HomeMy WebLinkAboutAgenda Statement 1980/12/09 Item 19
COUNCIL AGENDA STATEMENT
Item
19
Meeting Date 12-9-80
ITEM TITLE: Resolution /D.JJ,l7Rejecting bids for the construction of improvements in
Memorial Park, Third Avenue to Fourth Avenue and from Madrona Street to
Park Way in the City of Chula Vista
SUBMITTED BY: City Engineer~- (4/5ths Vote: Yes___ No~)
At 2:00 p.m. on November 12, 1980, in the Public Services Building, the City Engineer
received sealed bids for the second time for the "Construction of improvements in
Memorial Park from Third Avenue to Fourth Avenue and from Madrona Street to Park Way
in the City of Chula Vista, California." The scope of the project includes relandscaping
portions of the park, installation of new walkways, benches, lighting, tables,
remodeling of existing restaurant-structure for senior citizen center, etc. It is my
RECOMMENDATION: That the City Council reject the bids and direct staff to readvertise
the construction of the work as four separate projects and authorize the purchase of
specialty items by the City's Purchasing Agent.
BOARD/COMMISS ION RECOMMENDATION: Not appli cab 1 e.
DISCUSSION:
The City Council on October 7, 1980, by Resolution #10281 rejected lump sum bids for
construction of this project by L. R. Hubbard and T. B. Penick & Sons, Inc. in the
amounts of $350,100 and $390,646 respectively. We recommend readvertising the project
using unit items of work instead of lump sum.
Bids were received from only two contractors as follows:
Contractor
Amount
Dyno Construction, Inc. - Azusa, CA
T. B. Penick & Sons, Inc. - San Diego, CA
$323,906.17
336,443.00
The low bid of $323,906.17 submitted by Dyno Construction was considerably above the
Engineer's estimate of $203,543.20. The low bid total was based upon the quantity
listed in the bid documents. The actual price that the City would pay would be based
upon actual quantities measured in the field.
On the advice of one of the bidders we reviewed the bid quantities and determined there
was an error in some of the bid quantities. The total cost to the City with the revised
items would be $370,506.62. Even with the increase in the revised quantities, we still
believe that the cost should be $294,000 or $76,000 less than the bid.
We were disappointed again in that only two bids were received for construction of
this project. After evaluating the type of work involved, we believe that we will
receive -more bids and obtain lower bids if we break the project up into four separate
contracts covering the following areas of work.
/th 3'77
Form A-113 (Rev. 11/79)
EXHIBITS
Agreement_ Resolution X Ordinance_ Plat_ Notification List
Other
ENVIRONMENTAL DOCUMENT: Attached
Submitted on
. .
.;
Page 2, Item 19
Meeting Date 12-9-80
Estimated Cost
1. Remodeling of the restaurant structure and construction
of the trellis structure
$ 51,500
2. Landscaping and irrigation
Sub Total
34,160
16,000
185,080
$286,740
7,260
$294,000
3. Electrical and lighting
4. Earthwork, slabwork, and other miscellaneous construction
Specialty items and maintenance work by City
Total
Four separate contracts would allow a General Engineering, General Building, Electrical,
Landscaping and concrete specialty contractors to bid the project. We have done one
project in the past in which we bid it in a similar manner. The installation of the
solar heating system at the Parkway Pool was bid as three separate contracts for solar,
roofing and lighting.
Our reasons for the expected increase in participation by bidders is as follows:
1. Contractors other than those with a general contracting license, "A", will be able
to bid the various contracts. Those contractors which only do electrical work can
bid the electrical and lighting contract. The same is true with the building,
landscaping, and concrete flat work.
2. Contractors with a lower bonding capacity will be attracted to bid any of the four
contracts. This will increase the chances of receiving more bids.
3. A contractor has the choice of bidding on all of the contracts.
Specialty items such as the pedestal tables and chairs, benches, waste containers can
be purchased by the Purchasing Agent and installed by City forces. Other work which
was strictly maintenance can also be done by City forces. This work includes:
1. Painting existing shuffleboard court chain link fence.
2. Painting existing shuffleboard storage structure and facias on shuffleboard overhead.
3. Refinish existing fiberglass shuffleboard court benches.
Based upon our evaluation of the project, we recommend that the bids be rejected and
the project be readvertised as four separate contracts.
FINANCIAL STATEMENT: $83,000 has been budgeted for the park and senior center.
$125,000 has been set aside from the proceeds of the tax allocation bond sale, Bayfront-
Town Centre, for this project. If additional funds are required at the time of awarding
the contract, Community Development Department intends to recommend the use of Local
Option Block Grant Funds and transfers from completed projects.
10'3 C/7
Page 3, Item 19
Meeting Date 12-9-80
FISCAL IMPACT: In rebidding any project, there is always the risk that the cost could
increase. However, by bidding four separate contracts we expect the cost to be reduced
as well as receive more bids.
SLH:nrj
by the Citl,;':::;-:-'-;;~ of
Chula Vista, (;,;;ii'urnia
Dated /J - 9 -r-o
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