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HomeMy WebLinkAboutCC AG PKT 2010-10-25 #P AGENDA STAFF REPORT DATE: October 25, 2010 TO: Honorable Mayor and City Council THRU: David N. Carmany, City Manager FROM: Sean P. Crumby P.E., Director of Public Works SUBJECT: AWARD CONTRACT FOR FY 09 -10 ANNUAL SLURRY SEAL PROJECT NO. ST1006 SUMMARY OF REQUEST: It is requested that the City Council adopt Resolution No. 6075 awarding a construction contract for FY 09 -10 Annual Slurry Seal Project No. ST1006 to American Asphalt South, Inc. in the amount of $100,642 and authorize the City Manager to execute the agreement. BACKGROUND: On September 13, 2010 the City Council approved plans and specifications for the FY 09 -10 Slurry Seal Program and authorized staff to solicit for bids. This project consists of slurry sealing several streets in the Hill and Cove as identified in the Pavement Management Program report. Application of slurry seal is typically done every 5 -7 years and extends the effective life of asphalt concrete pavements by placing a protective seal over existing pavement surface that are just beginning to show signs of wear. On October 7, 2010, the City Clerk's office received 7 bids with the following results: RANK CONTRACTOR BID AMOUNT 1 j American Asphalt South, Inc. $100,642 2 I Roy Allan Slurry Seal $103,729 3 j Doug Martin Contracting $128,090 4 Pavement Coatings $132,281 5 I Valley Slurry Seal Co. j $141,422 6 All American Asphalt j $163,400 7 Sully - Miller Contracting $217,558 Agenda Item P Page 2 Based upon the references, qualifications, work experience and cost, staff recommends selecting American Asphalt South, Inc. as the lowest responsible bidder at $100,642. EVIRONMENTAL IMPACT This project complies with all requirements of the California Environmental Quality Act and is found to be Categorically Exempt under Section 15301 (C). FINANCIAL IMPACT: Funds in the amount of $150,000 have been budgeted from the Gas Tax Fund in the FY 2009 -2010 Capital Improvement Program under project ST1006. RECOMMENDATION: It is recommended City Council adopt Resolution No. 6075 awarding a construction contract for FY 09 -10 Annual Slurry Seal Project No. ST1006 to American Asphalt South, Inc. in the amount of $100,642 and authorize the City Manager to execute the agreement. SUBMITTED BY: NOTED AND APPROVED: _ —AL ___ /h." s Sean Crumby, P.E. 1 avid Carm• City Manager Director of Public Works Prepared by: Cesar Rangel, Assistant Engineer Attachments: A. Resolution No. 6075 B. Agreement C. Bid Results Sheet D. 2010 Annual Slurry Seal Map RESOLUTION NUMBER 6075 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL AWARDING THE CONTRACT FOR 2010 ANNUAL SLURRY SEAL PROJECT NO. ST1006 WHEREAS, the City of Seal Beach is proposing to slurry seal several streets in the Hill and Cove as identified in the Pavement Management Program report; and WHEREAS, staff recommends selecting American Asphalt South, Inc. as the lowest responsible bidder. NOW, THEREFORE, THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The City Council hereby awards a contract in the amount of $100,642 to American Asphalt South, Inc. for the 2010 Annual Slurry Seal Project No. ST1006. Section 2. The Council hereby directs the City Manager to execute the contract for the 2010 Annual Slurry Seal Project No. ST1006. PASSED, APPROVED AND ADOPTED by the City Council at a regular meeting held on the 25th day of October , 2010 by the following vote: AYES: Council Members NOES: Council Members ABSENT: Council Members ABSTAIN: Council Members Mayor ATTEST: City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6075 on file in the office of the City Clerk, passed, approved, and adopted by the City Council at a regular meeting held on the 25th day of October , 2010. City Clerk AN AGREEMENT FOR 2010 ANNUAL SLURRY SEAL PROJECT CIP NO. ST 1006 between SEAL %;`i �pRPOHgT � y4 $.02. a :? City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 American Asphalt South, Inc. 14436 Santa Ana Avenue Fontana, CA 92337 (909) 427 -8276 THIS AGREEMENT is made and entered into this 11 day of October, 2010, by and between the City of Seal Beach, a California charter city ( "City "), and American Asphalt South, Inc., a ( "Contractor "). Page D-40 RECITALS A. WHEREAS, the City Council has approved the plans and specifications for the 2010 Annual Slurry Seal Project, CIP No. ST1006 ( "Project ") with respect to design criteria; and B. WHEREAS, Contractor has submitted a bid to City for the Project dated October 7, 2010 in the amount of $100,642.00 ( "Accepted Proposal" hereinafter). The Accepted Proposal is attached hereto as Exhibit G and contains, among other things, provisions defiling the Project scope. NOW, THEREFORE, in consideration of performance by the parties of the mutual promises, covenants, and conditions herein contained, the parties hereto agree as follows: AGREEMENT 1.0 Contractor's Services. 1.1 Scope and Level of Services. For and in consideration of the mutual promises set forth herein, and subject to the terms and conditions set forth in this Agreement, Contractor shall perform and complete in good and workmanlike manner all work ( "Work ") required by this Agreement and the documents listed in Subsection 1.2 for the Project. 1.2 Contract Documents. The "Contract Documents" that comprise the agreement between the City and the Contractor are the: Notice Inviting Bids, Instructions to Bidders, Accepted Proposal, Non - Collusion Affidavit, Bid Schedule(s), List of Subcontractors, Contractor's Industrial Safety Record, Contractor's Qualification Statement, Bid Security Forms for Check or Bond, Specifications, General and Special Provisions and documents referenced therein, all addenda as prepared prior to the date of bid opening setting forth any modifications or interpretations of any of said documents, this Agreement, Exhibits attached to this Agreement, including but not limited to the Performance Bond (Exhibit A), Payment Bond (Exhibit B), Worker's Compensation Insurance Certificate (Exhibit C), Insurance Endorsements (Exhibit D), Acknowledgment of Penal and Civil Penalties Concerning Contractor Licensing Laws (Exhibit E), Labor Law Requirements (Exhibit F), Accepted Proposal (Exhibit G) and any and all supplemental agreements executed amending or extending the work contemplated and that may be required to complete the work in a substantial and acceptable manner. These Contract Documents are hereby incorporated into this Agreement. 1.3 The Work shall be performed in accordance with the Plans, Specifications and other Contract Documents. Contractor shall furnish at its own expense all labor, materials, equipment and services necessary therefore, except such labor, materials, equipment and services as are specified in the Contract Documents to be furnished by City. Page D-41 1.4 In the event of any material discrepancy between the express provisions of this Agreement and the provisions of the other Contract Documents, the provisions of this Agreement shall prevail. 2.0 Effective Date. This Agreement is effective as of October 11, 2010 (the "Effective Date "), and shall remain in full force and effect until Contractor has rendered the services required by this Agreement. 3.0 Payment. For performing and completing the work in accordance with the Contract Documents, City shall pay Contractor, in full compensation therefor, the amount of $100,642.00, subject to any additions and deletions pursuant to the terms of the Contract Documents. Said sum shall constitute payment in full for all work performed hereunder, including, without limitation, all labor, materials, equipment, tools and services used or incorporated in the work, supervision, administration, overhead, expenses and any and all other things required, furnished or incurred for completion of the work as specified in the Contract Documents. City shall make payments to Contractor on account of the contract sum at the time, in the manner, and upon the conditions specified in the Contract Documents. 4.0 Contractor's Personnel. 4.1 All Work shall be performed by Contractor or under Contractor's direct supervision, and all personnel shall possess the qualifications, permits, and licenses required by State and local law and by the Notice Inviting Bids/Instructions to Bidders to perform such Services, including, without limitation, a City of Seal Beach business license as required by the Seal Beach Municipal Code. 4.2 Contractor shall be responsible for payment of all employees' wages and benefits, and shall comply with all requirements pertaining to employer's liability, workers' compensation, unemployment insurance, and Social Security. Contractor shall fully comply with the workers' compensation law regarding Contractor and Contractor's employees. 4.3 Contractor shall indemnify and hold harmless City and its elected officials, officers and employees, servants, designated volunteers, and agents serving as independent contractors in the role of city officials, from any and all liabilities, damages, claims, costs and expenses of any nature to the extent arising from Contractor's alleged violations of personnel practices. 4.4 Contractor is, and shall at all times remain as to City, a wholly independent contractor. Contractor shall have no power to incur any debt, obligation, or liability on behalf of City or otherwise act as an agent of City. Neither City nor any of its agents shall have control over the conduct of Contractor or any of Contractor's employees, except as set forth in this Agreement. Contractor shall not, at any time, or in any manner, represent that it or any of its officers, agents, or employees are in any manner employees of City. Contractor shall pay all required taxes on amounts paid to Page D -42 Contractor under this Agreement, and indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the work performed pursuant to this Agreement. 4.5 City shall have the right to offset against the amount of any fees due to Contractor under this Agreement any amount due to City from Contractor as a result of Contractor's failure to promptly pay to City any reimbursement or indemnification arising under this Section 4. 5.0 Indemnification. Contractor's Duty. Contractor shall indemnify and hold the City, its elected officials, officers, employees, volunteers, agents, and those City agents serving as independent contractors in the role of City officials (collectively "Indemnitees ") free and harmless from and against any and all claims (including, without limitation, claims for bodily injury, death or damage to property), demands, obligations, damages, actions, causes of action, suits, losses, bid protests, stop notices, judgments, fines, penalties, liabilities, costs and expenses (including, without limitation, attorney's fees, disbursements and court costs) of every kind and nature whatsoever (individually, a "Claim;" collectively, "Claims "), in any manner arising out of or incident to the performance of the Agreement, including without limitation the payment of all consequential damages and attorneys fees and other related costs and expenses. Further, Contractor shall appoint competent defense counsel, at Contractor's own cost, expense and risk, to defend any and all such suits, actions or other legal proceedings of every kind arising out of or incident to the performance of the Agreement that may be brought or instituted against Indemnitees. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against City or the other Indemnitees in any such suit, action, or other legal proceeding arising out of or incident to the performance of the Agreement. Contractor shall reimburse the City and the other Indemnitees, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Contractor's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Contractor or Indemnitees. This indemnity shall apply to all Claims and liability regardless of whether any insurance policies are applicable. 5.2 Bid Protests. In addition to its obligations pursuant to Section 5.1, Contractor shall reimburse the City for all attorney fees and costs incurred by City in connection with, arising out of or incident to any- bid protest. 5.3 City's Sole Negligence. Nothing in Section 5.1 shall be construed to require Contractor to indemnify Indemnities for that portion of any Claim to the extent arising from the sole negligence or willful misconduct of the Indemnities. 5.4 Nonwaiver of Rights. Indemnitees do not, and shall not, waive any rights that they may possess against Contractor because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement. Page D-43 5.5 Waiver of Right of Subrogation. Contractor, on behalf of itself and all parties claiming under or through it, hereby waives all rights of subrogation against the Indemnitees, while acting within the scope of their duties, from all claims, losses, and liabilities arising out of or incident to activities or operations performed by or on behalf of the Indemnitor. • 5.6 Survival. The provisions of this Section 5 shall survive the termination of the Agreement and are in addition to any other rights or remedies that Indemnitees may have under the law. Payment is not required as a condition precedent to an Indemnitee's right to recover under this indemnity provision, and an entry of judgment against an Contractor shall be conclusive in favor of the Indemnitee's right to recover under this indemnity provision. 6.0 Conflict of Interest. 6.1 Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the Services, or which would conflict in any manner with the performance of the Services. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code §§1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained. 6.2 Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, any fee, commission, gift, percentage, or any other consideration contingent upon the execution of this Agreement. Upon any breach or violation of this warranty, City shall have the right, at its sole and absolute discretion, to terminate this Agreement without further liability, or to deduct from any sums payable to Consultant hereunder the full amount or value of any such fee, commission, percentage or gift. 6.3 Consultant warrants and maintains that it has no knowledge that any officer or employee of City has any interest, whether contractual, noncontractual, financial, proprietary, or otherwise, in this transaction or in the business of Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant shall immediately make a complete, written disclosure of such interest to City, even if such interest would not be deemed a prohibited "conflict of interest" under applicable laws as described in this subsection. Page D-44 7.0 Insurance. 7.1 Liability Insurance. Contractor shall procure and maintain in full force and effect for the duration of this Agreement insurance against claims for injuries to persons or damages to property and professional negligence which may arise from or in connection with the performance of the services hereunder by Contractor, and its agents, representatives, employees and subconsultants. The policy limits set forth below do not act as a limitation upon the amount of indemnification to be provided by Contractor. Contractor shall complete and execute the following documents attached as Exhibits hereto and incorporated herein by this reference: 7.1.1 Exhibit D -1: Additional Insured Endorsement - Commercial General Liability 7.1.2 Exhibit D -2: Additional Insured Endorsement - Automobile Liability 7.1.3 Exhibit D -3: Additional Insured Endorsement 7.2 Minimum Scope of Insurance. Unless otherwise approved by City, coverage shall be at least as broad as: 7.2.1 Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). 7.2.2 Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, code 1 (any auto). 7.2.3 Insurance Services Office form number CG 20 10 11 85 (Ed. 11/85) covering Additional Insured — Owners, Lessees or Contactors (Form B). 7.2.4 Worker's Compensation insurance as required by the State of California and Employer's Liability Insurance. 7.2.5 Professional Liability Insurance. Contractor shall provide to City the standard form issued by the carrier. [May not be necessary for certain proj ects.] 7.3 Minimum Limits of Insurance. Contractor shall maintain limits no less than: 7.3.1 General Liability: $2,000,000 per occurrence and in the aggregate for bodily injury, personal injury and property damage. Commercial General Liability Insurance or other form with a general aggregate limit shall apply separately to this Agreement or the general limit shall be twice the required occurrence limit. Page D-45 7.3.2 Automobile Liability: $2,000,000 per occurrence for bodily injury and property damage. 7.3.3 Employer's Liability: $1,000,000 per occurrence and in the aggregate for bodily injury or disease and Workers' Compensation Insurance in the amount required by law. 7.4 Deductibles and Self- Insured Retentions. Contractor shall inform City of any deductibles or self - insured retentions except with respect to any professional liability insurance. 7.5 Other Insurance Provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions: 7.5.1 City, its officers, officials, employees, designated volunteers and agents serving as independent contractors in the role of city or agency officials, are to be covered as additional insureds as respects: liability arising out of activities performed by or on behalf of Contractor; products and completed operations of Contractor; premises owned, occupied or used by Contractor; or automobiles owned, leased, hired or borrowed by Contractor. The coverage shall contain no limitations on the scope of protection afforded to City, its officers, officials, employees, designated volunteers or agents serving as independent contractors in the role of city or agency officials which are not also limitations applicable to the named insured. 7.5.2 For any claims related to this Agreement, Contractor's insurance coverage shall be primary insurance as respects City, its officers, officials, employees, designated volunteers and agents serving as independent contractors in the role of city or agency officials. Any insurance or self - insurance maintained by City, their officers, officials, employees, designated volunteers or agents serving as independent contractors in the role of city or agency officials shall be excess of Contractor's insurance and shall not contribute with it. 7.5.3 Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. 7.5.4 Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled or materially modified except after 30 days prior written notice by first class mail has been given to City. 7.5.5 Each insurance policy, except for any professional liability policy, required by this clause shall expressly waive the insurer's right of subrogation against City and its elected officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of city or agency officials. Page D -46 7.6 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII unless waived in writing by City's Risk Manager. 7.7 Verification of Coverage. All insurance coverages shall be confirmed by execution of endorsements on forms approved by the City. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by City before services commence. As an alternative to City forms, Contractor's insurer may provide complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications. 8.0 Liquidated Damages. Should the Contractor fail to complete the project, or any part thereof, in the time agreed upon in the Contract, the Contractor shall reimburse the City for the additional expense and damage for each calendar day that the Contract remains uncompleted after the Contract completion date. It is agreed that the amount of such additional expense and damage incurred by reason of failure to complete the Contract is the per diem rate $750.00 per calendar day. Such amount is hereby agreed upon as liquidated damages for the loss to the City resulting from the failure of the Contractor to complete the project within the allotted time and to the value of the operation of the works dependent thereon. It is expressly understood and agreed that this amount is a reasonable amount and is established in lieu of damages that are incapable of calculation at the inception hereof'; and this amount is not to be considered in the nature of a penalty. The City shall have the right to deduct such damages from any amount due, or that may become due to the Contractor, or the amount of such damages shall be due and collectible from the Contractor or the Contractor's Surety. Progress payments made after the scheduled completion date shall not constitute a waiver of liquidated damages. 9.0 Suspension. City may, in writing, order Contractor to suspend all or any part of the Contractor's Services for the convenience of City or for work stoppages beyond the control of City or Contractor. A suspension of the Services does not void this Agreement. 10.0 Notices. Any notices, bills, invoices, or reports authorized or required by this Agreement shall be in writing and shall be deemed received on (a) the day of delivery if delivered by hand or overnight courier service during Contractor's and City's regular business hours or by facsimile before or during Contractor's regular business hours; or (b) on the third business day following deposit in the United States mail, postage prepaid, to the addresses heretofore set forth in the Agreement, or to such other addresses as the parties may, from time to time, designate in writing pursuant to the provisions of this Section. All notices shall be addressed as follows: If to City: City of Seal Beach - City Clerk 211 8th Street Seal Beach, California 90740 Telephone: (562) 431 -2527 Fax: (562) 493 -9857 Page D -47 With a copy to: Public Works Director City of Seal Beach 211 8th Street Seal Beach, California 90740 If to Contractor: American Asphalt South, Inc. 14436 Santa Ana Avenue Fontana, CA 92337 Telephone: (909) 427 -8276 Fax: (909) 427 -8279 11.0 Non - Assignability; Subcontracting. Contractor shall not assign, transfer, or subcontract any interest in this Agreement or the performance of any of Contractor's obligations hereunder. Any attempt by Contractor to so assign, transfer, or subcontract any rights, duties, or obligations arising hereunder shall be null, void and of no effect. 12.0 Compliance with Laws. Contractor shall comply with all applicable federal, state and local laws, ordinances, codes and regulations in force at the time Contractor performs the Services. 13.0 Non - Waiver of Terms, Rights and Remedies. Waiver by either party of any one or more of the conditions of performance under this Agreement shall not be a waiver of any other condition of performance under this Agreement. In no event shall the making by City of any payment to Contractor constitute or be construed as a waiver by City of any breach of covenant, or any default which may then exist on the part of Contractor, and the making of any such payment by City shall in no way impair or prejudice any right or remedy available to City with regard to such breach or default. 14.0 Attorneys' Fees. In the event that either party to this Agreement shall commence any legal action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party in such action or proceeding shall be entitled to recover its costs of suit, including all attorneys' fees incurred in connection therewith. 15.0 Construction. The validity, interpretation, and performance of this Agreement shall be controlled by and construed under the laws of the State of California. In the event of any asserted ambiguity in, or dispute regarding the interpretation of any matter herein, the interpretation of this Agreement shall not be resolved by any rules of interpretation providing for interpretation against the party who causes the uncertainty to exist or against the party who drafted the Agreement or who drafted that portion of the Agreement. Page D -48 16.0 Entire Agreement. This Agreement, including any other documents incorporated herein by specific reference, represents the entire and integrated agreement between Contractor and City. This Agreement supersedes all prior oral or written negotiations, representations, or agreements. This Agreement may not be amended, nor any provision or breach hereof waived, except in a writing signed by the parties which expressly refers to this Agreement. (Intentionally Left Blank) Page D -49 IN WITNESS WHEREOF, the parties, through their respective authorized representatives, have executed this Agreement as of the date first written above. CITY OF SEAL BEACH CONTRACTOR: By: David N. Carmany, City Manager Name: 2ty Title: Vice Aeskie Attest: By: By: 1 ' Linda Devine, City Clerk Natne • Title: R Approved as to Form: By: Quinn M. 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