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HomeMy WebLinkAboutAgenda Report - June 7, 2023 C-08CITY OF 0 Clio `IZ610 Z M CALIFORNIA AGENDA ITEM WD COUNCIL COMMUNICATION AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Amendment No. 2 for the 2021-2022 Asphalt Materials Contract with George Reed, Inc., of Modesto ($60,000) MEETING DATE: June 7, 2023 PREPARED BY: Public Works Director RECOMMENDED ACTION: Adopt resolution authorizing City Manager to execute Contract Amendment for 2021-2022 Asphalt Materials with George Reed, Inc, of Modesto to extend contract until June 30, 2024 and increase the contract amount by $60,000 for a total not -to -exceed contract amount of $172,128. BACKGROUND INFORMATION: The asphalt materials purchase is needed to carry out preventive street maintenance and repairs. City street maintenance crews utilize the asphalt for localized roadway repairs, trench patching, thin overlays, and large sidewalk offset patching. On April 21, 2021, Council authorized the City Manager to award the contract to the lowest responsive bidder and execute change orders (not -to -exceed $20,000). The project was awarded to George Reed, Inc., of Modesto, in the amount of $48,805. The contract allows for three extensions by mutual consent, through Fiscal Year 2024/2025. On July 20, 2022, City Council authorized the contract to be extended to June 30, 2023 and increased the contract amount by $62,333 for a total not -to -exceed contract amount of $112,128. Staff approached George Reed in regards to another potential contract extension for 2023/24. George Reed, Inc. agreed to extend the contract through June 30, 2024 contingent upon increasing the Environmental Fee to $9 from $7. The Environmental Fee is charged at a per load basis and Staff finds this fee consistent with other asphalt suppliers. The proposed unit prices in Exhibit A are consistent with the increases allowed by contract. Staff recommends authorizing City Manager to execute Amendment No. 2 for the 2021-2022 Asphalt Materials Contract with George Reed, Inc. to extend contract until June 30, 2024 and increase the contract amount by $60,000 for a total not -to -exceed contract amount of $172,128. FISCAL IMPACT: Preventive maintenance will extend the useful life of our streets and reduce future street reconstruction costs. The proposed unit price increases are minimal. This project will not impact the General Fund. FUNDING AVAILABLE: Fiscal Year 2022/23 Budget: Measure K (30399000.77020) Andrew Keys Andrew Keys Deputy City Manage r/InternalnServices Director C� �JIQ Charles E. Swimley, Jr. Public Works Director Prepared by Jimi Billigmeier, Associate Civil Engineer CES/JB/cd cc: Utility Manager Stephen Schwabauer, City Manager \Ncvcfilv02\pubwks$\WP\PROJECTS\STREETS\2021-2022 Asphalt Contract\CChangeOrder_2023_24extension doc 5/3/2023 AMENDMENT NO. 2 GEORGE REED, INC. 2021-2022 ASPHALT MATERIALS THIS AMENDMENT NO. 2 TO CONTRACT, is made and entered this day of , 2023, by and between the CITY OF LODI, a municipal corporation (hereinafter "CITY"), and GEORGE REED, INC., a California corporation (hereinafter "CONTRACTOR"). WITNESSETH: 1. WHEREAS, CONTRACTOR and CITY entered into a Contract on July 20, 2021, and Amendment No. 1 on August 4, 2022 (collectively, the "Agreement"), as set forth in Exhibit 1, attached hereto and made part of; and 2. WHEREAS, CONTRACTOR requested to amend said Agreement to revise the unit prices, as set forth in Exhibit 2, attached hereto and made part of; and 3. WHEREAS, CITY requested to increase the fees by an amount not -to -exceed $60,000, for a total not -to -exceed contract amount of $172,128; and 4. WHEREAS, City requested to extend the term of the Agreement through June 30, 2024; and 5. WHEREAS, CONTRACTOR agrees to said amendments. NOW, THEREFORE, the parties agree to amend the Agreement as set forth above. All other terms and conditions of the Agreement remain unchanged. IN WITNESS WHEREOF, CITY and CONTRACTOR have executed this Amendment No. 2 on the date and year first above written. CITY OF LODI, a municipal corporation GEORGE REED, INC., a California corporation hereinabove called "CITY" hereinabove called "CONTRACTOR" STEPHEN SCHWABAUER City Manager Attest: OLIVIA NASHED, City Clerk Approved as to Form: JANICE D. MAGDICH, City Attorney NAME: Title: EXHIBIT 1 to Amendment No 2 AMENDMENT NO. 1 GEORGE REED, INC. 2021-2022 ASPHALT MATERIALS THIS AMENDMENT NO. 1 TO CONTRACT, is made and entered this "day of US-�- , 2022, by and between the CITY OF LODI, a municipal corporation (hereinafter "CI ), and GEORGE REED, INC., a California corporation (hereinafter "CONTRACTOR"). WITNESSETH: 1. WHEREAS, CONTRACTOR and CITY entered into a Contract on July 20, 2021 (the "Agreement"), as set forth in Exhibit 1, attached hereto and made part of, and 2. WHEREAS, CONTRACTOR requested to amend said Agreement to revise the unit prices, as set forth in Exhibit 2, attached hereto and made part of; and 3. WHEREAS, CITY requested to increase the fees by an amount not -to -exceed $63,333, for a total not -to -exceed contract amount of $112,138; and 4. WHEREAS, City requested to extend the term of the Agreement from July 1, 2022 through June 30, 2023; and 5. WHEREAS, CONTRACTOR agrees to said amendments. NOW, THEREFORE, the parties agree to amend the Agreement as set forth above. All other terms and conditions of the Agreement remain unchanged. IN WITNESS WHEREOF, CITY and CONTRACTOR have executed this Amendment No. 1 on the date and year first above written. CITY OF LODI, a municipal corporation GEORGE REED, INC., a California corporation hereinabove called "CITY" hereinabove called "CONTRACTOR" ST C UE NAME: Rosie R. Martinez City Manager Title: Secretary/Treasurer Attest: OLIVIA NASHED, City Clerk Approved as to Form: JA IC GDICH, City Attorney C OV 2021-2022 ASPHALT MATERIALS Exhibit 1 to Amendment No 1 CONTRACT CITY OF LODI, CALIFORNIA THIS CONTRACT made by and between the CITY OF LODI, State of California, herein referred to as the "City," and GEORGE REED, INC., a California corporation, herein referred to as the "Contractor." WITNESSETH.- That ITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other, as follows: The complete Contract consists of the following documents which are incorporated herein by this reference, to -wit: Notice Inviting Bids The July 2006 Edition, Specifications Standard Specifications, Bid Proposal State of California, Contract Business and Transportation Agency, All of the above documents, sometimes hereinafter referred to as the "Contract Documents," are intended to cooperate so that any work called for in one and not mentioned in the other is to be executed the same as if mentioned in all said documents_ ARTICLE I - That for and in consideration of the payments and agreements hereinafter mentioned, to be made and performed by the City, the Contractor agrees with the City, at to furnish all the materials as described in the Contract Documents which are hereby made a part of the Contract; the Contractor also agrees, in accordance with Section 2.4, "Ordering," of the Specifications, that should it not be possible in certain instances for the supplier to make material available to the City, the City reserves the right to obtain the required materials from other vendors. The contract supplier shall have no recourse or claim against the City for any such purchases. ARTICLE If - The City hereby promises and agrees with the Contractor to employ, and does hereby employ, the Contractor to provide all materials according to the terms and conditions for the price herein, and hereby contracts to pay the same as set forth in Section 2.5, "Measurement and Payment," of the Specifications, in the manner and upon the conditions above set forth; and the said parties for themselves, their heirs, executors, administrators, successors and assigns, do hereby agree to the full performance of the covenants herein contained. ARTICLE III - And the Contractor agrees to receive and accept the following prices as full compensation for furnishing all materials embraced in this agreement; and any adjustments to contract prices during the term of this contract shall be in accordance with Section 2.3, "Adjustment in Contract Prices" of the Specifications for paving asphalt price fluctuations exceeding five percent (5%); the Contractor also agrees to provide documentation of any price fluctuations, with compensation adjustments provided, prior CONTRACT 4.1 06/11121 to the invoicing of said price increases, in the manner and according to the Plans and Contract Documents and the requirements of the Engineer under them, to -wit: CONTRACT ITEMS ITEM 1. 9.5mm (3/8") Max Medium Type A, PG 64-16 or 64-10 BASE PRICE PER TON: $ 64.00 TAX PER TON (if any): $ 4,96 ADDITIONAL COSTS (if any): $ 5.00(ger Load TOTAL COST PER TON (FOB Plant) $ 68.96 Estimated Annual Quantity w 500 Tons TOTAL FOR ITEM 1 (Estimated Quantity x TOTAL COST PER TON) $ 34,855.00, ITEM 2. 12.5m (112") Max Medium Type A, PG 64-10 BASE PRICE PER TON: $ 60.00 TAX PER TON (if any): $ 4.65 ADDITIONAL COSTS (if any): $ 5.00 TOTAL COST PER TON (FOB Plant) $_64.65 Estimated Annual Quantity _ 100 Tons TOTAL FOR ITEM 2 (Estimated Quantity x TOTAL COST PER TON) $ 6,540.00 ITEM 3. Cutback BASE PRICE PER TON: TAX PER TON (if any): ADDITIONAL COSTS (if an TOTAL COST PER TON (FOB Plant) Estimated Annual Quantity TOTAL FOR ITEM 3 (Estimated Quantity x TOTAL COST PER TON) TOTAL FOR ITEMS 1 - 3 $ 91.00 $ 7.05 $ 5..00 $ 98.05 75 Tons $ 7,410.00 $ 48,805.00 Fee for Asphalt Recycling, $ NC per ton. If No Charge write NC. ARTICLE IV - By my signature hereunder, as Contractor, I certify that I am aware of the provisions of Section 3700 of the Labor Code, which requires every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract. ARTICLE V - It is further expressly agreed by and between the parties hereto that, should there be any conflict between the terms of this instrument and the Bid Proposal CONTRACT 4.2 06/11/21 of the Contractor, then this instrument shall control and nothing herein shall be considered as an acceptance of the said terms of said proposal conflicting herewith. ARTICLE VI - The purchase of asphalt material shall be for the period of July 1, 2021 through June 30, 2022 for the City of Lodi. The contract may be extended if agreed upon by the Contractor and the City. ARTICLE VII - State of California Senate Bill 854 requires the following: No contractor or subcontractor may be listed on a bid proposal for a public works project unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5 [with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a)]. No contractor or subcontractor may be awarded a contract for public work on a public works project unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5. This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. ARTICLE VII I -Counterparts and Electronic Signatures This Agreement and other documents to be delivered pursuant to this Agreement may be executed in one or more counterparts, each of which will be deemed to be an original copy and all of which, when taken together, will be deemed to constitute one and the same agreement or document, and will be effective when counterparts have been signed by each of the parties and delivered to the other parties. Each party agrees that the electronic signatures, whether digital or encrypted, of the parties included in this Agreement are intended to authenticate this writing and to have the same force and effect as manual signatures. Delivery of a copy of this Agreement or any other document contemplated hereby, bearing an original manual or electronic signature by facsimile transmission (including a facsimile delivered via the Internet), by electronic mail in "portable document format" (".pdf') or similar format intended to preserve the original graphic and pictorial appearance of a document, or through the use of electronic signature software will have the same effect as physical delivery of the paper document bearing an original signature. WHEN SIGNING THIS CONTRACT, THE CONTRACTOR AGREES THAT THE TIME OF COMPLETION FOR THIS CONTRACT IS REASONABLE AND THE CONTRACTOR AGREES TO PAY THE CITY LIQUIDATED DAMAGES AS SET FORTH IN SECTION 6-04.03 OF THE SPECIAL PROVISIONS. CONTRACTOR AGREES THAT THIS AMOUNT MAY BE DEDUCTED FROM THE AMOUNT DUE THE CONTRACTOR UNDER THE CONTRACT. 4.3 IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands the year and date written below. CONTRACTOR: CITY OF LODI, a municipal corporation George Reed, Inc. By: SUE City Manager By: Date: x Rosie R. Martinez Secretary/Treasurer Attest: Title '/8 /jj A A -A NIFEfSMIR 6City Cier (CORPORATE SEAL) Approved As To Form: r JANIC . MAGDICH City Rftorney CONTRACT 4.4 06111121 Bill Ta 536200 CITY OF LODI HMA -3/4 (19 MM) ATTN: SEAN NATHAN 21200 CALL BOX 3006 GRI - Clements LODI, CA, CA 95241-0000 Contact: Alice Bernardino Phone: 209-333-6721 a/p Fax: 6.12 Sales Person: 17 - Delwyn Falk (209) 524-3197 (Phone) (209) 838-6106 (Fax) Delwyn.Falk@Georgereed.com Location Product GRI - Clements 21100 HMA -3/4 (19 MM) GRI - Clements 21200 HMA -1/2 (12.5MM) GRI - Clements 21300 HMA -3/8 (9.5 MM) GRI - Clements 22150 CUTBACK -3/8" (9.5M Exhibit 2 Quotel to Amendment No 1 Quote Number: 14878 Quote Date: 05/11/2022 Expire Date: 06/10/2022 Terms Net 10th Description: HMA Contract 2022-2023 Comments: Proposed pricing for FY 2022-2023 Contract Extension Subject to fuel surcharge O yt Unit Materia Freight Tax Cost Per Rate Rate Rate Ian O.00Tons $74.00 0.00 5.74 0.00 O.00Tons $76.00 0.00 5.89 0.00 O.00Tons $79.00 0.00 6.12 0.00 O.00Tons $95.00 0.00 7.36 0.00 CONDITIONS OF SALE Sales Price $0.00 $0.00 $0.00 $0.00 Total Amount $0.00 Effective March 1st2022, George Reed will be implementing a S7.00/load Environmental Fee on all materials. Please contact your sales representative for further assistance All material subject to availability. Please call prior to schedule loadout. AC Pricing based on current rack asphalt oil. For every $10.00 increase in asphalt oil, AC Price will increase $0.60 per ton. Saturdays/Night Load Outs: $3000 Opening Fee. No night work available out of the Munn & Perkins Plant. Clements Plant night opening requires 1 month notice. Jackson Valley Quarry not available nights or weekends. Sunday Openings: $4000 Opening Fee Overtime Fee (After 8 Hours): $250 Per Hour for the First 2 Hours, $500 per hour thereafter except Sundays which is $500 per hour. Prices Quoted are Predicated upon an 8 hour day by our Plant. Quoted Prices are F.O.B. the plant unless otherwise noted. Title of Material Transfers at Plant Quoted Prices Include the cost of Mix Designs unless otherwise noted. This Quote is good for the specified number of days (30). Written confirmation required prior to expiration date. 'If freight is included, 20 Minutes allowed for Delivery. Anything after 20 minutes will be billed Per Minute at applicable Rates. Retention by Contractor of Monies due GRI will not be permitted. GRI's terms are net 10th of the month following the date of purchase. All quotes are Subject to the Following Force Majeure Conditions: Any prevention, non-performance or stoppage due to any of the following reasons may cause a delay in the production and/or load -out of some materials: Failure of power, increases in prices and/or supplies of raw materials and/or services (such as trucking) outside the control of GRI, governmental restrictions, regulations, acts of God or other causes beyond GRI's reasonable control. Invoices are due and payable the 10th of the month following date of purchase. Overdue accounts subject to interest at 1.5% per month. Purchaser agrees to pay reasonable attorney's fee incurred in collecting past due accounts with or without legal action together with all court costs involved. Accepted by: Date: City of Lodi Public Works Department Project: 2021-22 Asphalt Materials (23-24 Extension) Item 1 Item 2 Item 3 EXHIBIT 2 to Amendment No 2 *based on assumed 11 loads Fee for Asphalt Recycling Per Ton NC NC George Reed, Inc. Modesto 9.5mm (3/8") Max Medium Type A, PG 64-16 or 64-10 Base Price Per Ton: $ 79.00 Tax per Ton (if any): $ 6.12 Additional Costs (if any) $9 (per load) Total Cost Per Ton (FOB Plant): $ 85.12 Estimated Annual Quantic (Tons): 500 Total for Bid Item 1: $ 43,235,00 *based on assumed 75 loads 12.5m (1/2") Max Medium Type A, PG 64-10 Base Price Per Ton: $ 76.00 Tax per Ton (if any): $ 5.89 Additional Costs (if any $9(per load) Total Cost Per Ton (FOB Plant): $ 81.89 Estimated Annual Quantity 100 Total for Bid Item 2: $ 8,324.00 * *based on assumed 15 loads Cutback Base Price Per Ton: 5 $ 95.00 Tax per Ton (if any): $ 7.36 Additional Costs (if any) $9 (per load) Total Cost Per Ton (FOB Plant): $ 102.36 Estimated Annual Quantity: 75 Total for Bid Item 3: 7,27" $ 7,776.00 'Total Bid for Items 1-3: S $ 59,335.00 *based on assumed 11 loads Fee for Asphalt Recycling Per Ton NC NC RESOLUTION NO. 2023-104 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 2 FOR THE 2021-2022 ASPHALT MATERIALS CONTRACT WITH GEORGE REED, INC., OF MODESTO WHEREAS, the asphalt materials purchase is needed to carry out preventive street maintenance and repairs. City street maintenance crews utilize the asphalt for localized roadway repairs, trench patching, thin overlays, and large sidewalk offset patching; and WHEREAS, on April 21, 2021, Council authorized the City Manager to award the contract to the lowest responsive bidder and execute change orders, and the project was awarded to George Reed, Inc., of Modesto, in the amount of $48,805; and WHEREAS, on July 20, 2022, City Council authorized the contract to be extended to June 30, 2023 and increased the contract amount by $62,333 for a total not -to -exceed contract amount of $112,128; and WHEREAS, staff recommends authorizing the City Manager to execute Amendment No. 2 for the 2021-2022 Asphalt Materials contract with George Reed, Inc., to extend contract until June 30, 2024 and increase the contract amount by $60,000 for a total not -to -exceed contract amount of $172,128. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager to execute Amendment No. 2 for the 2021-2022 Asphalt Materials contract with George Reed, Inc., of Modesto, California, to extend the contract until June 30, 2024, and increase the contract amount by $60,000 for a total not -to -exceed contract amount of $172,128; and BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019-223), the City Attorney is hereby authorized to make minor revisions to the above -referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary. Dated: June 7, 2023 I hereby certify that Resolution No. 2023-104 was passed and adopted by the City Council of the City of Lodi in a regular meeting held June 7, 2023 by the following votes: AYES: COUNCIL MEMBERS — Bregman, Craig, Nakanishi, Yepez, and Mayor Hothi NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None uLk(�L��� OLIVIA NASHED City Clerk 2023-104