That the City Council:
A.  Approve the Project Plans and Specifications for the Euclid Street Rehabilitation Project, City Project No. 1-R-21;

B.  Award a construction contract to Gentry Brothers, Inc., of Irwindale, California, in the amount of $1,365,816.50 for the Euclid Street Rehabilitation Project, City Project No. 1-R-21, and reject all other bids; and,

C.  Authorize the City Manager to execute an Agreement with Gentry Brothers, Inc., and authorize staff to issue a purchase order to Gentry Brothers, Inc., in the amount of $1,638,980, which includes a 20 percent contingency; and,

D. Approve an appropriation of $250,697 from the Measure M2 Local Fair Share fund balance to fully fund the Euclid Street Rehabilitation Project, City Project No. 1-R-21; and,

E. Approve an appropriation of $924,280 from the Measure M2 Local Fair Share fund balance for this Project to replace the same amount of funding previously appropriated from Road Maintenance and Rehabilitation Account (RMRA) funding.

The proposed construction of the Euclid Street Rehabilitation Project, City Project No.1-R-21 ("Project") includes full depth pavement reconstruction, installation of a new Asphalt Rubber Hot Mix (ARHM) pavement cap, new traffic striping and markings; re-construction of existing driveway approaches, sidewalks, cross gutters and spandrels, curb ramps, retaining curbs, curbs and gutters; the preparation and implementation of storm water "best management practices" and other incidental work as identified on the plans and specifications for the Project. If approved by Council, these improvements will be completed on Euclid Street between Whittier Boulevard to the north City limit and on Wiatt Way from Euclid Street to the west end of the cul-de-sac.
 
On September 25, 2024, the City received ten (10) bids for construction with the following results:
 

Staff reviewed the submitted bids and found the bid from Gentry Brothers, Inc. ("Gentry Brothers") to be the lowest responsive bid. Staff reviewed work references provided by Gentry Brothers and found them to be satisfactory. It should be noted that Gentry Brothers is currently constructing the Monte Vista Street Rehabilitation Project in the City of La Habra and has performed well thus far. Additionally, Gentry Brothers has completed similar projects for the cities of Montclair, Chino Hills, and Arcadia. Staff found no record of excessive change order requests by Gentry Brothers and they currently maintain a valid Contractor's License. Therefore, staff is recommending that the City Council award a construction contract to Gentry Brothers and authorize staff to issue a purchase order in the amount of $1,638,980, which includes a 20 percent contingency. 

The Project is included in the Fiscal Year 2024-2025 Capital Improvement Program with a total approved budget of $1,853,982. To date, the City has spent $243,800 on planning and design. Despite receiving a high number of bids for the street construction portion of the project, the lowest cost presented by Gentry Brothers is still higher than what was originally budgeted, totaling $1,638,980 when including the 20 percent contingency. The Gentry Brothers' bid also does not include additional project costs related to construction management, inspection, design support or material testing services that are necessary.

In order to provide sufficient funding to complete all components of this project, staff requests that the City Council appropriate $250,697 of available Measure M2 Local Fair Share funds to pay for construction costs, as well as construction management, construction inspection, design support and material testing costs. The original project budget included a $924,280 appropriation of Road Maintenance and Rehabilitation Account (RMRA) funding. In order to utilize currently available M2 Local Fair Share funding that must be spent before it lapses, staff recommends Council appropriate $924,280 from Measure M2 Local Fair Share funds for this Project instead of the previously appropriated RMRA funding. If approved, the RMRA funds will be credited back to that fund balance and will become available for appropriation in the FY 25/26 capital projects budget for street projects next year.