, 2022, staff received three (3) bid proposals in response to the notice inviting bids. Staff reviewed all bid proposals and identified that the lowest responsible bidder was Ray’s Electric of Oakland, California. Staff has verified the low bidder’s current contractor’s license with the California State Licensing Board and found it to be in good standing.
The following is a summary of all bids received:
|
Rank |
Contractor |
"Base Bid" Schedule Results |
|
1 |
Ray’s Electric of Oakland, CA |
$897,985.90 |
|
2 |
Golden Bay Construction, Inc. of Hayward, CA |
$1,100,114.75 |
|
3 |
CF Contracting, Inc. of San Francisco, CA |
$1,290,393.00 |
|
|
|
|
Engineers Estimate (by DKS Associates) |
$1,257,736.00 |
The project was advertised with a “Base Bid” schedule only. The selection of award of a contract is based on the lowest responsive bid for the Base Bid schedule.
The project construction budget is:
|
Ray’s Electric Construction Contract |
$897,985.90 |
|
Construction Contingency (20%) |
$179,597.10 |
|
Total Project Construction Budget |
$1,077,583.00 |
The construction contingency will be used for any additional costs related to design changes during the construction operations. There are no Disadvantaged Business Enterprise (DBE) requirements since no federal funds are being utilized on the project.
FISCAL IMPACT
This project (CIP No. tr1906) is included in the City of South San Francisco’s fiscal year 2021-2022 Capital Improvements Program. With the approval of the budget amendment and inclusion of the grant funding, there are sufficient funds in FY 2021-2022 to cover the total construction contract costs.
RELATIONSHIP TO STRATEGIC PLAN
Approval of this action will contribute to the City’s Strategic Plan outcome of improved Quality of Life by maintaining and improving infrastructure to serve the public.
CONCLUSION
Staff recommends that the City Council adopt a resolution accepting $400,000 in grant funding from C/CAG’s Transportation Development Act (TDA) Article 3 Program and approving Budget Amendment 22.065 and awarding a construction contract to Ray’s Electric of Oakland, California in an amount not to exceed $897,985.90, authorizing a total construction contract authority budget of $1,077,583, and authorizing the City Manager to execute the agreement on behalf of the City for the Hillside Boulevard Road Diet Improvements Project (No. tr1906, Bid No. 2656). The project will calm the high traffic speeds along the corridor and provide safe bike and pedestrian connectivity between communities and schools/community center.
Attachments:
1. Vicinity Map
2. Presentation