Title
2016 CMAQ Alley Dust Proofing Federal Aid Design-Bid-Build - ST87400239 (Ordinance S-43604)
Description
Request to authorize the City Manager, or his designee, to accept VSS International, Inc. (Chandler, Ariz.) as the lowest-priced, responsive, and responsible bidder, and to enter into an agreement with VSS International, Inc. for construction services. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
VSS International, Inc. will provide construction services in support of the 2016 CMAQ Alley Dust Proofing project. The work will include approximately 205,196 square yards of clearing, grubbing, and subgrade preparation, including removal, hauling, and disposal of deleterious materials and degraded asphalt millings; 188,096 square yards of single application of MC-800TR and pre-coated fractured aggregate; weed control; traffic control; and other miscellaneous items in various alleys within the City of Phoenix.
Procurement Information
Three bids were received according to Section 34-201 of the Arizona Revised Statutes (A.R.S.) by the Street Transportation Department on Feb. 28, 2017. The three bids were sent to the Equal Opportunity Department (EOD) for review to determine subcontractor eligibility and general contractor responsiveness in demonstrating compliance with the project’s Disadvantaged Business Enterprise (DBE) goal of 2.77 percent. EOD deemed all bidders responsive.
The engineer’s estimate was $1,197,940.85. Bids ranged from a low of $2,477,169.00 to a high of $2,643,779.20. There are several factors that contributed to this difference in cost: the Engineer’s Estimate was based on historical prices for similar projects completed in 2013 and 2014, and the bid item related to clearing and grubbing requires more work than in previous years of similar work. The three bids received were all within six percent of the total amount of the low bid. These factors indicate that the City received competitive bids for the project. Based on the additional analysis conducted by staff, the City also receives a fair and reasonable bid for the required contract work.
The Engineer's estimate and the three lowest-priced, responsive, and responsible bidders are listed below:
Engineer's Estimate: $1,197,940.85
VSS International, Inc.: $2,477,169.00
Cactus Asphalt, Inc.: $2,527,081.72
Cholla Pavement Maintenance, Inc.: $2,643,779.20
Contract Term
The term of the contract is 180 calendar days from the date of issuance of the Notice to Proceed. The contract work scope identified and incorporated into the contract prior to the end of the contract may be agreed to by the parties, and work may extend past the termination of the contract. No additional contract work scope changes may be executed after the end of the contract term.
Financial Impact
The bid award amount is within the total budget for this project. Funding is available in the Street Transportation Department's Capital Improvement Program budget. Contract payments may be made up to contract limits for all rendered contract services, which may extend past the contract termination.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua, the Street Transportation Department, and the City Engineer.