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HomeMy WebLinkAboutAgenda Statement 1980/07/24 Item 2 COUNCIL CONFERENCE AGENDA STATEMENT I tern . 02./ Meeting Date 7-24-80 Reso1 ution l()dtJ1 Dec1ar ing Mazon Landscaping Co. in breach ot ITEM TITLE: contract proposal and directing staff to readvertise for bids for the maintenance of Town Centre No.1 Street Lighting and Landscaping Maintenance District No. 1980-81 SUBMITTED BY: City Eng ineer yt/ (4/5ths Vote: Yes_ No-,,-I On June 17, 1980, the Council held a public hearing and created the Street Lighting and Landscaping District for Town Centre No.1 for the purpose of providing funds to maintain the landscaping recently completed by a City contract. At that meeting, Council also awarded a contract for the maintenance to Mazon Landscaping Co. for the Fiscal Year 1980-81. We have just been informed that Mazon Landscaping Co. does not intend to sign the contract and therefore is in breach of his contract proposal. It is therefore my RECOMMENDATION: That Council approve the resolution declaring a breach of contract proposal, direct that Mazon's bid bond in the amount of $954.00 be deposited in the Town Centre District (Fund 575) and direct staff to readvertise for bids. BOARD/COMMISSION RECOMMENDATION: Not applicable. DISCUSSION: On June 30, 1980, the contract executed by the City was sent to Mazon Landscaping Co. for execution. At that time, they were informed that they had 10 days to execute the contract. After several attempts by telephone to reach the principals of the company, we were finally told that we would be receiving a letter informing us that they would not be able to sign the contract due to a serious error they had made in calculating the price that they bid. On July 21, we received their letter (attached) indicating they would not sign the contract. Mazon Landscaping Co. is currently maintaining the landscaping based upon a previous contract. The current contract expired on July 18, 1980. At this point, the City has two choices. 1. Reject all bids and readvertise. 2. Award the bid to the next lowest bidder. DISCUSSION OF ALTERNATIVES: Mazon Landscaping Co. has retracted his agreement to continue the maintenance, in fact he terminated employment of the person maintaining the area previously. To continue the maintenance effort we have contracted on a part time, temporary basis, the individual that previously maintained the landscaping. Form A-113C (11/79) /67,01 Continued EXHIBITS Agreement Resolution x Ordinance Plat Notification List Letter from - -- Other Mazon ENVIRONMENTAL DOCUMENT: Attached Submitted on , .. Page 2, Item Meeting of 7-24-80 Based upon a conversation we had with the contractor that has 8 of our other open space districts, we recommend that the Council readvertise for bids. We propose to modify the bid so that painting of the benches will be an alternate or add on item. Also, we will have a pre-bid meeting with the prospective bidders to go over in detail what is and isn't expected of them. We believe the above modifications will result in lower bid prices. . The Council has established the district and made the assessments based on the original contract amount. Therefore, were the contract to be awarded to the second lowest bidder (Calscape) at $13,600, the contingency fund would be severely impacted. Funds that were originally set aside to pay the City back for previous maintenance expenses would not be there and thus pay back to the City would be postponed to later ye a r s . Mazon Landscaping Co. deposited with the City $954.00 to guarantee their bid proposal. Since they have not executed the contract, that bid guarantee will be forfeited and it is my recommendation that the Council direct that these funds be deposited in the Town Centre Landscaping fund. This would, in effect, increase the revenues to the district by $954.00. FISCAL IMPACT: low bidder. Increase contract cost of $4,082 if awarded to second JPL:fpw/J0009 1 ~~-~ H..____ =Z~=--~---:-_==.=-- ~ . r'l l./, I....i; ,,;. "''-'-'1 ,: . ill ;~ j Doted --Z2~~d .....- 17)~eCf ...J Office of JENNIE M. FULASZ, CITY CLERK City O~ ChuQa q)igta CALIFORNIA Date: To: Subject: ( ) Resolution No. ( ) Ordinance No. You will find enclosed a certified copy of the City Council document approved at the meeting of '%1-za/ ~. JENNIE M. FULASZ, CMC City Clerk Enclosures STAR NEWS: P.ie.a6 e. pubfuh th-L6 doc.ume.n:t on and .6e.nd U.6 a C.OP!f 6oJc.. OUlt.. OJr..d..,[nanc.e. Book. RECORVER: P.ie.a.6e. Jc..e.c.oJc..d .6ai..d doc.ume.n:t and Jc..e.tuJc..n. a to U.6 at !fOUlt.. e.aJc...iie..6t c.onve.n.ie.nc.e.. ARAo e.nc..iMe.d -u the. ORIGINAL C.OP!f 06 the. agJc..e.e.me.n:t. P.ie.a.6e. have. a e.xe.c.ute.d and Jc..e.tuJc..n. to th-U 06 6ic.e.. j(J-zt; ? 276 Fourth Avenue, Chu1a Vista, CA 92010 (714)575-5041 CC-685(Rev.lO/79)