| | | | | | | | Agenda Item - 3.l.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | Lisa L. Kim
| From: | William E. Murray
| | Dept.: | City Manager
| Dept.: | Public Works
| | Subject: | Rejection of all construction bids and authorization to re-advertise for Project No. CP-1345000/CP-1346000, Traffic Signal Modifications at Garden Grove Boulevard/Nelson Street-Century Boulevard and Garden Grove Boulevard/Newland Street. (Action Item) | Date: | 9/12/2023 |
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| | | | | | | | OBJECTIVE
For City Council to reject all construction bids and authorize the re-advertisement of Project No. CP-1345000/CP-1346000, Traffic Signal Modifications at Garden Grove Boulevard/Nelson Street-Century Boulevard and Garden Grove Boulevard/Newland Street (Project). |
| | | | | | | | BACKGROUND
In 2022, staff applied for and received state grants for two (2) Highway Safety Improvement Program (HSIP) projects. Project No. CP-1345000 consists of modifying the traffic signal at Garden Grove Blvd./Nelson St.-Century Blvd. and Project No. CP-1346000 consists of modifying the traffic signal at Garden Grove Blvd./Newland St. Both projects involve installing new signal equipment, poles, cabinets, conduits, cables and vehicle video detection. As part of the improvements, protective left-turn phasing will be provided for both intersections. In addition, striping will be modified and curb ramps will be constructed to meet ADA requirements. |
| | | | | | | | DISCUSSION
Staff solicited bids for the Project pursuant to Municipal Code Section 2.50.100. The Project was advertised on August 9, 2023 and bid opening was conducted on August 30, 2023 at 11:00 AM. The City Clerk’s office received and opened two (2) bids.
Since the City received only two (2) bids and the lowest bid price is 47% higher than the Engineer’s Estimate, staff recommends the rejection of the bids received and the re-advertisement of the Project. For comparison, the City received seven (7) bids for a similar traffic signal project in January of 2022. Staff will monitor bid results of traffic signal projects from nearby local agencies and will re-advertise the Project when a more favorable bid environment is determined. |
| | | | | | | | FINANCIAL IMPACT
Rejecting the bids will not have a financial impact to the City. The Project is funded by the HSIP state grants with local match funded by traffic mitigation fees and red light camera fees. Awarding the contract to the lowest bidder would result in the City paying 47% higher than the Engineer’s Estimate. The lowest bid price exceeded the amount of HSIP state grants by $280,000, if accepted, additional City funds in this amount would be needed to implement the Project. |
| | | | | | | | RECOMMENDATION
It is recommended that the City Council:
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Reject all bids received on August 30, 2023 for Project No. CP-1345000/CP-1346000 - Traffic Signal Modifications at Garden Grove Blvd./ Nelson St.-Century Blvd. and Garden Grove Blvd./Newland St.; and
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Authorize staff to re-advertise the project.
By: Ken Vu, P.E., Associate Engineer
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