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HomeMy WebLinkAboutPolychrome Construction - Fire Hydrant PaintingSECTION 00500 AGREEMENT FIRE HYDRANT PAINTING /ID TAGS PROJECT No. 18 -PW- 243 -2. THIS AGREEMENT, made this `0-M day of OfCZ 1 V 2018, by and between the City of Gilroy, hereinafter called the "City," and Polychrome Construction Inc. hereinafter called the "Contractor." W I T N ESSETH: WHEREAS, the City has caused the Contract Documents to be prepared comprised of bidding and contract requirements and technical specifications and drawings for the completion of the FIRE HYDRANT PAINTING /ID TAGS, PROJECT No. 18 -PW -243., as described therein, and WHEREAS, the Contractor has offered to perform the proposed work in accordance with the terms of the Contract Documents. NOW, THEREFORE, in consideration of the mutual covenants and agreements of the parties herein contained and to be performed, the City and Contractor agree as follows: Article 1. Work. Contractor shall complete the Work as specified or indicated in the Contract Documents, Article 2. Contract Time. The Work shall be completed by the Contractor in accordance with the Contract Documents within the time period required by Paragraph 00810 -2.0, Time Allowed for Completion, subject to extension as expressly provided in the Contract Documents. Article 3. Liquidated Damages. The city and the contractor recognize that the city will suffer substantial damages and significant financial loss as a result of the contractor's delays in performance of the work described in the contract documents. The city and the contractor hereby acknowledge and agree that the damages and financial loss sustained as a result of any such delays in performance will be extremely difficult and impractical to ascertain. Therefore, the city and contractor hereby agree that in the event of such delays in performance, the city shall be entitled to compensation by way of liquidated damages (and not penalty) for the detriment resulting therefrom in accordance with paragraph 00700 -6.5, liquidated damages, of the contract documents. The city and the contractor further agree that the amounts designated as liquidated damages are a reasonable estimate of the city's damages and financial loss in the event of any such delays in performance considering all of the circumstances existing as of the date of this agreement, including the relationship of such amounts to the range of harm to the city which reasonably could be anticipated as of the date of this agreement and the expectation that proof of actual damages would be extremely difficult and impractical. By initialing this paragraph below, the parties hereto signify their approval and consent to the terms of this article 3. City's Initials — //� 1�9 Co ctors Initials Article 4. Contract Price. In consideration of the Contractors performance of the Work in accordance with the Contract Documents, the City shall pay the Contract Price set forth in the Contract Documents. Article 5. Contract Documents. The Contract Documents which comprise the entire agreement between City and Contractor concerning the Work consist of this Agreement (Section 00500 of the Contract Documents) and the following, all of which are hereby incorporated into this Agreement by reference with the same force and effect as if set forth in full. Invitation to Bid Instructions to Bidders Bid Documents Designation of Subcontractors Bid Guaranty Bond Agreement Acknowledgements Performance Bond Payment Bond General Conditions Supplementary Conditions General Requirements Standard Specifications (Caltrans, 2010 edition) Technical Specifications Drawings Addenda, if any Executed Change Orders, if any Maintenance Bond Notice of Award Notice to Proceed Article 6. Miscellaneous. Capitalized terms used in this Agreement which are defined in Section 01090, References, of the Contract Documents will have the meanings set forth in Section 01090, References. Contractor shall not assign any rights, obligations, duties or responsibilities under or interest in the Contract Documents without the prior written consent of the City, which consent may be withheld by the City in its sole discretion. No assignment by the Contractor of any rights, obligations, duties or responsibilities under or interests in the Contract Documents will be binding on the City without the prior written consent of the City (which consent may be withheld in City's sole discretion); and specifically but without limitation monies that may become due and monies that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically stated to the contrary in any written consent to an assignment, executed by the City, no assignment will release or discharge the assignor from any liability, duty, obligation, or responsibility under the Contract Documents. Subject to the foregoing, the Contract Documents shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Nothing contained in the Contract Documents shall in any way constitute a personal obligation of or impose any personal liability on any employees, officers, directors, agents or representatives of the City or its successor and assigns. In accordance with California Business and Professions Code Section 7030, the Contractor is required by law to be licensed and regulated by the Contractors' State License Board which has jurisdiction to investigate complaints against Contractors if a complaint regarding a latent act or omission is filed within four years of the date of the alleged violation. A complaint regarding a latent act or omission pertaining to structural defects must be filed within 10 years of the date of the alleged violation. Any questions concerning the Contractor may be referred to the Registrar, Contractors' State License Board, P.O. Box 26000, Sacramento, California 95826. IN WITNESS WHEREOF, this agreement has been executed on this 3-U( day of AIA &Xijok P0L_1 C_"e 0 AE �n�sY(LUCZioiv INC- Name of Contractor Signature of City Title of Signator ATTEST: Signature RE Title of Signator `**END OF SECTION- City Administrator Title of Signator Approved as to for W City Attorney ATT Signature Title of 0 nator City of Gilroy STAFF REPORT Agenda Item Title: Contract Award to Polychrome Construction Inc. in the Amount of $129,500. for the Completion of Fire Hydrant Painting /ID Tags, Project No. 18 -PW -243 -2 Meeting Date: June 18, 2018 From: Gabriel Gonzalez, City Administrator Department: Public Works Department Submitted By: Girum Awoke Prepared By: Girum Awoke ❑ Fiscal Stability 0 Downtown ❑ Economic Strategic Plan Goals Revitalization Development a ❑ Customer Service ❑ Enhanced Public Safety RECOMMENDATION Award a contract for Fire Hydrant Painting / ID Tags Project No. 18 -PW -243 -2 to Polychrome Construction Inc. in the not to exceed amount of $129,500, establish a project contingency of approximately 8% ($10,360), and authorize the City Administrator to execute the agreement and related documents, including amendments up to the contingency amount. BACKGROUND The City of Gilroy has more than 2,500 fire hydrants. Fire hydrants need to be painted to keep them visible to water and public safety staff. The best management practice is to paint fire hydrants every two years. Due to the limited resources, City staff has been painting the fire hydrants at a cycle of seven to nine years. An important process that accompanies painting hydrants is clearing vegetation that has overgrown the hydrant that can limit or block visibility. A clean, well maintained hydrant can boost public confidence and limit calls for hydrants being an eyesore. This project also increases public awareness and perception. This project would also continue the process that started over 10 years ago for placing ID tags on each hydrant in a particular zone. This project will blend in nicely with GPS mapping and Maintenance Management Software which is expected to be implemented in the coming 6 -9 months. Each hydrant will have a unique number to become an inventory item so we can track maintenance and costs related to that hydrant. Staff will also keep a history pertaining to each hydrant to assist in budgeting and ordering parts. The project was advertised in the Gilroy Dispatch and San Jose Mercury News. Plans and specifications were sent to 12 plan rooms using the Arc Santa Clara website. BID RESULTS Project bids were opened on May 22, 2018, and 7 bids were received as follows, listed in order from lowest to highest bid amount: RANK COMPANY NAME BID AMOUNT 1 Polychrome Construction Inc. $129,500 2 Valvetek Utility Services $134,125 3 R.E. Chaffee $250,250 4 Color New Co. $316,000 5 Castlewood Construction Co. $356,987 6 South Bay Grading $389,333 7 Vern's Painting $433,250 The lowest bidder was determined based on the amount of their respective base bid. The lowest responsive and responsible bidder is Polychrome Construction Inc. with a base bid of $129,500. The Engineer's estimate for the base bid was approximately $135,000. ALTERNATIVES One of the alternatives to awarding this contract is to break the project in to two more phases. STAFF DOES NOT RECOMMEND. This alternative is not recommended given that the deferred maintenance on fire hydrants will cost the city even more money as contractor's prices continue to rise, and the backlog of fire hydrant painting needs will continue to accumulate. FISCAL IMPACT /FUNDING SOURCE The recommended budget for this project includes the base bid amount of $129,500 plus a 8% contingency ($10,360,) to address any unanticipated changes. Typically staff has used a 10% contingency, however the current FY 18 & FY 19 Budget Decision Packages budget of $140,000 in the Water Enterprise Fund for the Hydrant Painting /ID Tags is sufficient funding for the completion of this project. As a result, the total expenditure allocation request is $139,860.