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HomeMy WebLinkAbout2011/04/05 Item 5CITY COUNCIL AGENDA STATEMENT _ ~ ~ ~ j ~`~~ CITY OF """'CHULA VISTA 4/05/11, Item ITEM TITLE: PUBLIC HEARING TO CONSIDER WAIVING IRREGULARITIES IN THE BID RECEIVED FOR THE "I STREET SIDEWALK IMPROVEMENTS (STL363)" PROJECT PER CITY CHARTER SECTION 1009 SUBMITTED BY: REVIEWED BY: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING IRREGULARITIES, ACCEPTING THE BID, AND AWARDING THE CONTRACT FOR THE "I STREET SIDEWALK IMPROVEMENTS IN THE CITY OF CHULA VISTA, CALIFORNIA FY2010-2011 (CIP STL363)" PROJECT TO CONAN CONSTRUCTION, INC. IN THE AMOUNT OF $43,753.88, AND AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXPEND ALL AVAILABLE FUNDS,j~fI~HE PROJECT DIRECTOR OF PUBLIC WORKS ~,~'/ 1~' ASSISTANT DIREC OR OF ENGINE CITY MANAGER. ASSISTANT CITY ANAGER Gj ) 4/STHS VOTE: YES ^ NO SUMMARY On February 9, 2011, the Director of Public Works received 17 sealed bids for the "I Street Sidewalk Improvements (STL363)" project. The project was included in the annual Public Works Street Maintenance budget to install missing sidewalk along the north side of I Street as well as replace curb, gutter, and driveways appurtenant to the sidewalk installation. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the project qualifies for a Class 3 categorical exemption pursuant to section 15303 (New Construction) of the State CEQA Guidelines. Thus, no further environmental review is necessazy. RECOMMENDATION Council adopt the resolution. 5-1 4/5/11, Item Page 2 of 4 BOARDS/COMMISSION RECOMMENDATION Not applicable. DISCUSSION This sidewalk project is funded in the fiscal year 2010-2011 Capital Improvement Program budget. Project design staff prepared engineering plans and specifications and advertised the project on January 14, 2011. On February 9, 2011, the Director of Public Works received 17 bids as follows: CONTRACTOR BID 1 Conan Construction Inc., San Diego, CA $43,750.00 2 Del Mar Environmental & Construction Services, Inc., Chula Vista, CA $47,835.09 3 Tri-Group Construction & Development, Inc., San Diego, CA $50,095.00 4 Palm Engineering Construction Co., Inc., San Diego, CA $58,627.50 5 American Asphalt & Concrete, Inc., Spring Valley, CA $61,942.58 6 Portillo Concrete, Inc., Lemon Grove, CA 91945 $62,125.00 7 Ramona Paving & Construction Corporation, Ramona, CA $64,465.00 8 Koch-Armstrong General Engineering, Inc., Lakeside, CA $66,774.75 9 PAL General Engineering Inc., San Diego, CA $69,765.00 10 Kirk Paving, Inc., Lakeside, CA $71,890.75 11 HTA Engineering & Const., Inc., Poway, CA $73,565.00 12 CCC, La Mesa, CA $76,265.00 13 RMV Construction, Inc., San Diego, CA $78,221.75 14 MJC Construction, Bonita, CA $79,495.00 15 EI Camino Construction & Engineering Corporation, Long Beach, CA $88,260.00 16 New Century Construction, Inc., Lakeside CA $96,320.00 17 Jose Pereira Engineering & Mechanical Inc., El Cajon, CA $102,900.00 * is the correct total bid amount Although Conan Construction, Inc. was the appazent lowest bidder, the contractor rounded extended unit items; specifically, the contractor rounded to the nearest dollaz the total amount bid for the line item, rather than entering the exact amount. Rounding of totals is not typically an acceptable bidding practice for projects within the City of Chula Vista or within the region. The bid amount, excluding the rounding adjustment, yields a corrected total bid amount of $43,753.88, an increase of merely $3.88. Staff feels that this irregularity is of little consequence 5-2 4/5/11, Item Page 3 of 4 and the corrected bid amount remains well below the second lowest bidder amount of $47,835.09. The low bid submitted by Conan Construction, Inc. is below the Engineer's estimate of $68,610 by $24,856, or approximately 36%. Staff has verified the references and the work performed by the contractor on previous City projects and has determined that their work is satisfactory. The Contractor's License No. 761852 is current and active. As such, staff recommends that City Council waive the irregularity as immaterial and awazd the contract for the "I Street Sidewalk Improvements" project to Conan Construction, Inc. in the amount of $43,753.88. The proposed resolution would also authorize the Director of Public Works to approve change orders over and above existing policy limits. Under City Council Policy No. 574-01, if an individual change order causes the cumulative increase in change orders to exceed the Director's authority ("Maximum Aggregate Increase in Change Orders"), then Ciry Council approval is required. The corresponding maximum aggregate contract increase that may be approved by the Director of Public Works under Policy No. 574-01 is $4,375. Approval of the proposed resolution would increase the Director of Public Works' authority to approve change orders, as necessary, up to the contingency amount of $14,000, which is an increase of $9,625, over Policy No. 574-01. Increasing the contingency funds will allow staff to continue the project without delay should unforeseen circumstances resulting in increased project costs arise during the course of construction, as well as make adjustments to bid item quantities. Unforeseen conditions include such items as utility conflicts, hazardous materials, unexpected underground conflicts, etc. If the contingency funds are not used, then they will be returned to the project fund balance. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the. property, which is the subject of this action. CURRENT YEAR FISCAL IMPACT There is no impact to the General Fund as this project is funded in its entirety by TransNet and TDA/Bike Facility Funds. A breakdown of the project construction costs is as follows: FUNDS REQUIRED FOR CONSTRUCTION CONTRACT A. Base Contract Amount B. Contract Contin encies $43,753.88 $14,000.00 TOTAL FUNDS REQUIRED FOR CONSTRUCTION CONTRACT $57,753.88 Sufficient funds are available in the project fund to complete the contract work and to cover all soft costs. 5-3 4/5/11, Item ~ Page 4 of 4 ONGOING FISCAL IMPACT Upon completion of the project and one-year contractor maintenance period, City Ordinance and the State Streets and Highways Code require the adjacent property owner to maintain the sidewalk. Repair and replacement costs are also the responsibility of the adjacent property owner, unless a City street tree damages the sidewalk. ATTACHMENTS 1. Contractor's Disclosure Statement Prepared by.' Boushra Salem, Senior Civil Engineer, Public Works Department-Engineering J: IEngineerlAGENDAICAS20/ 1104-OS-IIISTL363 Contract Award CASI2EV.doc 5-4 ~TfiC ~NT~ -~ __ _-- CITY OF CHULA VISTA DISCLOSITRE STATEMENT Pursuant to Council Policy 101-O1, prior to any action upon matters that will require discretionary action by the Council, Planning Commission and all other official bodies of the City, a statement of disclosure of certain ownership or financial interests, payments, or campaign contributions for a City of Chula Vista election must be filed. The following information must be disclosed: List the names of all persons having a financial interest in the property that is the subject. of the application or the contract, e.g., owner, applicant, contractor, subcontractor, material suppliei. ~¢h/~ ~? (~dn ~Gr.~'rs~rc/ /h. ~a,~ 2. If any person* identified pursuant to (I) above is a corporation or partnership, List the names of all individuals w'th a $2000 investrnent in the business (corporntion/parmership) entity. ~~~~` o~ , ~~~ 3. If any person* identified pursuant to (I) above is anon-profit organization or trust, list the names of any person serving as director of the non-profit organization or as trustee or beneficiary or trustor of the trust. 4. Please identify every person, including any agents, employees, consultants, or independent contractors ou a//ve assigned to represent you before the City in this matter. ~oh~ , l.Pl1ly fir/ !t~ 5. Has any person* associated with this contract had any financial dealings with an official** of the City of Chula Vista as it relates to this contract within the past l2 months? Yes No~ If Yes, briefly describe the nature of the financial interest the official** may have in this contract. 16 Q:\EngineeringWll Projects\STUSTL363 1ST Imp\ContractlS7T.363 Final Contraccdoc 5-5 6. ** Have you made a contribution of more than $250 within The past twelve (]2) months to a current member of the Chula Vista City Council? No~ Yes _ If yes, which Council member? Have you provided more than $340 (or an item of equivalent value) to an official** of the City of Chula Vista in the past twelve (12) months? (This includes being a source of income, money to retire a legal debt, gift, loan, etc.) Yes _ No ~ ' If Yes, which official** and what was the nature of item provided? l~ -c_=_- Date:~~ ~ Si~p~~~ njyactoc~~cant PrinT or name of Conhactor/Applicant Person is defined as: any individual, fn-m, co-partnership, joint venture, association, social club, fraternal organization, corporation, estate, trust, receiver, syndicate, any other county, city, municipality, district, or other political subdivision, -or any other group or combination acting az a unit. Official includes, but is not limited to: Mayor, Council member, Planning Commissioner, Member of a board, commission, or committee of the City, employee, or staff members. 17 Q:\EngineeringWtl Projects\STLISTL363 I ST Imp\Contract\57T.363 Final Contract.doc 5-6 RESOLUTION NO. 2011- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA WAIVING IRREGULARITIES, ACCEPTING THE BID, AWARDING THE CONTRACT FOR THE "I STREET SIDEWALK IMPROVEMENTS IN THE CITY OF CHULA VISTA, CALIFORNIA FY2010-2011 (CIP STL363)" PROJECT TO CONAN CONSTRUCTION, INC. IN THE AMOUNT OF $43,753.88, AND AUTHORIZING THE DIRECTOR OF PUBLIC WORKS TO EXPEND ALL AVAILABLE FUNDS IN THE PROJECT WHEREAS, on February 9, 2011, the Director of Public Works received 17 sealed bids for the "I Street Sidewalk Improvements (STL363)" Project as follows: CONTRACTOR BID 1 Conan Construction Inc., San Diego, CA $43,750.00 2 Del Mar Environmental & Construction Services, Inc., Chula Vista, CA $47,835.09 3 Tri-Group Construction & Development, Inc., San Diego, CA $50,095.00 4 Palm Engineering Construction Co., Inc., San Diego, CA $58,627.50 5 American Asphalt & Concrete, Inc., Spring Valley, CA $61,942.58 6 Portillo Concrete, Inc., Lemon Grove, CA 91945 $62,125.00 7 Ramona Paving & Construction Corporation, Ramona, CA $64,465.00 8 Koch-Armstrong General Engineering, Inc., Lakeside, CA $66,774.75 9 PAL General Engineering Inc., San Diego, CA $69,765.00 10 Kirk Paving, Inc., Lakeside, CA $71,890.75 11 HTA Engineering & Const, Inc., Poway, CA $73,565.00 12 CCC, La Mesa, CA $76,265.00 13 RMV Construction, Inc., San Diego, CA $78,221.75 14 MJC Construction, Bonita, CA $79,495.00 15 El Camino Construction & Engineering Corporation, Long Beach, CA $88,260.00 16 New Century Construction, Inc, Lakeside CA $96,320.00 17 Jose Pereira Engineering & Mechanical Inc., El Cajon, CA $102,900.00 5-7 Resolution No. Page 2 WHEREAS, the apparent low bid by Conan Construction, Inc. of $43,753.88 is below the Engineer's estimate of $68,610 by $24,856, or approximately 36%; and WHEREAS, the engineer's estimate was based on average prices for similar types of work completed during the last two years; and WHEREAS, although Conan Construction, Inc. was the apparent lowest bidder, the contractor rounded extended unit items; specifically, the contractor rounded to the nearest dollar the total amount bid for the line item, rather than entering the exact amount; and WHEREAS, rounding of totals is not typically an acceptable bidding practice for projects within the City of Chula Vista or within the region. The bid amount, excluding the rounding adjustment, yields a corrected total bid amount of $43,753.88, an increase of merely $3.88; and WHEREAS, staff feels that this irregularity is of little consequence and the corrected bid amount remains well below the second lowest bidder amount of $47,835.09, and WHEREAS, staff has verified the references provided by the contractor and their work record has been satisfactory; and WHEREAS, staff recommends that City Council waive the irregularity as immaterial and award the contract for the "I Street Sidewalk Improvements" project to Conan Construction, Inc. in the amount of $43,753.88. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does hereby waive the irregularities, as immaterial and necessary for the public benefit, award the contract for the "I Street Sidewalk Improvements" project to Conan Construction, Inc. in the amount of $43,753.88, and authorize the Director of Public Works to expend all ava' able funds in the Project. Presented by as to Richard A. Hopkins Director of Public Works Attorney 5-8