REPORT TO THE CITY COUNCIL FROM: RANDALL W. MORRISON, PE, Director Capital Projects Department SCOTT L. MOZIER, PE, Director Public Works Department BY: JESUS AVITIA, PE, Assistant Director Capital Projects Department, Transportation Project Management Division ALEJANDRO GONZALEZ, Licensed Professional Engineer Capital Projects Department, Transportation Project Management Division SUBJECT ..Title Actions pertaining to the Chestnut Avenue Overlay Project, from Cesar Chavez Boulevard (Kings Canyon Road) to Butler Avenue (Bid File No. 12401042) (Council District 5): 1. Adopt a finding of Categorical Exemption per staff determination, pursuant to Sections 15301/Class 1, 15302/Class 2, and 15303/Class 3 of the California Environmental Quality Act (CEQA) Guidelines; 2. Award a construction contract in the amount of $1,484,956 to Cal Valley Construction, Inc. of Fresno, CA as the lowest responsive and responsible bidder. ..Body RECOMMENDATIONS Staff recommends that the City Council (1) adopt a finding of Categorical Exemption pursuant to Sections 15301/Class 1, 15302/Class 2, and 15303/Class 3, of the California Environmental Quality Act (CEQA) guidelines, (2) award a construction contract to Cal Valley Construction, Inc. of Fresno, CA in the amount of $1,484,956 as the lowest responsive and responsible bidder, for the Chestnut Avenue Overlay Project from Cesar Chavez Boulevard (Kings Canyon Road) to Butler Avenue and authorize the Capital Projects Director or designee to sign the construction contract on behalf of the City of Fresno. EXECUTIVE SUMMARY The City of Fresno (City) seeks to award a construction contract for the construction of the Chestnut Avenue Overlay Project, from Cesar Chavez Boulevard (Kings Canyon Road) to Butler Avenue. The Chestnut Overlay project will rehabilitate the existing pavement by grinding, then overlaying or performing full depth reconstruction along the alignment. This project will reconstruct north and south bound lanes along Chestnut Avenue. Additionally, the project includes installation of pedestrian facilities, signage, and striping, along with concrete curb and gutter. BACKGROUND The City of Fresno Public Works Department, in coordination with Capital Projects Department, has identified a need for the Chestnut Avenue Overlay Project from Cesar Chavez Boulevard (Kings Canyon Road) to Butler Avenue. The project is intended to extend the life of the existing pavement through reconstruction and maintenance. It will also improve accessibility and support multimodal travel options. This will be accomplished through bike lane restriping and the installation of new curb ramps. In October of 2017, the City of Fresno applied for the Federal Surface Transportation Block Grant (STBG) for the design and construction phase of this project. The STBG funding is administered by Caltrans on behalf of the Federal Highway Administration. On November 19, 2020, the funding agreement was approved and the City received authorization to proceed with preliminary engineering. The design started following the City Council approval of the consultant contract with North Coast Engineering (NCE) on January 27, 2021. The design was carried out by the awarded consultant and completed on December 15, 2023. The Noticing Inviting Bids was published in the Business Journal on January 8, 2024, and posted on the City's website. Eight (8) bid proposals were received and opened in the public bid opening on February 13, 2024, with bids ranging from $1,484,956 to $2,189,494.90. Cal Valley Construction, Inc. of Fresno, CA is deemed the lowest responsive and responsible bidder. The bids will expire 80 days after the bid opening, on May 3, 2024. If the bids are rejected or expire, the project will be rebid resulting in a delay of approximately 3 months. This contract is covered by the Community Workforce Agreement (PLA), adopted by Council in September 2021. The Contractor shall become signatory to the PLA by executing the Agreement To Be Bound. Staff is recommending the award of a construction contract to Cal Valley Construction, Inc. of Fresno, CA in the amount of $1,484,956 to construct improvements at Chestnut Avenue, as the lowest responsive and responsible bidder, and to authorize the Capital Projects Director or designee to sign and execute the standardized contract on behalf of the City of Fresno. A standardized agreement has been used in accordance with Administrative Order 4-4, which has been approved as to form by the City Attorney's Office. The City Attorney's Office has reviewed and approved the items. ENVIRONMENTAL FINDINGS Staff performed a preliminary environmental assessment of the project and determined that it falls within the Categorical Exemptions set forth in CEQA Guidelines, Section 15301- Class 1 (Existing Facilities), 15302/Class 2 (Replacement or reconstruction of existing structures and facilities), which exempts the replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site as the structure replaced and will have substantially the same purpose and capacity. and Section 15303 - Class 3 (New Construction or Conversion of Small Structures. The proposed project is consistent with Class 1, Class 2, and Class 3 exemptions because the project proposes improvements to existing public facilities to reconstruct pavement, install curb ramps to meet ADA regulations, and add signage and striping to include Class II bicycle lanes. These proposed improvements do not constitute an expansion of use and will improve the public right-of-way without increasing road capacity. The proposed project involves negligible expansion of the existing use and will have substantially the same purpose. Based on staff analysis, it was determined that no adverse environmental impacts would occur because of the proposed project and none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines Section 15300.2 apply to this project. LOCAL PREFERENCE Local preference was not implemented for this project due to it being funded through Surface Transportation Block Grant which precludes local preference. FISCAL IMPACT The Chestnut Avenue Overlay Project from Cesar Chavez Boulevard (Kings Canyon Road) to Butler Avenue is located in Council District 5. The overall cost of the project is $2,049,456 and is fully funded by the Surface Transportation Block Grant (STBG), administered by Caltrans on behalf of the Federal Highway Administration. Of the total project cost, $1,484,956 will be used for the construction contract award. All funds necessary for the contract award are included in the current and next fiscal year budget, as previously adopted by Council and the project will have no impact to the General Fund. Attachments: Categorical Exemption Standardized Construction Contract Bid Evaluation Fiscal Impact Statement Vicinity Map