Subject: Construction Contract Amendment For Citywide Pavement Rehabilitation 2022 Project (Project No. 1006337) From: Department Of Transportation Recommendation: Adopt A Resolution To Increase The Change Order Limit For The Contract With McGuire And Hester, Inc. For Project 1006337 Citywide Pavement Rehabilitation From Twenty Five Percent (25%) To Twenty-Seven And A Half Percent (27.5%) Of The Original Contract, For A Total Contract Amount Not-To-Exceed Nineteen Million, Two Hundred, Thirty-Two Thousand Four Hundred Eighteen Dollars And Seventy-Five Cents $19,232,418.75 And Waiving The Competitive Process To The Extent Necessary

The City Council is considering a resolution to increase the change order limit for the Citywide Pavement Rehabilitation Project (Project No. 1006337) with contractor McGuire and Hester, Inc. The original contract was for $15,084,250.00. The change order limit is proposed to increase from 25% to 27.5% of the original contract, raising the total contract amount to a not-to-exceed $19,232,418.75. This increase is necessary due to unforeseen conditions encountered during construction, including unstable subgrade, expanded sidewalk construction near Raimondi Park, and the removal of unrecorded railroad tracks. Funding for the additional $377,106.25 (2.5% increase) is available within existing project allocations from Fund 2218 (Measure BB), and no new appropriation is required. The resolution also waives the competitive bidding process for this additional work, as it is deemed impractical and costly to re-bid. The project is part of the 2022 Five-Year Paving Plan and is exempt from CEQA review.

This amendment will allow the completion of citywide road repairs that have encountered unexpected issues. Residents will benefit from improved street conditions, and the project will be closed out efficiently without additional tax increases, as funding is already allocated.

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