Agenda No. 3.
CITY COUNCIL MEMORANDUM
| City Council Meeting: | December 7, 2021 |
| Department: | Engineering |
| Subject: | Resolution No. 21-R-124 - Consideration and/or action approving a Resolution by the City Council of the City of Schertz, Texas authorizing a contract with Fuquay, Inc. for the 2020 Fog Seal Project and authorizing the budget expenditures for the project. (B. James/K. Woodlee/J. Nowak) |
BACKGROUND
The 2018 SPAM Resurfacing project applied a chip seal to the surface of streets in the Deer Haven, Greenfield Village, The Estates at Wilson’s Preserve, and Lone Oak Subdivisions. Additionally, a portion of Randolph, Curtiss, and Live Oak received a chip seal surface. After the chip seal was applied, citizen complaints about the new chip seal surface were received. Specifically, residents were unhappy with the rough texture and excess (loose) rocks of the new surface. To address these complaints, it was decided to place another surface material on top of the chip seal to smooth out the surface and to perform enhanced sweeping of the chip sealed areas to remove the excess rocks. For The Estates at Wilson’s Preserve, because of the unique character to the subdivision (short, cul-de-sac streets and lower traffic volumes), a slurry seal would be applied on top of the chip seal. For all the other chip seal areas, a fog seal would be applied on top of the chip seal.
A project was created and bid for the fog seal application. The first bid opening was September 2, 2021. We did not receive any bids for the project. The project was re-advertised and re-bid in October, with a bid opening date of November 3, 2021. Two bids were received, ranging from $185,607.50 to $239,380.48. The low bid received exceeded the Engineer’s Estimate ($121,806.00) and the internal funding allocation ($137,000) for the project.
After bids were opened and the bids reviewed, it was discovered that some items in the bid could be eliminated. The bid contained items to remove the existing pavement striping before applying the fog seal. Additional research has shown that it is common practice to not remove the existing striping. As a result, the contract can be value engineered to lower the cost to $158,495.00 (a $27,112.50 reduction) and allow the project to be completed more quickly.
As all of the other funding available for SPAM projects is currently allocated to other contracts, not enough “SPAM funding” exists to fully fund this project. Additional funding of $25,000 from Contingency can be allocated to this project to fully fund it and provide a small contingency amount (2.2%).
A project was created and bid for the fog seal application. The first bid opening was September 2, 2021. We did not receive any bids for the project. The project was re-advertised and re-bid in October, with a bid opening date of November 3, 2021. Two bids were received, ranging from $185,607.50 to $239,380.48. The low bid received exceeded the Engineer’s Estimate ($121,806.00) and the internal funding allocation ($137,000) for the project.
After bids were opened and the bids reviewed, it was discovered that some items in the bid could be eliminated. The bid contained items to remove the existing pavement striping before applying the fog seal. Additional research has shown that it is common practice to not remove the existing striping. As a result, the contract can be value engineered to lower the cost to $158,495.00 (a $27,112.50 reduction) and allow the project to be completed more quickly.
As all of the other funding available for SPAM projects is currently allocated to other contracts, not enough “SPAM funding” exists to fully fund this project. Additional funding of $25,000 from Contingency can be allocated to this project to fully fund it and provide a small contingency amount (2.2%).
GOAL
To obtain authorization from City Council to execute a construction contract with Fuquay, Inc. for $158,495.00 and a not to exceed amount of $162,000.00 for the 2020 Fog Seal Project.
COMMUNITY BENEFIT
The project will apply a slurry seal on top of the recently applied chip seal. The fog seal will fill in the spaces between the jagged “peaks” of the chip seal, providing a smoother surface. The smoother surface will address some of the citizen complaints the City received after the chip seal was applied.
SUMMARY OF RECOMMENDED ACTION
Authorize execution of the construction contract for the 2020 SPAM Resurfacing Project to Intermountain Slurry Seal, Inc., for $158,495.00 and a not to exceed amount of $162,000.00.
FISCAL IMPACT
Funding for the project will come from $137,000 excess General Fund Reserves allocated to streets (SPAM) and from $25,000 Contingency Funds.
RECOMMENDATION
Staff recommends Council approve Resolution 21-R-124 and authorize award of the bid for the 2020 Fog Seal Project to Fuquay, Inc. for $158,495.00 and a not to exceed amount of $162,000.00.