DATE: June 18, 2025
TO: Honorable Mayor and City Councilmembers
FROM: Water Utilities Department
TITLE: AWARD PUBLIC WORKS AGREEMENT TO GC LANDSCAPING & GENERAL CONSTRUCTION, INC. FOR THE MISSION BASIN WELL 2 ACCESS IMPROVEMENTS PROJECT
RECOMMENDATION
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Staff recommends that the City Council award a public works agreement to GC Landscaping & General Construction, Inc., in the amount of $225,712, and authorize a 10% owner-controlled contingency ($22,571), for construction of the Mission Basin Well 2 Access Improvements; and authorize the City Manager, or designee, to execute the agreement upon receipt of all supporting documents.
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BACKGROUND AND ANALYSIS
Groundwater Well 2 (Well 2), one of the City’s Mission Basin groundwater extraction wells, is currently inaccessible for operation and maintenance work. There is a need to re-establish the access to the well so it can be rehabilitated and used again to supplement the other wells feeding the Mission Basin Groundwater Purification Facility (MBGPF), one of the City’s two potable water treatment facilities.
The project includes re-grading the area around Well 2 to create a level concrete access area, modification of the adjacent stormwater basin with associated landscaping and irrigation work, undergrounding an exposed portion of well discharge piping, and relocating a trash enclosure roof to another existing trash enclosure on-site. The estimated project duration is approximately four months.
The project was advertised for bids on March 13, 2025. On April 10, 2025, the City received and opened three bids for project construction. The apparent low bidder is GC Landscaping & General Construction, Inc. (GC Landscaping) with a bid amount of $225,712. A bid protest was submitted by Wright Construction Engineering Corp., challenging GC Landscaping’s bid as non-responsive and non-responsible. Water Department Staff and the City Attorney’s Office (CAO) have reviewed Wright Construction Engineering Corp.’s protest and recommend that it be rejected as without merit. (See Attachment 4.) Staff and CAO have reviewed the bid documents submitted by GC Landscaping and find that its bid, bid bond, and references are in accordance with City standards, and that GC Landscaping is a responsive and responsible bidder.
In addition to awarding the Agreement, staff recommends authorizing the City Engineer to execute Change Orders up to 10 percent of the contract amount to address any unforeseen conditions.
FISCAL IMPACT
The public works agreement with GC Landscaping is $225,712. With a ten percent contingency, the total estimated project cost is $248,283.
Construction costs will be charged to the Desalter Major Plant Improvements account 908125600712.5703.10600. Staff is requesting a budget change of $300,000 from account 5702.10600 to 5703.10600; with this budget change, there will be sufficient funding to facilitate this project. The current balance in account 5702.10600 is $822,275. Table 1 shows the cost breakdown.
Table 1.
|
Budget |
Construction 908125600712.5703.10600 |
|
Total Available Budget |
$300,000 |
|
GC Landscaping Construction Costs |
225,712 |
|
Contingency (10%) |
22,571 |
|
Total Estimated Costs |
248,283 |
|
Estimated Remaining Budget |
$ 51,717 |
The construction costs will be funded by Water meter charges and service fees in Fund 712 Water Fixed Asset Replacement.
COMMISSION OR COMMITTEE REPORT
The Utilities Commission was apprised of and approved staff’s recommendation at its regularly scheduled meeting on May 20, 2025.
CITY ATTORNEY’S ANALYSIS
The referenced documents have been reviewed by the City Attorney and approved as to form. The contract must be awarded to the lowest responsible bidder whose bid is responsive to the call for bids. The Public Contract Code defines “responsible bidder” as a bidder who has demonstrated the attributes of trustworthiness as well as quality, fitness, capacity and experience to satisfactorily perform a public works contract. City Council also has discretion to reject all bids and re-advertise.
ENVIRONMENTAL ANALYSIS
Planning Division staff has completed a preliminary review of this project in accordance with the City of Oceanside's Environmental Review Guidelines and the California Environmental Quality Act (CEQA), 1970. Based on that review, the City Planner finds that the proposed project constitutes minor alteration of existing structures, facilities, and topographical features, involving negligible or no expansion of existing or former use; as well as the replacement or reconstruction of an existing public utility system in generally the same location, with the same purpose and capacity. Therefore, the Environmental Coordinator has deemed that further environmental evaluation is not required because the project is categorically exempt under Class 1, Existing Facilities (Section 15301); and Class 2, Replacement or Reconstruction (Section 15302) - see Attachment 5. Staff recommends that the City Council find the project exempt and direct staff to file a Notice of Exemption.
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Prepared By: Philip Tunnell, Senior Civil Engineer
Reviewed By: Michael Gossman, Assistant City Manager
Submitted By: Jonathan Borrego, City Manager
ATTACHMENTS:
1. Staff Report
2. Bid Tabulation
3. GC Landscaping MBGPF Well 2 Access PWA
4. Well 2 Access Formal Bid Protest Correspondence
5. Notice of Exemption