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<,FORN'P City Council Staff Report
January 10, 2023
Agenda Item No. 8
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY: Patrick Arciniega, Senior Civil Engineer
parciniega@newportbeachca.gov
PHONE: 949-644-3347
TITLE: Utilities Yard Office Remodel —Award of Contract No. 7908-1 (23F13)
ABSTRACT:
The City of Newport Beach (City) has received construction bids for the Utilities Yard
Office Remodel project. The project renovates an existing, underutilized garage and
workshop into offices for Utilities Department staff. Staff requests City Council approval
to award the construction contract to JT Construction Group Inc. of Duarte, California.
RECOMMENDATIONS:
a) Find this project exempt from the California Environmental Quality Act (CEQA)
pursuant to Class 2 Section 15301(a) (minor interior or exterior alterations involving
such things as partitions and plumbing) of the CEQA Guidelines, because this project
has no potential to have a significant effect on the environment;
b) Approve the project plans and specifications;
c) Relieve OCLA Construction of their bid due to a clerical error;
d) Award Contract No. 7908-1 to JT Construction Group Inc. for the bid price of $370,906
for the Utilities Yard Office Remodel project, and authorize the Mayor and City Clerk
to execute the contract; and
e) Establish a contingency of $55,600 (approximately 15 percent of total bid) to cover the
cost of unforeseen work not included in the original contract.
DISCUSSION:
The Utility Yard Water Meter Offices are proposed for an approximately 930-square-foot
space currently used for a garage/storage room as well as an office. The room was
originally built as a garage 30 years ago and has been used as converted office space
for the past 20-plus years. The building shows signs of deterioration including large cracks
in the foundation, drafty work areas, leaking windows, and uneven flooring due to the
original use as a garage. The building lacks insulation and has no heating, ventilation,
and air conditioning (HVAC) system. The room is heated with space heaters and fans to
control temperature.
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Utilities Yard Office Remodel — Award of Contract No. 7908-1 (231`13)
January 10, 2023
Page 2
Work to update the building triggers necessary accessible path of travel modifications to
comply with the Americans with Disabilities Act (ADA), which for this project are minor
improvements.
At 10 a.m. on November 9, 2022, the City Clerk opened and read the following bids for
this project:
BIDDER
TOTAL BID AMOUNT
Low
OCLA
$ 1,478.00
2nd
JT Construction Group Inc.
$ 370,906.00
3rd
Modern General Construction
$ 458,000.00
4th
Global Builders Inc.
$ 488,888.00
5th
Rhome Profile Construction
$ 523,000.00
6th
H2M Construction Inc.
$ 528,000.00
7th
Loamic Builders Inc.
$ 562,203.00
8th
R Dependable Construction Inc.
$ 580,000.00
9th
Neuroth Construction Inc.
$ 589,227.00
10th
Pub Construction Inc.
$ 615,000.00
The apparent low bidder for this project, OCLA, submitted a letter requesting withdrawal
of its bid due to clerical errors. The City accepted the request and is recommending award
to the second low bidder for this project, JT Construction Group Inc. which submitted a
bid approximately 32.6 percent below the Engineer's Estimate of $550,000.
JT Construction Group Inc. submitted all the necessary forms and possesses a
Classification "A" California State Contractors License as required by the project
specifications. A check of the contractor's references indicates satisfactory completion of
similar projects for other public agencies.
The proposed project includes renovating the existing offices with a new concrete slab
and polished floor, new walls with insulation, new lighting, new HVAC equipment and
ducting, and a new kitchenette. The existing roll -up garage door will be removed and
replaced with a new storefront window system at the existing opening. A new fire -rated
door will be created at the existing dividing wall between the office and the space next
door. At the exterior, there will be new accessible parking located adjacent to the office;
the walkways will be adjusted to be ADA compliant; and new sheet metal awnings will be
located above existing windows and openings for shade and rain protection.
Pursuant to the contract specifications, the contractor will have 70 consecutive working
days to complete the work. Work is scheduled to begin Winter 2023.
The project plans and specifications will be available for review at the January 10, 2023,
City Council meeting or upon request.
FISCAL IMPACT:
Sufficient funding is available from the Fiscal Year 2022-23 Capital Improvement Program
budget for completion of this contract. The funds are expensed from the Utilities Yard
Facilities Improvements (Water Enterprise Funds) and the Facilities Maintenance Master
Plan (General Funds).
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Utilities Yard Office Remodel — Award of Contract No. 7908-1 (23F13)
January 10, 2023
Page 3
The following funds will be expended:
Account Description Account Number Amount
Utility Yard Facilities Improvements 70101-980000-23F13 $ 400,000.00
Facilities Maintenance Master Plan 57101-980000-21 F02 $ 37,506.00
Total: $ 437,506.00
Proposed expenditures are as follows:
Vendor
JT Construction Group Inc.
JT Construction Group Inc.
Geotechnical
Various
Purpose
Construction Contract
Construction Contingency
Material Testing
Printing & Incidentals
Total:
e/T:T.�1ffi
$ 370,906.00
$ 55,600.00
$ 10,000.00
$ 1,000.00
$ 437,506.00
Staff recommends establishing $55,636.00 (approximately 15 percent) for contingency
purposes to cover the cost of unforeseen conditions associated with construction.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this project exempt from the California
Environmental Quality Act (CEQA) pursuant to Class 2 Section 15301(a) (minor interior
or exterior alterations involving such things as partitions and plumbing) of the CEQA
Guidelines, because this project has no potential to have a significant effect on the
environment.
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).
ATTACHMENT:
Attachment A — Location Map
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ATTACHMENT A
16TH STREET W
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PRODUCTION PL
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LIMITS OF WORK
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UTILITIES YARD OFFICE REMODEL
CITY OF NEWPORT BEACH
LOCATION MAP
PUBLIC WORKS DEPARTMENT
C-7908-1
23 F 13
1 / 10/23