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    7.    
Finance Committee
Meeting Date: 07/11/2023  
FROM: Bill Gallardo

Subject:
Award Contract to International Line Builders, Inc. dba ILB Electric, for the Traffic Signal Modification Project, CIP No. 7717
RECOMMENDATION
  1. Approve the Plans and Specifications; 
  2. Receive bids; 
  3. Award Contract to the lowest responsive and responsible bidder, International Line Builders, Inc. dba ILB Electric, in the amount of $335,940.00 Base Bid (Schedule A) and Additive Bid (Schedule B); and,
  4. Authorize the City Engineer to issue Change Orders up to a "not-to-exceed" amount of 10% of the Contract Price.
BACKGROUND/DISCUSSION
During several regular Traffic Committee and City Council meetings, staff presented and discussed the Cliffwood Neighborhood Traffic Calming Improvements, CIP 7717 (“Project”).  Following Traffic Committee and City Council feedback with approval to move forward on the design, the Plans and Specifications for the overall Project were developed, and the funding was programmed and approved in the Fiscal Year 2021/22 Capital Improvement Program (“CIP”) budget. 
 
The Project includes modifications to traffic signals and equipment, pavement striping, and signage at the following three intersections (Attachment A):
 
  1. Lambert Road at Cliffwood Avenue-Cliffwood Park Street (Schedule A)
  2. State College Boulevard at Cliffwood Avenue (Schedule B)
  3. State College Boulevard at Balsa Avenue (Schedule B)
 
On August 9, 2022, staff presented the current plans for the three intersections. It recommended the City Council approve the purchase of the signal pole equipment from Walters Wholesale Electric Co. for $72,995.24 and approve the plans and specifications only for the Lambert Road at Cliffwood Avenue-Cliffwood Park Street intersection project.  City Council approved the staff’s recommendations.  Soon thereafter, staff ordered the signal pole equipment, which took seven months to deliver to the City.  Concurrently, based on the long lead time for the signal pole equipment, staff completed a value engineering assessment for the improvements at the three intersections and developed a combined set of Plans and Specifications for an economy-of-scale bid set.  As previously mentioned, the Plans and Specifications were approved by City Council on August 9, 2022, for Lambert Road at Cliffwood Avenue-Cliffwood Park Street Project (herein referred to as Schedule A).  However, the bid-ready set was modified to include the State College Boulevard at Cliffwood Avenue & Balsa Avenue project (Schedule B).  Therefore, at this time, the staff recommends City Council consider approving the Plans and Specifications for the Schedule A and Schedule B Projects.  
 
On April 14, 2023, the Final Plans and Specifications (“Bid Documents”) were accepted by staff, and the Project was advertised for bids on the CIPlist.com website and subsequently published in the Star Progress paper before bid opening. A hard copy of the Bid Documents is available at the City Clerk’s office for review (Attachment B). There were no addenda issued during the bid period. Therefore, the staff recommends City Council approve the Plans and Specifications as bid.    
 
On May 16, 2023, staff received seven (7) bid proposals (see Bid Result Table). Soon thereafter, staff tabulated the bid proposal and determined that the apparent low Base Bid (Schedule A) amount was $137,067.00 with an Additive Bid (Schedule B) amount bid of $198,873.00 from International Line Builders, Inc. dba ILB Electric (“ILB”) from Corona, CA (Attachment C).  The combined Bid Amount for Schedule A and Schedule B is $335,940.00. The Engineer’s Estimate was a combined $320,000.00.  Staff evaluated the bid proposal and determined that the bid unit prices from ILB’s proposal were considered reasonable as compared to the Engineer’s Estimate and current unit prices.
 
BIDDER NAME BID AMOUNT
Comet Electric SCH A (Base Bid): $172,861.00
  SCH B (Add Bid): $146,868.00
  TOTAL A+B: $319,729.00
DBX, Inc. SCH A (Base Bid): $181,851.00
  SCH B (Add Bid): $248,830.00
  TOTAL A+B: $430,681.00
International Line Builders (ILB Electric) SCH A (Base Bid): $137,067.00
  SCH B (Add Bid): $198,873.00
  TOTAL A+B: $335,940.00
Crosstown Electric SCH A (Base Bid): $161,512.00
  SCH B (Add Bid): $221,455.00
  TOTAL A+B: $382,967.00
Belco Elecnor Group SCH A (Base Bid): $267,500.00
  SCH B (Add Bid): $166,000.00
  TOTAL A+B: $433,500.00
California Professional Engineering SCH A (Base Bid): $142,900.00
  SCH B (Add Bid): $217,695.00
  TOTAL A+B: $360,595.00
Select Electrical Engineering SCH A (Base Bid): $183,513.00
  SCH B (Add Bid): $113,984.00
  TOTAL A+B: $297,497.00

The Bid Documents specify that the basis of the award will be determined on the lowest responsive and responsible bid for Schedule A.  However, the City Council may consider awarding the Base Bid (Schedule A) and Additive Bid (Schedule B), only awarding the Base Bid (Schedule A), only Additive Bid (Schedule B), or rejecting all bids.   
 
ILB Electric has been in the construction business for 39 years and has completed the construction of similar signal improvement projects for the City of Los Angeles, City of Norwalk, and City of Downey.  Their California Contractor’s license is 782515 – A (General Engineering) and C-10 (Electrical), and Department of Industrial Relations registration number is 1000007032. Staff verified both, and their bid package meets the City’s proposal requirements.  In addition, staff contacted the City of Downey, where the contractor received a favorable review. Furthermore, based on the aforementioned bid review, staff has determined ILB Electric’s Base Bid (Schedule A) and Additive Bid (Schedule B) be responsive and that they are a responsible bidder. Therefore, staff recommends that the City Council consider awarding a Construction Contract to ILB Electric as the apparent lowest responsive and responsible bidder for the Base Bid (Schedule A) and that the City Council also consider including the Additive Bid (Schedule B) as part of Contract for a total Contract amount of $335,940.00 (Attachment D).
SUMMARY/FISCAL IMPACT
The approved FY 2023-2024 CIP Project budget for Construction, Signal Pole Equipment, and Construction Engineering is $505,465.00. The total cost for Construction, Signal Pole Equipment, and Construction Engineering for the recommended Contract award (Schedule A and Schedule B) is $492,529.24, which includes the apparent low Base Bid (Schedule A) + Additive Bid (Schedule B) amount ($335,940.00), a 10% contingency ($33,594.00), Signal Pole Equipment ($72,995.24), and Construction Engineering costs ($50,000.00). The sources of funds within the approved budget are from Traffic Impact Fund (Fund 540). Therefore, there are sufficient funds to complete the Project construction. Upon completion of the Project, all remaining funds will be retained in Project 7717 for further traffic improvements.  There is no fiscal impact on the General Fund from this Project.  See the budget table below:
 
DESCRIPTION AMOUNT
Construction (International Line Builders Contract) $335,940.00
Construction Contingency (10%) $33,594.00
Signal Pole Equipment Purchase $72,995.24
Construction Engineering $50,000.00
Total Construction Cost $492,529.24
Approved FY 2023-24 Budget $505,465.00

The Project will modify traffic signals, pavement striping, and signage at three locations as part of the Cliffwood Neighborhood Traffic Calming Improvements. If City Council approves staff recommendations, the Project is anticipated to start construction in August 2023 and be completed by November 2023.
RESPECTFULLY SUBMITTED
William Gallardo, City Manager
Prepared by:   Ryan Chapman, P.E., Assistant City Engineer
Concurrence:  Michael Ho, P.E., Public Works Director / City Engineer
Attachments
Attachment A - Location Map
Attachment B - Bid Documents
Attachment C - International Line Builders Bid Proposal
Attachment D - Construction Contract Agreement

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