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HomeMy WebLinkAboutAgenda Statement 1979/08/07 Item 19CITY OF CHULA VISTA COUNCIL AGENDA STATEMENT Item No. 19 For meeting of ~/~ /79 Resolution 9~/~ Rejecting Bids for the ITEM TITLE Construction of The Park way Community Center, Chula Vista, California SUBMITTED BY City Engineer Director of Parks & Recreation G /' ITEM EXPLANATION (4/5TH'S VOTE REQUIRED YES NO x ) At 2:00 p.m. on June 27, 1978, in Conference Room 2, the City Engineer received sealed bids for "The Construction of the Park way Community Center, Chula Vista, California." The scope of the work included the construction of a new framed building complete with heating, ventilating, and air conditioning system, plumbing system, electrical system, fixtures and equipment. Bids were received from two contractors as follows: 1. Raymond D. Haas & Son, $559,847.00 Lemon Grove 2. Fritz A. Nachant Inc. $035,000.00 San Diego The low bid submitted by Raymond D. Haas & Son is above the Architect's estimate by $169,847.00. This low bid is above the Architect's estimate of $390,000 by 43.6. SLH:nr/JP004 (continued on supplemental page) txhi~ii5 Agreement Resolution x Ordinance Plat Notification List Other Letter ENVIRONMENTAL DOCUMENT: Attached Submitted on FINANCIAL IMPACT N.A. STAFF RECOMMENDATION City Council reject the bids and direct staff to re-advertise with modified plans. BOARD/COMMISSION RECOMMENDATION COUNCIL ACTION .~ ~~ ,.,~-,,,~~,•,~~.~il b ', r_ ~:: l ,~ r yy ~ t' ~ ~ "Zic1 ~~;~ 9 Form A-113 (Rev. 5/77) Agenda Item No. 19 For Meeting of 8/7/79 Supplemental Page Two There appear to be two main factors contributing to the high bid (inflation and construction activity). First, the building was originally designed and estimated by Victor Wulff more than three years ago. Funding was obtained based on Mr. Wulff's estimate. When the new architect, Tom Williamson, took over the project, his instructions were to stay within the budget and still maintain the functional characteristics of the design. Then, major changes had to be made to the exterior of the building to meet the requirements of the Town Centre Design Review Committee. During this three year time period, the San Diego area experienced extraordinary inflation, and it is suspected that the building industry experienced even higher inflation than general commodities. Secondly, the construction activity in the San Diego area is presently very high. This suspicion is certainly borne out by the fact that only two bids were received on a building project the size of the Community Center. Taking these two factors into consideration, the architect still believes that the bids are too high. A letter outlining the Architect's recommendations is attached. In light of the Architect's recommendation and staff analysis we recommend the bids be rejected, the plans be modified as recommended by the Architect, and the project be readvertised for bids. Should the construction activity remain high in the San Diego area even with some modifications in the plans, the architect believes the cost of the project will still be between $440,000 and $490,000. Unless there is a slowdown in the construction activity in the San Diego area bid s lower than this amount may not be possible. Since the budgeted amount is $390,000, Council may need to appropriate more money for this project if the next bid is higher than budgeted. ~~~g ~ ~. THOMAS WILLIAMSON, ARCHITECT 1819 Fifth Avenue San Diego, CA 92toi (714) 234-260 July 30, 1979 Mr. Emerson Hall Parks and Recreation Dept. City of Chula Vista P.0. Box 10$7 Chula Vista, Ca 92012 Dear Emerson: I am writing with reference to the proposals submitted to the c~_ty on June 27s 1979, for the construction of the new community center on Park Way designed by this firm. In my opinion the two bids received from Haas & Sons and Fritz A. Nachant, Inc., for $559,$47.00 and $635,000.00, respectively, should be rejected as too costly, the contract documents changed to incorporate certain cost-saving features described below and the job should be put out to bid a second time. If the job were rebid at a time of less construction activity alla~ring more contractors to participate, the proposals should be more competitive to the advantage of the city. Since the time that this project was awarded to this firm in 1978, the San Diego region and its construction industry has suffered an inordinate rate of inflation. We originally felt that the budget of under $400,000.00 was realistic and this figure was born out by a cost estimate prepared by Architects and Contractors Estimating Service in December, 1978. A post bid review of the costs involved has indicated that the effect of the year's inflation has indeed carried the anticipated cost well over $400,000.00. I would currently estimate, considering the recent inflationary surges that an acceptable cost range for this project, utilizing the cost-saving measures listed below would be between $41+0,000.00 and $490,000.00. There follows a list of changes we intend to make to the contract documents as a result of our meeting with members of the city staff on July 17, 1979• We believe that these measures will reduce the construction cost by between $45,300 and $52,800. 1. Change the General Conditions to clarify city's role in directing construction. 2• Incorporate Part I of Standard Specifications for Public Works Construction for the General Conditions of the Ameri- can Institute of Architects. K~~~ page 2 . r 3. Identify all governmental forms to be executed by the contractor, indicating that the filling out of any addl- . - tional forms will be compensated by change orders. 4• Specify that retention of payments will be on a line-item basis by sub trades as work is approved by the city instead of for the entire job. 5. Specify that the contractor does not have to start construc- tion for 60 days from date of executing contract with the city and that the contract time for completion starts when construction starts. 6. Substitute inorganic wall coating for fiberglass panels at the lower portion of the walls of the new gymnsaium. 7. Substitute words "WIC quality" for"WIC Certified Compliance Grade Stamp" in millwork specifications. 8. Add additional manufacturers 'to specifications for metal roofing as part of base bid. 9• Substitute composition shingles for metal roofing as an alternate. 10. Substitute narrow stile for medium stile at entrance doors. 11. Change clerestory windows so that only upper four-foot portion is openable. 12. Change manufacturer of clerestory window controls to Muschong Metal and Manufacturing Co. 13. Eliminate locks on cabinet drawers and doors. 14. Omit Vi-Tex underlayment at vinyl asbestos tile. 15. Substitute textured finish for smooth for gypsum bosrd. 16. Include Korok as acceptable manufacturer for basketball backstop. 17. Clarify specifications as to controls to be furnished by contractor for heating equipment. 18. Clarify costs for utility services to be paid by contractor. We are ready to make any changes that the city may approve to the contract documents in order that the project may be put out to bid again. E