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HomeMy WebLinkAboutAgenda Report - June 3, 2020 C-06AGENDA ITEM c-b Crrv or Lou C OUIVCI T C O TI,IIVTUN ICATI ON AGENDA TITLE:Adopt Resolution Authorizing City Manager to Execute Amendment No. 1 to 2017- 2019 Sidewalk and Miscellaneous Concrete Repair Program, with Popuch Concrete Contracting, lnc., of Lodi, lncluding Consumer Price lndex Adjustments to the Contract Unit Prices MEETING DATE: June 3, 2020 PREPARED BY: Public Works Director RECOMMENDED ACTION: Adopt resolution authorizing City Manager to execute Amendment No. 1 Io 2017-2019 Sidewalk and Miscellaneous Concrete Repair Program with Popuch Concrete Contracting, lnc., of Lodi, including Consumer Price lndex adjustments to the contract unit prices. BACKGROUND INFORMATION :The Public Works Department manages an annual contract that provides for the construction, removal, and/or the replacement of curb, gutter, sidewalk, ramps, or other miscellaneous concrete items at various locations throughout the City. The City started this program in 2013 to provide quick response to needed sidewalk repairs. Since the project's inception, three two-year contracts have been publically advertised and awarded to Popuch Concrete Contracting lnc. as the lowest bidder. Last year, the 2017-2019 contract was extended by mutual consent through Fiscal Year 201912020. Popuch Concrete Contracting, lnc., has consistently provided excellent service and all work has been good quality. The current contract with Popuch Concrete Contracting, lnc. is set to expire on June 30,2020. Again, the contract may be extended if mutually agreeable to the City and the contractor. Since the current contract unit prices were set in June 2017 , the contractor is requesting the extension include a Consumer Price lndex (CPl) increase to account for increases in labor and materials costs over the last three years (Exhibit A). Staff recommends extending the contract with the annual Consumer Price lndex (CPl) adjustment. The CPI data between February 2019 and February 2020 retlects a one-year increase of 3.1 percent (based on the West Region of the "All Urban Consumers-All ltems" category). Based on the bidding history noted above, Popuch Concrete Contracting, lnc. would likely be the low bidder and the unit prices would increase by more than 3.1 percent. Because this contract is structured on an as-needed, unitprice basis, Staff recommends applying the CPI adjustments to the individual contract unit prices. For example, the current cost to remove sidewalk is $6.00 per square foot. After the CPI adjustment, this cost would increase to approximately $6.19 per square foot. Amendment No. 1, if approved, will establish line item specific CPI adjustments and will extend the contract for one year. The proposed increase would add approximately $5,300 per year Citywide, if annual expenditures remain consistent. APPROVED Stephen ity Manager TM \\cvcfilvO2\pubwks$\WP\PROJECTS\STREETS\2017_19 Sidewalk and Concrete Repair\CExtension20-21 .doc 511912020 Adopt Resolution Authorizing C¡ty Manager to Execute Amendment No. 1 to 2017-2019 Sidewalk and Miscellaneous Concrete Repair Program, with Popuch Concrete Contracting, lnc., of Lodi, lncluding Consumer Price lndex Adjustments to the Contract Unit Prices June 3, 2020 Page 2 Staff recommends authorizing City Manager to execute Amendment No. 1 lo 2017-2019 Sidewalk and Miscellaneous Concrete Repair Program with Popuch Concrete Contracting, lnc., of Lodi, including Consumer Price lndex adjustments to the contract unit prices. FISCAL IMPACT:Well maintained sidewalks reduce liability. The City's annual sidewalk maintenance contract will reduce the City's overall liability related to trip and fall claims. Since the contract was executed in 2017, the City has expended approximately $175,000 per year Citywide on concrete maintenance and repair activities. FUNDING AVAILABLE Funding for this Citywide contract is drawn from a variety of budgeted funding sources on a department- specific basis. Charles E. Swimley, Jr Public Works Director Prepared by Jimi Billigmeier, Assoc¡ate Civil Engineer CES/JB/tc Attachment cc: Utility Manager Popuch Concrete \\cvcfilv02\pubwks$\WP\PROJECTS\STREETS\2017_19 S¡dewalk and Concrete Repair\CExtens¡on20-21 .doc 5t19t2020 Popuch    Concrete  Contracting COMMERICAL  . INDUSTRIAL  . RESIDENTIAL  DIR #1000004985 License #327940   Charles Swimley, Due to labor and materials prices increase I was not willing to sign an extension to my 2017 contract. After the City’s offer to extend the contract while employing a CPI increase, I have reconsidered and will agree to the extension for an additional year. P.O. Box 2570 Lodi, CA 95241 Tel. (209) 369-0829 Fax (209 367-0865 Cell (209) 993-1633