TO: ADAM PIRRIE, CITY MANAGER
FROM: BRAD JOHNSON, COMMUNITY DEVELOPMENT DIRECTOR
DATE: SEPTEMBER 9, 2025
Reviewed by:
City Manager: AP
SUBJECT:
Title
AWARD OF CONTRACT TO HARDY & HARPER INC. FOR THE ARROW HIGHWAY TRANSIT IMPROVEMENTS PROJECT, FIRST STREET REHABILITATION PROJECT, AND INDIAN HILL BOULEVARD AT I-10 IMPROVEMENT PROJECT, C.I.P. 2025-01, C.I.P. 2025-02, AND C.I.P. 2025-03 (FUNDING SOURCE: STATE GAS TAX FUND)
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SUMMARY
On August 14, 2025, the City of Claremont received four bids for the Arrow Highway Transit Improvements Project, First Street Rehabilitation Project, and Indian Hill Boulevard at I-10 Freeway Improvements Project, C.I.P 2025-01, C.I.P. 2025-02, and C.I.P. 2025-03, respectively. The lowest responsive and responsible bidder was Hardy & Harper Inc. of Lake Forest, with a bid of $995,000.
The projects include the construction of a bus pad with adequate space to accommodate accessibility improvements and amenities on Arrow Highway adjacent to the Pepper Tree Square shopping center, east of Indian Hill Boulevard, and a 2-inch asphalt grind and overlay for First Street between College Avenue and Claremont Boulevard, and for Indian Hill Boulevard under the I-10 Freeway.
In addition to awarding the contract to Hardy & Harper Inc., staff recommends retaining the consulting firm LAE Associates to provide inspection and construction management services to ensure the work is performed properly and according to plans and City Standards.
RECOMMENDATION
Recommended Action
Staff recommends the City Council:
A. Award a contract to Hardy & Harper Inc. and authorize the City Manager to enter into an agreement with Hardy & Harper Inc. in the amount of $995,000 with a project contingency of ten percent ($99,500), for a total of $1,094,500 for the Arrow Highway Transit Improvements Project, First Street Rehabilitation Project, and Indian Hill Boulevard at I-10 Freeway Improvements;
B. Authorize the City Manager to amend the existing agreement of $8,800 with LAE Associates for inspection services and contract management, by increasing compensation in the amount of $75,996, and including a 10 percent contingency of $8,480, for a total not-to-exceed amount of $93,276; and
C. Find this item is exempt from environmental review under the California Environmental Quality Act (CEQA).
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ALTERNATIVE TO RECOMMENDATION
In addition to the recommendation, there is the following alternative:
- Request additional information from staff.
FINANCIAL REVIEW
In addition to awarding the contract to Hardy & Harper Inc., staff proposes to retain the consulting firm LAE Associates to provide inspections and construction management to ensure the work is performed properly and per City Standards.
Funding for this project is included in the 2024-26 Capital Improvement Program budget.
The following funding sources will be used for this project:
|
Funding Source |
Amount |
|
State Gas Tax – Construction |
$ 995,000 |
|
State Gas Tax – Contingency |
$ 99,500 |
|
State Gas Tax – Construction Management (CM) and Inspection |
$ 84,796 |
|
State Gas Tax – CM and Inspection Contingency 10% |
$ 8,480 |
|
Total Project Costs: |
$ 1,187,776 |
The staff cost to prepare this report is estimated at $1,112 and is included in the operating budget of Community Development Department.
ANALYSIS
On August 14, 2025, the City received the following bids:
|
Bidder |
Amount |
Location |
|
LCR Earthwork & Engineering |
$990,401 |
Jurupa Valley |
|
Hardy & Harper Inc. |
$995,000 |
Lake Forest |
|
Gentry Brothers Inc. |
$997,898 |
Irwindale |
|
Onyx Paving Co. Inc. |
$1,020,000 |
Yorba Linda |
|
All American Asphalt |
$1,174,861 |
Corona |
The apparent low Bidder, LCR Earthwork & Engineering (LCR), had a bid of $990,401 according to their submittal. However, after a thorough review of the bid documents, staff discovered the following discrepancies with the LCR bid submission:
- LCR did not contact the Project Manager to place their names on the plan holders list for this project. This requirement is stated in the “Notice Inviting Bids.”
- Addendum #3 was not acknowledged on the required Bid Form, Section 00400, as required in the “Instruction to Bidders”, Section 00200.
- The signed Addendum #3 was not included with the Bid Submission.
- The bid schedule used to submit LCR’s bid was the incorrect version, and not the version issued in Addendum #2.
In response, staff reached out to LCR to identify these discrepancies by phone on August 18, 2025, and by letter sent via e-mail on August 20, 2025. The discrepancies listed above have also been discussed with the City Attorney to confirm that the appropriate action has been taken per the Project Specifications. As a result, Hardy and Harper’s bid of $995,000 is deemed to be the lowest responsive and responsible bid.
The scope of work will provide improvements at three specific locations. The street segments/locations included in this project were selected using the information provided by the most current Pavement Management System (PMS). In 2024, the City acquired the services of a consultant to survey all streets in the City of Claremont to provide a Pavement Condition Index (PCI), which develops the PMS. This PCI evaluates the street condition and assigns a numerical rating of the pavement condition based on the type and severity of distress observed on the pavement surface. This system has allowed staff to develop a schedule and to select an appropriate method to provide annual roadway maintenance based on these PCI ratings.
The locations designated for the 2-inch grind and pave method have been deemed necessary based on PCI ratings. These areas (First Street from College Avenue to Claremont Boulevard and Indian Hill Boulevard under the I-10 freeway overpass) have low PCI ratings and fit within the project budget.
The City’s goal is to maintain PCI ratings above 70. These ratings are based on the evaluation of the asphalt, with the following four major categories of common asphalt pavement surface distress:
- Surface defects (raveling, flushing, polishing)
- Surface deformation (rutting, distortion, settling)
- Cracks (transverse, reflections, longitudinal, black, alligator cracks)
- Patches and potholes
The selected locations along First Street and Indian Hill Boulevard under the I-10 Freeway overpass have a current average rating of less than 50 due to excessive alligator and block cracking. These asphalt pavement distresses are caused by failure of the surface due to heavy traffic loading (fatigue) and aging caused by shrinking and hardening of the asphalt over time. First Street also accommodates a Foothill Transit Hub with higher bus volumes, contributing to higher distress. These two locations will receive the following scope of work:
- 2-inch full-depth grind and conventional asphalt hot mix paving
- Replace all existing street striping
Additionally, a new bus stop will be constructed, providing a new Portland cement concrete bus pad and additional space within the public right-of-way to accommodate American with Disabilities Act (ADA) improvements and to facilitate the placement of bus stop amenities serving all residents, especially those with special needs. Additional amenities, such as a bench and trash and recycling containers will be installed separately by the Community Services Department following construction.
The City is constructing this new bus stop at the request of a resident who requires ADA accommodation. This location was not part of the original Citywide bus stop project that analyzed and considered locations for shelter installations. As a result, the new bus stop will not include a bus shelter. Funding for a new bus shelter at this location may be considered during the development of future budgets.
PROJECT SCHEDULE
The tentative project schedule is as follows:
Award: September 2025
Start Construction: October 2025
Complete Construction: November 2025
RELATIONSHIP TO CITY PLANNING DOCUMENTS
Staff has evaluated the agenda item in relationship to the City’s strategic and visioning documents and finds that it applies to the following: City Council Priorities, General Plan, and the 2024-2026 Budget.
CEQA REVIEW
This item is categorically exempt from environmental review under the California Environmental Quality Act (CEQA). Under CEQA Guidelines section 15301 (“Existing Facilities” - Class 1), Arrow Highway Transit Improvements Project, First Street Rehabilitation Project, and Indian Hill Boulevard at I-10 Freeway Improvements Project, C.I.P 2025-01, C.I.P. 2025-02, & C.I.P. 2025-03 qualifies as “repair” and/or minor alteration of existing public or private structures, facilities, mechanical equipment or topographical features, involving negligible or no expansion of use.” None of the exceptions in CEQA Guidelines section 15300.2 are applicable here.
PUBLIC NOTICE PROCESS
The agenda and staff report for this item have been posted on the City website and distributed to interested parties. If you desire a copy, please contact the City Clerk’s Office.
Submitted by: Prepared by:
Brad Johnson Vincent Ramos
Community Development Director Associate Engineer
Reviewed by:
Maria B. Tipping, P.E.
City Engineer