R2017-55 Contract with Otto Baum for Local Motor Fuel Tax Street Improvements Concrete CP 2017-26

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Public Works Memorandum NO. 2017-28 DATE: April 6,2017 TO: Honorable Mayor Moore Wolfe and City Council FROM: Tim Gleason,City Manager Richard G. Marley,P.E.,Public Works Director SUBJECT: Resolution Accepting the Bid and Authorizing the Execution of a Contract with Otto Baum Company,Inc. for the 2017 Local Motor Fuel Tax Street Improvement Project(Concrete), City Project 2017-26 SUMMARY RECOMMENDATION: It is recommended that the City Council approve the resolution awarding the contract for the 2017 Local Motor Fuel Tax Street Improvement Project(Concrete), City Project 2017-26,to Otto Baum Company, Inc., as the lowest, responsible bidder in the amount of$1,382,317.48 and that the Mayor be authorized to execute the contract and the City Clerk to attest. PRIOR COUNCIL ACTION: February 16,2016—Council approved adding Chapter 51.4 of the City Code establishing a Local Motor Fuel Tax to be used to generate revenue for the construction and maintenance of municipal streets and extensions, sidewalk repairs and maintenance, curbing, grade separations and approaches and engineering services related to those items. June 20,2016—Council approved resolution 82016-78 authorizing the City Manager to enter into a debt instrument to finance local street resurfacing and reconstruction in an amount not to exceed $7,500,000. The plan was to spend around $3,000,000 of that money in 2017 after spending close to $1,400,000 in 2016. BACKGROUND: Streets Inspected Annually The Engineering Division inspects and rates approximately 1/2 of the City's streets on a yearly basis. The results of these inspections are input into a computer database which is used to project the future condition of the streets based on their current and historical condition, and surface type (i.e. brick, concrete, asphalt, etc.). This data is then paired with available funding and is used as a basis to aid City Engineering in the preparation of the City's yearly street improvement program. Staff then determines what type of improvement would be appropriate for each street. Project Description The 2017 concrete project will include the reconstruction of Melwood and Kelly Courts due to the failure of its base material. The soil underneath these streets will be mixed with cement to help — 1 —