REPORT TO THE CITY COUNCIL FROM: SCOTT L. MOZIER, PE, Director Public Works Department BY: RANDALL W. MORRISON, PE, Assistant Director Public Works Department, Engineering Division ALEJANDRO GONZALEZ, PE, Supervising Professional Engineer Public Works Department, Transportation Project Management SUBJECT ..Title Award a construction contract in the amount of $1,342,148 to BUSH Engineering, Inc., of Fresno, CA, as the lowest responsive and responsible bidder, for the Midtown Trail Segment 1 (Phase I) Project, along Shields Avenue from Blackstone Avenue to the Manchester Center entrance intersection. (Bid File No. 3846-12012) (Council District 7) ..Body RECOMMENDATION Staff recommends that the City Council award a construction contract to BUSH Engineering, Inc., in the amount of $1,342,148, as the lowest responsive and responsible bidder, for the Midtown Trail Segment 1 (Phase I) Project, along Shields Avenue from Blackstone Avenue to the Manchester Center entrance intersection, and authorize the Public Works Director or designee to sign a standardized construction contract on behalf of the City. EXECUTIVE SUMMARY The City of Fresno seeks to award a construction contract for the construction of the Midtown Trail Segment 1 (Phase I) Project, along Shields Avenue from Blackstone Avenue to the Manchester Center entrance intersection. This construction contract is for the first phase of Segment 1 of the Midtown Trail program, a planned seven-mile pedestrian and cycle multipurpose trail comprised of five, separate trail segments. The first phase of Segment 1 will run easterly along the north side of Shields Avenue from Blackstone Avenue to the Manchester Center entrance intersection and will include approximately 800 feet of roadway modification, construction of 900 feet of a multipurpose trail, landscaping and irrigation, traffic signal modifications, slurry seal, and signing and striping. This construction contract award is for $1,342,148 and is fully funded with a federal Active Transportation Program (ATP) grant and local Measure P Safe Walking and Biking Trails funding. BACKGROUND On September 1, 2016, the City Council approved the funding agreement allowing Measure C to be used for the design and construction of the Midtown Trail (then referred to as the "Metro Trail"). The Midtown Trail was split into five segments to be designed and constructed as stand-alone projects. The Midtown Trail Segment 1 Project, along Shields Avenue from Blackstone Avenue to Fresno Street is the first segment of the Midtown Trail program, a planned seven-mile pedestrian and cycle multipurpose trail, which will ultimately provide connectivity between the Fresno Area Express hub at Manchester Center and the Clovis Old Town Trail. The planned corridor will follow the Herndon Canal alignment along Shields Avenue, from Shields Avenue and First Street to McKinley Avenue, then along the Mill Creek alignment south of McKinley Avenue to Clovis Avenue, then northerly along Clovis Avenue to Shields Avenue. The Midtown Trail Segment 1 (Phase I) on Shields Avenue from Blackstone Avenue to the Manchester Center entrance intersection design and right-of-way stages are locally funded by the Measure C Trails program. The construction contract is federally funded by an ATP grant with the local match through local Measure P Safe Walking and Biking Trails funding. The segment from Blackstone Avenue to Fresno Street was split into two smaller projects, in order to meet certain funding deadlines for the ATP grant, and allow for additional time to focus on the more complex work within the Caltrans right-of-way. A Request for Project Scope Change was submitted to Caltrans on July 13, 2021, proposing to separate Segment 1 into two phases. The scope change was approved by Caltrans on October 7, 2021. The first phase, located on the north side of Shields Avenue, extends from Blackstone Avenue to the Manchester Center entrance intersection. The second phase shifts the trail at the Manchester Center entrance intersection to the south side of Shields Avenue and continues east to Fresno Street. The first phase of Segment 1 design took approximately 38 months to complete. A preliminary thirty percent (30%) design was prepared by BKF Engineers. The design was completed by the City of Fresno. The right-of-way phase, acquiring a temporary construction easement, took approximately two months to complete. This first phase of Segment 1 will be the third segment of the Midtown Trail program to enter construction. The project scope includes approximately 800 feet of roadway modification, construction of 900 feet of a pedestrian trail, landscaping and irrigation, traffic signal modification, slurry seal, and signing and striping. Staff prepared a Notice Inviting Bids, which was published in the Fresno Business Journal on April 25, 2022, posted on the City's website, and sent to nine building exchanges. Project plans and specifications were distributed to20 prospective bidders. Three sealed bid proposals were received and opened in a public bid opening on June 7, 2022, with bids ranging from $1,342,148.00 to $1,589,305.20. BUSH Engineering, Inc., of Fresno, CA, with their bid of $1,342,148, was determined to be the lowest responsive and responsible bidder. The apparent low bid price was 9.5% above the Engineer's Estimate. The expiration date of the bids is August 10, 2022. If the bids are rejected or expire the project must be rebid which will result in a delay of approximately 90 days and would jeopardize the construction ATP grant of $611,000, which has a deadline to award the construction contract of July 26, 2022. The Midtown Trail Segment 1 Project is federally funded with ATP funds and the City of Fresno received construction authorization and approval of the project plans, specifications and estimates from Caltrans without the incorporation of the Community Workforce Agreement (PLA). Caltrans and FHWA have not approved the use of the PLA on federal or state funded projects. If City Council decides to reject the construction contract due to the City PLA requirements, there will be a delay of approximately six to nine months without certainty that Caltrans and the FHWA will approve the use of the City PLA. This not only delays the beneficial use of this much needed public improvement but will also put the Project funds in jeopardy due to the time lapse between authorization of construction funding and award of a contract set forth in the grant terms/requirements. Staff recommends award of a construction contract to BUSH Engineering, Inc., in the amount of $1,342,148, to construct the first phase of Segment 1, as the lowest responsive and responsible bidder. A standard construction contract has been used, without modification, in accordance with Administrative Order 4-4. Upon approval by the City Council, the construction contract will be executed by the Public Works Director, or designee. The City Attorney's Office has reviewed and approved this item as to form. ENVIRONMENTAL FINDINGS On December 10, 2020, City Council adopted Amended and Restated Environmental Assessment No. P20-01778, a determination that the proposed project for the Midtown Trail qualifies for the streamlined analysis set forth in the California Environmental Quality Act (CEQA) Guidelines Section 15183 (Projects Consistent with a Community Plan, General Plan, or Zoning) and dated December 10, 2020. A Notice of Exemption (NOE) was filed with the Fresno County Clerk on December 16, 2020. LOCAL PREFERENCE Local preference was not implemented for this project because this contract is federally funded. FISCAL IMPACT The Midtown Trail Segment 1 (Phase I) Project on Shields Avenue from Blackstone to the Manchester Center entrance intersection is located in Council District 7. The overall cost of the project is $2,125,000 and utilizes Measure C Trails funding, Measure P Safe Walking and Biking Trails funding and a federal ATP grant. Of the $2,125,000 overall project budget, $1,342,148 will be used for the construction contract award. The project will have no impact to the General Fund. Attachments: Bid evaluation Fiscal Impact Statement Standardized Construction Contract Vicinity Map