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CITY OF
NEWPORT BEACH
City Council Staff Report
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
David A. Webb, Public Works Director- (949) 644 -3330,
dawebb @newportbeachca.gov
Andy Tran, Senior Civil Engineer
(949) 644 -3315
Sunset View Park - Award of Contract No. 5443 (CAP 14-0027)
August 12, 2014
Agenda Item No. 9.
ABSTRACT:
Staff has received favorable bids for the construction of the upper undeveloped portion of Sunset View
Park and is requesting the City Council's approval to award the construction contract to Micon
Construction, Inc. of Placentia, California.
RECOMMENDATION:
a) Approve the final park design and the project plans and specifications;
b) Award Contract No. 5443 to Micon Construction, Inc. for the total bid amount of $235,317.00, and
authorize the Mayor and City Clerk to execute the contract;
c) Establish a contingency of $24,000.00 (approximately 10 %) to cover the cost of unforeseen work; and
d) Approve Budget Amendment No. 15BA -005 appropriating $55,500.00 from the unappropriated
General Fund reserve to Account No. 7015- C4002012.
FUNDING REQUIREMENTS:
With the approval of the recommended budget amendment, there will be sufficient funding for the award of
this contract. The following funds will be expensed:
Account Description Account Number
Amount
General Fund 7015- C4002012
$116,217.00
Contributions 7251- C4002012
$150,000.00
Total:
$266,217.00
Staff recommends establishing approximately ten (10) percent for contingency purposes for unforeseen
conditions associated with construction.
Proposed uses are as follows:
Vendor
Micon Construction, Inc.
Micon Construction, Inc.
GMU Geotechnical, Inc.
DISCUSSION:
Purpose Amount
Construction Contract $ 235,317.00
Construction Contingency $ 24,000.00
Geotechnical & Material Testing $ 6,900.00
Total: $ 266,217.00
Sunset View Park consists of a linear strip of turf along the northern boundary of the Hoag Memorial
Hospital Lower Campus as well as an undeveloped area above and west of the Hoag Cogeneration Plant.
This project improves an undeveloped area above the Hoag Cogeneration Plant and will enhance the
public's ability to access the site with the addition of concrete walkways and a seating area. It will also
aesthetically enhance the area with new landscaping.
Since this project is located in the Coastal Zone, staff applied and received a Coastal Development Permit
(CDP) from the California Coastal Commission. The CDP was received on December 20, 2013.
On April 23, 2013, Council approved the Fifth Annual Review of Development Agreement No. 5 with Hoag
Memorial Hospital Presbyterian. The Development Agreement, adopted in 2008 and expires in 2019,
relates to the long -term development and expansion of the hospital. Section 8.4 states that Hoag shall
reimburse the City up to $150,000 for installation of groundcover, shrubs, and irrigation systems for the
unimproved portion of Sunset View Park. Staff will request for this reimbursement upon award of this
construction contract.
At 10:00 AM on July 23, 2014, the City Clerk opened and read the following bids for this project:
The total low bid amount is 5.7% above the Engineer's Estimate of $222,700.00. The low bidder, Micon
Construction, Inc., possesses both California State Contractors License Classification "A" and "C -27" as
required by the project specifications. A check of Contractor's references indicates they have satisfactorily
completed similar projects for other municipalities.
The work necessary to complete this contract consists of clearing and grubbing, grading, exporting and
importing soil, hardscape improvements, drainage improvements, and landscaping and irrigation
improvements.
Pursuant to the Contract Specifications, the Contractor will have 50 consecutive working days to complete
the work.
We join with the surrounding community in welcoming this improvement to West Newport Beach. We also
thank the community for its participation in the development of these park improvements.
BIDDER
CORRECTED AS-
BID AMOUNT
Low
Micon Construction, Inc.
$ 235,317.00
2
Green Giant Landscape, Inc.
$ 262,800.00
3
C.S. Legacy Construction, Inc.
$ 267,000.00
4
Aramexx Construction
$ 284,480.00
5
The Richards Group
$ 319,900.00
6
PALP, Inc. DBA Excel Paving
$ 353,304.00
7
KASA Construction
$ 439,880.00
The total low bid amount is 5.7% above the Engineer's Estimate of $222,700.00. The low bidder, Micon
Construction, Inc., possesses both California State Contractors License Classification "A" and "C -27" as
required by the project specifications. A check of Contractor's references indicates they have satisfactorily
completed similar projects for other municipalities.
The work necessary to complete this contract consists of clearing and grubbing, grading, exporting and
importing soil, hardscape improvements, drainage improvements, and landscaping and irrigation
improvements.
Pursuant to the Contract Specifications, the Contractor will have 50 consecutive working days to complete
the work.
We join with the surrounding community in welcoming this improvement to West Newport Beach. We also
thank the community for its participation in the development of these park improvements.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this project exempt from the California Environmental Quality Act
( "CEQA ") pursuant to Section 15304, Class 4, of the CEQA Guidelines, California Code of Regulations,
Title 14, Chapter 3, because this project involves minor alterations to the condition of the land and does not
involve removal of mature, scenic trees.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at
which the City Council considers the item).
ATTACHMENTS:
Description
Attachment A - Location Mao
Attachment B - Budget Amendment
SUNSET RIDGE PARK
SUPERIOR AVE
WFsTC�AST Hi
® a PROJECT
N.T.S.
LOCATION
Sunset View Park
Location Map
ATTACHMENT A
SUNSET VIEW PARK
CITY OF NEWPORT BEACH
PUBLIC WORKS DEPARTMENT
C -5443
08/12/2014
ATTACHMENT B
City of Newport Beach NO. BA- 15BA -005
BUDGET AMENDMENT
2014 -15 AMOUNT: $55,5oa.oa
EFFECT ON BUDGETARY FUND BALANCE:
Increase Revenue Estimates Increase in Budgetary Fund Balance
X Increase Expenditure Appropriations X Decrease in Budgetary Fund Balance
Transfer Budget Appropriations No effect on Budgetary Fund Balance
SOURCE:
from existing budget appropriations
from additional estimated revenues
PX from unappropriated fund balance
EXPLANATION:
This budget amendment is requested to provide for the following:
To increase expenditure appropriations from General Fund unappropriated fund balance to help provide sufficient
fundina for award of contract no. 5443 to Micon Construction for construction of Sunset View Park.
ACCOUNTING ENTRY:
BUDGETARY FUND BALANCE
Fund Account
010 3605
REVENUE ESTIMATES (3601)
Fund /Division Account
EXPENDITURE APPROPRIATIONS (3603)
Amount
Description Debit Credit
General Fund - Fund Balance $55,500.00
Description
Description
Division Number 7015 Parks
Account Number C4002012 Sunset View Park
Signed:
Signed:
Signed:
Finance
Approval: City
City Council Approval: City Clerk
Automatic
$55,500.00
7- 3o-i�/
Date
Date
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