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HomeMy WebLinkAboutAgenda Statement 1973/06/26 Item 12AGENDA ITEM N0. [ 12 ] CHULA VISTA CITY COUNCIL MEETING OF: June 26, 1 97 3 ITEM TITLE: 'Resolution - Approving low bid and authorizing the award for contract for construction bf 27th-Alvoca Street-trunk relief sewer project., .Montgomery Sanitation District, Project No. LG9UU3 INITIATED BY: BACKGROUND Director of Public Works/City Engineer The City Council, by Resolution No. 4937 on October 22, 1968, approved the fourth amendment to that certain agreement between the City of San Diego, the City of Chula Vista, the Montgomery Sanitation District and the County of San Diego. In the fourth amendment of the agreement, Se'c'tion 16.1 Date Street, Faivre Street, Future Construction Project, paragraph 7; T e City of Chula Vista and the Montgomery Sanitation District agreed to share in the cost of construction of a relief trunk sewer between Alvoca Street and 27th Street in the County of San Diego. The County of San Diego received bids for the construction of the relief trunk sewer on June 7, 1973. Bids were received from 5 contractors as follows: 1. Cameron Brothers Construction Co., Inc. $134,861.65 2. Three D Construction Co., Inc. 146,631.00 3. Ham Brothers Construction, Inc. 146,834.00 4. Tom C. Dyke and Virgil Woolard 164,615.00 5. Wattson Company 174,913.00 Added to the low bid of Cameron Bros. is the estimated engineering, right of way and incidental costs of $20,450, making the total cost of the project $155,311.65. The total cost of the project exceeds the engineer's estimate of $127,625 by 21.7 percent. The apparent discrepancy (continued on suppleme tal sheet) ATTACHED: Resolution [X] Ordinance [ ] Agreement [ n] Plat [X] See EXHIBITS [X] No. 1-2 Financial Statement: Funds budgeted in project PW-2-71 $100,000 Requested additional authorized expenditure from Sewer Income Fund 20,000 Total authorized expenditure $120,000 Commission-Board Recommendation: N.A. Department Head Recommendation: 1. Approve low bid and approve award of contract to Cameron Brothers Construction Co., Inc. in the amount of $134,861.65. 2. Authorize an additional expenditure of $20,000 from the Sewer Income Fund to cover the City's project costs, making the total authorized expenditure for project PW-2-71, $120,000. City Manager Recommendation: Concur with Department Head. ~E.~/~' AGENDA ITEM N0.'12 Supplemental Page No. 2 between the engineer's estimate and the apparent low bid is due to recent inflationary construction costs. The County of San Diego feels that the bids are responsible and recommends awarding the construction contract to Cameron Brothers, the apparent low bidder. The County of San Diego is awaiting approval of the low bid and award of contract by the City before it makes any recommendations to the Board of Directors of the Montgomery Sanitation District. A major portion of the cost of the project will be paid by the City.. Based upon Cameron Brothers low bid plus the estimated engineer's costs, the City's share of the project costs will be $112,380 and the District's share will be $42,935. This is in accordance with the terms of the agreement between the City and the District. Upon approval of award by the City, the County is requesting that the City pay its estimated share of the project costs in the amount of $112,380 to the Montgomery Sani- tation District by July 6, 1973. This project was budgeted as project PW-2-71 in the amount of $100,000 in the FY71-72 Capital Improvement Program, An additional authorized expenditure in the amount of $20,000 from the Sewer Income Fund is needed to cover the City's project costs plus contingencies, A transparency is available for Council viewing. ,' ~r