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<br />6.10 <br />Page 1 <br /> <br />REPORT <br /> <br />To the Honorable Mayor and Cit¥ Council <br />ffQm. the Ci" "M~n~ $r <br /> <br />July 10, 2006 <br /> <br />Subject <br />Award of Contract - 2005-2006 Asphalt Rubber Chip Seal Project. <br /> <br />Recommendation <br />Approve the Contract Documents, and award the contract for the 2005-2006 Asphalt <br />Rubber Chip Seal Project to the lowest responsible bidder, International Surfacing <br />System, Inc. of Modesto, California, for their low bid of $486,941.96. <br /> <br />Background <br />This Chip Seal Project is a continuation of the City's Pavement Management Program's <br />annual roadway maintenance and rehabilitation projects. The Asphalt Rubber Chip <br />Seal (ARCS) Project is the first part of a two-part resurfacing treatment. The second <br />part is the Slurry Seal application, which will follow the ARCS Project (by a few weeks), <br />and will then complete the new Cape Seal surface treatment. <br /> <br />Cape Seals, generally applied to low volume/residential streets, rehabilitate the <br />pavement by providing a new wearing surface and by sealing out water from the <br />underlying pavement. The Chip Seal portion of the treatment involves application of <br />asphalt rubber emulsion (binder) on the roadway surface, and spreading crushed stone <br />(chips) on binder-covered surface. <br /> <br />Separating the Cape Seal treatment work into two separate projects allows the City to <br />m contract ..and.coordjnatemdirectly.wfth.eacb..oLthecontractors... performingtherespectiYe. '. <br />specialty work. We believe that is more cost effective, and will result in a better quality <br />product. <br /> <br />In advance of the Cape Seal treatment, preparatory work is performed by the Public <br />Works Services' Street Maintenance Section. This work typically involves sealing <br />cracks and placing thin layers of new asphalt pavement to level the surface, and to <br />remove depressions, ruts, and surface raveling. <br /> <br />The "bid opening" for this project was held on June 21, 2006. One bid was received <br />from Intemational Surfacing Systems, Inc. in the amount of $486.941.96, which is 14% <br />higher than the Engineer's Estimate of $426,700. Staff considers this to be a good and <br />acceptable bid. <br /> <br />Staff believes that the low bidder turnout, and higher than estimated construction cost is <br />due in part to the large amount of construction projects currently out to bid, and under <br /> <br />Page1of2 <br />